Energy giants seeking to merge say they’ll extend Virginia residents’ bill credits and add jobs
NextEra Energy and Dominion Energy, seeking approval to merge, have proposed a sweetened deal to Virginia policymakers to gain support. This includes extending residential bill credits, which would largely be paid for by ending credits for large data center customers. The proposal aims to address skepticism from the governor and legislative leaders amid concerns about data centers' impact on electric bills.
NextEra Energy and Dominion Energy are proposing a series of concessions to Virginia officials to secure approval for their planned merger. The power companies announced commitments including a new co-headquarters tower in downtown Richmond, 600 new jobs, and increased funding for workforce development. Crucially, they intend to extend a $10 monthly bill credit for residential customers from two to four years, largely by redirecting funds that would have previously gone to large data center customers.
NextEra CEO John Ketchum stated that "data centers need to pay their own way," a sentiment expressed amidst growing voter concern regarding data centers' impact on electric bills. The proposal comes as the merger, announced in May, has faced skepticism from Virginia's Democratic governor, Abigail Spanberger, who has formally intervened in state regulatory proceedings.
Legislative leaders, including House Speaker Don Scott and Senate Majority Leader Scott Surovell, viewed the proposal as a positive step. The Virginia State Corporation Commission is scheduled to hold an evidentiary hearing on the merger in mid-November. The companies anticipate the deal, which also requires approval from other states and the federal government, to close in the second half of 2027.