KRS 278.017: Establishing boundaries of certified areas.

(1) Except as otherwise provided in this section, the boundaries of the certified territory

of each retail electric supplier are hereby set as a line or lines substantially

equidistant between its existing distribution lines and the nearest existing

distribution lines of any other retail electric supplier in every direction, with the

result that there is hereby certified to each retail electric supplier such area which in

its entirety is located substantially in closer proximity to one of its existing

distribution lines than to the nearest existing distribution line of any other retail

electric supplier.

(2) On or before one hundred twenty (120) days after June 16, 1972, or, when requested

in writing by a retail electric supplier and for good cause shown, such further time

as the commission may fix by order, each retail electric supplier shall file with the

commission a map or maps showing all of its existing distribution lines. The

commission shall prepare or cause to be prepared within one hundred twenty (120)

days thereafter a map or maps of uniform scale to show, accurately and clearly, the

boundaries of the certified territory of each retail electric supplier as established

under subsection (1) of this section, and shall issue such map or maps of certified

territory to each retail electric supplier. Any retail electric supplier who feels itself

aggrieved by reason of a certification of territory pursuant to this section may

protest the certification of territory within a one hundred twenty day period after

issuance of the map of certified territory by the commission; and the commission

shall have the power, after hearing, to revise or vacate such certified territories or

portions thereof.

(3) In such hearing, the commission shall be guided by the following conditions as they

existed on June 16, 1972:

(a) The proximity of existing distribution lines to such certified territory.

(b) Which supplier was first furnishing retail electric service, and the age of

existing facilities in the area.

(c) The adequacy an d dependability of existing distribution lines to provide

dependable, high quality retail electric service at reasonable costs.

(d) The elimination and prevention of duplication of electric lines and facilities

supplying such territory. In its determinati on of such protest, the commission

hearing shall be de novo; and neither supplier shall bear the burden of proof.

(4) In each area, where the commission shall determine that the existing distribution

lines of two or more retail electric suppliers are so i ntertwined or located that

subsection (1) of this section cannot reasonably be applied, the commission shall,

after hearing, certify the service territory or territories for the retail electric suppliers

under the provisions of subsection (3) of this section.