Eversource 2013 Annual Report Download - page 52

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NPT filed an amendment to the Transmission Services Agreement (TSA) with FERC on December 11, 2013, which was accepted by
the FERC on January 13, 2014. The TSA amendment that went into effect on February 14, 2014 extended certain deadlines to provide
project flexibility and eliminated a penalty payment for termination of the project in the future.
On December 31, 2013, NPT received ISO-NE approval under Section I.3.9 of the ISO tariff. By approving the project’s Section I.3.9
application, ISO-NE determined that Northern Pass can reliably interconnect with the New England grid with no significant, adverse
effect on the reliability or operating characteristics of the regional energy grid and its participants.
Greater Boston Reliability and Boston Network Improvements: As a result of continued analysis of the transmission needs to enhance
system reliability and improve capacity in eastern Massachusetts, NSTAR Electric expects to implement a series of new transmission
initiatives over the next five years. We expect projected costs to be approximately $440 million on these new initiatives.
Distribution Business: A summary of distribution capital expenditures by company for 2013, 2012 and 2011 is as follows:
For the Years Ended December 31,
(Millions of Dollars)
2013
2012 (1)
2011
CL&P:
Basic Business
$
60.9
$
69.2
$
166.6
Aging Infrastructure
160.7
177.8
112.3
Load Growth
76.9
65.8
59.6
Total CL&P
298.5
312.8
338.5
NSTAR Electric:
Basic Business
98.5
47.3
N/A
Aging Infrastructure
110.6
111.5
N/A
Load Growth
53.6
17.4
N/A
Total NSTAR Electric
262.7
176.2
N/A
PSNH:
Basic Business
22.7
25.3
47.7
Aging Infrastructure
50.5
50.2
25.3
Load Growth
29.3
20.2
25.8
Total PSNH
102.5
95.7
98.8
WMECO:
Basic Business
7.9
12.7
24.2
Aging Infrastructure
24.6
18.5
11.5
Load Growth
9.2
6.5
6.1
Total WMECO
41.7
37.7
41.8
Total - Electric Distribution (excluding Generation)
705.4
622.4
479.1
Total - Natural Gas
175.2
162.9
102.8
Other Distribution
0.7
0.1
1.0
Total Electric and Natural Gas
881.3
785.4
582.9
PSNH Generation:
Clean Air Project
-
22.0
101.1
Other
9.7
7.9
23.7
Total PSNH Generation
9.7
29.9
124.8
WMECO Generation
4.5
0.7
11.7
Total Distribution Segment
$
895.5
$
816.0
$
719.4
(1) Results include the electric and natural gas distribution capital expenditures of NSTAR beginning April 10, 2012.
For the electric distribution business, basic business includes the purchase of meters, tools, vehicles, information technology,
transformer replacements, equipment facilities, and the relocation of plant. Aging infrastructure relates to reliability and the replacement
of overhead lines, distribution substations, underground cable replacement, and equipment failures. Load growth includes requests for
new business and capacity additions on distribution lines and substation additions and expansions.
CL&P System Resiliency Plan: In accordance with the PURA-approved System Resiliency Plan, CL&P will spend approximately $300
million to improve the resiliency of its electric distribution system, which includes vegetation management. CL&P expects to complete
the plan in five years in two separate phases. Costs of Phase 1 of the plan, which is primarily focused on vegetation management,
totaled approximately $32 million in 2013 and is estimated to cost $53 million in 2014. Phase 2 of the plan is estimated to cost
approximately $215 million over the period from 2015 through 2017.
WMECO Solar Project: On September 4, 2013, the DPU approved WMECO's proposal to build a third solar generation facility and
expand its solar energy portfolio from 6 MW to 8 MW. On October 22, 2013, WMECO announced it would install a 3.9 MW solar
generation facility on a site in East Springfield, Massachusetts. The facility is expected to be completed in mid-2014 at an estimated
cost of approximately $15 million.