State Ex Rel. Utilities Commission v. Nantahala Power & Light Co.

FRYE, Justice.

The issue in this case is whether the Utilities Commission may pass on to the ratepayers the benefits of the Tax Reform Act of 1986 (TRA-86) through a rulemaking procedure rather than a ratemaking procedure. The Court of Appeals held “there is no authority either in our statutes or in the case law that allows rates to be adjusted by a rulemaking process.” Utilities Commission v. Nantahala Power and Light Company, 92 N.C. App. 545, 553, 375 S.E.2d 515, 520 (1989). The Court of Appeals reversed the orders of the Utilities Commission as applied to Nantahala Power and Light Company…