Talen Energy
| Public | |
| Traded as | TBD |
| Industry | Electric utilities |
| Founded | 2015 |
| Headquarters | Allentown, PA, USA |
Key people | Paul Farr |
| Revenue | $7.2 billion |
Number of employees | estimated - 7000 |
| Website | unknown |
Talen Energy is a proposed new electric generation company formed from the generation assets of PPL and Riverstone Holdings.[1] The Federal Energy Regulatory Commission has granted conditional approval[2] for PPL's plan to spinoff electric power generation plants and combine it with New York-based power generator Riverstone Holdings, to form a new entity called Talen Energy.[3]
FERC is concerned that the mitigation will create too large of a company that will negatively impact competitiveness concerns They offered PPL one of three options to gain their approval.[2]
- Commit to spinoff some plants to reduce total output by 2000 megawatts.
- Agree to cost plus based price controls with modest profits in certain markets.
- Submit a new plan that will elevate the agency’s competitiveness concerns.
Talen will also need approvals from Pennsylvania Public Utility Commission, the Federal Nuclear Regulatory Commission and U.S. Department of Justice before final approval.
PPL will not hold any stock in the new company.[1]
History
The new company will generate 15,320 megawatts of electricity with revenues of $7.2 billion and employ thousands of workers making it the third largest independent power producer in the country.[1][4] Their facilities will consist of nuclear, coal fired, and hydro-electric power plants.[5] Talen Energy will be listed on the NYSE[6] and renown power plant expert, Paul Farr, has been named CEO and president with headquarters, at least initially, located in The Plaza at PPL Center in Allentown, Pennsylvania.[1]
On March 11. 2015 the Pennsylvania Public Utility Commission, by a vote of 5 to 0, has given its approval.[7]
On April 23, 2015 PPL announced that it has received the final regulatory approval from the U.S. Department of Justice. The deal is now expected to be completed during the second quarter 2015.[8]
Facilities and infrastructure
Talen's largest plant will be the Susquehanna Steam Electric Station, a 2,352 MW nuclear power plant, located on the Susquehanna River seven miles (11 km) northeast of Berwick, Pennsylvania.[9][5]
References
- ↑ 1.0 1.1 1.2 1.3 Poole, Claire (June 10, 2014). "PPL, Riverstone create Talen Energy". The Street. Retrieved March 18, 2015.
- ↑ 2.0 2.1 "PPL and Riverstone Accept FERC's Additional Mitigation Measures". New York Times. January 27, 2015. Retrieved March 20, 2015.
- ↑ Kraus, Scott (December 18, 2014). "Feds sign off on PPL's Talen spinoff, with conditions". The Morning Call. Retrieved March 18, 2015.
- ↑ Bischof, Andrew (March 13, 2015). "The Talen spin-off should help reduce earnings". Morningstar. Retrieved March 20, 2015.
- ↑ 5.0 5.1 Meyer, Jon (June 10, 2014). "Rig Rollover Blocking Interstate Traffic in Schuylkill County School Closings & Delays New Owners for PPL Power Plants, What Does it Mean for Customers?". WNEP News. Retrieved March 20, 2015.
- ↑ Humber, Yuriy (June 10, 2014). "PPL, Riverstone to Create Independent Power Producer". Bloomberg Business. Retrieved March 20, 2015.
- ↑ "State PUC approves PPL merger". The News Eagle. March 11, 2015. Retrieved March 20, 2015.
- ↑ Bresswein, Kurt (April 23, 2015). "PPL Corp. electricity spinoff, Talen Energy Corp., nets final approval". The Express-Times. Retrieved April 24, 2015.
- ↑ "Pennsylvania nuclear power plants, summer capacity and net generation, 2010". US Energy Information Administation. April 26, 2012. Retrieved March 25, 2015.