SCANA Corp. is being acquired by Virginia-based utility

SCANA Corp. is being acquired by Virginia-based utility

The CEO of a Virginia-based energy company that wants to buy an imperiled SC utility today said the $14.6 billion deal is "unprecedented in the benefits it provides customers".

Dominion and SCANA said, however, that they will now seek approval from the Public Service Commission of SC for an immediate resolution to the withdrawn V.C. Summer expansion.

In addition to a $1.7 billion writeoff of nuclear costs, the company proposes a $1.3 billion payment to SCE&G customers, amounting to about $1,000 for the average residential ratepayer. The company said the loss will never be collected from customers.

The average residential customer will get a $1,000 payment and a 5 percent reduction in power bills, Farrell said.

Scana, which owns the South Carolina Electric & Gas Co (SCE&G), has been under pressure since it scrapped its VC Summer nuclear project after spending about $9 billion on it. Finally, even SCANA customers in SC - myself included - win, since we'll enjoy lower electricity rates and can recoup some of the costs we've paid toward the failed project.

The plant was originally estimated to cost less than $12 billion, but mismanagement and problems with reactor design from contractor Westinghouse pushed final cost estimates to $25 billion. The transaction values the company at $7.9 million, or $14.6 billion after including the debt that Dominion will assume as part of the deal.

The deal, Dominion said, would increase its target for compounded annual earnings-per-share growth to 8% through 2020, up from a 6% to 8% expected growth rate. The proposal would then require that a typical customer continue to pay 13% of their monthly bill for a period of 20 years, with full profits on the remaining abandoned nuclear project costs.

State and federal utility regulators will need to approve the deal before it's final.

The nuclear project's failure has cost executives of the two companies their jobs.

Friends of the Earth issued its release Wednesday in response to plans by Dominion Energy to acquire SCANA.

SCANA Corporation will continue to operate out of its current headquarters in SC after the deal closes.

Environmentalists say a deal to acquire a troubled SC utility "falls far short of protecting ratepayers" from absorbing costs of a failed nuclear construction deal.

A Virginia-based power company is buying SCANA. "There is more work to be done, but today, we are headed in the right direction". Following the merger, SCANA will operate as a subsidiary of Dominion Energy and retain its SC headquarters.

On Tuesday, Santee Cooper announced without explanation that board chairman Leighton Lord had resigned his position as of December 29.