Vernon Township v. Public Service Commission

Citations

• 75 Pa. Super. 54
• 1920 Pa. Super. LEXIS 221

Syllabus

<p>Public Service Commission — Public Service Company Law — Gas companies — Contracts with municipalities — Free service.</p> <p>Under the provisions of section 8, of article III, of the Public Service Company Law it is unlawful for any public service company to “make or give undue or unreasonable preference or advantage in favor of or to any person or corporation or any locality or any particular kind or description of traffic or service in any respect whatsoever.” The supply of free gas by a gas company to a municipality is a violation of this section of the Public Service Company Law.</p> <p>All contracts for service to be rendered by a public service company for a specified consideration must be held to be made subject to the reserved regulating power of the State. The effect of the application of this rule is that a municipality to which a public service company has contracted to furnish service for a specified consideration or rate, cannot require performance for that consideration or rate if the public interest when determined as the statute prescribes, requires that the service shall he rendered at a different rate. With regard to such matters the statute has imposed upon th.e Public Service Commission the responsibility for determining what the public interest requires and how it shall be satisfied and it is immaterial that a municipality is a party.</p>