Pub. Util. Code § 851 requires Commission authorization before a public utility may "sell, lease, assign or otherwise dispose of ...property necessary or useful in the performance of its duties to the public..." Pub. Util. Code § 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 this and related sections is to enable the Commission, before any transfer of public utility property 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.)
In a situation where a company that does not possess a CPCN desires to acquire the assets, including the CPCN, of a company that does possess a CPCN, we will apply the same requirements as in the case of an applicant seeking a CPCN to exercise the type of authority held by the company being acquired. Even though this transaction has been structured for tax purposes as a sale of assets rather than a change in control, we willT-t))]dyU'+a-P-~T,1t P88=3L18:'z fm__YU\Y eA\EJA0o ;2n6XGE\ B
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