FirstEnergy Corp
FE
Utilities
4
exclusion reasons
2 themes
FirstEnergy Corp is screened out under 4 exclusion reasons spanning 2 issue categories.
This page is part of our public exclusion list — a transparency tool that shows which companies we screen out and why. It is not investment advice, and it is not an accusation. It is a statement of values.
FirstEnergy Corp operates a generation fleet that is approximately 56% coal-fired, making coal its dominant fuel source for electricity production. The company’s unregulated subsidiary, FirstEnergy Ventures Corp., historically held interests in coal mining and transportation operations, including a stake in the Bull Mountain Coal Mine marketed through its Global Coal Sales Group.
The company’s reliance on coal was central to a major political corruption scandal in Ohio. In 2021, FirstEnergy entered a deferred prosecution agreement with the U.S. Department of Justice, admitting it paid $60 million in bribes to secure the passage of Ohio House Bill 6. This tainted legislation levied charges on Ohioans' electric bills to bail out the company’s aging coal and nuclear plants. In November 2025, Ohio regulators ordered FirstEnergy to pay a $250 million penalty for its role in the scheme, citing evidence that company spending to support the bill could not be traced to legitimate business purposes.
While FirstEnergy has announced aspirations to reduce operational greenhouse gas emissions, its generation mix remains heavily dependent on coal, with no announced plan for a full phase-out of its coal-fired plants.
FirstEnergy Corp has accumulated $213.7 million in environmental penalties across 43 enforcement records documented by ViolationTracker. This includes a 2019 federal court ruling that denied the company’s attempt to evade responsibility for a toxic coal ash site in Pennsylvania, holding it liable under the Superfund law (CERCLA) for cleanup costs. The company’s environmental record is further defined by its role in a catastrophic coal ash spill at the Little Blue Run impoundment, which regulators found resulted in the release of 1.5 million tons of toxic material — at least 30 times more than initially reported — contaminating local waterways and groundwater.
The company’s operational conduct has repeatedly drawn legal action for environmental damage. New York State Electric & Gas sued FirstEnergy under CERCLA to recover costs for cleaning up hazardous substance contamination. While the 2025 $250 million penalty from Ohio regulators was specifically tied to the HB6 political corruption scandal, the scale of the penalty underscores a pattern of systemic governance failures that enable environmental and community harm.
FirstEnergy Corp is an electric utility holding company whose generation fleet remains heavily reliant on fossil fuels. As of its most recent reporting, approximately 60% of its owned generation capacity is coal-fired, with additional natural gas and oil resources. The company's primary subsidiaries are regulated utilities that serve customers in Ohio, Pennsylvania, New Jersey, Maryland, and West Virginia.
The company's operations have been central to a major political corruption scandal in Ohio. In 2020, federal prosecutors revealed a $60 million bribery scheme where FirstEnergy funneled funds through dark money groups to secure the passage and defense of House Bill 6, a billion-dollar bailout for the company's uneconomic coal and nuclear plants. This led to a deferred prosecution agreement with the U.S. Department of Justice. In November 2025, Ohio regulators ordered FirstEnergy's utilities to pay over $250 million in penalties and customer refunds related to the HB 6 scandal, citing a pattern of violations and improper spending that could not be traced to legitimate utility purposes.
While FirstEnergy has announced a goal to achieve carbon neutrality by 2050, its near-term generation mix and capital investments remain tied to fossil fuel infrastructure. The company's historical conduct demonstrates the use of political influence to protect fossil fuel assets, and its current transition trajectory lags behind sector peers.
Research Sources
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Companies appear on our exclusion list based on our investment judgment — not because they've done anything illegal. This is a difference of values and opinion, not an accusation of wrongdoing. Exclusion does not constitute a recommendation against investing in any company, and absence from the list does not constitute a recommendation to invest.
This information is provided for educational and transparency purposes only and should not be relied upon as investment advice. Data is drawn from independent watchdogs, NGOs, government registries, and Ethical Capital's ongoing research — see Research Sources for the full list.
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