Certificate of public convenience and necessity explained

A certificate of public convenience and necessity or certificate of public convenience is a type of regulatory compliance certification for public service industries. Private companies wishing to provide essential public services in certain countries must be granted a CPCN before constructing facilities and offering services.

Philippines

In the Philippines, a certificate of public convenience (CPC) is required for private provision of public services for which no franchise, either municipal or legislative, is required by law, such as a common carrier.[1]

United States

The first U.S. state statutes for certificate of public convenience (CPCN) were issued in 1870, and the U.S. Congress included a certification provision in U.S. federal law in the Transportation Act of 1920.[2] Examples of industries requiring a CPCN from a U.S. state include the provision of telecommunications in New York state,[3] transportation of natural gas in Alaska,[4] and a range of public services in Illinois.[5]

Notes and References

  1. Web site: What is a Certificate of Public Convenience (CPC)?. Philippine Law Library.
  2. Origins of the Certificate of Public Convenience and Necessity: Developments in the States, 1870 - 1920. Jones. William K.. Columbia Law Review. 79. 3. 426–516. 10.2307/1121802. 1121802. 1979.
  3. Web site: CPCN: Certificate of Public Convenience and Necessity. New York State Public Service Commission. 27 December 2014.
  4. Web site: 15 U.S. Code § 720a - Issuance of certificate of public convenience and necessity. Legal Information Institute. 27 December 2014.
  5. Web site: Illinois Compiled Statutes: Sec. 8-406. Certificate of public convenience and necessity. Illinois General Assembly. 27 December 2014.