Collections
Kentucky Revised Statutes

Chapter 278

Ky. Rev. Stat. Ann. ch. 278

Public Service Commission

Commonwealth of Kentucky

278.010Definitions for KRS 278.010 to 278.450, 278.541 to 278.544, 278.546 to 278.5462, and 278.990. (Effective July 15, 2026)278.012Water association subject to Public Service Commission -- Exceptions.278.015Water district; combined water, gas, or sewer district; or water commission a public utility subject to Public Service Commission -- Exceptions.278.0152Water utility permitted to charge a tapping fee for installing service to customer.278.0154Water district or water association may assess customer a late payment charge of 10% of amount billed -- How charge assessed and applied -- Commission without power to affect late payment charge -- Waiver of late payment charge.278.016Commonwealth to be divided into geographical service areas.278.017Establishing boundaries of certified areas.278.018Right to serve certified territory.278.019Deadlines for commission to issue final orders -- Failure to meet deadline deemed approval.278.020Certificate of convenience and necessity required for construction provision of utility service or of utility -- Exceptions -- Approval required for acquisition or transfer of ownership -- Public hearing on proposed transmission line -- Limitations upon approval of application to transfer control of utility or to abandon or cease provision of services -- Hearing -- Severability of provisions.278.021Receivership for abandoned utility -- Criteria for finding of abandonment -- Consolidation of actions -- Powers and duties of receiver -- Temporary receivership -- Commission's discretion to approve or decline to approve applications.278.022Utility to notify commission upon receipt of notice of discontinuance or termination from supplier.278.023Approval of federally-funded construction projects -- Commission review of agreement and supporting documents -- Surcharge.278.025Repealed, 2002Repealed 278.027Application for certificate -- Publishing notice of hearing.278.030Rates, classifications and service of utilities to be just and reasonable -- Service to be adequate -- Utilities prohibited from energizing power to electrical service where seal is not present.278.035Prohibition against preferential retail rates for utility services for certain publicly-funded entities -- Exception.278.038Public Service Commission -- Appointments -- Membership -- Vacancies -- Limitations.278.040Public Service Commission operations -- Hearings -- Compensation -- Contracts -- Jurisdiction -- Regulations.278.042Service adequacy and safety standards for electric utilities--National Electrical Safety Code.278.045Repealed, 1980.Repealed 278.046Repealed, effective July 15, 1986.Repealed 278.047Renumbered as KRS 96.534.Repealed 278.050Repealed, 2026.Repealed 278.060Qualifications of commissioners -- Oath -- Restrictions on conduct.278.070Removal of commissioners.278.080Quorum -- Performance of functions by less than a majority of commissioners or by hearing examiners.278.090Office and hours -- Meetings.278.100Executive director.278.110Additional employees -- Documents prepared by certain contracted persons filed in the record -- Testimony.278.115Commission to establish internal organization of its offices.278.120Compensation and expenses of commissioners, executive director, and employees.278.130Assessments against utilities -- Applications for adjustment. (Effective July 15, 2026)278.140Report of gross earnings from intrastate business.278.150Payment of assessments -- Certification of deduction by commission -- Administration of funds collected. (Effective July 15, 2026)278.160Utilities to file and display general schedules of rates and conditions for service -- Adherence to schedules -- Exclusion from disclosure of confidential or proprietary provisions in special contracts.278.170Discrimination as to rates or service -- Free or reduced rate services.278.172Rate classification for certain entities.278.180Changes in rates, how made.278.183Surcharge to recover costs of compliance with environmental requirements for coal combustion wastes and by-products -- Environmental compliance plan, review and adjustment.278.185Repealed, 2014.Repealed 278.190Procedure when new schedule of rates filed -- Suspension of new rate schedule -- Burden of proof -- Refunds.278.192Test period for proposed rate increase.278.200Power to regulate rates and service standards fixed by agreement with city.278.210Examination and testing of meters and meter-testing devices.278.212Filing of plans for electrical interconnection with merchant electric generating facility -- Costs of upgrading existing grid.278.214Curtailment of service by utility or generation and transmission cooperative.278.216Site compatibility certificate -- Site assessment report -- Commission action on application.278.218Approval of commission for change in ownership or control of assets owned by utility.278.220Uniform system of accounts for utilities.278.2201Prohibition against subsidy of nonregulated activity -- Separate accounting.278.2203Cost allocation of regulated and nonregulated activity.278.2205Cost allocation manual for nonregulated activity -- Contents -- Maintenance.278.2207Transactions between utility and affiliate -- Pricing requirements -- Request for deviation.278.2209Documentation regarding cost allocation.278.2211Remedies for noncompliance utility and affiliate -- Access to records -- Disallowance of costs -- Audit.278.2213Separate recordkeeping for utility and affiliate -- Prohibited business practices -- Confidentiality of information -- Notice of service available from competitor.278.2215Exemptions.278.2219Waiver or deviation from requirements of KRS 278.2201 to 278.2213.278.225Time limitation on billing -- Liability for unbilled service.278.230Access to property, books and records of utilities -- Reports and information may be required.278.240Certified copies of commission's records -- Use as evidence.278.250Investigation of condition of utility.278.255Periodic management and operation audits.278.260Jurisdiction over complaints as to rates or service -- Investigations -- Hearing.278.262Definitions for KRS 278.262 and 278.264.278.264Commission approval or denial of retirement of electric generating unit -- Rebuttable presumption against retiring fossil fuel-fired generating unit -- Evidence of costs -- Report -- Definitions for section -- Recovery of costs to utility related to decommissioning, removal and salvage, and depreciation allowed. (Effective July 15, 2026)278.270Orders by commission as to rates.278.271Allowable recovery of costs not recovered in existing utility rates -- Conditions -- Duration of cost recovery.278.272Consideration of natural gas purchasing transactions in determining just and reasonable rates -- Limitation of authorized rate of return for natural gas operations.278.274Review of natural gas utility's purchasing practices in determining reasonableness of proposed rates -- Reduction of rates by commission.278.277Fuel adjustment cost recovery extension -- Any coal severance taxes imposed a factor in any fuel adjustment clause review.278.280Orders by commission as to service -- Extension of service.278.285Demand-side management plans -- Review and approval of proposed plans and mechanisms -- Assignment of costs -- Home energy assistance programs.278.287Voluntary energy cost assistance fund -- Customer contributions -- Time of and eligibility for disbursements -- Biennial reports -- Administration costs.278.290Valuation of utility property in connection with rates, service or issuance of securities -- Unit rate base.278.295Determination of value of acquired water and sewer system assets for ratemaking purposes.278.300Issuance or assumption of securities by utilities.278.310Rules for hearings and investigations.278.320Process.278.330Witnesses.278.340Depositions.278.350Incriminating evidence -- Immunity of witnesses.278.360Record of contested proceedings on formal hearing.278.370Recording of order, finding, authorization or certificate -- How proved to be in effect.278.380Delivery of orders by electronic transmission or mail.278.390Enforcement of orders.278.400Rehearing.278.410Action to review order of commission -- Institution -- Answer -- Injunction.278.420Designation and filing of record -- Cost.278.430Burden of proof.278.440Evidence to be heard by court -- Remand.278.450Judgment of Circuit Court -- Appeal to Court of Appeals.278.455Reduction of operating expenses by G&T or distribution cooperative -- Effect on rates -- Authority for administrative regulations.278.457Commission's duty to transmit information concerning abandonment of railroad corridor to Department of Parks and Railtrail Development Office.278.460Utilities to pay interest on deposits required of patrons -- Commission to calculate interest rate annually -- Interest rates for water districts and water associations -- Administrative regulations.278.465Definitions for KRS 278.465 to 278.468.278.466Availability of net metering -- Type, expense, and installation of meter -- Compensation to eligible customer-generators for electricity fed back into grid -- Commission to set compensation rate -- Excess generation credits nonrefundable -- Twenty-five year cap on preexisting net metering tariff provisions -- Safety and power quality standards -- Transferability of installation at same premises.278.467Jurisdiction over disputes -- Guidelines -- Forms -- Posting on Web site.278.468KRS 278.465 to 278.468 not applicable to certain United States agencies or instrumentalities.278.470Companies transporting oil or gas by pipeline are common carriers.278.480Pipeline companies may deliver oil or gas on order of person in possession.278.485Gas pipeline company to furnish gas -- When -- Rates -- Duty of person applying for gas service and gas pipeline company -- Abandonment of gas wells -- Discontinuance of service -- Right to tap a gathering line.278.490Transportation of oil or gas received from connecting lines.278.495Authority to regulate safety aspects of natural gas facilities.278.500Repealed, 1948.Repealed 278.501Repealed, 1966.Repealed 278.502Condemnation for pipelines and related facilities, including rights of ingress and egress.278.504Definitions for KRS 278.505 to 278.507.278.505Transportation of natural gas in intrastate commerce by pipelines or local distribution companies with unused excess capacity.278.506Gas to meet pipeline quality standards -- Delivery and curtailment provisions.278.507Public Service Commission's policy to facilitate greater use of natural gas produced in Kentucky -- Commission's duties and prohibited activities.278.508Exemption of sale of natural gas used as a motor vehicle fuel from regulation -- Regulation of transportation, distribution, or delivery of natural gas used as a motor vehicle fuel.278.5085Presumption of reasonableness of supply contract for natural gas produced from coal through gasification process.278.509Recovery of costs for investment in natural gas pipeline replacement programs.278.510Repealed, 2019.Repealed 278.512Legislative findings -- Exemption of telecommunications product or service from regulation.278.514Exempted service not to be subsidized by nonexempted, regulated telecommunications services.278.516Alternative regulation process for small telephone utilities -- Findings -- Definitions -- Procedures -- Withdrawal.278.520Transmission of long distance messages from other telephone lines.278.530Procedure to compel connection with telephone exchange or line.278.535Switching of telecommunications provider -- Penalty -- Administrative regulations.278.540Acquisition of right-of-way by telephone or telegraph company -- Condemnation.278.541Definitions for KRS 278.541 to 278.544.278.542Effect of KRS 278.541 to 278.544 on commission's jurisdiction -- Filing by telephone utilities required.278.543Adoption of price regulation plan -- Rate caps and adjustments -- Jurisdiction of commission -- Exemptions -- Withdrawal from regulation under KRS 278.541 to 278.544.278.5435Modification of price regulation plan -- Permitted and prohibited actions -- Jurisdiction of commission -- Exemptions.278.544Provisions applicable to all telephone utilities.278.545Repealed, 2019.Repealed 278.546Legislative findings and determinations relating to telecommunications.278.5461"Local exchange carrier" defined for KRS 278.546 to 278.5462.278.54611Commission's jurisdiction over commercial mobile radio service, interconnection agreements, telecommunications carriers, and cellular towers.278.5462Broadband services not subject to state regulation -- Application of requirements of federal statutes and regulations -- Consumer complaints -- Telephone utility provision of service to competing local exchange.278.5464Provision of broadband service to unserved and underserved households and businesses -- Facilitation by distribution cooperative.278.547Definitions for KRS 278.547 to 278.5499.278.548Telecommunications relay service program.278.549Rates -- Funding mechanism.278.5499Funding mechanism for Telecommunications Access Program.278.550Repealed, 1986.Repealed 278.560Repealed, 1974.Repealed 278.570Repealed, 1974.Repealed 278.580Repealed, 1974.Repealed 278.600Definitions for KRS 278.600 and 278.610.278.605Repealed, 2017.Repealed 278.610Requirements for certification of nuclear power facility.278.615Cost recovery for certain nuclear energy generating facility permits and licenses -- Definitions for section. (Effective July 15, 2026)278.650Procedures for proposals to construct antenna towers in an area outside the jurisdiction of a planning commission -- Hearing -- Building permit fee.278.660Repealed, 2002.Repealed 278.665Administrative regulations governing cellular antenna towers to be constructed outside the jurisdiction of a planning commission.278.670Definitions for KRS 278.670 to 278.696 and 65.114.278.672Application for financing order for deferred costs -- Requirements -- Deadline.278.674Application proceedings -- Commission findings -- Retention of consultants -- Issuance advice letter.278.676Financing order -- Prior issuance of bonds -- Conditions on securitized property.278.678Utility to file documents with commission -- Parameters for securitized bonds -- Semiannual monthly surcharge update -- Adjustments -- Commission review -- Irrevocability of finance order.278.680Issuance of securitized bonds by electric utility -- Subsequent financing order -- Limits on commission -- Discretion of electric utility.278.682Securitized surcharges to be line-itemed on customer billing.278.684Property right to securitized property -- Right to transfer or assign -- Default and sequestration -- Rights of successor to electric utility.278.686Exemption from Uniform Commercial Code -- Security interest binding -- Filing of financing statement with Secretary of State -- Priority of securitized interest -- Exercise of rights and remedies upon default.278.688Sale, assignment, or transfer of securitized property -- Application of income tax law to transaction -- Conditions for enforceability.278.690Priority of transfer not impaired by modification -- Priority of conflicting interests.278.692Financing statement maintained by Secretary of State -- Perfection of a security interest by filing of financing statement.278.694Application -- Liability restriction -- No obligation of taxation.278.696Assignee or financing party not an electric utility or provider of electric service -- Application of KRS 278.670 to 278.696 and 65.114 -- Severance.278.700Definitions for KRS 278.700 to 278.716.278.702Kentucky State Board on Electric Generation and Transmission Siting.278.704Merchant electric generating facility -- Construction certificate -- Location of exhaust stack -- Decommissioning and setback requirements -- Public meeting concerning property acquisition -- Exception. (Effective July 15, 2026)278.706Application for certificate to construct merchant electric generating facility -- Requirements -- Fees -- Replacement or repair does not constitute construction -- Proceeds from sale of salvaged materials -- Administrative regulations. (Effective July 15, 2026)278.708Site assessment report -- Consultant -- Mitigation measures.278.710Granting or denial of construction certificate -- Policy of General Assembly -- Duties upon receipt of construction certificate -- Compliance and monitoring. (Effective July 15, 2026)278.712Local public hearing -- Procedure -- Parties -- Action to vacate or set aside ruling.278.714Application for certificate to construct nonregulated electric transmission line or carbon dioxide transmission pipeline -- Granting or denial -- Public hearing -- Local public information meeting -- Fee. (Effective July 15, 2026)278.716Siting fund.278.718Construction of KRS 278.700, 278.704, 278.706, 278.708, and 278.710. (Effective July 15, 2026)278.990Penalties.278.992Penalty for certain pipeline violations.