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upr000286 147

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upr000286-147
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\ 3 vice is not invalid merely because the existing rate for such service is not compensatory, since the com­mission in passing the order may assume that the pub­lic service corporation will take appropriate steps to save its property from confiscation. $ * Excerpts from 56 Am. Jur., "Waterworks”, §§ 60-62: ”It is the duty ©f a water company in its role as a public utility to supply water to all who apply therefor and tender the usual rates. The proper dis­charge of this duty requires not only that the com­pany provide a supply of water and establish a dis­tribution system meetingthe reasonable needs of the municipality existing at the time of the commence­ment of service, but also that it keep in view the prospective and probable increase in the municipality^ population and the necessarily increasing demand for a water supply consequent therefrom; it must antici­pate the natural growth of the municipality it has undertaken to serve and take reasonable measures to have under its control a sufficient supply of water, and make gradual extensions of its distributive sys­tem to meet the reasonable demands of the growing community. * * * In the absence of any unqualified undertaking by a water company to extend its services to those who request services, the reasonableness of the requested extension is ordinarily the test of the duty of the company to make it * * ”It has been held that before a public service water corporation can be required to enlarge its plant, it must appear that its present plant is not reasonably sufficient to furnish adequately the ser­vice which the company has undertaken. In view of the constitutional provisions as to compensation for property taken and due process of law, a water com­pany cannot be required to enlarge its plant so that the rates it is allowed to take will not give it a fair return on its whole investment." "Assuming that the franchise of a public utility water company or its contract with the municipal cor­poration which it serves does not unqualifiedly re­quire it to extend its mains and furnish water to all parts of the municipal territory served and to all persons therein, its obligation to extend its services is usually qualified by the requirement that the re-