Overloaded PSC could delay utility company merger. (Wisconsin Public Service Commission; Wisconsin Energy Corp.)

A regulatory bottleneck could delay plans by Wisconsin Energy Corp. to merge its electric and natural gas utilities.

The state Public Service Commission (PSC) must review and approve Milwaukee-based Wisconsin Energy's Gas Co. into Wisconsin Electric Power Co. (WEPCO). The merger was announced Jan. 24.

Wisconsin Energy officials, who have not filed a merger application with the PSC, may have to cool their heels as regulators tend to other matters.

"In itself, I don't think it's a very big case. But at the moment, we are jammed," said Barbara James, the PSC's electric utility chief counsel.

Electric utility matters occupying PSC staff time this year include: a legal battle initiated by WEPCO over an independent power plant; an independent power plant deal for Wisconsin Public Service Corp.; repairs …