Difference between revisions of "RAPID/Roadmap/8-TN-c"

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[[Tennessee – Tenn. Code Ann. §65-4-101 et seq., Regulation of Public Utilities by Commission General Provisions|Tenn. Code Ann. §65-4-101(6)(a)(ix)(B)(i)]].
 
[[Tennessee – Tenn. Code Ann. §65-4-101 et seq., Regulation of Public Utilities by Commission General Provisions|Tenn. Code Ann. §65-4-101(6)(a)(ix)(B)(i)]].
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==8-TN-c.3 – Is the Developer Exempt From Obtaining a CCN?==
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A developer does not need to obtain a CCN if the developer is:
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* The federal government or any federal agency;
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* The state of Tennessee or any agency or political subdivision of the state of Tennessee; or,
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* Cooperative associations organized under the Electric Cooperative Act or Electric Membership Corporation Act.
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==8-TN-c.4 – Certificate of Public Convenience and Necessity Petition==
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The developer must submit a complete CCN Petition (Petition) to the [[Tennessee Public Utility Commission|TPUC]] pursuant to [[Tennessee – Tenn. Comp. R. & Regs. 1220-1-1, Rules of the Tennessee Regulatory Authority Rules and Regulations of Practice and Procedure|Tenn. Comp. R. & Regs. 1220-1-1-.03]]. In addition to completing a Petition, the developer should also submit the following supporting documents, if applicable:
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* A description of the service the applicant proposes to render;
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* A description of the territory to be served and a map showing the territory;
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* A copy of the franchise granted by the city, if applicable;
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* A description of any proposed franchise fee;
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* Information regarding existing franchises for the same type of utility service in the same municipality or county, if applicable;
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* A statement of public need for the service, which includes an estimate of the number of customers to be served initially and any estimates of growth;
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* Documentation indicating that other public utilities, utility districts, or governmental units in or near the affected area are unable or unwilling to provide service to the affected area, if applicable;
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* Documentation of notice, to be provided in conjunction with the filing of the petition, to any public utility operating in the municipality or territory affected whose route, plant, line, or system may be in competition with the proposed route, plant, line, or system, if applicable;
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* Engineering and construction plans;
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* A current financial statement of the company;
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* A detailed estimate of the cost of construction of the system;
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* Pro Forma statement of the cost of operating the system for the first five years;
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* An analysis of projected customer growth for the first five years;
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* Details of any proposed financing;
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* A list of the rates the company proposes to charge its customers and how the rates were determined;
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* A description of the type of entity that will own the system together with proof of the existence of the entity;
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* If the entity is a corporation, partnership, or limited liability corporation, a copy of the Certificate of Good Standing from the State of Tennessee;
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* The names and addresses of the owners of the company and the percentage of ownership of each; and
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* Any other relevant information.
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[[Tennessee Public Utility Commission – Certificate of Public Convenience and Necessity For an Investor Owned Utility Information Sheet|TPUC – Information to Support an Initial CCN Petition]].
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The developer must file the Petition and supporting documents to the TPUC Chair. The TPUC requires a “written original and four (4) written copies of all electronic documents” or “an unbounded, one sided original and thirteen (13) copies of all written documents” submitted to the TPUC Chair. [[Tennessee – Tenn. Comp. R. & Regs. 1220-1-1, Rules of the Tennessee Regulatory Authority Rules and Regulations of Practice and Procedure|Tenn. Comp. R. & Regs. 1220-1-1-.03(4)]].
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The documents must conform to the formatting requirements pursuant to [[Tennessee – Tenn. Comp. R. & Regs. 1220-1-1, Rules of the Tennessee Regulatory Authority Rules and Regulations of Practice and Procedure|Tenn. Comp. R. & Regs. 1220-1-1-.03(1)]]. The Chair may “refuse to accept any document which does not comply with” the rules. [[Tennessee – Tenn. Comp. R. & Regs. 1220-1-1, Rules of the Tennessee Regulatory Authority Rules and Regulations of Practice and Procedure|Tenn. Comp. R. & Regs. 1220-1-1-.03(6)]].
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==8-TN-c.5 to 8-TN-c.7 – Review Petition Materials for Completeness==
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The [[Tennessee Public Utility Commission|TPUC]] reviews CCN Petitions for administrative and technical completeness. If a Petition is incomplete, the TPUC may dismiss the Petition without further consideration. [[Tennessee – Tenn. Comp. R. & Regs. 1220-1-1, Rules of the Tennessee Regulatory Authority Rules and Regulations of Practice and Procedure|Tenn. Comp. R. & Regs. 1220-1-1-.03(6)]].
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==8-TN-c.8 to 8-TN-c.11 – Is a Public Hearing Ordered or Requested?==
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If an interested party requests a public hearing on the Petition, the [[Tennessee Public Utility Commission|TPUC]] must order a public hearing. [[Tennessee – Tenn. Code Ann. §65-4-201 et seq., Certificate of Public Convenience and Necessity|Tenn. Code Ann. §65-4-204]]. The TPUC may also order a public hearing “upon its own initiative.” [[Tennessee – Tenn. Code Ann. §65-4-201 et seq., Certificate of Public Convenience and Necessity|Tenn. Code Ann. §65-4-204]].
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Once the TPUC orders a public hearing, the TPUC holds a public hearing upon “due notice to all interested parties.” At the public hearing, the developer files, under oath, any pertinent evidence and other “reasonable information” about the project the TPUC requires. [[Tennessee – Tenn. Code Ann. §65-4-201 et seq., Certificate of Public Convenience and Necessity|Tenn. Code Ann. §65-4-204]]. Members of the public and developer may offer comments about the project.
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If no party requests a public hearing and if the TPUC does not order a public hearing on its own initiative, the TPUC proceeds with an adjudicatory hearing pursuant to [[Tennessee – Tenn. Code Ann. §65-4-201 et seq., Certificate of Public Convenience and Necessity|Tenn. Code Ann. §65-4-201]] and [[Tennessee – Tenn. Code Ann. §4-5-101 et seq., Tennessee Uniform Administrative Procedures Act| Tenn. Code Ann. §4-5-101 et seq.]].
 
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Revision as of 09:39, 1 August 2017

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Tennessee Certificate of Public Convenience and Necessity (8-TN-c)

In Tennessee, a developer may need to obtain a Certificate of Public Convenience and Necessity (CCN) from the Tennessee Public Utility Commission (TPUC) to construct a generation or transmission facility. Tenn. Code Ann. §65-4-208(a). The TPUC regulates the construction of electric generating and transmission facilities primary pursuant to Tennessee – Tenn. Code Ann. §65-4-201 et seq., Certificate of Public Convenience and Necessity and Tennessee – Tenn. Comp. R. & Regs. 1220-1-1, Rules of the Tennessee Regulatory Authority Rules and Regulations of Practice and Procedure.



Certificate of Public Convenience and Necessity Process


8-TN-c.1 to 8-TN-c.2 – Is a Certificate of Public Convenience and Necessity Required?

A developer may need to obtain a Certificate of Public Convenience and Necessity (CCN) from the Tennessee Public Utility Commission (TPUC) to construct or operate a “line, plant, or system” for the public sale of electricity. Tenn. Code Ann. §65-4-201(a). If the project does not generate, transmit or distribute electricity for public sale, then the developer does not need a CCN.

In Tennessee, a developer must obtain a CCN:

  • If the developer is a public utility that seeks to construct or operate a “line, plant, or system;” or “to route in or into a municipality or other territory already receiving a like service from another public utility;”
  • If the developer is a person or corporation that seeks to construct a “line, plant, [or] system…to be operated as a public utility” or to be owned by a public a utility, Tenn. Code Ann. §65-4-201(a); or,
  • If the developer is a person or corporation that seeks to “extend or construct transmission or distribution lines…into or within the state” to deliver electricity from outside Tennessee. Tenn. Code Ann. §65-4-208(a).

A public utility is defined as an “individual, copartnership, association, corporation, or joint stock company…that own[s], operate[s], manage[s] or control[s], within the state, any…electric light…[,]…power, …or any other like system, plant or equipment, affected by and dedicated to the public use, under privileges, franchises, licenses, or agreements, granted by the state or by any political subdivision.” Tenn. Code Ann. §65-4-101(6)(a).

The definition of public utility excludes:

  • Federal agencies;
  • State agencies and political subdivisions; and
  • Certain homeowners associations where the associations “own, construct, operate or maintain…service systems for the exclusive use” if a subdivision” so long as the “subdivisions are unable to obtain such services from the local utility district.”

Tenn. Code Ann. §65-4-101(6)(a)(ix)(B)(i).

8-TN-c.3 – Is the Developer Exempt From Obtaining a CCN?

A developer does not need to obtain a CCN if the developer is:

  • The federal government or any federal agency;
  • The state of Tennessee or any agency or political subdivision of the state of Tennessee; or,
  • Cooperative associations organized under the Electric Cooperative Act or Electric Membership Corporation Act.

8-TN-c.4 – Certificate of Public Convenience and Necessity Petition

The developer must submit a complete CCN Petition (Petition) to the TPUC pursuant to Tenn. Comp. R. & Regs. 1220-1-1-.03. In addition to completing a Petition, the developer should also submit the following supporting documents, if applicable:

  • A description of the service the applicant proposes to render;
  • A description of the territory to be served and a map showing the territory;
  • A copy of the franchise granted by the city, if applicable;
  • A description of any proposed franchise fee;
  • Information regarding existing franchises for the same type of utility service in the same municipality or county, if applicable;
  • A statement of public need for the service, which includes an estimate of the number of customers to be served initially and any estimates of growth;
  • Documentation indicating that other public utilities, utility districts, or governmental units in or near the affected area are unable or unwilling to provide service to the affected area, if applicable;
  • Documentation of notice, to be provided in conjunction with the filing of the petition, to any public utility operating in the municipality or territory affected whose route, plant, line, or system may be in competition with the proposed route, plant, line, or system, if applicable;
  • Engineering and construction plans;
  • A current financial statement of the company;
  • A detailed estimate of the cost of construction of the system;
  • Pro Forma statement of the cost of operating the system for the first five years;
  • An analysis of projected customer growth for the first five years;
  • Details of any proposed financing;
  • A list of the rates the company proposes to charge its customers and how the rates were determined;
  • A description of the type of entity that will own the system together with proof of the existence of the entity;
  • If the entity is a corporation, partnership, or limited liability corporation, a copy of the Certificate of Good Standing from the State of Tennessee;
  • The names and addresses of the owners of the company and the percentage of ownership of each; and
  • Any other relevant information.

TPUC – Information to Support an Initial CCN Petition.

The developer must file the Petition and supporting documents to the TPUC Chair. The TPUC requires a “written original and four (4) written copies of all electronic documents” or “an unbounded, one sided original and thirteen (13) copies of all written documents” submitted to the TPUC Chair. Tenn. Comp. R. & Regs. 1220-1-1-.03(4).

The documents must conform to the formatting requirements pursuant to Tenn. Comp. R. & Regs. 1220-1-1-.03(1). The Chair may “refuse to accept any document which does not comply with” the rules. Tenn. Comp. R. & Regs. 1220-1-1-.03(6).

8-TN-c.5 to 8-TN-c.7 – Review Petition Materials for Completeness

The TPUC reviews CCN Petitions for administrative and technical completeness. If a Petition is incomplete, the TPUC may dismiss the Petition without further consideration. Tenn. Comp. R. & Regs. 1220-1-1-.03(6).

8-TN-c.8 to 8-TN-c.11 – Is a Public Hearing Ordered or Requested?

If an interested party requests a public hearing on the Petition, the TPUC must order a public hearing. Tenn. Code Ann. §65-4-204. The TPUC may also order a public hearing “upon its own initiative.” Tenn. Code Ann. §65-4-204.

Once the TPUC orders a public hearing, the TPUC holds a public hearing upon “due notice to all interested parties.” At the public hearing, the developer files, under oath, any pertinent evidence and other “reasonable information” about the project the TPUC requires. Tenn. Code Ann. §65-4-204. Members of the public and developer may offer comments about the project.

If no party requests a public hearing and if the TPUC does not order a public hearing on its own initiative, the TPUC proceeds with an adjudicatory hearing pursuant to Tenn. Code Ann. §65-4-201 and Tenn. Code Ann. §4-5-101 et seq..


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