Ohio AG files to block FirstEnergy $102 million payout

(Reuters) - Ohio Attorney General Dave Yost said on Thursday he filed here an injunction seeking to prevent power utility FirstEnergy Corp. from collecting $102 million in profits via a provision in the state's nuclear subsidy law, House Bill 6(HB6 here).

A mechanism within HB6 “that only applied to FirstEnergy... allowed the company to match its record-high income level from 2018 every year going forward regardless of how much electricity it sold anytime in the next decade,” the AG’s office said in a statement.

The injunction was filed with the Franklin County Common Pleas Court, the statement said, adding that the $102 million would be in “addition to the $150 million nuclear bailout also in HB6 that Yost stopped last month.”

“We are reviewing the filing, and have no further comment at this time,” a FirstEnergy spokeswoman said.

Last year, Ohio politicians proposed new legislation that could remove or reduce the nuclear subsidies in HB6, in an effort to undo damage done by an alleged bribery scandal.

Reporting by Bharat Govind Gautam in Bengaluru; Editing by Dan Grebler