Indiana Administrative Code › Title 170 - INDIANA UTILITY REGULATORY COMMISSION › Article 4 - ELECTRIC UTILITIES › Rule 1 - Standards of Service › Section 1-27 - Extension of distribution and service lines; variances

Current through July 10, 2024
Authority: IC
				  8-1-1-3;
				  IC
				  8-1-2-4
Affected: IC 8-1-2
Sec. 27.
Extension of Distribution Lines and Service Lines by Electric
				  Public Utilities.
(A) Jurisdiction of
				Commission. This Rule 25
[this section]
applies to the
				extension of the distribution lines and service lines by electric public
				utilities throughout the territories served by them, both urban and rural, and
				shall govern the commission in determining all matters relative thereto coming
				before it.
(B) Responsibility of
				Electric Utilities. In addition to its existing statutory responsibilities,
				each electric utility shall, upon proper application for service have the
				authority and obligation subject to the provision of (F)(2) below to construct,
				own, operate and maintain the necessary electrical facilities for rendering
				service to the customer's meter in the case of underground services, or
				weatherhead in the case of overhead services.
(C) Extensions. Each electric utility shall,
				upon proper applications for service from overhead and/or underground
				distribution facilities, provide necessary facilities for rendering adequate
				service, without charge for such facilities, when the estimated total revenue
				for a period of two and one half (2 1/2) years to be realized by the electric
				utility from permanent and continuing customers on such extension is at least
				equal to the estimated cost of such extension.
(D) Extension Exceeding the Cost Limits Set
				Forth in (C) Above. If the estimated cost of the extension required to furnish
				adequate service is greater than the total estimated revenue from such
				extension as provided in (C) above such an extension shall be made by the
				electric utility under the following conditions:
(1) Upon proper applications for such
				extension and adequate provision for payment to the electric utility by such
				applicants of that part of the estimated cost of such extension over and above
				the amount which would have qualified as provided in (C) above, the electric
				utility shall proceed with such extension, or
(2) If in the opinion of the electric utility
				(a) the estimated cost of such extension and the prospective revenue to be
				received from it is so meager as to make it doubtful whether the revenue from
				the extension would ever pay a fair return on the investment involved in such
				extension, or (b) in a case of real estate development, with slight or no
				immediate demand for service, or (c) in the case of an installation requiring
				extensive equipment with slight or irregular service; then in any of the above
				cases the electric utility shall submit the same to the commission for
				investigation and determination as to the public convenience and necessity of
				such extension, and if so required, the conditions under which it shall be
				made, and
(3) For each customer,
				exclusive of the initial applicants considered in the making of an extension,
				connected to such an extension within the period of six years from the
				completion of such extension, the electric utility shall refund to such initial
				applicants, in proportion to their respective contributions toward the cost of
				such extension, an amount equal to two and one half (2 1/2) times the estimated
				annual revenue from such new customer, less the cost to service such new
				customer, but the total of all refunds to any such applicant shall in no event
				exceed the aforesaid contribution of such applicant.