NextEra Energy announced on May 18, 2026, that it would acquire Dominion Energy in an all-stock deal valued at $66.8 billion. This acquisition would establish the largest electric utility in the United States.

The combined entity would operate a utility system spanning from Florida to Virginia. NextEra Energy controls subsidiaries, including Florida Power and Light, while Dominion Energy operates local subsidiaries in Virginia, North Carolina, South Carolina, and Utah.

NextEra Energy has invested in renewable energy projects, such as a solar farm located in Michigan. The company has also demonstrated success in deregulated energy markets through the development of large renewable energy projects. NextEra Energy employs long-term contracts designed to emulate regulated returns.

Approximately 70% of U.S. households receive their electricity from private companies, with most of these companies controlled by large holding companies. Electricity markets in 28 U.S. states are traditionally regulated, where the utility typically functions as a monopoly owning the generators, wires, poles, and meters. In these regulated markets, customers cannot select their electricity provider, and prices are determined by state regulators through negotiations with the utility companies. The pricing structure in regulated markets allows utilities to earn a profit, generally around 10%, on investments made to improve the electricity system.

In monopoly markets, utility profits are typically not derived solely from selling electricity but depend on investments in infrastructure for generating and distributing electricity. Conversely, 22 U.S. states are categorized as deregulated electricity markets. In these markets, utility profits and potential losses are not capped. Companies that own power plants compete to sell electricity on a wholesale market. Some deregulated markets feature distribution companies that purchase power from wholesalers and deliver it to customers. Additionally, in 14 U.S. states, a middleman company procures power and competes to attract customers. States initiated electricity deregulation efforts in the late 1990s.