KEEGAN WERLIN

LLP

AT T OR NE YS AT L AW
99 H IGH ST REET , Su i te 2900
B OST ON, MASS ACHU SET TS 0211 0
———

TELECOPIER:

(617) 951- 1354

(617) 951-1400

April 25, 2018
Mark D. Marini, Secretary
Department of Public Utilities
One South Station, 5th Floor
Boston, MA 02110
Re:

Long-Term Contracts for Clean Energy Generation Projects Pursuant to Section 83D of
Chapter 169 of the Acts of 2008 – D.P.U. 17-32

Dear Secretary Marini:
Fitchburg Gas and Electric Light Company d/b/a Unitil, Massachusetts Electric Company
and Nantucket Electric Company, each d/b/a National Grid, and NSTAR Electric Company d/b/a
Eversource Energy (collectively, the “Distribution Companies”), wish to inform the Department
of Public Utilities (“Department”) that the Distribution Companies are in the final stages of
contract negotiation pursuant to Section 83D of the Green Communities Act, as added by
Chapter 188 of the Acts of 2016, An Act to Promote Energy Diversity (hereinafter “Section 83D”),
as further discussed below.
The Request for Proposals for Long-term Contracts for Clean Energy Projects issued on
March 31, 2017 (the “RFP”) anticipated that the Distribution Companies would submit a longterm contract or contracts for Department review and approval on April 25, 2018. As the
Department is aware, however, the Section 83D selection and contract negotiation process was
seriously impacted by severe winter weather conditions and regulatory decisions in other
jurisdictions that were outside the control of the Evaluation Team. Due to those events, the
Distribution Companies have not yet completed contract negotiations.
The Distribution Companies responded to three powerful nor’easters during the first two
weeks of March. 1 The Distribution Companies operated continuously under activated emergency
response status for sustained durations in March to restore power to affected areas. During that
time, members of the Evaluation Team were pulled from their regular business activities to respond
to the storms. As a result, the work of the Evaluation Team was severely impacted, resulting in
cancelled meetings, delayed document reviews, the absence of key technical personnel and
decision-makers, and related issues. The storm duty responsibilities of Distribution Company
personnel lasted in some cases significantly beyond the end of the storms, resulting in delays in
the contract negotiation process.

1

Governor Baker declared a State of Emergency in response to the first nor’easter on March 3, 2018. See
Governor’s Declaration of Emergency, March 3, 2018, available at:
https://www.mass.gov/files/documents/2018/03/06/StateOfEmergency-03.03.18.pdf.

 Letter Regarding Status of Section 83D Negotiations
Page 2 of 4

On January 25, 2018, it was announced that Northern Pass Transmission, Hydro bid (“NPT
Hydro”) had been selected as the winning bid. However, on February 1, 2018, the New Hampshire
Site Evaluation Committee (“NHSEC”) voted unanimously to deny the Northern Pass
Transmission project a Certificate of Site and Facility. As reported in the Department of Energy
Resources’ (“DOER”) February 16, 2018 update, 2 the Distribution Companies requested
information from NPT Hydro regarding the impacts of the NHSEC decision and held meetings
with the DOER and the Independent Evaluator on February 9, 12, and 13 to discuss the information
and determine next steps. On February 14, 2018, the Distribution Companies, in coordination with
the DOER and with participation from the Independent Evaluator, notified NPT Hydro that the
Distribution Companies would continue conditional contract negotiations with the project, with
the option of ceasing discussions with NPT Hydro and terminating its conditional selection by
March 27, 2018. Additionally, the New England Clean Energy Connect 100% Hydro project
(“NECEC Hydro”) was offered to enter into concurrent conditional contract negotiations. NPT
Hydro and NECEC Hydro accepted these terms on February 15, 2018.
The above process took considerable time and attention from the Evaluation Team,
essentially extending the Section 83D selection process by three weeks beyond the originallyanticipated schedule. Subsequently, the Distribution Companies pursued two full concurrent
negotiations through March 27, 2018. On March 28th , the NPT Hydro negotiation process was
terminated.
Despite these unanticipated events, the Distribution Companies are in the final stages of
negotiations with NECEC Hydro based on the prices, terms and conditions bid by the
counterparties. Although some key contract terms have yet to be agreed, the Distribution
Companies are committed to working with NECEC Hydro in good faith to resolve those remaining
issues. Assuming that those efforts are successful, the Distribution Companies will submit to the
Department as soon as possible thereafter a petition for approval of such agreements, along with
detailed supporting exhibits.
Thank you for your attention to this matter. Please contact any of the undersigned counsel
if you have any questions regarding this notice.

2

See DOER Update on Section 83D Clean Energy Solicitation, available
https://macleanenergy.files.wordpress.com/2018/02/doer-statement-update-2-16-18.pdf.

at:

 Letter Regarding Status of Section 83D Negotiations
Page 3 of 4

Respectfully submitted,
MASSACHUSETTS ELECTRIC COMPANY
and NANTUCKET ELECTRIC COMPANY
each d/b/a/ NATIONAL GRID
By its attorneys,

______________________________
John K. Habib, Esq.
Matthew S. Stern, Esq.
Keegan Werlin LLP
99 High Street Suite 2900
Boston, Massachusetts 02110
(617) 951-1400

 Letter Regarding Status of Section 83D Negotiations
Page 4 of 4

NSTAR ELECTRIC COMPANY d/b/a
EVERSOURCE ENERGY
By its attorney,

______________________
Danielle Winter, Esq.
Keegan Werlin LLP
99 High Street Suite 2900
Boston, MA 02110
617-951-1400
FITCHBURG GAS AND ELECTRIC LIGHT
COMPANY d/b/a UNITIL
By its attorney,

______________________
William D. Hewitt
Roach Hewitt Ruprecht Sanchez & Bischoff, P.C.
66 Pearl Street, Suite 200
Portland, ME 04101
207-747-4870

cc.

Alan Topalian, Hearing Officer
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