Exelon to pay $400K for Constellation violation

WASHINGTON — Exelon Corp. will pay $400,000 for inadvertent power trading violations during its takeover of Constellation Energy Group Inc.

The Justice Department announced the settlement Thursday. A federal judge in Washington will have to approve it before it’s final.

Exelon was required to sell three Maryland power plants to settle antitrust concerns about the $7.9 billion Constellation deal. The Justice Department says before the plants were sold, Exelon agreed to sell their power at or below cost to ensure Exelon wouldn’t be able to raise electricity rates. The Justice Department says Exelon sold power above cost, but that once it realized the sales had been made, the company notified regulators and returned the profits.

Exelon accepts responsibility for the error and adds it had little impact on the market or customers.

One comment

  1. We still have not heard how Exelon will make good on the billion dollar settlement won be the public for rate manipulation. It inherited this liability with the merger and we want to know how it will be honored.

    One would already wonder how, for example were the 3 coal fire plants included in the merger only for the profits from sale to go to Exelon rather than having Maryland sell these as payment for the billion dollars yet owed.