Dominion, NextEra expand Virginia package in merger bid

(The Center Square) – Dominion Energy and NextEra Energy are offering Virginia customers more bill relief and promising new jobs and investment as they seek approval for their proposed merger.

The companies announced Monday they want to extend $10 monthly residential bill credits from two years to four years. They also added commitments for low-income assistance, jobs, workforce development and Virginia businesses.

NextEra CEO John Ketchum said the expanded package was designed around Virginia priorities, including affordability, jobs and investment.

Some credits previously planned for large-scale data center customers would instead be redirected to residential customers.

The change builds on the original merger proposal announced in May. That deal included $2.25 billion in shareholder-funded bill credits for Dominion customers in Virginia, North Carolina and South Carolina over the first two years after the merger closes.

The new Virginia package also includes another $100 million for EnergyShare, Dominion’s bill-assistance program for customers facing financial hardship. The additional funding would run through 2038.

NextEra said it would add 600 jobs in Virginia, while suppliers working with the company are expected to add about 400 more.

The companies also committed to maintaining their existing Virginia employee headcount for five years, up from 18 months of job protection in the original proposal.

Another $100 million would go toward workforce development. The companies also proposed spending up to $1 billion a year for five years through a program using Virginia contractors, suppliers and service providers.

NextEra also plans to build a new shareholder-funded coheadquarters tower next to Dominion’s existing headquarters in downtown Richmond.

Dominion Energy Virginia would keep its name and continue to be locally led and separately regulated by the Virginia State Corporation Commission.

Clean Virginia said Monday the revised package does not change the legal standard the commission must apply and argued the changes make additional review time more important.

Brennan Gilmore, the group’s executive director, said the commission should focus on whether the merger could put customers at risk of higher rates or reduced service, rather than whether the companies have assembled an attractive package of benefits.

Virginia House Republican leaders welcomed the expanded package Monday.

House Republican Leader Terry Kilgore said reliable and affordable electricity is central to household costs and pointed to the new jobs and continued investment in Virginia energy production.

House Republican Caucus Chairman Scott Wyatt said additional jobs and generation investment could help lower monthly bills and support economic growth.

The expanded commitments come as the commission continues reviewing the proposed merger.

The companies filed their application with the commission in July. Public witness testimony is scheduled for Nov. 5, Nov. 9 and Nov. 10, written comments are due Nov. 9 and an evidentiary hearing begins Nov. 17.

The commission has also ordered two additional local in-person hearings beyond the Nov. 5 hearing in Richmond as part of its review.

The merger has drawn scrutiny from lawmakers and other participants in the proceeding over customer costs, employment protections and local control.

The companies have said they expect the transaction to close in the second half of 2027 if the required regulatory approvals are received.

This post was originally published on The Center Square.

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