Portland General Electric agreed on 17 February to acquire PacifiCorp's Washington state generation, transmission and electric utility operations for $1.9bn.
Why Portland General Electric Company is buying PacifiCorp (Washington utility operations)
PGE said the deal adds scale and diversification into a constructive regulatory jurisdiction, with room to invest in resilience, transmission and clean energy and to serve industrial load growth; it expects its customer base to rise about 15% to roughly 1.1 million and its 2026 rate base by 18% to $9bn, Utility Dive reported. PacifiCorp chief executive Darin Carroll said the sale would better align costs and obligations across its multistate territory after diverging state policies put pressure on its finances and credit ratings.
Deal terms and financing
PGE acquires the Chehalis gas plant (477MW), the Goodnoe Hills wind facility (94MW), the Marengo I and II wind facilities (234MW), 4,500 miles of lines and local operations across 2,700 square miles. Manulife Infrastructure Fund III and affiliates, including John Hancock Life Insurance, will own 49% of the new Washington utility subsidiary. Financing comprises about $600m of Manulife equity, about $600m from a potential PGE holding company and about $700m of secured debt at the Washington utility. PGE would owe PacifiCorp a $35m fee if the deal is terminated in certain circumstances.
Regulatory approvals and timing
The deal needs approval from the Washington Utilities and Transportation Commission, the Oregon PUC, FERC, several other state commissions and US antitrust clearance. PGE filed with the WUTC on 30 March and the OPUC on 2 April 2026, and with FERC on 15 July, requesting a FERC decision by 15 December 2026; closing is expected about 12 months after the filings, according to its second-quarter 10-Q.
Market context
PacifiCorp is a Berkshire Hathaway Energy subsidiary serving customers across six western states. PGE serves nearly 960,000 customers in Oregon and said Washington and Oregon customers would not bear the costs of the acquisition or its financing.
