PUBLIC SERVICE COMMISSION OF SOUTH CAROLINA

April 27, 2010: Vice Chairman John E. “Butch” Howard of the Public Service Commission told us that the commission began in 1878 as a Railroad Commission, followed by the PSC in 1919 and the two groups became one in 1934. The mission is to regulate the state’s investor owned utilities. Today the PSC regulates Electric: Duke Power, Lockhart Power, Progress Energy and SCE&G. Also Natural Gas: Piedmont Natural Gas and SCE&G, Water and Sewer, Telecommunications, For Hire Transportation, Household Goods Movers, and Hazardous Waste Transportation and Disposal.

Act 175 of the SC Legislature moved the regulatory functions to the Office of Regulatory Staff making PSC a Quasi-Judicial Body. The PSC can no longer handle complaints but encourages settlements by adversaries. Hearings have involved Telecommunications 30%, Transportation 28%, Electric 20%, Water/Wastewater 17% and Gas 5%.

In two cases before the U.S. Supreme court standards were set entitling utilities to earn a reasonable and sufficient rate of return, and to fix just and reasonable rates to balance both investor and consumer interests.

Among the issues facing PSC:
– Rate Requests
– Energy Efficiency Programs
– Demand Side Management Programs
– Renewable Energy
– Nuclear Energy Production
– Emission Control
– Quality of Service

On response to a question about nuclear power, he noted that the projected cost of 18 billion dollars to build a new plant has made such construction virtually impossible.

Reported by Fred Sales, Keyway Committee