South Louisiana Elec. Co-op. Ass'n v. Louisiana Public Service Commission

• Decision Date: 24 February 1975
• Docket Number: No. 55473,55473
• Citation: 309 So.2d 287
• Parties: SOUTH LOUISIANA ELECTRIC COOPERATIVE ASSOCIATION v. LOUISIANA PUBLIC SERVICE COMMISSION.
• Court: Louisiana Supreme Court

Page 287

309 So.2d 287

SOUTH LOUISIANA ELECTRIC COOPERATIVE ASSOCIATION v.LOUISIANA PUBLIC SERVICE COMMISSION.

No. 55473.

Supreme Court of Louisiana.

Feb. 24, 1975.

Rehearing Denied March 31, 1975.

Stanwood R. Duval, Jr., James M. Funderburk, Duval, Arceneaux & Lewis, Houma, for plaintiff-appellant.

Marshall B. Brinkley, Gen. Counsel, La. Public Service Com'n, Baton Rouge, for defendant-appellee.

Andrew P. Carter, Eugene G. Taggart, Monroe & Lemann, New Orleans, for intervenor-appelleeLa. Power & Light Co.

MARCUS, Justice.

Louisiana Power & Light Company(LP ) filed a complaint with the Louisiana Public Service Commission claiming that in 1973 South Louisiana Electric Cooperative Association(SLECA) constructed an electric distribution line to serve Crescent Place Subdivision, Terrebonne Parish, in violation of La.R.S. 45:123, as amended byActNo. 34 of 1970, there being an existing line of LP constructed in 1940 located less than 300 feet from the Crescent Place Subdivision.SLECA denied that the 'point of connection' was within 300 feet of the LP line.After hearing, the Commission ordered SLECA to dismantle the plant constructed to serve the subdivision within sixty days of the order and further ordered that LP purchase the underground cable facilities already installed by SLECA in the Crescent Place Subdivision.SLECA appealed to the Nineteenth Judicial District Court Parish of East Baton Rouge, and, after affirmance by that court of the Commission's order, lodged an appeal in this court.

The sole issue in this territorial dispute is the interpretation to be given 'point of connection' as used in La.R.S. 45:123, as amended bySection 2 of ActNo. 34 of 1970.This statute provides as follows:

No electric public utility shall construct or extend its facilities, or furnish, or offer to furnish electric service to any point of connection which at the time of the proposed construction, extension, or service is being served by, or which is not being served but is located within 300 feet of an electric line of another electric public utility, exception with the consent in writing of such other electric public utility; provided, however, that nothing contained herein shall preclude (a) any electric public utility from extending service to an applicant for service at an unserved point of connection located within 300 feet of an existing electric line of such electric public utility, unless (i) such line was not in operation on April 1, 1970 and (ii) the point of connection is located within 300 feet of an existing electric line, of another electric public utility, which line was in operation on said date, or (b) any electric public utility from extending service to its own property, or to another electric public utility for resale; and provided further that any consumer who feels aggrieved with the electric service being received by him may apply to the Louisiana Public Service Commission for an order directed to his present supplier to show cause why the consumer should not be released from said supplier, and if the commission shall find that the service rendered to such consumer is inadequate and will not be rendered adequate within a reasonable time the release shall be granted.

As used in this section, an 'electric line' is a line constructed and operated for the transmission and/or distribution of electricity and which was not originally constructed for the principal purpose of preempting territory.

The provisions of this section shall not apply to municipally-owned or operated utilities of the State of Louisiana or to the parish of Orleans.Nothing in R.S. 45:121, 45:123, 45:1161, 45:1175 or R.S. 12:426 shall alter the rights or authority of municipalities with respect to franchises.

At the hearing before the Commission, it was established that in 1940 LP constructed an electric distribution line along Louisiana State Highway 311 which is still in service.This existing line is located at one point 291.4 feet from the property line of Crescent Place Subdivision.Only a small portion of one lot of the subdivision is located within 300 feet of the electric line on Highway 311.There is no evidence of a meter connection within this area.The lot is designated as park area on the plat of the subdivision.On or about July 16, 1973, SLECA commenced construction of an electric distribution line approximately two miles from Hollywood Road to Crescent Place Subdivision.The cost of this line was $28,032.87.Additionally, SLECA constructed underground facilities inside the subdivision at a cost of $21,914.77.The latter figure included the cost of ten street light standards of approximately $2,500.00.¹The construction of these facilities is claimed by LP to be an invasion of its service area and in violation of La.R.S. 45:123.

SLECA contends here, as it did before the Commission and district court, that the evidence adduced shows that there is no 'point of connection' within 300 feet of the existing LP line on Highway 311.It is admitted that a portion of one lot of Crescent Place Subdivision is located within 300 feet of this line, but it is SLECA's interpretation of this phrase that there must be actual connection to a house meter.It construes 'point of connection' to mean the point where the service hooks up to the individual house meter.

On the other hand, LP contends that 'point of...