Settlement Reached Among Major Parties To Allow FirstEnergy To Consolidate Pennsylvania Distribution Companies Into Single Utility; Includes Changes To Supplier Tariff

Met-Ed, Penelec, Penn Power, and West Penn Power have reached a settlement with several parties, including the Office of Consumer Advocate and industrial customers, which would approve various transactions which would merge Met-Ed, Penelec, Penn Power, and West Penn Power into a single distribution utility and default service provider, named FirstEnergy Pennsylvania Electric Company ('FE PA')

The PUC's Bureau of Investigation and Enforcement ('I&E'), the Office of Small Business Advocate ('OSBA'), Calpine Retail Holdings, LLC ('Calpine'), and the Retail Energy Supply Association ('RESA') represented that they are not opposing the settlement, the settling parties said

The merger of the EDCs does not impact the current default service plans of the EDCs

The settlement provides that FE PA will hold collaborative meetings in advance of filings for any future modifications to the EDC's regulatory-required plans or its next scheduled plan filings, including the EDC's Default Service Plan, and, in the event that PJM implements a seasonal capacity construct, any filings related to revisions to the EDC's recovery methodology concerning those capacity market changes.

The settlement would adopt a consolidated EGS supplier coordination tariff. Details on the consolidated EGS supplier coordination tariff can be seen in our prior story here

FirstEnergy said, "The distribution companies will continue to do business publicly under the existing local brand names that are familiar to customers – Met-Ed, Penelec, Penn Power and West Penn Power."

Docket A-2023-3038771 et al.