Governor Healey, New England Governors Sound Alarm Over Proposed Energy Merger

 Governor Healey, New England Governors Sound Alarm Over Proposed Energy Merger

States call for close federal scrutiny of proposed NextEra-Dominion merger and potential impacts on costs, competition, and reliability

BOSTON – Today, Governor Maura Healey joined other New England states in raising serious concerns about NextEra Energy’s proposed acquisition of Dominion Energy and its impact on costs. If approved, the merger would give the company significant control over energy resources in New England and across the country. In New England, the combined company would own the region’s two remaining nuclear power plants that supply nearly a quarter of New England’s electricity. 

The states, through the New England States Committee on Electricity (NESCOE), are calling for careful federal review of the merger and its potential impacts on electricity costs, competition, and reliability.

“I have serious concerns about the impacts of the NextEra-Dominion merger on families and businesses that are already paying too much for energy,” said Governor Healey. “NextEra has a troubling record of driving up energy bills and preventing Massachusetts from building the energy infrastructure we need to power our communities. This merger would give this company tremendous leverage over our energy future. Federal regulators need to closely scrutinize what this would mean for customer bills, competition, and the reliability of our energy system. My administration will be intervening at the federal level to defend our communities from higher energy bills.”

In the joint statement, New England states called out both companies for past actions that drove up energy costs in the region. NextEra spent $20 million to block the New England Clean Energy Connect transmission line, delaying the project for years. The Maine Ethics Commission ultimately fined two opposition groups for failing to disclose NextEra’s financial backing. Further, a NextEra subsidiary was ordered to refund millions after charging ratepayers for a proposed transmission project that was never built. Additionally, Dominion Energy pressured Connecticut to enter into a long-term agreement after threatening to close Millstone Power Station.

The Massachusetts Department of Public Utilities (DPU) and the Attorney General’s Office have both filed motions to intervene in the Federal Energy Regulatory Commission (FERC) proceeding overseeing the merger. The Healey-Driscoll Administration is working with NESCOE on next steps.

“On behalf of Massachusetts ratepayers, my office is closely reviewing this proposed merger and evaluating its potential impact on retail ratemaking, resource adequacy, and wholesale market operations,” said Attorney General Andrea Joy Campbell. “The size and scope of these companies' existing portfolios, along with their historical business practices, raise significant questions. My office intends to participate in the open FERC proceeding and continue to advocate before federal regulators to protect the interests of Massachusetts residents.”