Texas Energy says it won't push TXU debt on transmission side
Texas Energy Future Holdings Limited Partnership, a holding company formed by Kohlberg Kravis Roberts & Co., Texas Pacific Group and other investors to acquire TXU Corp., agreed last month to buy TXU for about $32 billion.
At the time, the partnership said it would assume more than $12 billion in debt. Then last week, TXU disclosed that its purchasers have lined up $24.6 billion in debt financing to complete the deal.
Texas Energy Future Holdings said once the TXU transaction is completed, it will create three separate businesses focusing on generation, transmission and distribution. Investors say the competitive generation and retail businesses will be able to support the debt related to the transaction.
"There will be no new debt at TXU Electric Delivery to fund this transaction. There is no basis for rates at TXU Electric Delivery to increase as a result of the transaction. In fact, the Texas Public Utility Commission will continue to have complete authority over TXU Electric Delivery rates," Michael MacDougall, a partner at Texas Pacific Group, said recently.
David Bonderman of Texas Pacific met with Dallas Mayor Laura Miller and others who opposed TXU's initial plans to build 11 coal-fired power plants.
"We decided that we would all work together and continue the dialogue," Miller said after the meeting.
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VANCOUVER - The new B.C. premier announced on Friday morning families and small businesses in B.C. will get a one-time cost of living credit on their BC Hydro bill this fall, and a new B.C. Affordability Credit in January.
Eby focused on the issue of affordability in his speech following being sworn in as B.C.’s 37th premier.
A BC Hydro bill credit of $100 will be provided to all eligible residential and commercial electricity customers, including those who receive their electricity service indirectly from BC Hydro through FortisBC or a municipal utility.
“People and small businesses across B.C. are feeling the squeeze of…
