What is Going On?

On June 11 we filed a request to change base electric distribution rates with the New Hampshire Public Utilities Commission (NHPUC).

This request is being reviewed by the NHPUC in publicly noticed proceedings, and the approved change in rates may be different from what was requested.

The last time we filed for a rate increase to base distribution rates was in 2019. Since then, we've made significant investments to improve reliability for customers and make the grid more resilient and automated.

Bill Impacts

A temporary distribution rate adjustment took effect August 1, 2024, as reviewed and approved by the NHPUC. As the regulatory process for this adjustment has continued, the original proposed temporary rate was updated. This rate can be found within the delivery portion of your electric bill.

The typical residential customer on Default Energy Service billed under Rate R using 600 kWh per month will see a total bill increase of 5.27% or $6.76.

If approved as proposed, starting August 1, 2025, residential customers will see an additional increase in distribution rates. The effect on a typical bill will be 11% or $14.77, which is a combined total bill increase over the two years of 16.82%.

You can find your rate type on page 2 of your bill. Impact will vary based on your usage.

See bill impacts for business customers.

Reasons for the Proposed Adjustment

We’ve invested more than $765 million in our New Hampshire electric distribution system over the past five years and are focused on investments that continue to improve reliability and meet the future needs of our customers.  

While costs to build and maintain the electric system and reliably serve our customers have increased, the distribution rate has not kept pace with these costs. 

To recover past investments, including expenses associated with power restoration efforts following more frequent and unpredictable extreme weather, vegetation management and upgrades to improve system reliability for all customers, distribution rates need to be adjusted.

This proposal also includes future investments that will continue to strengthen the electric system, support the aging electric infrastructure nearing end of useful life, and further enable the integration of customer solar.

Storm restoration

New Hampshire continues to experience more frequent and unpredictable extreme weather, resulting in increased damage to the system and higher costs to restore power as a result.

New Hampshire saw three of the 10 most historic storms with respect to total customer outages from December 2022 through March 2023.

Thanks in large part to our investments in distribution automation technology – like smart switches – more than half of all New Hampshire customer outages in 2023 were restored in fewer than five minutes by remote system operators, excluding storms.

Material supply chain challenges

In general, supply chain challenges for distribution system equipment have exacerbated the rising cost of materials.

Since 2019, on average, the cost of a utility pole has increased nearly 30%, the cost of a transformer has increased about 130% and the cost for a spool of distribution wire has increased nearly 50%. 

System investments

There's a continuing need to invest in the electric system to:

• Address aging infrastructure and enhance reliability
• Support increasing demand due to population growth and electrification
• Automate the grid
  

Vegetation management

As one of the most heavily forested states in the country, trees are the primary cause of power outages in New Hampshire.

In 2024 we are investing about $40 million into our comprehensive vegetation management program, compared to $27 million in 2018.