The Alliance for Retail Markets and the Texas Energy Association for Marketers joined a settlement agreement for Sempra Energy’s pending acquisition of Energy Future Holdings Corp., including Energy Future’s indirect, nearly 80-percent ownership of Oncor.
The Alliance for Retail Markets and the Texas Energy Association for Marketers joined the settlement with staff of the Public Utility Commission of Texas (PUCT), the Office of the Public Utility Counsel, Steering Committee of Cities Served by Oncor, and Texas Industrial Energy Consumers.
The six settling parties have agreed that the acquisition is in the public interest, meets Texas statutory standards, and will bring substantial benefits. The parties to the agreement will ask the PUCT to approve the acquisition, consistent with the governance, regulatory and operating commitments in the settlement agreement.
This settlement agreement marks a step forward for Sempra Energy’s proposed acquisition. Sempra Energy and Oncor are continuing settlement discussions with additional stakeholders.
On Aug. 21, Sempra Energy entered into an agreement to acquire EFH. In September, the U.S. Bankruptcy Court for the District of Delaware approved EFH’s entry into the merger agreement with Sempra Energy and, in October, Sempra Energy and Oncor filed a joint Change-in-Control application with the PUCT.
On Oct. 16, the PUCT set a procedural schedule to complete a review of the joint application by early April 2018, with a proposed February 2018 hearing date. On Dec. 12, the Federal Energy Regulatory Commission issued an order authorizing Sempra Energy’s acquisition of EFH, subject to customary conditions.
The EFH transaction closing remains subject to further approvals by the U.S. Bankruptcy Court and the PUCT, among other approvals and closing conditions.
Headquartered in Dallas, Oncor is a regulated electric transmission and distribution service provider, made up of about 134,000 miles of lines and more than 3.4 million advanced meters, making it the largest utility in Texas. Using cutting-edge technology, more than 3,900 employees work to safely maintain reliable electric delivery service to over 10 million Texans.