PUC Texas rejects Oncor/NextEra merger

PUC Texas issued its final order, rejecting the company’s proposed merger. The Commission reports that based on the evidence and testimony presented in the case, the proposed merger is not in the public’s interest. Specifically stating that NextEra would subject Oncor to new and potentially substantial risks; including debt from the proposed transactions, the total amount of consolidated debt at NextEra Energy would be about $45 billion, and Oncor would be required to support about 15% of it. Furthermore, the Commission notes that, “the tangible benefits to Texas ratepayers would do little to compensate ratepayers for the additional risks imposed.”