Borough of Middletown v. Pennsylvania Public Utility Commission; Metropolitan Edison Company v. Pennsylvania Public Utility Commission

Borough of Middletown · Commonwealth Court of Pennsylvania · August 7, 2023 · No. Nos. 1450 C.D. 2021 and 36 C.D. 2022

Summary

The Pennsylvania Commonwealth Court reviews consolidated cross-petitions challenging a Pennsylvania Public Utility Commission order concerning whether Metropolitan Edison Company could provide electric distribution service to Librandi Machine Shop, Inc., within the Borough of Middletown without the Borough’s consent. The Commission had determined that Metropolitan Edison possessed grandfathered or legacy authority under Section 103(a) of the Pennsylvania Public Utility Code and that the change in service providers would not cause impermissible competition or unnecessary duplication of facilities. The opinion addresses the Commission’s jurisdiction, certificates of public convenience, municipal electric-service authority, and overlapping utility service territories.

Holdings

  1. MetEd was not authorized to provide electric distribution service to Librandi without the Borough's consent because its 1923 certificate of public convenience required the Commission's approval and the Borough's consent for service to consumers in the Borough, and no other valid authority supported the Commission's declaration.
  2. MetEd's tariff did not establish authority to provide service in the Borough beyond the terms of the 1923 CPC.
  3. MetEd did not acquire grandfathered or legacy rights under Section 103(a) from the federal government or Commonwealth's operation of the former Olmsted Air Force Base's internal electric distribution system because those entities were not public utilities providing service to the public.

Questions Presented

  1. Whether MetEd was authorized and obligated to provide electric distribution service to Librandi without the Borough's consent.
  2. Whether MetEd's tariff established authority to provide service in the Borough beyond the limitations of its certificate of public convenience.
  3. Whether MetEd acquired grandfathered or legacy service rights under Section 103(a) of the Public Utility Code by purchasing the former Olmsted Air Force Base's internal electric distribution facilities.

Disposition

reversed

Cases Cited (21)

  • Cap. City Cab Serv., Inc. v. Susquehanna Area Reg. Airport Auth., 70 Pa. D. & C. 4th 501, 503-04 (2004), 2004 WL 3401755(followed)
  • Popowsky v. Pa. Pub. Util. Comm'n, 910 A.2d 38, 48 (Pa. 2006)(followed)
  • Popowsky v. Pa. Pub. Util. Comm'n, 937 A.2d 1040, 1055 n.18 (Pa. 2007)(followed)
  • Samuel J. Lansberry, Inc. v. Pa. Pub. Util. Comm'n, 578 A.2d 600, 602-03 (Pa. Cmwlth. 1990)(followed)
  • Riedel v. County of Allegheny, 633 A.2d 1325, 1329 n.11 (Pa. Cmwlth. 1993)(followed)
  • Milkie v. Pa. Pub. Util. Comm'n, 768 A.2d 1217, 1220 (Pa. Cmwlth. 2001)(followed)
  • Borough of Lansdale v. Phila. Elec. Co., 170 A.2d 565, 566-67 (Pa. 1961)(followed)
  • Borough of Grove City v. Pennsylvania Public Utility Commission, 505 A.2d 346, 352 (Pa. Cmwlth. 1986)(distinguished)
  • Lukens Steel Co. v. Pa. Pub. Util. Comm'n, 499 A.2d 1134, 1136 n.1 (Pa. Cmwlth. 1985)(followed)
  • Purolator Sec., Inc. v. Pa. Pub. Util. Comm'n, 378 A.2d 1020, 1022 (Pa. Cmwlth. 1977)(followed)

Showing top 10 of 21.

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