PPL closes on deal to buy rebranded Rhode Island Energy
One day after clearing the final regulatory hurdle, PPL Corporation closed on its acquisition of Narragansett Electric Company from National Grid.
The deal is valued at approximately $3.8 billion. With the purchase, the Narragansett Electric Company will now be known as Rhode Island Energy, reflecting both the company’s commitment to Rhode Island and its pursuit of a cleaner energy future.
“We are pleased to welcome the Rhode Island Energy team into the PPL family of companies, and we consider it an absolute privilege to serve the energy needs of Rhode Islanders,” PPL President and CEO Vincent Sorgi said. “Since announcing the acquisition in March 2021, we have been working closely with key stakeholders and National Grid in an effort to facilitate a smooth transition of services and to strengthen our understanding of the needs of customers in these communities. We are excited to bring to Rhode Island our proven operating model, which emphasizes innovation, customer service, and reliability.”
The deal includes a two-year transition services agreement with National Grid to provide continuity of operations as Rhode Island Energy transitions to PPL systems and processes. The company will be led by a Rhode Island-based president and leadership team with more than 1,100 Rhode Island employees. Further, PPL is establishing a control center in Rhode Island for the state’s electric and gas operations, as well as a new customer call center.
“No job we do will be more important than delivering for our Rhode Island customers, and we’re pleased to have an experienced team comprised of PPL and former National Grid employees that is committed to providing exceptional service,” Dave Bonenberger, president of Rhode Island Energy, said. “The PPL name may be new here in Rhode Island, but our companies have been providing essential energy services to customers in Pennsylvania and Kentucky for over 100 years. We’re committed to delivering safe, reliable, and affordable energy while advancing a cleaner energy future in all of the communities we serve.”
PPL, based in Allentown, Pa., provides energy to 3.5 million customers in the U.S. Rhode Island Energy provides electricity and natural gas to over 770,000 homes and businesses in Rhode Island.
As Daily Energy Insider reported yesterday, PPL received clearance from the Rhode Island Superior Court this week to buy the Narragansett Electric Co. from National Grid USA. This final regulatory hurdle paved the way to close this deal on May 25.
