ComEd withdraws $500M offer (to IL state gov't) for rate guarantee

[sabra]

Source: Chicago Trib

Commonwealth Edison Co. and Exelon said Wednesday afternoon they have decided not to pursue a last-minute proposal this week in which the company was offering $500 million in cash to state to fill a budget hold in exchange for guaranteed future profits on electrical rates.

ComEd and its parent company, Exelon, also offered a pledge to commit $1 billion during the next decade to projects that they estimated would create 2,000 new "green" jobs in the state.
"It would have provided funds to a state in turmoil, provided more than 2,000 jobs, invested more than a billion dollars in grid modernization and infrastructure improvements. It also would have provided customers with rate stability while preserving the right to choose market-based rates. No customer would have been required to pay above-market rates," ComEd said in a statement. "In last few days, however, it has become clear that there is not enough support in Springfield to continue pursuing this course. We acknowledge and respect the concerns many public officials have and will move on."

The proposal, which was reported in news media Tuesday after a copy of the still not-public proposal was obtained by the news organizations including the Tribune, faced opposition from several groups, including that of the state attorney general

Read more: http://www.chicagobreakingbusiness.com/2010/05/comed-retreats-for-500m-offer-for-rate-guarantee.html

[ixion]

1. "guaranteed future profits" == corporate socialism

just sayin'

[drm604]

2. I think this is called bribery.

:shrug:
Maybe that's why the AG had a problem with it?