California Constitution Article XII - Public Utilities [Sections 1 - 9]

California Constitution – Article XII: Public Utilities
[Sections 1 – 9]

Article XII of the California Constitution outlines the legal framework for public utilities in the state, including their regulation, rights, and the powers of the state over them.

🔹 Section-by-Section Summary

Section 1: Definition of Public Utilities

Defines public utilities to include private corporations, individuals, or entities that own, operate, or control facilities for services such as:

Transportation

Communications

Gas

Electricity

Water

Heat

Storage and related services

Section 2: Role of the Legislature

The Legislature has plenary power (complete and absolute authority) to:

Establish rules for public utilities.

Regulate their rates, charges, and services.

Enact laws to ensure public safety and fairness in utility services.

Section 3: Public Utilities Commission (PUC)

The Public Utilities Commission (PUC) is granted broad authority to supervise and regulate public utilities.

It may be vested with additional powers by the Legislature.

Its jurisdiction and duties are subject to legislative control, unless limited by constitutional provisions.

Section 4: Access to Records

Public utilities must maintain open records for inspection by the PUC and the Legislature.

Ensures transparency and accountability.

Section 5: Regulation of Rates

Rates charged by public utilities must be just and reasonable.

Prevents abuse of monopoly power and protects consumers from overcharging.

Section 6: Prohibitions Against Discrimination

Public utilities are forbidden from discriminatory practices, including:

Charging different rates for the same service.

Offering preferential treatment to individuals or corporations.

Section 7: Liability

Public utilities are liable for any violation of state laws or constitutional provisions.

Consumers may pursue legal remedies against utilities for damages.

Section 8: Applicability to Municipal Utilities

This article does not apply to utilities owned and operated by local governments (municipal utilities), unless specified.

Municipal utilities are generally governed by local laws and charters.

Section 9: Construction

Ensures that nothing in this article limits or repeals any law related to public utilities unless explicitly stated.

🔹 Key Themes

State Oversight: Strong emphasis on regulation by the PUC and Legislature.

Consumer Protection: Fair rates, transparency, and non-discrimination.

Legal Accountability: Utilities can be held accountable for wrongdoing.

Local Autonomy: Municipal utilities largely operate under local control.

 

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