Opinion ID: 2088513
Heading Depth: 2
Heading Rank: 1

Heading: Powers of the Commission

Text: The main issue is whether the Commission had authority to enter the Sixth Order. The Commission only has those powers given it by the legislature through the Act. ( Union Electric Co. v. Illinois Commerce Comm'n (1979), 77 Ill.2d 364, 383.) Under the Act, the Commission has general supervision of all public utilities (Ill. Rev. Stat. 1987, ch. 111 2/3, par. 4-101), including Edison. In supervising the utilities, the Commission may examine the rates and other charges of the utilities and review the compliance of the utilities with the Act. Ill. Rev. Stat. 1987, ch. 111 2/3, par. 4-101. The Act gives the Commission investigative powers. (Ill. Rev. Stat. 1987, ch. 111 2/3, par. 10-101.) The Commission, usually through its Staff, may gather evidence, subpoena witnesses, depose witnesses, or require the production of documents in order to determine whether a utility has complied with the Act. (Ill. Rev. Stat. 1987, ch. 111 2/3, par. 10-106.) The Staff, or those employees of the Commission who engage in investigatory, prosecutorial, or advocacy functions, remains separate from the commissioners, hearing examiners and other members of the Commission who render decisions. (Ill. Rev. Stat. 1987, ch. 111 2/3, par. 10-103.) The Commission, therefore, has a special role in that it performs investigative, prosecutorial and advocacy, as well as decisionmaking, functions. When a utility files a rate schedule, the Commission has the power, upon complaint or upon its own initiative, to hold a hearing concerning the propriety of such rate. (Ill. Rev. Stat. 1987, ch. 111 2/3, par. 9-201(b).) The Act sets forth various findings the Commission must make before the Commission may approve the proposed rates of a utility. For example, the Commission cannot include in the rate base of a utility a new electric utility generating plant, or any significant addition to an existing plant, unless and until the utility proves, and the Commission determines, that such plant    is both prudent and used and useful in providing utility service to the utility's customers. (Ill. Rev. Stat. 1987, ch. 111 2/3, par. 9-212.) Moreover, the Commission cannot include the cost of new plants in the rate base of a utility until the Commission determines that such cost is reasonable. (Ill. Rev. Stat. 1987, ch. 111 2/3, par. 9-213.) The Commission must also determine whether the proposed rates are just and reasonable. (Ill. Rev. Stat. 1987, ch. 111 2/3, par. 9-101.) If the Commission finds the rates unreasonable, it must set new, reasonable rates. (Ill. Rev. Stat. 1987, ch. 111 2/3, par. 9-250.) If the rate hearings involve the proposed inclusion of a significant new production or generation facility in the rate base of an electric utility, the Commission may consider the adoption of a rate moderation plan which is designed to diminish the immediate rate impact of such proposed inclusion. Ill. Rev. Stat. 1987, ch. 111 2/3, par. 9-217. The hearing and rulemaking procedures of the Commission are governed by the Act and the Illinois Administrative Procedure Act (IAPA) (Ill. Rev. Stat. 1987, ch. 127, par. 1001 et seq. ). (Ill. Rev. Stat. 1987, ch. 111 2/3, par. 10-101.) The Act provides: Any proceeding intended to lead to the establishment of policies, practices, rules or programs applicable to more than one utility may, in the Commission's discretion, be conducted pursuant to either rulemaking or contested case provisions, provided such choice is clearly indicated at the beginning of such proceeding and subsequently adhered to. (Ill. Rev. Stat. 1987, ch. 111 2/3, par. 10-101.) The Commission may adopt reasonable and proper rules and regulations relative to the exercise of its powers, and proper rules to govern its proceedings, and regulate the mode and manner of all investigations and hearings, and alter and amend the same. (Ill. Rev. Stat. 1987, ch. 111 2/3, par. 10-101.) These rules and regulations must be consistent with the Act and the IAPA. (Ill. Rev. Stat. 1987, ch. 111 2/3, par. 10-101.) Moreover, in all proceedings: any finding, decision or order made by the Commission shall be based exclusively on the record for decision in the case, which shall include only the transcript of testimony and exhibits together with all papers and requests filed in the proceeding, including, in contested cases, the documents and information described in    the [IAPA]. Ill. Rev. Stat. 1987, ch. 111 2/3, par. 10-103.