Constellation Energy, the parent company of Baltimore Gas & Electric, is trying to sell itself to a Chicago-based firm in a deal that would be great for CEOs, but bad for Baltimore. That’s why Good Jobs Better Baltimore is joining the fight to stop the deal and protect BGE customers.
Constellation is trying to fold itself into Chicago’s Exelon Corp. — a merger that would create one of the nation’s biggest energy providers.
Constellation stockholders could reap a windfall from the deal. According to the Baltimore Sun, Exelon’s offer represented an 18 percent premium over what Constellation’s shares were worth the day of the announcement.
In contrast, BGE’s residential customers would get a one-time $100 credit on their utility bills if the deal goes through. That’s chump change compared to all the rate hikes BGE customers have had to shoulder over the years.
- Among major utilities, BGE has hit customers with the biggest electricity rate increase in America over the last ten years.
- Where’s our money going? To $15.7 million in compensation for CEO Mayo Shattuck III in 2010, a 44% increase.
However, the deal’s not done yet. As the Sun reports, it requires “regulatory approval, including from the Maryland Public Service Commission. [And] Constellation has had an often-strained relationship with Maryland energy regulators.”