Spanberger demands rate hike freeze if Dominion Energy merger goes through

Virginia’s Governor is demanding more from the company that wants to acquire Dominion Energy, potentially creating the largest electric utility in the world.

The new demands from Gov. Abigail Spanberger are coming as state staff are recommending that regulators axe the $67 billion merger proposal altogether.

The possible merger between Dominion Energy and a Florida-based utility company called Next Era would require the approval of a state regulatory commission called the State Corporation Commission (SCC). Its staff has just recommended that the commissioners deny the merger application.

But the recommendation is just that. Ultimately, the commissioners will vote and have a mid-January deadline.

Many Virginians have expressed concerns about what this deal would mean for their already high electric bills.

Spanberger filed testimony in the merger case on Monday calling for a six-year freeze on rate hikes should the deal go through.

The companies have promised Virginians a monthly credit or rebate for the first couple of years if the deal goes through, and Spanberger says that offer needs to triple.

The governor is a legal party to this case, and News4 asked her about that Tuesday following the news that state staff are recommending this deal be shut down.

Part of her reasoning for intervening was to get a peak behind the curtain on behalf of Virginians. In terms of what she’s seeing, she said, “So far, not a deal that is good enough for Virginians is the short answer. […] I think that those concerns certainly outweigh any hopes for potential benefits that may exist.”

The SCC has a mid-January deadline to take action on the merger application. If the SCC does nothing, the deal would automatically be approved.