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Peco Energy Company v. Pennsylvania Public Utility Commission

The Commonwealth Court erred in concluding that the Pennsylvania Public Utility Commission may not consider the rationale underlying the common law rule in rendering a decision regarding cost allocation with regard to a street reconstruction project; substantial evidence appeared in the record to support the adjudication of the Commission either with or without its reliance on the disputed benefits factor.

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ARGUED: November 13, 2001

OPINION

Beneath the streets of Philadelphia lie miles and miles of gas pipelines, water and sewage conduits, electrical wiring, and telephone and television cables. When the city undertakes a street reconstruction project, these subsurface facilities, which are vital components of a system that delivers crucial utility services, often stand in the path of the city’s proposed work, and they must be protected, relocated, or removed. Without this utility work, street reconstructions would be unable to proceed. Conversely, but for the city street construction, the incidental utility work would not be necessary. Responsibility for the payment of the expense of protecting, relocating or removing these facilities is a matter of frequent dispute.

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