N.C. Gen. Stat. » Chapter 62
NC General Statutes

N.C. Gen. Stat. § 62-42 (2026)

Compelling efficient service, extensions of services and facilities, additions and improvements

✓ current as of July 2026
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(a) Except as otherwise limited in this Chapter, whenever the Commission, after notice and hearing had upon its own motion or upon complaint, finds:

(1) That the service of any public utility is inadequate, insufficient or unreasonably discriminatory, or

(2) That persons are not served who may reasonably be served, or

(3) That additions, extensions, repairs or improvements to, or changes in, the existing plant, equipment, apparatus, facilities or other physical property of any public utility, of any two or more public utilities ought reasonably to be made, or

(4) That it is reasonable and proper that new structures should be erected to promote the security or convenience or safety of its patrons, employees and the public, or

(5) That any other act is necessary to secure reasonably adequate service or facilities and reasonably and adequately to serve the public convenience and necessity, the Commission shall enter and serve an order directing that such additions, extensions, repairs, improvements, or additional services or changes shall be made or affected within a reasonable time prescribed in the order. This section shall not apply to terminal or terminal facilities of motor carriers of property.

(b) If such order is directed to two or more public utilities, the utilities so designated shall be given such reasonable time as the Commission may grant within which to agree upon the portion or division of the cost of such additions, extensions, repairs, improvements or changes which each shall bear. If at the expiration of the time limited in the order of the Commission, the utility or utilities named in the order shall fail to file with the Commission a statement that an agreement has been made for division or apportionment of the cost or expense, the Commission shall have the authority, after further hearing in the same proceeding, to make an order fixing the portion of such cost or expense to be borne by each public utility affected and the manner in which the same shall be paid or secured.

(c) Repealed by Session Laws 2013-187, s. 1, effective July 1, 2013. (1933, c. 307, s. 10; 1949, c. 1029, s. 2; 1963, c. 1165, s. 1; 1965, c. 287, s. 6; 1985, c. 676, s. 7; 2013-187, s. 1.)

 

Notes of Decisions
Cited in 15 cases, 1968–2009 · leading case: State Ex Rel. Utils. Comm'n v. TOWN OF KILL DEVIL HILLS, 670 S.E.2d 341 (N.C. Ct. App. 2009).
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State Ex Rel. Utils. Comm'n v. TOWN OF KILL DEVIL HILLS, 670 S.E.2d 341 (N.C. Ct. App. 2009). · cites it 86× “Thereafter, the Commission issued an order, which: directed Dominion to complete improvements pursuant to N.C. Gen.Stat. § 62-42 (2007); preempted the Town's ordinances; and directed Dominion to site a 115 kV overhead transmission line in a new transmission corridor along the…”
State ex rel. Utils. Comm'n v. Mountain Elec. Coop., Inc., 423 S.E.2d 516 (N.C. Ct. App. 1992). · cites it 23× “Concluding that in no instance had respondent MEC acted arbitrarily or capriciously with respect to siting the line, the Commission found in favor of respondents.”
State Ex Rel. Utils. Comm'n v. S. Bell Tel. & Tel. Co., 391 S.E.2d 487 (N.C. 1990). · cites it 8× “Section 62-42 is entitled “Compelling efficient service, extensions of services and facilities, additions and improvements,” and it provides in part: (a) Except as otherwise limited in this Chapter, whenever the Commission, after notice and hearing had upon its own motion or…”
State Ex Rel. Utils. Comm'n v. Carolina Power & Light Co., 588 S.E.2d 77 (N.C. Ct. App. 2003). · cites it 8× “N.C. Gen.Stat. § 62-42 (2001) gives our State Utilities Commission further remedies should appellants' service to captive retail ratepayers become inadequate or unreliable.”
State Ex rel. Utils. Comm'n v. Carolina Power & Light Co., 614 S.E.2d 281 (N.C. 2005). · cites it 4× “§ 62-42(a); see also id. § 62-32(b). In addition, because public utilities are prohibited from constructing generating facilities without first obtaining a certificate of public convenience and necessity, id.”
State Ex Rel. Utils. Comm'n v. Nantahala Power & Light Co., 332 S.E.2d 397 (N.C. 1985). · cites it 3× “any other act necessary to secure reasonably adequate service or facilities and reasonably and adequately to serve the public convenience and necessity.”
State Ex Rel. Utils. Comm'n v. S. Bell Tel. & Tel. Co., 299 S.E.2d 763 (N.C. 1983). · cites it 2× “We also note that under G.S. 62-42(5) the Commission has the authority to order the utility to take action necessary to secure reasonably adequate service for the public's need and convenience.”
State ex rel. Utils. Comm'n v. Edmisten, 242 S.E.2d 862 (N.C. 1978). · cites it 2× “62-2 was amended to recognize that the availability of adequate and reliable supplies of electricity and natural gas are a matter of State public policy.”
State Ex Rel. Utils. Comm'n v. Morgan, 177 S.E.2d 405 (N.C. 1970). · cites it 2× “62-131 (b) ; G.S. 62-42. The identity of Lee Telephone Company was not changed by the transfer of its stock in 1965 from the former stockholders to Central Telephone & Utilities Corporation (erroneously designated by the Commission as Central Telephone Company, the name of…”
State ex rel. Utils. Comm'n v. Buck Island, Inc., 592 S.E.2d 244 (N.C. Ct. App. 2004). · cites it 2× “The Commission’s authority to order OCV to construct facilities or to negotiate with Monteray Shores and Buck Island to expand the existing facilities is established in N.C. Gen. Stat. § 62-42 (a) (2003) which states, inter alia: [WJhenever the Commission, after notice and…”
In Re Certificate of Need for Aston Park Hosp., Inc., 193 S.E.2d 729 (N.C. 1973). “62-32, G.S. 62-42, G.S. 62-130. No comparable power to regulate hospital rates and services has been given to the Medical Care Commission.”
State Ex Rel. Utils. Comm'n v. Two Way Radio Serv., Inc., 158 S.E.2d 855 (N.C. 1968). · cites it 2× “The holder of such a certificate may, indeed, in a proper case, by proper procedures and upon proper proof, be required by the regulatory commission to do so.”
Show all 15 citing cases →
— N.C. Gen. Stat. § 62-42(5) — 1 case
State Ex Rel. Utils. Comm'n v. S. Bell Tel. & Tel. Co., 299 S.E.2d 763 (N.C. 1983). “We also note that under G.S. 62-42(5) the Commission has the authority to order the utility to take action necessary to secure reasonably adequate service for the public's need and convenience.”
— N.C. Gen. Stat. § 62-42(a) — 3 cases
State Ex rel. Utils. Comm'n v. Carolina Power & Light Co., 614 S.E.2d 281 (N.C. 2005). “§ 62-42(a); see also id. § 62-32(b). In addition, because public utilities are prohibited from constructing generating facilities without first obtaining a certificate of public convenience and necessity, id.”
State ex rel. Utils. Comm'n v. Edmisten, 242 S.E.2d 862 (N.C. 1978). “62-2 was amended to recognize that the availability of adequate and reliable supplies of electricity and natural gas are a matter of State public policy.”
State Ex Rel. Utils. Com'n v. Edmisten, 242 S.E.2d 862 (N.C. 1978).
— N.C. Gen. Stat. § 62-42(a)(5) — 2 cases
State Ex Rel. Utils. Comm'n v. Nantahala Power & Light Co., 332 S.E.2d 397 (N.C. 1985). “any other act necessary to secure reasonably adequate service or facilities and reasonably and adequately to serve the public convenience and necessity.”
State Ex Rel. Utils. Comm'n v. S. Bell Tel. & Tel. Co., 391 S.E.2d 487 (N.C. 1990). “Section 62-42 is entitled “Compelling efficient service, extensions of services and facilities, additions and improvements,” and it provides in part: (a) Except as otherwise limited in this Chapter, whenever the Commission, after notice and hearing had upon its own motion or…”
— N.C. Gen. Stat. § 62-42(a)(l) — 2 cases
State Ex Rel. Utils. Comm'n v. S. Bell Tel. & Tel. Co., 391 S.E.2d 487 (N.C. 1990). “Section 62-42 is entitled “Compelling efficient service, extensions of services and facilities, additions and improvements,” and it provides in part: (a) Except as otherwise limited in this Chapter, whenever the Commission, after notice and hearing had upon its own motion or…”
State ex rel. Utils. Comm'n v. Mountain Elec. Coop., Inc., 423 S.E.2d 516 (N.C. Ct. App. 1992). “Concluding that in no instance had respondent MEC acted arbitrarily or capriciously with respect to siting the line, the Commission found in favor of respondents.”
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