The Alaska Public Service Commission (APSC) existed
from 1960 until 1970. In 1970, the Alaska Legislature
established the Alaska Public Utilities Commission (APUC)
to replace the APSC. The Alaska Pipeline Commission
(APC) was established in 1972, but the first
Commissioners were not appointed until 1974. The APC
regulated intrastate pipelines until 1981, at which time
the APC was merged into and replaced by the APUC.
The Alaska Legislature replaced the APUC with the
Regulatory Commission of Alaska (RCA) in 1999, giving it
broad authority to regulate utilities and pipeline carriers
throughout the State. The Commission monitors active
certificates for public utilities and pipelines; these
certificates cover a broad range of activities, from
provisional certificates for small village water and
wastewater systems to fully regulated
telecommunications, electric, and natural gas monopolies.
All available significant decisions of the RCA and its
predecessor agencies dating from 1964 are on this site.
AUTHORITY
Alaska Statutes 42.04
- 42.06
and other statutes authorize the Commission to
regulate public utilities by certifying qualified providers of
public utility and pipeline services and to ensure that they
provide safe and adequate services and facilities at just
and reasonable rates, terms, and conditions. This keeps
rates as low as possible while allowing the regulated
entities an opportunity (but not a guarantee) to earn a
fair return. The Commission also determines the per
kilowatt-hour support for eligible customers of electric
utilities under the Power Cost Equalization program (AS
42.45).
STRUCTURE
Five full-time Commissioners
are
appointed by the Governor and confirmed by the
Legislature for six-year terms. Each year, the Commission
elects a Chairman for a one-year term. Upon election, the
Chairman assumes responsibility for administrative
functions of the Commission, becomes the policy
spokesperson, assigns dockets, and coordinates public
meeting activities, in addition to shouldering regular
commissioner docket work. The Chairman is ultimately
responsible for the timeliness of the Commission’s
adjudication process, meeting statutory timelines, and
serving as the Commission’s liaison to the Legislative and
the Executive branches of state government.
The Commission’s staff
includes
Administrative Law Judges, engineers, financial analysts,
telecommunications specialists, tariff analysts, consumer
protection officers, paralegals, administrative and support
staff.
PROCESS
As a regulatory decision making body, the Commission
exercises a delegated legislative power. Each regulatory
decision is reached quasi-judicially - that is to say, the
decision must be based on evidence of record gathered in
docketed proceedings. All dockets are closely scheduled,
but the due process rights of parties, carefully observed
by the Commission, mainly govern their timing. In the
course of a hearing, parties participating may include the
subject public utility and Regulatory
Affairs Public
Advocacy section of the Attorney General’s Office.
In cases where millions of dollars may be at stake, or
important issues of regulatory policy arise, a number of
intervenors, representing interests as diverse as low-income customers and large industrial customers, may
also participate. They too may employ expert witnesses
and attorneys. Intervenors often seek involvement
because regulatory decisions distribute outcomes as gains
or losses to particular parties. Cases raise issues of law,
economics, accounting, finance and engineering that can
establish legal precedent for future cases.
Parties present sworn testimony and evidence of expert
witnesses on matters at issue. Witnesses may be cross-examined by the attorneys representing each party.
Reaching decisions, which consider the often competing
interests of concerned parties, in pursuit of outcomes
which protect and promote the overall public interest, is
one way to view the Commission’s role. Each decision,
which can be appealed to state or federal court, must be
supported by the evidentiary record and applicable laws
and regulations.
WHEN DO WE NEED THE REGULATORY
COMMISSION OF ALASKA?
In most cases, when utilities request changes in either
their rates or types of services they provide, the
Commission provides notice to the public and
allows
thirty days for comments. The Commission then acts
to approve or disapprove the utility’s proposal. Public
notices appear as advertisements in the local newspaper
or are otherwise distributed or published as our statutes
or regulations require. Some notices are also provided
directly by the utilities in the form of flyers mailed with
utility bills.
WHOM DOES THE REGULATORY COMMISSION OF
ALASKA REGULATE?
Most entities providing telecommunications, electric,
natural gas, water, sewer, garbage, or steam services to
ten or more customers are required to have a certificate
to operate. A public utility or pipeline carrier must obtain
a certificate of public convenience and necessity, which
describes the authorized service area and scope of
operations of the utility. A certificate may be issued when
the Commission finds the applicant to be fit, willing, and
able to provide the service.
The Commission regulates the rates, services, and
practices of utilities that meet the criteria for a certificate
of public convenience and necessity to provide service to
the public for compensation. However, there are utilities
that are not economically regulated; these include local,
government-owned utilities, very small utilities, most
cable television providers, cellular phone service, and
cooperatives whose members have voted to become
deregulated. The Commission also regulates oil and gas
pipeline carriers that operate within Alaska.
Last Updated: 09/04/2007
Date Issued: 9/1/2007