The Wells Fargo Daily Transmission: CMS, UTL, POR/NWN/AVA/IDA, Coal, OR/DCs, ED, UGI, DUK, HTO, Data Centers / PJM

Research evidence excerpt

The Wells Fargo Daily Transmission: CMS, UTL, POR/NWN/AVA/IDA, Coal, OR/DCs, ED, UGI, DUK, HTO, Data Centers / PJM

The Wells Fargo Daily Transmission: CMS, UTL, POR/NWN/AVA/IDA, Coal, OR/DCs, ED, UGI, DUK, HTO, Data Centers / PJM Equity Research

• The Gas Utilities and POR both argue complex items like PIMs (Performance Incentive

Mechanisms), ESMs (Earnings Sharing Mechanisms), and TotEx (Total Expenditure

accounting) should be deferred/narrowed in Phase 2, with any ESM (Earnings

Sharing Mechanism) designed symmetrically and PIMs developed after baseline MRP

structure is established

• Docket: AR 676

Wells Fargo Takeaway: Oregon’s MRP framework is still constructive in concept, but the

final value/risk balance for POR, NWN, AVA, and IDA will depend on whether Phase 2 allows

sufficient capital recovery tools and avoids overly rigid earnings/performance constraints.

Coal – Trump expected to announce ~$700M coal support package

• The Trump administration is expected to announce ~$700M of coal-sector support,

including $425M for 13 existing coal plants using Defense Production Act authority

• The package also includes $75M for a coal export terminal in California and $185M of

DOE grant funding to build two new coal plants in Alaska and West Virginia and restart

a plant in Maryland

• The announcement is expected at a Thursday Oval Office event and follows the

administration’s broader push to frame coal as a reliability resource despite long-term

declines in U.S. coal generation

• More HERE

Wells Fargo Takeaway: FYI, the broader signal is consistent with federal policy prioritizing

resource adequacy and dispatchable generation, which could modestly support coal-retention

economics at the margin while complicating state decarbonization timelines.