2010 Report - Pennsylvania Public Utility Commission

Allegheny Energy Inc.Allegheny Energy Inc. is a holding company with three regulated electric utility operatingcompanies, doing business as Allegheny Power, including West Penn Power Company(Pennsylvania), Monongahela Power Company (West Virginia) and The Potomac EdisonCompany (Maryland, Virginia and West Virginia), serving more than 1.5 million customers. Thecompany owns 9,730 MW of generating capacity, 95 percent of which is coal fired. See Figure 45.Figure 45 Allegheny Energy service territoryOn May 14, 2010, FirstEnergy, West Penn Power Company and TrailCo filed a joint applicationwith the Commission, at Docket No. A-2010-2176520, to obtain approval for the merger ofAllegheny Energy, Inc. with a wholly-owned subsidiary of First Energy. The combined companywill retain the FirstEnergy name and be headquartered in Akron, Ohio. If approved, thetransaction, expected to be completed early in 2011, will result in an energy provider with $16billion in annual revenues, 10 regulated EDCs operating in seven states, 20,000 miles of highvoltagetransmission lines, 24,000 MW of generating capacity and more than 2,200 MW ofrenewable energy.West Penn Power CompanyWest Penn Power Company (West Penn), doingbusiness as Allegheny Power, a subsidiary ofAllegheny Energy Inc., provides service to 714,974electric utility customers in all or portions of 24counties in Western, North and South CentralPennsylvania. In 2009, West Penn had total retailenergy sales of 20,055 GWh—down 4.7 percentfrom 2008. Industrial sales continued to dominateWest Penn's market with 36.3 percent of the total sales, followed by residential (35.4 percent) andElectric Power Outlook for Pennsylvania 2009-2014 51