OPC Seeks Reconsideration of Pepco/Exelon Merger Decision

 

PRESS RELEASE

 

For Immediate Release: Friday, April 22, 2016

Contact: Doxie A. McCoy, Public Information Officer, (202) 261-1180, This email address is being protected from spambots. You need JavaScript enabled to view it.(This email address is being protected from spambots. You need JavaScript enabled to view it.)

People's Counsel Mattavous-Frye Calls PSC Approval Legally Flawed

Washington, D.C. - The Office of the People’s Counsel (OPC) today filed an application asking the D.C. Public Service Commission (PSC/Commission) to reconsider its March 23, 2016 approval of the Pepco/Exelon merger. People’s Counsel Sandra Mattavous-Frye said the decision is critical not only for the outcome of this case, but for future cases going forward. "As the energy regulatory landscape is rapidly evolving and a number of important policy issues will have to be made, I will use the full breadth of my authority to ensure the Commission’s process affords all parties the full opportunity to have their positions considered."

In the application for reconsideration, Mattavous-Frye requested the Commission to either reopen the record in the case and permit all parties an opportunity to comment on its decision as is required by the PSC’s rules, or alternatively reject the joint applicants’ unilateral request for the adoption of new merger terms as being procedurally improper. 

"I strongly believe that the manner in which the decision was reached was legally flawed. If the flaws in this order are not corrected, it will erode the trust and confidence of consumers and all parties that practice before this Commission," said Mattavous-Frye.

After rejecting the original merger application by Pepco and Exelon, OPC supported the proposed October 2015 settlement agreement because, among other benefits, residential consumers would have received a rate increase credit through March 2019. Unfortunately, the Commission significantly reduced that benefit and opened the door for consumers to be hit with a Pepco rate hike as early as the latter part of this year. “This is not the outcome for which I negotiated," Mattavous-Frye said.

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