Press Release

PUC Initiates Fact-Finding into PGW Consolidation

Published on 1/27/2006

Filed under: Gas

HARRISBURG – The Pennsylvania Public Utility Commission today gave the go ahead for a fact-finding investigation into the issues related to the possibility of consolidating Philadelphia Gas Works (PGW) into the natural gas business of PECO’s parent company, Exelon.

“This fact-finding inquiry balances our responsibility to protect the public interest with the need to ensure the viability of utility companies,” said Commission Chairman Wendell F. Holland. “With PECO pledging its cooperation as part of its merger settlement, the door was opened for the Commission to explore the possibility of other opportunities for both the companies and their consumers.” (Chairman Holland’s Motion)

The Commission unanimously voted to begin the fact-finding investigation. As part of its merger agreement also approved today by the Commission, PECO agreed to fully cooperate with any investigation that examines issues related to a potential consolidation of the operations of PGW with Exelon.

The inquiry will be assigned to the Commission’s Office of Administration Law Judge. The fact-finding investigation is to begin 30 days following the consummation of the merger. While Commission approval of the merger is a major step in the process to complete the merger, approvals by other jurisdictions are still required and no timetable has been given for the resolution.

The Pennsylvania Public Utility Commission ensures safe, reliable and reasonably priced electric, natural gas, water, telephone and transportation service for Pennsylvania consumers, by regulating public utilities and by serving as responsible stewards of competition.

For more information about the PUC and additional press releases, visit our website at www.puc.state.pa.us.

# # #

Docket No. I-00060110

Contact:

• Press Secretary
  717-787-5722