Pepco, Exelon to appeal D.C. merger rejection
Pepco and Exelon will press an appeal to the D.C. Public Service Commission to reconsider their proposed $6.4 billion merger following last week’s rejection by the three-member regulatory panel.
“We remain convinced the decision fails to recognize the substantial immediate and long-term benefits of our merger proposal to citizens, businesses and communities in the District of Columbia,” the two utilities said in a joint statement Monday. “We believe our merger proposal is in the public interest, and we will continue working to complete the merger, which all other jurisdictions have approved.”
The companies did not detail their next step, but they have 30 days from Thursday of last week to file a petition to the PSC for reconsideration. Once the commission receives the filing, it has 30 days to grant or deny the request. The commission can also do nothing, which is essentially a denial, according to a spokesman.
If the PSC agrees to take up the reconsideration, it typically will detail the next steps in its response.
A spokesman for Pepco Holdings declined to comment.
The utilities may appeal to the D.C. Court of Appeals, but not before they exhaust their avenues with the city regulator. They can also file a new application with the PSC.
The merger has been approved by the Federal Energy Regulatory Commission; the Justice Department; and regulators in Maryland, Delaware and New Jersey. But opponents in the District have dug in.