Dominion and NextEra file merger application in Virginia 

RICHMOND, Va. — Late yesterday Florida-based NextEra Energy and Dominion Energy and filed a merger application with Virginia’s State Corporation Commission (SCC). The two energy companies announced in a May 18 press release that they would combine in an all-stock transaction to form the world’s largest regulated electric utility business by market capitalization.  

The announcement garnered immediate attention and since then questions have been raised about the impact the $67 billion deal will have on customer bills, data center development, and clean energy moving forward in states like Virginia, North Carolina, and South Carolina where Dominion has a large presence. 

In the companies’ joint press release, NextEra CEO John Ketchum highlighted plans to invest in “all-of-the-above generation,” including renewables and gas-fired generation, to meet growing power demand. 

Peter Anderson, Energy Policy Director for Appalachian Voices, said “As Virginians, we don’t want to cede decision-making for our largest electric utility to out-of-state corporate interests that won’t live with the consequences of those decisions. The companies are actually touting their combined ability to bring new gas-fired generation online, clearly indicating their intention to ignore the law’s mandate that carbon-emitting units retire by 2045 and leaving customers at risk of paying for costly, unneeded projects. The SCC must ensure that Dominion Virginia customers aren’t stuck with higher bills, unnecessary gas plants and more pollution.” 

According to law, the SCC will have at most 180-days to review the deal, a timeframe that may not be sufficient for a merger this size. Utilities regulators in North Carolina and South Carolina will also need to approve the deal, but are not bound by the same timing. 

“We, along with many others throughout the state, will be scrutinizing this proposed acquisition, which comes at an especially consequential time for Dominion customers. In the last few years, residential customer bills have risen dramatically, in large part due to data center growth and fossil fuel prices. To make matters worse, Dominion plans to meet data center demands with a massive build out of harmful methane gas power plants and potentially even new pipelines, which will burden customers higher bills, harm our health and air quality, and saddle our state with damaging infrastructure. The proposed acquisition—which based on public statements appears focused on profiting off this data center growth—raises real concerns that this deal could make these very real problems worse for Virginians, not better,” said SELC Senior Attorney Nate Benforado.