Narragansett Electric has a new name, and a new owner. Here's what else might change

PROVIDENCE — Narragansett Electric is no more.

The first order of business for PPL Corp. on Wednesday after completing the purchase of National Grid’s electric and natural gas operations in Rhode Island was a change of name. The business once known as Narragansett Electric is now Rhode Island Energy.

More: Legal settlement clears way for sale of National Grid's business in RI

“We felt it was important to demonstrate that we are a Rhode Island company serving Rhode Islanders,” David Bonenberger, president of the new company, said in an interview. “We are being inclusive of the entire state.”

Rhode Islanders may already have seen the new name and logo for the company. It’s on some service trucks. Signs at the company’s headquarters on Melrose Street in Providence will be switched over in the next few days. And the 780,000 customers in the state will start seeing changes in bill inserts and other correspondence next week.

Pennsylvania-based PPL is wasting no time after waiting longer than expected to close on the $5.3-billion transaction with National Grid and take over as the sole provider of natural gas in the state, as well as the main supplier of electricity.

The companies announced the sale more than a year ago. It’s taken this long to get here because federal and state regulators had to review the transaction and sign off.

There were further delays after the Rhode Island Division of Public Utilities and Carriers gave the key approval to the deal in February. Both Rhode Island Attorney General Peter Neronha and Maura Healey, his counterpart in Massachusetts, lodged appeals.

More: Massachusetts attorney general drops objection to sale of National Grid's RI business

It was only after settlements were reached with them – the most recent, an agreement with Neronha’s office valued at more than $200 million, announced Monday – that the sale could finally go through.

Bonenberger, a longtime PPL employee in Pennsylvania who was tapped to lead the new Rhode Island business last year, moved to Warwick last month with his wife, Francine. He spent his first official day in the Providence offices on Wednesday.

Bonenberger was set to meet with Gov. Dan McKee, House Speaker K. Joseph Shekarchi and Senate Majority Leader Michael McCaffrey in the afternoon.

The message Bonenberger would convey: “We’re here for the long term,” he said.

New call center and control room 

Beyond the rebranding, Bonenberger said Rhode Islanders will start to see bigger changes. Because National Grid operates a business in Massachusetts too, it made financial sense to share services with Rhode Island. With the sale, PPL will have to build out some of those capabilities in Rhode Island.

A customer call center will be built at a facility already owned by the company in Cumberland. A natural gas control room will also be constructed there. An electric control room will go up at a company facility in Lincoln. As for storm response, it will continue to be coordinated out of the Providence office.

The investment in the state will mean an increase in the company’s workforce, from 1,100 people today to about 1,300 by the time the transition from National Grid is complete in two years, said Bonenberger.

As to what customers can expect, Bonenberger said the company has plans to start offering the type of smart electric meters that PPL rolled out in Pennsylvania to help manage load. Rhode Island regulators, he said, are eager for changes to modernize the electric grid that will also include an advanced distribution program, but he could not offer a timeline.

Combatting climate change

Those changes would help manage demand from customers, reduce waste, and integrate more distributed sources of renewable energy – which would help Rhode Island meet targets to reduce greenhouse gas emissions set out by last year’s Act on Climate.

More: RI Gov. Dan McKee signs 'landmark' Act on Climate

“I would argue we are the best-positioned utility to help the state achieve those goals,” Bonenberger said.

Under the terms of the approval from the state utilities division, PPL committed to coming up with a report on decarbonization to support the Act on Climate within 12 months of closing. The settlement with Neronha goes a step further, requiring PPL to open up the report process and work with stakeholders in the state. The agreement also requires the company to assess Act on Climate impacts for all filings with state regulators.

In the end, the settlement, which includes debt forgiveness, a $50-million customer credit and a commitment not to pass up to $103 million in transition costs to customers, worked well for all parties, said Bonenberger.

“For us, we’re very excited,” he said. “We think we’ll be good partners for the state of Rhode Island.”

This article originally appeared on The Providence Journal: New Narragansett Electric owner PPL Rhode Island Energy