Make us your home page

Federal regulators ask for more information to evaluate merger of Duke Energy, Progress Energy

Progress Energy's already shaky merger with Duke Energy hit another snag this week as federal regulators again questioned how the utilities plan to resolve concerns that the deal will hurt competition.

The Federal Energy Regulatory Commission said in a letter Tuesday that the agency still needs more information to evaluate the proposal the utilities' filed in March to resolve the concerns. The commission has given Progress and Duke seven days to provide more supporting data, models and benchmarks to bolster their case.

The commission twice rejected the merger deal, which would create the largest electric utility in the country, because of concerns that it would hurt competition in North and South Carolina. On March 26, Duke and Progress filed their latest plan to resolve the commission's concerns.

"We believe the planned merger continues to offer substantial benefits for our customers, shareholders and communities," Bill Johnson, chairman, president and chief executive officer of Progress Energy, said at the time of the March filing. "We are focused on securing the remaining approvals necessary to begin to deliver on the promises of this combination."

The plan proposes to increase the ability to import power from competitors into the Carolinas with seven expanded transmission projects at a cost of $110 million. The added power from other utilities would promote more market competition, Progress and Duke say.

While those transmission projects are under development, the new combined Progress and Duke company would sell power to three firms that market electricity.

The two North Carolina-based utility companies want the commission to approve the merger by June 8 so that they can gain local approval for the deal from regulators in the Carolinas before the merger agreement expires in July.

The utilities have said they are committed to completing the merger and could extend the agreement if they have not cleared all necessary regulatory hurdles.

But if the agreement expires, neither party is required to pay the costly fees associated with pulling out of the deal.

Ivan Penn can be reached at or (727) 892-2332.

Federal regulators ask for more information to evaluate merger of Duke Energy, Progress Energy 04/11/12 [Last modified: Wednesday, April 11, 2012 10:57pm]
Photo reprints | Article reprints

© 2017 Tampa Bay Times


Join the discussion: Click to view comments, add yours

  1. In your 20s and living with mom and dad? In Florida, you're not alone.

    Human Interest

    TAMPA — After graduating from the University of Florida in 2015, Gabrielle Piloto jumped on the highway and headed south to Tampa.

    Gabrielle Piloto, 22, moved home to live with her grandparents in West Tampa after graduating from the University of Florida in 2015. [MONICA HERNDON   |   Times]

  2. Senate leaders unveil bill to repeal the Affordable Care Act


    WASHINGTON — Senate Republicans, who have promised a repeal of the Affordable Care Act for seven years, took a major step on Thursday toward that goal, unveiling a bill to cut Medicaid deeply and end the health law's mandate that most Americans have health insurance.

    U.S. Senate Republicans on Thursday unveiled a proposal to repeal and replace the Affordable Care Act. The bill's chief author, Senate Majority Leader Mitch McConnell, has said "Obamacare is collapsing around us, and the American people are desperately searching for relief." [AP]
  3. Southwest Airlines to offer flights from Tampa to San Diego


    TAMPA — Southwest Airlines will offer new nonstop service from Tampa International Airport to San Diego International Airport beginning Jan. 8, 2018.

    Southwest Airlines is planning to launch service from Tampa to San Diego.
[Times file photo]
  4. Tampa Bay homes values continue to rise along with sales prices

    Real Estate

    For the second month in a row, Tampa Bay had one of the highest year -over-year increases in home values in May, Zillow reported today.

    For the second month in a row, Tampa Bay had one of the highest year -over-year increases in home values in May, Zillow reported Thursday.
[Times file photo]
  5. Busy start has Florida Hospital Center Ice dreaming big


    WESLEY CHAPEL — Opening day brought 600 doctors, administrators and their families from Florida Hospital. Soon after that, the facility hosted its first junior league game and a collegiate showdown. A few weeks later, 200 kids, ages 4 to 9, participated in national Learn to Play Hockey Day.

    Alex Senushkin and his grandson, Styopa Kulshyn, 3, of Lakeland, skate at the Florida Hospital Center Ice rink in Wesley Chapel.
[CHARLIE KAIJO   |   Times]