Eversource 2009 Annual Report Download - page 28

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In addition, global climate change issues have received an increased focus from federal and state governments, which could potentially
lead to additional rules and regulations that impact how we operate our business, both in terms of the power plants we own and operate
as well as general utility operations. Although we would expect that any costs of these rules and regulations would be recovered from
customers, their impact on energy use by customers and the ultimate impact on our business would be dependent upon the specific
rules and regulations adopted and cannot be determined at this time. The impact of these additional costs to customers could lead to a
further reduction in energy consumption resulting in a decline in electricity and gas sales in our service territories, which would have an
adverse impact on our business and results of operations, financial position and cash flows.
Any failure by us to comply with environmental laws and regulations, even if due to factors beyond our control, or reinterpretations of
existing requirements, could also increase costs. Existing environmental laws and regulations may be revised or new laws and
regulations seeking to protect the environment may be adopted or become applicable to us. Revised or additional laws could result in
significant additional expense and operating restrictions on our facilities or increased compliance costs which may not be fully
recoverable in distribution company rates. The cost impact of any such laws, rules or regulations would be dependent upon the specific
requirements adopted and cannot be determined at this time. For further information, see Item 1, Business - "Other Regulatory and
Environmental Matters" in this Annual Report on Form 10-K.
As a holding company with no revenue-generating operations, NU parent is dependent on dividends from its subsidiaries,
primarily the regulated companies, its bank facility, and its ability to access the long-term debt and equity capital markets.
NU parent is a holding company and as such, has no revenue-generating operations of its own. Its ability to meet its financial
obligations associated with the debt service obligations on its debt and to pay dividends on its common shares is primarily dependent on
the earnings and cash flows of its operating subsidiaries, primarily the regulated companies; the ability of its subsidiaries to pay
dividends or to repay funds due NU parent; and/or NU parent’s ability to access its credit facility or the long-term debt and equity capital
markets. Prior to funding NU parent, the regulated companies have financial obligations that must be satisfied, including among others,
their respective debt service, preferred dividends (in the case of CL&P) and obligations to trade creditors. Additionally, the regulated
companies could retain their free cash flow to fund their capital expenditures in lieu of receiving equity contributions from NU parent.
Should the regulated companies not be able to pay dividends or repay funds due to NU parent or if NU parent cannot access its bank
facilities or the long-term debt and equity capital markets, NU parent’s ability to pay interest and dividends would be restricted.
Item 1B. Unresolved Staff Comments
We do not have any unresolved SEC staff comments.
Item 2. Properties
Transmission and Distribution System
As of December 31, 2009, our electric operating subsidiaries owned 31 transmission and 432 distribution substations that had an
aggregate transformer capacity of 4,462,000 kilovolt amperes (kVa) and 29,811,000 kVa, respectively; 3,098 circuit miles of overhead
transmission lines ranging from 69 KV to 345 KV, and 433 cable miles of underground transmission lines ranging from 69 KV to 345 KV;
34,935 pole miles of overhead and 2,999 conduit bank miles of underground distribution lines; and 538,032 underground and overhead
line transformers in service with an aggregate capacity of 36,968,352 kVa.
Electric Generating Plants
As of December 31, 2009, PSNH owned the following electric generating plants:
Type of Plant
Number
of Units
Year
Installed
Claimed
Capability*
(megawatts)
Total - Fossil-Steam Plants (5 units) 1952-74 932
Total - Hydro-Conventional (20 units) 1901-83 71
Total – Biomass – Steam Plant (1 unit) 1954 46
Total - Internal Combustion (5 units) 1968-70 103
Total PSNH Generating Plant (31 units) 1,152
* Claimed capability represents winter ratings as of December 31, 2009. The combined nameplate capacity of the generating plants is
approximately 1,200 MW.
Neither CL&P nor WMECO owned any electric generating plants during 2009.