Title XXIV, Public Utilities

When application required by KRS 278.020 is made to the commission for a certificate that public convenience and necessity require the construction of a new electric transmission line of four hundred (400) kilovolts or more, during the thirty (30) days immediately preceding the p…

Service to be adequate -- Utilities prohibited from energizing power to electrical service where seal is not present. (1) Every utility may demand, collect and receive fair, just and reasonable rates for the services rendered or to be rendered by it to any person. (2) Every utili…

publicly-funded entities -- Exception. Any entity receiving public funds from the Commonwealth of Kentucky, or any political subdivision thereof, for the purpose of offsetting at least fifty percent (50%) of its operational expenses shall not be entitled to preferential retail ra…

Limitations. (1) The Public Service Commission shall consist of five (5) members appointed by the Governor as follows: (a) Two (2) shall be licensed attorneys who have actively practiced law in the Commonwealth for at least seven (7) years; and (b) Three (3) shall have education …

Contracts -- Jurisdiction -- Regulations. (1) (a) The Public Service Commission shall constitute an independent department of state government within the meaning of KRS Chapter 12 and shall be administratively attached to the Energy and Environment Cabinet only for those limited …

Electrical Safety Code. (1) For the purposes of this section, "NESC" means the National Electrical Safety Code as published by the Institute of Electrical and Electronics Engineers, Inc. (2) Except as otherwise provided by law, the commission shall, in enforcing service adequacy …

(1) Each commissioner shall be a resident and qualified voter of this state, not less than twenty-five (25) years of age at the time of his or her appointment and qualification, and shall have resided in this state for at least three (3) years prior to his or her appointment and …

(1) The Governor may remove any commissioner for cause, after giving him or her a copy of the charges against him or her and an opportunity of being publicly heard in person or by counsel in his or her own defense upon not less than ten (10) days' notice. (2) If a commissioner is…

commissioners or by hearing examiners. A majority of the commissioners shall constitute a quorum for the transaction of any business, for the performance of any duty, or for the exercise of any power of the commission. No vacancy in the commission shall impair the right of the re…

(1) The principal office of the commission shall be located at the state capital, and it shall be kept open during the usual business hours. (2) The commission shall hold meetings at its principal office and at such other convenient places in the state as are expedient or necessa…

(1) The commission shall have the sole authority to appoint an executive director, by a majority vote of the members of the commission and subject to confirmation by the Senate pursuant to KRS 11.160, who shall hold office at the pleasure of the commission and shall devote his or…

persons filed in the record -- Testimony. (1) The commission acting through the executive director may employ such clerks, stenographers, rate experts, agents, special agents, engineers, accountants, auditors, inspectors, lawyers, hearing examiners, experts and other classified s…

The commission shall establish the internal organization of its offices and shall divide the commission into such offices or divisions as the commission may deem necessary to perform the functions, powers and duties of the commission, subject to the provisions of KRS Chapter 12.

employees. (1) Notwithstanding KRS 64.640 or any provision of KRS Chapter 18A to the contrary, the executive director of the commission shall be paid a salary to be fixed solely by the commission. (2) The commissioners, the executive director, and employees of the commission are …

(1) For the purpose of maintaining the commission, including the payment of salaries and all other expenses, and the cost of regulation of the utilities subject to its jurisdiction, the Department of Revenue shall each year assess the utilities in proportion to their earnings or …

To ascertain the amount of the assessment provided for in KRS 278.130, each utility shall, on or before March 31 of each year, file with the commission a report of its gross earnings or receipts derived from intrastate business for the preceding calendar year.

Administration of funds collected. (1) The commission shall, on or before June 1, certify to the Department of Revenue and the Finance and Administration Cabinet the amount of intrastate business of each utility in the state subject to its jurisdiction during the previous calenda…

service -- Adherence to schedules -- Exclusion from disclosure of confidential or proprietary provisions in special contracts. (1) Under rules prescribed by the commission, each utility shall file with the commission, within such time and in such form as the commission designates…

(1) No utility shall, as to rates or service, give any unreasonable preference or advantage to any person or subject any person to any unreasonable prejudice or disadvantage, or establish or maintain any unreasonable difference between localities or between classes of service for…

Every utility which serves a volunteer fire department or other entity eligible for aid under KRS 95A.262, shall supply such service at the lowest rate available under its tariffs to customers with comparable consumption amounts, including residential or farm rates.

(1) Except as provided in subsection (2) of this section, no change shall be made by any utility in any rate except upon thirty (30) days' notice to the commission, stating plainly the changes proposed to be made and the time when the changed rates will go into effect. However, t…

for coal combustion wastes and by-products -- Environmental compliance plan, review and adjustment. (1) Notwithstanding any other provision of this chapter, effective January 1, 1993, a utility shall be entitled to the current recovery of its costs of complying with the Federal C…

schedule -- Burden of proof -- Refunds. (1) Whenever any utility files with the commission any schedule stating new rates, the commission may, upon its own motion, or upon complaint as provided in KRS 278.260, and upon reasonable notice, hold a hearing concerning the reasonablene…

(1) For the purpose of justifying the reasonableness of a proposed general increase in rates, the commission shall allow a utility to utilize either an historical test period of twelve (12) consecutive calendar months, or a forward-looking test period corresponding to the first t…

city. The commission may, under the provisions of this chapter, originate, establish, change, promulgate and enforce any rate or service standard of any utility that has been or may be fixed by any contract, franchise or agreement between the utility and any city, and all rights,…

(1) The commission may provide instruments for, and carry on, the examination and testing of any meter or appliance used to measure the product or service of any utility, and the examination and testing of any instrument used by a utility to test the accuracy of any meter or appl…

generating facility -- Costs of upgrading existing grid. (1) No utility shall begin the construction or installation of any property, equipment, or facility to establish an electrical interconnection with a merchant electric generating facility in excess of ten megawatts (10MW) u…

cooperative. When a utility or generation and transmission cooperative engaged in the transmission of electricity experiences on its transmission facilities an emergency or other event that necessitates a curtailment or interruption of service, the utility or generation and trans…

on application. (1) Except for a utility as defined under KRS 278.010(9) that has been granted a certificate of public convenience and necessity prior to April 15, 2002, no utility shall begin the construction of a facility for the generation of electricity capable of generating …

owned by utility. (1) No person shall acquire or transfer ownership of or control, or the right to control, any assets that are owned by a utility as defined under KRS 278.010(3)(a) without prior approval of the commission, if the assets have an original book value of one million…

The commission may establish a system of accounts to be kept by utilities subject to its jurisdiction, or may classify utilities and establish a system of accounts for each class, and may prescribe the manner in which such accounts shall be kept. The system established shall conf…

accounting. A utility shall not subsidize a nonregulated activity provided by an affiliate or by the utility itself. The commission shall require all utilities providing nonregulated activities, either directly or through an affiliate, to keep separate accounts and allocate costs…

(1) A utility that engages in a nonregulated activity shall identify all costs of the nonregulated activity and report the costs in accordance with the guidelines in the USoA and the cost allocation methods described in subsection (2) of this section. (2) In allocating costs betw…

Maintenance. (1) Any utility that engages in a nonregulated activity whose revenue exceeds the amount provided for incidental nonregulated activities under KRS 278.2203(4)(a), shall develop and maintain a CAM as described in subsections (2) to (5) of this section. (2) A CAM shall…

Request for deviation. (1) The terms for transactions between a utility and its affiliates shall be in accordance with the following: (a) Services and products provided to an affiliate by the utility pursuant to a tariff shall be at the tariffed rate, with nontariffed items price…

In any formal commission proceeding in which cost allocation is at issue, a utility shall provide sufficient information to document that its cost allocation procedures and affiliate transaction pricing are consistent with the provisions of this chapter.

Disallowance of costs -- Audit. (1) If the commission finds that a utility has not complied with any provision of this chapter for any transaction between a utility and its affiliate, or if a utility has failed to provide sufficient evidence of its compliance, then the commission…

practices -- Confidentiality of information -- Notice of service available from competitor. The provisions of this section shall govern a public utility company's activities related to the sharing of information, databases, and resources between its employees or an affiliate invo…

The provisions of KRS 278.2201 to 278.2213 and KRS 278.2215 and 278.2219 shall not apply to telecommunications utilities, telecommunications services, nonprofit water or sewer utilities, or water districts.

(1) Notwithstanding any provisions in KRS 278.2201 to the contrary, a utility may apply to the commission for a waiver or deviation from any or all provisions of KRS 278.2201 to 278.2213. (2) The utility's application to the commission shall: (a) Demonstrate the basis of the util…

All service supplied by a utility shall be billed within two (2) years of the service. No customer shall be liable for unbilled service after two (2) years from the date of the service, unless the customer obtained the service through fraud, theft, or deception.

information may be required. (1) The commissioners and the officers and employees of the commission may, during all reasonable hours, enter upon the premises of any utility subject to its jurisdiction for the purpose of examining any books or records, or for making any examinatio…

Copies of official documents and orders filed or deposited according to law in the office of the commission, certified by a commissioner, or by the executive director under the seal of the commission, to be true copies of the originals, shall be evidence in like manner as the ori…

Whenever it is necessary in the performance of its duties, the commission may investigate and examine the condition of any utility subject to its jurisdiction. In conducting such investigation, the commission may proceed with or without a hearing as it deems best, but shall make …

(1) The commission shall provide for periodic management and operation audits of each utility with annual intra-Kentucky assessable revenue as of December 31, 1983, under KRS 278.150(1) not less than one hundred million dollars ($100,000,000) to investigate management effectivene…

Hearing. (1) The commission shall have original jurisdiction over complaints as to rates or service of any utility, and upon a complaint in writing made against any utility by any person that any rate in which the complainant is directly interested is unreasonable or unjustly dis…

As used in this section and KRS 278.264: (1) "Electric generating unit" means one (1) or more fossil fuel-fired combustion or steam generating sources used for generating electricity that deliver all or part of their power to the electric power grid for sale; (2) "Reliability" me…

Rebuttable presumption against retiring fossil fuel-fired generating unit -- Evidence of costs -- Report -- Definitions for section -- Recovery of costs to utility related to decommissioning, removal and salvage, and depreciation allowed. (1) Notwithstanding any provision of law …

Whenever the commission, upon its own motion or upon complaint as provided in KRS 278.260, and after a hearing had upon reasonable notice, finds that any rate is unjust, unreasonable, insufficient, unjustly discriminatory or otherwise in violation of any of the provisions of this…

Conditions -- Duration of cost recovery. Notwithstanding any provision of law to the contrary, upon application by a regulated utility, the commission may allow recovery of costs which are not recovered in the existing rates of the utility for the purchase of electric power from …