Mississippi regulators vote down ITC, Entergy spin-off

Entergy Corp.'s bid to spin off and merger its electric transmission business to ITC Holdings in a $1.8 billion transaction was rejected in a 3-0 vote by the Mississippi Public Service Commission.

The MPSC said it did not see a public interest in the proposed deal, adding that Entergy customers in Mississippi could see higher rates if the deal was approved.

"We are disappointed that the Mississippi commission took action today and found that the transaction is not in the public interest. We will evaluate the Mississippi commission's 99-page order and work with ITC to determine next steps," Entergy said in a statement.

The deal, which already has the approval of federal regulators as well as shareholders, would double the size of ITC Holdings' operations.

The transaction involves Entergy's 15,400-mile transmission network serving parts of Arkansas, Louisiana, Mississippi and Texas. The MPSC is just one regulatory body that would have to approve the deal, and is the first one not to approve it.

ITC and Entergy offered $77.5 million in electric rate mitigations to Mississippi customers, according to reports.

Regulators in the city of New Orleans, Arkansas, Louisiana and Texas still have to issue their final rulings on the spin-off/merger.

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now

Whitepapers

Logistics Risk Management in the Transformer Industry

Transformers often are shipped thousands of miles, involving multiple handoffs,and more than a do...

Secrets of Barco UniSee Mount Revealed

Last year Barco introduced UniSee, a revolutionary large-scale visualization platform designed to...

The Time is Right for Optimum Reliability: Capital-Intensive Industries and Asset Performance Management

Imagine a plant that is no longer at risk of a random shutdown. Imagine not worrying about losing...

Going Digital: The New Normal in Oil & Gas

In this whitepaper you will learn how Keystone Engineering, ONGC, and Saipem are using software t...

Latest PennEnergy Jobs

PennEnergy Oil & Gas Jobs