MGM Resorts International, Wynn Resorts, and Las Vegas Sands can end their agreements to buy energy from the state’s largest utility, so long as they pay 7 million in exit fees.
State utility regulators gave their approval to the three casino companies, which represent about 5 percent of NV Energy’s total consumption. The casinos applied to leave the utility in order to pursue more affordable and sustainable energy from solar producers, natural gas, and other sources.
NV Energy, which is owned by billionaire Warren Buffett, demanded an exit payment to offset its increased costs if the three companies and their more than a dozen casinos on the Las Vegas Strip and elsewhere left.
The Nevada Public Utilities Commission said MGM must pay $86.9 million, Las Vegas Sands $23.9 million, and Wynn $15.7 million to gain the right to buy their energy on open markets.
The casino companies did not immediately announce their intentions after the commission’s ruling, but many expect the casinos to leave the utility in early 2016.
Las Vegas Sands Vice President Ron Reese said the company is weighing its options, but is disappointed state regulators ordered state-based companies to pay so much to a utility owned by Buffett and other out-of-state interests.
