Photo by Justin Hoffman
Hardly anyone is a fan of the proposed merger between energy companies Pepco and Exelon, it seems. First, dozens of organizations and advocacy groups formed Power D.C. in opposition of the merger, then things got even more political when Councilmembers Mary Cheh (D-Ward 3), Elissa Silverman (I-At Large), and Charles Allen (D-Ward 6) came out against the merger.
Now, D.C.’s most sprawling, confusing, and sometimes rowdy political landscape—Advisory Neighborhood Commissions—are opposing the merger. So far, 19 ANCs have passed resolutions against the Pepco-Exelon merger and are calling on Mayor Muriel Bowser to step up and do something about it.
“We are asking the Mayor not to settle,” Sheila Carson Carr, Chairperson of ANC 7F, said in a release. “The long-term electricity needs of our community are best met by a company that can be held locally accountable, not by a Chicago-based conglomerate that will have the financial resources to dominate DC’s legislative and regulatory process.”
Under the merger, Exelon—the largest owner of nuclear power plants in the country—would acquire Pepco for $2.5 billion more than the net book value of their assets. According to an analysis, overpaying for Pepco would then force Exelon to raise rates for customers in D.C. earn returns high enough to pay for the premium. In a recent analysis of the merger, Exelon’s business model was shown to not be too strong, which means D.C. residents’ pockets would suffer as a result, paying a lot more than they should for power.
It may seem like no one is in support of this merger, but WAMU reported that there’s a handful of local businesses that are. They argue that it could help boost the region’s energy capabilities. which is needed, considering certain events of this week.
Still, those who are opposed to it are vehemently opposed to it.
“The merger could mean that low-and-middle income, elderly, and tenants on fixed incomes will remain captive to a utility model in which they must pay more and more for electric service, leaving them less and less for rent, food, clothing, health care, and personal necessities,” ANC5B Chair Ursula Higgins also said in a release. “Who believes the DC’s Public Service Commission can regulate a giant with Exelon’s nationwide market power in electric generation, transmission and distribution? How can this be in the public interest?”