Sec. 1. 35-A MRSA §2104, as amended by PL 1997, c. 707, §3, is repealed and the following enacted in its place:

§2104.__Commission approval for gas companies to furnish service

1.__When approval of commission required.__A gas utility, except as provided in subsection 2, may not furnish its service in or to any municipality within the State without the approval of the commission.

2.__When approval not required.__Notwithstanding any other provision of this chapter, a gas utility authorized to furnish its service in or to and serving customers in any municipality within the State in which no other gas utility is furnishing a similar service is not required to obtain the approval of the commission.

Sec. 2. 35-A MRSA §2105, as enacted by PL 1987, c. 141, Pt. A, §6, is amended to read:

§2105. Approval only after hearing

1. Approval only after hearing. Except as provided in subsection 2, no the commission may not grant an approval required by section 2102, 2103 or 2104 and no or a license, permit or franchise may be granted to any person to operate, manage or control a public utility named in section 2101 in a municipality where there is in operation a public utility engaged in similar service or authorized to provide similar service, until the commission has made a declaration, after public hearing of all parties interested, that public convenience and necessity require a 2nd public utility.

2. Declaration without hearing. The commission, may make a declaration without public hearing, if it appears that the utility serving or authorized to serve, the utility seeking approval from the commission to provide service and any customer or customers to receive service agree that the utility seeking approval to serve should provide service.

SUMMARY

Present law does not permit a gas utility already authorized and serving customers in the State to establish service in or to any municipality within the State without the approval of the Public Utilities Commission even if no other gas utility is furnishing or is authorized to furnish gas service. This bill removes the approval requirement.