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Electric, $2.3 million at PSNH and $2.9 million at WMECO. These reserves were recorded as a regulatory liability in Regulatory Tracker
Mechanisms and as a reduction of Operating Revenues.
Effective June 1, 2014, as a result of damages awarded to the Yankee Companies for spent nuclear fuel lawsuits against the DOE described in Note
11C, "Commitments and Contingencies -Contractual Obligations -Yankee Companies," the Yankee Companies returned the DOE Phase II Damages
proceeds to the member companies, including CL&P, NSTAR Electric, PSNH, and WMECO, for the benefit of their respective customers. CL&P's
refund obligation to customers of $65.4 million was recorded as an offset to the deferred storm restoration costs regulatory asset, as directed by
PURA. NSTAR Electric's, PSNH's and WMECO's refund obligation to customers of $29.1 million, $13.1 million and $18.1 million, respectively,
was recorded as a regulatory liability in Regulatory Tracker Mechanisms. Refunds to customers for these DOE proceeds began in 2014.
On December 31, 2014, NSTAR Electric, NSTAR Gas and the Massachusetts Attorney General filed a comprehensive settlement agreement with the
DPU. The comprehensive settlement agreement included resolution of the outstanding NSTAR Electric CPSL program filings for the periods 2006
through 2011, the NSTAR Electric and NSTAR Gas PAM and energy efficiency-related customer billing adjustments reported in 2012, and the
NSTAR Electric energy efficiency program filings regarding LBR for the periods 2008 through 2011. If approved by the DPU, NSTAR Electric and
NSTAR Gas will be required to refund a total of $44.7 million to their respective customers, which was included in Regulatory Tracker Mechanisms
and Other Regulatory Liabilities as of December 31, 2014. For further information, see Note 11F, "Commitments and Contingencies –2014
Comprehensive Settlement Agreement."
3. PROPERTY, PLANT AND EQUIPMENT AND ACCUMULATED DEPRECIATION
Utility property, plant and equipment is recorded at original cost. Original cost includes materials, labor, construction overhead and AFUDC for
regulated property. The cost of repairs and maintenance, including planned major maintenance activities, is charged to Operating Expenses as
incurred.
The following tables summarize the investments in utility property, plant and equipment by asset category:
NU As of December 31,
 2014 2013
Distribution -Electric $12,495.2 $11,950.2
Distribution -Natural Gas 2,595.4 2,425.9
Transmission 6,930.7 6,412.5
Generation 1,170.9 1,152.3
Electric and Natural Gas Utility 23,192.2 21,940.9
Other
(1)
551.3 508.7
Property, Plant and Equipment, Gross 23,743.5 22,449.6
Less: Accumulated Depreciation
Electric and Natural Gas Utility (5,777.8) (5,387.0)
Other (231.8) (196.2)
Total Accumulated Depreciation (6,009.6) (5,583.2)
Property, Plant and Equipment, Net 17,733.9 16,866.4
Construction Work in Progress 913.1 709.8
Total Property, Plant and Equipment, Net $18,647.0 $17,576.2
(1) These assets are primarily comprised of building improvements, computer software, hardware and equipment and telecommunications assets at
NU's service company and unregulated companies.
As of December 31,
2014 2013
NSTAR NSTAR
 CL&P Electric PSNH WMECO CL&P Electric PSNH WMECO
Distribution $5,158.8 $4,895.5 $1,696.7 $784.2 $4,930.7 $4,694.7 $1,608.2 $756.6
Transmission 3,274.0 1,928.5 789.7 891.0 3,071.9 1,772.3 695.7 826.4
Generation - - 1,136.5 34.4 - - 1,131.2 21.1
Property, Plant and
Equipment, Gross 8,432.8 6,824.0 3,622.9 1,709.6 8,002.6 6,467.0 3,435.1 1,604.1
Less: Accumulated Depreciation (1,928.0) (1,761.4) (1,090.0) (297.4) (1,804.1) (1,631.3) (1,021.8) (271.5)
Property, Plant and Equipment, Net 6,504.8 5,062.6 2,532.9 1,412.2 6,198.5 4,835.7 2,413.3 1,332.6
Construction Work in Progress 304.9 272.8 102.9 49.1 252.8 208.2 54.3 48.5
Total Property, Plant and
Equipment, Net $6,809.7 $5,335.4 $2,635.8 $1,461.3 $6,451.3 $5,043.9 $2,467.6 $1,381.1
Depreciation of utility assets is calculated on a straight-line basis using composite rates based on the estimated remaining useful lives of the various
classes of property (estimated useful life for PSNH distribution). The composite rates are subject to approval by the appropriate state regulatory
agency. The composite rates include a cost of removal component, which is collected from customers over the lives of the plant assets and is
recognized as a regulatory liability. Depreciation rates are applied to property from the time it is placed in service.
Upon retirement from service, the cost of the utility asset is charged to the accumulated provision for depreciation. The actual incurred removal costs
are applied against the related regulatory liability.