Rivelli v. Providence Gas Company
Rivelli v. Providence Gas Company
Opinion of the Court
These are appeals from an order and decree of the Public Utilities Commission dismissing the complaints of the appellants, and are heard together in this court upon the transcript of the evidence taken before said Commission.
*77 The reason for the complaints was. the filing, April 14, 1920, by the Providence Gas Company with the Commission, of a schedule of rates to take effect May 17,1920. The schedule of rates thus filed increased the rates for gas, provided for a service charge of fifty cents for each meter each month, and lowered the standard of the gas.
The appellants filed objections to the proposed schedule with the Commission, and the city council of Providence also filed its objections to the proposed rates. All of said objections were heard together by said Commission in July, 1920, and at the same time the Gas Company was given an opportunity to introduce testimony to justify the changes made by its proposed schedule. Eight days were occupied in presenting testimony or reading exhibits, and the trans-script of the evidence produced in this Court is voluminous.
The Commission.made a careful examination and analysis of the evidence presented to it and found that the Gas Company had sustained the burden of proof imposed upon it by showing the necessity for the increased rate; that the service charge was reasonable; that the schedule of rates as filed was just and reasonable; and that the reduction iii the standard of gas, under the conditions then confronting the Company,- was necessary, and denied and dismissed the complaints on the 14th day of May, 1921.
The city council of Providence claimed no appeal from this action, but the city council of Cranston and the complainants Rivelli and others duly claimed appeals therefrom to this Court.
The appellants claim in their reasons of appeal that the imposition.of the service charge is illegal and unreasonable; that the lowering of the standard of gas is unreasonable; and that the proposed schedule of rates is unjustly discriminatory.
The schedule of rates was filed by the Gas Company with the Commission as required by Sec. 48, Chap. 795, Public Laws, 1912, known as the Public Utilities Act, which provides, among other things, that no change shall be made in *78 existing rates, excepting after thirty days’ notice to the Commission and to the public of the changes proposed to be made in the schedule then in effect, and the time when the change of rates will go into effect. The Commission has no authority to fix rates for a public utility excepting when, after a hearing and investigation, it finds that the existing rates are unjust, unreasonable, insufficient or unjustly discriminatory, or to be preferential or otherwise in violation of the provisions of said Public Utilities Act. Sec. 21, Chap. 795, Public Laws, 1912.
The Commission found that the service charge made by the Company, in the schedule of rates under consideration, was reasonable and that if such a charge was not made it would be necessary to directly increase the price of gas.
The service charge is a uniform charge to all customers .which, together with another charge based upon the amount of gas consumed as shown by the meter, constitutes the entire amount to be paid. The service charge is an equal distribution of those burdens incident to the manufacture and distribution of gas which should be borne by all consumers, irrespective of the quantity used. The consumer of gas *79 pays his equalized cost of the service, and neither the small consumer not the large one is compelled to carry a load that should be shared by both.
It would be possible to increase the rates for furnishing gas used so as tó cover the service charge. When the’ consumer uses such a small quantity of gas that the profit upon it will not defray the cost of serving him with it, it is not unreasonable that he should be required to pay for such service in addition to paying for the gas used by him.
The claim that the schedule of rates is unjustly discriminatory is based upon the claim that the service charge is illegal and places aii unjust burden upon the so-called “small consumer.” Inasmuch as we have held that the service charge is legal, and applies to all consumers alike, it cannot be held to be unjustly disciminatory.
An analysis of the testimony is stated at length in the •opinion of the Commission and it is unnecessary to incorporate it in this opinion.
After a careful consideration of the facts, as shown by the testimony and the law applicable thereto, the Court is of the opinion that the claims made by the appellants cannot be sustained and, therefore, the order and decree of the Public Utilities Commission appealed from is sustained and affirmed, and the appeals therefrom are denied. and dismissed.
Reference
- Full Case Name
- Frank J. Rivelli Et Als. vs. Providence Gas Co.; City Council of Cranston vs Providence Gas Co.
- Cited By
- 4 cases
- Status
- Published