COLUMBUS, Ohio — One of Ohio's largest natural gas providers is now under new ownership.
The Public Utilities Commission of Ohio announced Wednesday that Dominion Energy of Ohio (also known as the East Ohio Gas Company) has been sold to Enbridge Elephant Holdings LLC as part of a reported multi-billion-dollar transaction. Enbridge Elephant Holdings is the American subsidiary of Enbridge Inc., a Canadian-based energy company that described itself as "North America's largest natural gas utility by volume."
Enbridge and Dominion first announced the deal last September, which also included Dominion subsidiaries Questar Gas in Utah as well as the Public Service Company of North Carolina. Per Reuters and multiple other outlets, Enbridge agreed to buy the providers for $14 billion, including debt.
"Adding natural gas utilities of this scale and quality, at a historically attractive multiple, is a once-in-a-generation opportunity," Enbridge President and CEO Greg Ebel said in a statement last summer. "The transaction also reinforces our position as the first-choice energy delivery company in North America."
PUCO approved the sale on Wednesday, ruling that East Ohio Gas "will continue to have the managerial, technical and financial capability to provide safe, reasonably-priced and adequate natural gas to Ohio customers and that customers of Dominion Energy Ohio will continue to receive uninterrupted natural gas service." Enbridge has also promised to "not recover any costs of the transaction from customers."
Dominion Energy Ohio currently provides services to more than 1.2 million households across 35 counties in the state, including Ashland, Ashtabula, Carroll, Cuyahoga, Geauga, Holmes, Lake, Medina, Portage, Stark, Summit, Trumbull, Tuscarawas, and Wayne. Enbridge offered the following statement to 3News through Dominion:
"We are pleased to confirm that Enbridge has completed the regulatory process for the purchase of East Ohio Gas. We are now moving swiftly to close the transaction and will issue a news release once that step is complete. The addition of this strong Ohio-based company is a great strategic fit for Enbridge. It further diversifies our business and enhances the stable cash flow profile of our assets. We look forward to welcoming this experienced team to our family, and to continuing to offer Ohio customers the same safe, reliable service they value."
The sale will not affect Dominion's operations in other states like Virginia and Pennsylvania, among others. It is unknown when Enbridge will officially take control of East Ohio Gas.
