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Public utilities

Kentucky Public Service Commission Grants Certificate of Public Convenience and Necessity to Kentucky Utilities Company

Strategic Insights

— 2 min read

Kentucky Utilities Company has been granted a Certificate of Public Convenience and Necessity (CPCN) by the Kentucky Public Service Commission to bid on a franchise offered by the city of Cumberland, Kentucky, for electric transmission and distribution service. This decision follows the company's application filed on June 6, 2025, which included a copy of Ordinance No. 484, approved by the city on May 12, 2025. The commission's order allows KU to proceed with the bidding process, but it does not determine the qualifications of the bidder or the validity of the franchise agreement.

Key Takeaways:

  • The Kentucky Public Service Commission has granted a CPCN to Kentucky Utilities Company to bid on a franchise offered by the city of Cumberland, Kentucky, for electric transmission and distribution service.
  • The commission's order is based on the city's ordinance creating a franchise for electric transmission and distribution service, which was approved on May 12, 2025.
  • KU is authorized to bid on the franchise, but the commission does not determine the qualifications of the bidder or the validity of the franchise agreement.
  • If KU is not the successful bidder, it will file a written notice with the commission within 10 days of the award of the franchise.
  • If KU is the successful bidder, it will file a copy of the executed franchise agreement and a statement disclosing the amount of the initial franchise fee with the commission within 10 days.
  • The commission's order does not grant a CPCN to construct utility facilities in the city of Cumberland.
  • This case is closed and removed from the commission's docket.

Statistics:

  • The commission's order was issued on June 16, 2025.
  • The application was filed by Kentucky Utilities Company on June 6, 2025.
  • The application included a copy of Ordinance No. 484, which was approved by the city of Cumberland on May 12, 2025.
  • The commission's authority is limited by statute to finding only whether there is a need and demand for the service sought to be rendered.
  • KU will file a written notice with the commission within 10 days of the award of the franchise if it is not the successful bidder.
  • KU will file a copy of the executed franchise agreement and a statement disclosing the amount of the initial franchise fee with the commission within 10 days if it is the successful bidder.

Sources:

  • Case No. 2025-00185 - Order (Kentucky Public Service Commission, June 16, 2025)
  • Application, Exhibit A (Kentucky Utilities Company, June 6, 2025)
  • Ordinance No. 484 (City of Cumberland, May 12, 2025)
  • KRS 278.020(5) (Kentucky Revised Statutes)
  • KRS Chapter 96 (Kentucky Revised Statutes)
  • 807 KAR 5:001, Section 8 (Kentucky Administrative Regulations)

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