Delaware PSC approves merger between Exelon and Pepco

The Delaware Public Service Commission has issued an order approving the merger between Exelon Corporation and Pepco Holdings Inc. upon the terms set forth in the parties’ application, as amended by the Amended Settlement Agreement filed with the PSC April 7.

This action follows the PSC’s deliberations May 19, when the PSC voted to approve the Amended Settlement Agreement. The order approves the merger and authorizes the consummation of the merger. A further order with the PSC’s specific grounds for approval will follow at a later date. The companies announced their proposed merger April 30, 2014, and submitted their application to merge to the PSC June 18, 2014.

The Amended Settlement Agreement was filed by Exelon, PHI and Delmarva Power April 7, and signed by PSC staff, the Delaware Public Advocate, the Department of Natural Resources and Environmental Control, the Delaware Sustainable Energy Utility, the Mid-Atlantic Renewable Energy Coalition and the Clean Air Council. The terms provide more than $42 million in direct benefits, deliver significant economic benefits to Delaware and Delmarva Power customers, promote energy efficiency, increase reliability, support workforce development and promote the public interest.

The merger will bring together Exelon’s three electric and gas utilities - BGE, ComEd and PECO - and Pepco Holdings’ three electric and gas utilities -Atlantic City Electric, Delmarva Power and Pepco - to create the leading mid-Atlantic electric and gas utility.

The merger still requires approval by the Public Service Commission of the District of Columbia.

The companies expect to complete the merger in the second or third quarter of 2015. For more information about the merger go to www.phitomorrow.com.