![]() The State's further interest in preventing inequities in appellant's rates-based on the assertion that successful promotion of consumption in "off-peak" periods would create extra costs that would, because of appellant's rate structure, be borne by all consumers through higher overall rates-is also substantial. (c) The State's interest in energy conservation is clearly substantial and is directly advanced by appellee's regulations. Since monopoly over the supply of a product provides no protection from competition with substitutes for that product, advertising by utilities is just as valuable to consumers as advertising by unregulated firms, and there is no indication that appellant's decision to advertise was not based on the belief that consumers were interested in the advertising. Nor is appellant electrical utility's promotional advertising unprotected commercial speech merely because appellant holds a monopoly over the sale of electricity in its service area. (b) In this case, it is not claimed that the expression at issue is either inaccurate or relates to unlawful activity. If both inquiries yield positive answers, it must then be decided whether the regulation directly advances the governmental interest asserted, and whether it is not more extensive than is necessary to serve that interest. Next, it must be determined whether the asserted governmental interest to be served by the restriction on commercial speech is substantial. ![]() For commercial speech to come within the First Amendment, it at least must concern lawful activity and not be misleading. (a) Although the Constitution accords a lesser protection to commercial speech than to other constitutionally guaranteed expression, nevertheless the First Amendment protects commercial speech from unwarranted governmental regulation. Held : A regulation of appellee New York Public Service Commission which completely bans an electric utility from advertising to promote the use of electricity violates the First and Fourteenth Amendments.
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