FAIRMONT, W.Va. — The state Public Service Commission could approve a settlement agreement on FirstEnergy’s bid to buy a remaining 80 percent stake in the Harrison Power Station by next month, giving Mon Power complete control of the power generated there.
That proposed settlement agreement was announced Wednesday.
If approved, Mon Power will have clearance to buy the rest of the Harrison Power Station, a 1,984 megawatt coal fired plant, from Allegheny Energy Supply for $1.1 billion.
“This (give us) 100 percent ownership of Harrison which will allow us to have enough generation to cover any additional growth for years to come and there will actually be an excess of electricity that we’ll be able to sell and everything that we sell will go back to rate payers,” said Mon Power Spokesperson Todd Meyers.
With the deal, he said the average residential customer’s bill will be reduced by 1.5 percent while ensuring Mon Power has adequate resources to meet anticipated load growth in the coming years.
Those who have signed on to the agreement include PSC staff members, the PSC’s Consumer Advocate Division, the West Virginia Energy Users Group, the West Virginia State Building and Construction Trades Council and several different organizations with the AFL-CIO.
“I hope folks see it like I do, as a reasonable compromise on a very hard fought case and, hopefully, it will generate some long run benefits for customers in the future,” said Consumer Advocate Byron Harris.
FirstEnergy is the parent company of both Mon Power and Potomac Edison.
In the proposed settlement, FirstEnergy has agreed to add 50 jobs to the payroll, provide $2.3 million in economic stability credits for large commercial and industrial customers to help the economy and contribute to the Dollar Energy Fund, the West Virginia Office of Economic Opportunity and the Governor’s West Virginia Kids First Initiative.
Harris said there are also increased energy efficiency requirements and requests for the company to look outside of FirstEnergy to meet additional capacity needs in the future.
FirstEnergy officials have requested a decision from the PSC on the proposed settlement agreement by August 30. The Federal Energy Regulatory Commission has already approved the proposed transaction.