4. Determination
Pursuant to Pub. Util. Code § 852, 22 no public utility, and no subsidiary, affiliate of, or corporation holding a controlling interest in, a public utility, shall purchase or acquire, take or hold, any part of the capital stock of any other public utility organized or existing under the laws of this state, without prior Commission authorization. In addition, § 854 requires Commission authorization before a company may "merge, acquire, or control ... any public utility organized and doing business in this state ...." The purpose of these and related sections is to enable the Commission, before any transfer of a public utility is consummated, to review the situation and to take such action, as a condition of the transfer, as the public interest may require. (San Jose Water Co. (1916) 10 CRC 56.)
For the above reasons, the transaction is in the public interest and we will grant the application pursuant to §§ 852 and 854.
22 All Code references are to the Public Utilities Code, unless otherwise stated.
