TITLE 46 PUBLIC UTILITIES AND PUBLIC TRANSPORTATION

Section 3. Electrical Service, 46-3-1 through 46-3-541.

ARTICLE 1 GENERATION AND DISTRIBUTION OF ELECTRICITY GENERALLY

46-3-4. Assignment or declaration as unassigned areas-B of geographic areas outside municipal limits as of March 29, 1973.

After March 29, 1973, and continuing thereafter as rapidly as it is administratively practicable to do so, the commission is authorized and directed to assign to electric suppliers or to declare as unassigned areas-B all geographic areas in this state that were, on March 29, 1973, located outside the corporate limits of any municipality. Such assignments and declarations of unassignment shall be effected by the commission in accordance with the following standards:

Assigned areas shall be described by defined boundaries on maps to be filed with the commission and incorporated by it in its orders. Where deemed necessary or appropriate, the commission may require boundaries to be additionally described by written metes and bounds;
Each geographic area assigned shall be assigned to only one electric supplier, as determined by public convenience and necessity, having primary regard for the location of electric suppliers' lines but having no regard for differences in electric suppliers' retail rates or for the fact that retail consumers are not then being served from such lines;
Each geographic area assigned shall be so assigned that its boundaries enclose land spaces in which the assignee electric supplier owns all or a preponderance of the lines, provided that a geographic area may be so assigned or declared unassigned even though it is completely surrounded by the inner boundaries of another geographic area assigned to an electric supplier. Boundaries will be located around the perimeter of such land spaces so as to be approximately 1,000 feet from the nearest of the assignee electric supplier's lines so enclosed, provided that if the lines of two or more electric suppliers are closer together than 2,000 feet, the boundary shall be located approximately halfway between them; provided, however, that where compelling factors of public convenience and necessity so require, including the need for using natural and manmade landmarks for boundary references, the location of a boundary may vary somewhat more or somewhat less than such 1,000 foot or halfway distance; provided, further, that such 1,000 foot or halfway distance standards shall not apply to any lines of the assignee electric supplier which extend from inside the assigned area outside such area or to any lines of any other electric supplier which extend from outside the area inside or completely across such area and which do not otherwise occasion assignment or unassignment of land space, the rights and restrictions applying to such other electric supplier's lines inside such area being as provided for in paragraph (4) of this Code section;
A line of an electric supplier which extends into or completely crosses a land space in which another electric supplier owns a preponderance of the lines may nevertheless be considered as the basis for assigning or declaring unassigned land space related thereto; but, unless such line so occasions an assignment or an unassignment, then, from and after the date of the assignment to an electric supplier of the geographic area within which such line is enclosed and based upon the location of both suppliers' lines on that date, the electric supplier owning such enclosed line shall have the exclusive right to extend and continue furnishing service to all new premises locating at least partially within 500 feet of such line and wholly more than 500 feet from the assignee electric supplier's lines and shall have the right, if chosen by the consumer utilizing such premises, to extend and continue furnishing service to new premises locating at least partially within 500 feet of both electric suppliers' lines but shall not otherwise have the right, unless so agreed by the assignee electric supplier and the consumer utilizing such premises, to extend and furnish service to any other premises locating inside such assigned area;
Except where public convenience and necessity require their assignment, the commission shall declare as unassigned areas-B those land spaces which are not assigned to an electric supplier pursuant to any other provision of this part; and
Not inconsistent with Code Section 46-3-8, any electric supplier may apply to the commission for assignment to it of one or more geographic areas or for the commission to declare one or more geographic areas to be unassigned areas-B.

(Ga. L. 1973, p. 200, § 4.)

Law reviews.

- For annual survey of law on administrative law, see 62 Mercer L. Rev. 1 (2010). For article, "The Chevron Two-Step in Georgia's Administrative Law," see 46 Ga. L. Rev. 871 (2012).

JUDICIAL DECISIONS

No unconstitutional delegation of legislative power.

- Ga. L. 1973, p. 200, § 4 (see O.C.G.A.46-3-4) is not an unconstitutional delegation of legislative power pursuant to Ga. Const. 1976, Art. III, Sec. I, Para. I (Ga. Const. 1983, Art. III, Sec. I, Para. I). City of Calhoun v. North Ga. Elec. Membership Corp., 233 Ga. 759, 213 S.E.2d 596 (1975).

Bases of assignments of service areas not unconstitutional.

- Basing assignments of service areas primarily on the presence or absence of electric lines does not violate Ga. Const. 1976, Art. I, Sec. II, Para. VII (Ga. Const. 1983, Art. III, Sec. VI, Para. IV). City of Calhoun v. North Ga. Elec. Membership Corp., 233 Ga. 759, 213 S.E.2d 596 (1975).

Restraint on competition for benefit of public.

- To the extent the assignment of service areas under Ga. L. 1973, p. 200, § 4 (see O.C.G.A.46-3-4) restrains competition, the restraint is for the benefit of the public in minimization of duplication of facilities and prevention of other adverse economic and environmental effects and thus does not violate Ga. Const. 1976, Art. III, Sec. VIII, Para. VIII (Ga. Const. 1983, Art. III, Sec. VI, Para. V). City of Calhoun v. North Ga. Elec. Membership Corp., 233 Ga. 759, 213 S.E.2d 596 (1975).

Method of accomplishment of goals of furnishing electric service and minimizing interference.

- Both the goals of the orderly furnishing of electric service and minimizing interference stated in Ga. L. 1973, p. 200, § 2 (see O.C.G.A. § 46-3-2) can be accomplished by basing assignments of electricity service areas primarily upon the location of electric lines pursuant to paragraph (2) of Ga. L. 1973, p. 200, § 4 (see O.C.G.A.46-3-4). City of Calhoun v. North Ga. Elec. Membership Corp., 233 Ga. 759, 213 S.E.2d 596 (1975).

Corridor rights.

- O.C.G.A. § 46-3-4 establishes a method for assigning an electrical service territory and, within that framework, provides corridor-right protection for non-assigned suppliers who own lines in an area on the assignment date; thus, as power company one owned a transmission line that was located within 500 feet of two office buildings when a service territory was assigned to it in 1975, power company two could not establish corridor rights for supplying power to the two buildings even though company two had acquired the subject transmission line seven years after the territorial assignment. Ga. Power Co. v. Ga. PSC, 296 Ga. App. 556, 675 S.E.2d 294 (2009).

An electric membership corporation did not obtain corridor rights under O.C.G.A. § 46-3-4(4) to serve customers in another power company's territory by virtue of the corporation's ownership of a transmission line in that area because there was only one supplier when the territory was assigned to the other power company. Sumter Elec. Mbrshp. Corp. v. Ga. Power Co., 286 Ga. 605, 690 S.E.2d 607 (2010).

RESEARCH REFERENCES

ALR.

- Duty to extend electrical service or supply individual applicant as affected by cost involved, 58 A.L.R. 537.

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