One-on-one: NextEra executive answers questions about Dominion merger

RICHMOND, Va. — With just one week until Virginia regulators begin evidentiary hearings on the proposed $67 billion merger between Dominion Energy and NextEra Energy, one of NextEra’s top executives is responding to concerns about what the deal could mean for customers.

NextEra Energy Vice Chairman Armando Pimentel sat down with CBS 6’s Taylor Locke for a 20-minute interview, addressing questions about electricity bills, proposed customer protections and a controversial document from the company’s past known as the “Robo Memo.”

Among the concerns I brought to Pimentel was one raised by Dominion customer Laura Arnett, who worries continued increases in electricity costs could eventually force families to make difficult financial choices.

“You know, at some point, if these rates continue to go up, I want to have to make a choice between feeding, clothing, or electricity,” Arnett said. “And what happens to other families that are in worse situations than I am, or households that are in worse situations? What are they going to do? I mean, at some point, we’re going to have a lot of Virginians living in the dark.”

Arnett added that she fears customers will continue struggling financially while companies benefit.

Pimentel responded by emphasizing NextEra’s commitment that Virginia customers would not pay for the costs associated with the merger.

“The customers in Virginia will not pay one cent towards this merger,” Pimentel said. “We have made that commitment to the Virginia State Commission. We’ve made that to all of the other interveners, and that is a commitment we stand by.”

Pimentel acknowledged affordability concerns expressed by Arnett and other customers and pointed to proposed bill credits as one way NextEra says the merger would benefit customers.

“We understand the affordability concerns that have been expressed by this customer and have been expressed by many others that don’t have the opportunity to sit here and talk to you or talk to me,” Pimentel said. “The bill credits are important.”

Those bill credits have become part of a growing disagreement with Gov. Abigail Spanberger.

Spanberger is calling on NextEra to increase the proposed credits to $29 a month and freeze residential base rates for six years if the merger with Dominion is approved.

Pimentel pushed back on the proposed rate freeze, arguing that delaying rate increases could result in customers facing a much larger increase once the freeze ends.

“All a rate freeze does is, okay, you don’t have to pay this year or next year or the following year,” Pimentel said. “Guess what happens? It’s like one of those credit cards with a 0% interest rate. It just accumulates and accumulates, and then when the rate freeze goes away, you’ve got a substantial increase.”

While affordability was a major focus of the conversation, I also questioned Pimentel about the so-called “Robo Memo.”

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The 2021 document was sent to then-NextEra CEO James Robo and detailed allegations involving election interference, bribery and political influence connected to the company’s Florida utility.

Pimentel said an investigation found no wrongdoing.

The document has resurfaced as part of a dispute over what regulators should consider as they decide whether to approve the Dominion-NextEra merger.

I asked how it felt to have a piece of NextEra’s past come up again during the proceedings, Pimentel defended the way the company addressed the allegations.

“Since we’re comfortable with the way that we addressed it before when it came in, including with the help of outside attorneys, and we’re comfortable with that conclusion, I can’t help that others are bringing it up at this point,” Pimentel said.

He argued the merger should instead be judged on what NextEra says it can deliver for Virginia customers.

“This combination is actually about affordability for the folks in Virginia,” Pimentel said.

When asked whether NextEra plans to make the Robo Memo public, Pimentel said the company will follow whatever the State Corporation Commission orders.

The original document remains confidential, with access restricted to intervenors.

With evidentiary hearings set to begin in the coming days, NextEra is continuing to make its case that the merger would benefit Virginians.

Ultimately, state regulators will determine whether the proposed deal includes sufficient protections for Dominion customers.

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