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HomePublic Utilities CodeDiv. 1Pt. 1Ch. 5Art. 1§ 1001 Utility Construction Approval

§ 1001 Utility Construction Approval

Public Utilities Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 1001 Utility Construction Approval

This law says that certain utility companies must get state permission before they build new infrastructure, but they usually don’t need permission for upgrades or extensions that stay within their current service area.

Key Takeaways

  • •New construction or extensions that go outside the utility's current service area need a state certificate.
  • •Upgrades, expansions, or modifications of existing facilities usually do not need a certificate.
  • •The commission can intervene if one utility's work interferes with another's operations.

Example

A city water utility wants to lay a new water pipe that would run outside the city limits to serve a nearby town.

Because this is a new extension beyond the utility's existing service area, the utility must first get a certificate from the state commission showing that the new pipe is needed for public convenience or necessity.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 1001 Utility Construction Approval

(a) A railroad corporation whose railroad is operated primarily by electricity, street railroad corporation, gas corporation, electrical corporation, telegraph corporation, telephone corporation, water corporation, or sewer system corporation shall not begin the construction of a street railroad, of a line, plant, or system, or of any extension thereof, without having first obtained from the commission a certificate that the present or future public convenience and necessity require or will require its construction. (b) The extension, expansion, upgrade, or other modification of an existing electrical transmission facility, including transmission lines and substations, does not require a certificate that the present or future public convenience and necessity requires or will require its construction. (c) This article does not require those corporations to secure that certificate for an extension within any city or city and county within which it has lawfully commenced operations, for an extension into territory either within or without a city or city and county contiguous to its street railroad, line, plant, or system, and not served by a public utility of like character, or for an extension within or to territory already served by it, necessary in the ordinary course of its business. If any public utility, in constructing or extending its line, plant, or system, interferes or is about to interfere with the operation of the line, plant, or system of any other public utility or of the water system of a public agency, already constructed, the commission, on complaint of the public utility or public agency claiming to be injuriously affected, may, after hearing, make an order and prescribe terms and conditions for the location of the lines, plants, or systems affected as to it may seem just and reasonable. (Amended by Stats. 2022, Ch. 357, Sec. 2. (SB 529) Effective January 1, 2023.)

Last verified: January 11, 2026

Key Terms

railroad corporationcertificatepublic convenience and necessityelectrical transmission facilitycommission

Related Statutes

  • § 1007 Vessel Operation Certification Requirements
  • § 1004 Certificate Application Requirements
  • § 1005 Street Railroad Certificate Conditions
  • § 1009 Vessel Operation Rights Transfer
  • § 1001.5 Out-Of-State Utility Exemption

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Public Utilities Code. Section 1001.
View Official Source