Dive Brief:
- Regulators in New Hampshire have opened a rulemaking to consider tightening standards which govern affiliate transactions in the state.
- The investigation follows a complaint by New England Power Generators Association (NEPGA), which charged Public Service Co. of New Hampshire (PSNH) with lending financial support to Northern Pass Transmission.
- Specific charges in the complaint were denied, and instead regulators have opened a broader rulemaking to consider changes in light of the utility industry's evolution.
Dive Insight:
The $1.4 billion Northern Pass line is designed to bring 1,200 MW of Hydro-Québec power to New Hampshire and New England, but NEPGA said a power purchase agreement being contemplated between PSNH and Hydro-Québec would be unfair support. The utility argued that because the PPA would be reviewed by state regulators, the rulemaking is unnecessary.
Regulators said the request for a rulemaking was more similar to a complaint, but Platts reported the commission said it "will nonetheless grant the request that we begin a rulemaking proceeding to consider whether [the PUC's affiliate transaction rules] should be modified in light of the continued evolution of energy markets in New Hampshire and New England, as well as our evolving role in public utility regulation."
