Photo by nevermindtheend.

A little more than a week after the D.C. Public Services Commission revised the terms for the proposed merger between Pepco and Exelon, throwing the $6.8 billion deal into question, the companies today filed papers to save the merger.

The PSC’s changes to the settlement centered on how the city would distribute $78 million in funds to ratepayers—specifically, $25.6 million to freeze rate hikes. Pepco and Exelon offer three separate approaches in the filing, which they say in a release will “offer the Commission considerable flexibility in determining how the funds are allocated to ensure the merger is in the public interest.”

When the PSC first issued the new terms after rejecting the settlement brokered with Mayor Muriel Bowser, D.C. Attorney General Karl Racine, the Office of the People’s Counsel, and more, analysts said the changes seemed minor, and that the companies all but cleared the final hurdle to their merger.

After looking at the new terms, though, the Office of the People’s Counsel, followed by the mayor, Racine, D.C. Water, and others all withdrew their support.

“The PSC’s counterproposal guts much needed protections against rate increases for D.C. residents and assistance for low-income D.C. rate payers. That is not a deal that I can support,” Bowser said.

Pepco wasn’t willing to throw in the towel just yet, noting last week that it was still having conversations with D.C. government, despite activists calling for a permanent end to merger discussions.

And the filing today makes clear that Pepco and Exelon would be game for either the settlement brokered with the Bowser administration, which the PSC rejected, or the PSC’s revised terms, which do not have the support of settling parties in D.C. government. It also introduced a third way: moving a portion of the total customer benefits into a $45.6 million fund, part of which would freeze rates until March 2019 and part of which the PSC could allocate at its discretion.

The filing asks for a ruling from the PSC by April 7 “so as not to delay the delivery of the merger’s significant benefits to District residents,” according to the release.

Activists have long questioned whether the merger would benefit ratepayers.

But Ward 3 Councilmember Mary Cheh—a staunch opponent of the merger—told DCist last week she was reticent to call the deal dead just yet. “I don’t want to underestimate money, power, and influence,” she said.