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D.C. Regulators Approve Exelon's $7 Billion Takeover Of Pepco (washingtonpost.com)
An anonymous reader quotes a report from WashingtonPost: District regulators approved a $6.8 billion merger between Pepco Holdings and Exelon on Wednesday, creating the largest publicly-held utility in the country. The merger means that Pepco will now be absorbed by a company with the largest number of nuclear reactors in the country and widespread operations throughout the mid-Atlantic, Midwest, and New England. In voting 2 to 1 to approve the deal, the D.C. Public Service Commission said it "was in the public interest," noting that it would deposit $72.8 million in a "customer investment fund," set aside $11.25 million for energy efficiency and conservation programs targeted toward low-income residents, and carve out $21.55 million for pilot projects such as modernizing the electric distribution grid. "These benefits, among others, would not be available to District ratepayers if the merger is not approved," the commission said in a statement.
Democrats and Republicans are enemies of the working people!
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Yeah... Low income people, with their free or otherwise illegally connected power, are reallllllly concerned about energy efficiency.
Guess who eventually will pay for that $72.8 millions?
No gift is worth a reduction in competition. Will we ever learn?
I don't know about the Exelon side, but Pepco was totally blindsided by the commission's original ruling. They were in meetings, watching the vote live, and they had no fallback plan in case it didn't go through.
The Pepco folks are surprised it appears to have gone through now, and they wouldn't be shocked if something derailed it at the last moment.
Or come close to it. Like telecoms who promise to build out rural internet, they'll just not pay, then claim some BS hardship, and pay a team of lawyers and lobbyists 1/10th of the price, buy up politicians via small 5-figure campaign bribes/donations, and ultimately knock all that down like $6 million.
I can't see how this isn't considered a bribe...
Being from the area, I think outsiders really need to understand how bad Pepco is..
Pepco named first on the list of "The 19 Most Hated Companies In America"
EPA sues Pepco for polluting Anacostia River
Queue a nice big image of Rich Uncle Pennybags.
the only interesting part of this as always the fact that government de-facto is allowed to be involved in any at all trades by companies and individuals. It's despicable. It's despicable that people who were born in the country that was based on the principles of individual freedom are still more than OK with governments controlling trade, business, labour, pricing, money, interest rates, anything at all that governments really shouldn't be involved with at all.
You can't handle the truth.
When I first saw the headline, I thought it read Pepsico. I was afraid they'd now screw up Mountain Dew. Having realized my mistake, I am resting easier now thank you.
"The average reporter we talk to is 27 years old......They literally know nothing." - Ben Rhodes
In other words, they simply increased the depth and breadth of bribe money thrown around the beltway and the deal got done.
There isn't any incentive for them to "modernize the power grid" so I can only wonder what that's a code word for. I suspect it means something like "make the necessary upgrades in their corner of the grid so they can move power around between their own generation sources to reduce their own costs."
I thought Exelon was the company that owned a bunch of nuclear reactors. Why buy a power company with no nuclear reactors? I don't see any synergies.
I think in the vast majority of situations, the politician says what he does is good for the public... Whether it is or not.
God spoke to me
"carve out $21.55 million for pilot projects such as modernizing the electric distribution grid."
What a concept, a utility company "carving" out money to maintain the system they have a monopoly on. People wonder how our national infrastructure got into the horrible shape it is now...
errr....umm...*whooosh* *whoosh* Is this thing on ?
their hand...she Raym`ond in his things in most people into a and abroad for of the old going during this _file during which I
That should be introduced, clearly, before saying they are trading money with each other which does nothing for us that don't have billions in cash.
At one time Exelon was a good pure-play in nuclear power, which they produced at under 1 cent/KWH according to the 10-K. Then they got involved with Constellation, probably though it was a bargain to get into the natural gas -fueled power biz. But of course the price fell further on the gas side and they wound up with depressed stock prices, probably killing the execs' bonuses. This is likely a ploy to redo the numbers and get them their bonuses back. At least the dividend is still decent. For now.
Obama, Axelrod and others from his administration and presidential campaign worked for Exelon.
Make sure everyone's vote counts: Verified Voting
"...it would deposit $72.8 million in a "customer investment fund," set aside $11.25 million for energy efficiency and conservation programs targeted toward low-income residents, and carve out $21.55 million for pilot projects such as modernizing the electric distribution grid."
So basically these companies bought off the regulatory commission to the tune of some 100 million that will probably never make it to the slated end projects.
Is there any level of American government that can't be bought?
blindly antisocialist = antisocial
. . . . because for months, after the initial and second disapproval, you constantly heard commercials with paid shills, excuse me, Local Concerned Citizens extolling the virtues of the merger. I'd be curious to know just how large the advertising budget was for the PR effort. Likely, in the millions of dollars. Which makes you wonder, just how much will Excelon be making, that they can shell out all this coin JUST to be the local electric utility. . .
Which we don't in DC. Well, we have Ms Norton, who gets to vote
in committees, but that's it. No senators, no real congressperson.
Where's Teddy Roosevelt when you need him?
Only crack the nuts that crack. You don't put the ones that don't crack in the sack.
Why would an oil company buy a soda/restaurant company?
Exelon buying Pepco means that nearly all the aging GE BWR nuclear plants (that had their licenses to operate extended decades past their planned end of life) are owned by the same company now. That company has consistently failed to put aside decommissioning costs as originally required by law (but, now, forgiven by the same administration that extended the licenses, and no longer required). The end game is a nuclear accident at whichever plant fails first, followed by a taxpayer bailout that will make the funds being spent to fix TEPCO's Fukushima blunder look like chump change. These guys are seriously planning to get rich off of a nuclear accident. Not kidding. They've gone well out of their way to arrange for one to happen, by cutting staff and maintenance at plants that make Fukushima look like a model of safe operation. Thanks to the Cheney energy policy, they literally cannot lose.