Maryland energy regulators on October 30 approved Constellation Energy Group's deal to sell half of its nuclear power business to a French utility.  The long-awaited decision comes after a year-long saga that began with the near bankruptcy of Constellation amid the financial sector meltdown last September. In December, Constellation called off its takeover agreement with billionaire investor Warren Buffett in favor of a $4.5 billion with Electricite de France. The deal with Buffett was reached after Constellation faced a severe cash shortage which forced it to find a partner.

Since then, Constellation has been working to close the transaction with EDF but has been hit with legal battles, delays and opposition by anti-nuclear groups.  The Building and Construction Trades Department in 2008 announced an agreement in principle with Constellation and the Bechtel to construct the Calvert Cliffs 3 power generation facility under the terms of the Department’s new Nuclear Construction Agreement.

"I now hope that all parties will accept this order approving the deal and move forward. Although this has been a contentious proceeding at times, the process and the law worked - and ratepayers and BGE are better off because of it. I look forward to working with Constellation and EDF and the Building Trades in the months and years ahead to move forward on the anticipated construction of Calvert Cliffs III - a new clean energy-generating asset that we hope will create thousands of jobs in our State and help to secure Maryland's energy future," said Governor Martin O'Malley.

The final hurdle in this process is the approval by the U.S. Congress of federal loan guarantees for nuclear construction.  We are hopeful that will occur within the next year.