General manager reports $4.1 million net income for 2024; utility projects, substation timeline outlined

The Town of Middleborough Gas & Electric Department reported unaudited financial results for the year ending Dec. 31, 2024, and updated the board on multiple capital and staffing developments.

Staff said the utility’s unaudited combined net income after standard adjustments (depreciation, OPEB funding and other items) was about $4.1 million for 2024. On the electric side, year-to-date kilowatt-hour sales totaled roughly $315 million in revenue, and the electric division showed net income of about $3.3 million for the year after transfers to the rate stabilization account. The gas division reported higher-than-budgeted sales (about 8 million CCF) and a year-end net income of approximately $795,000 after transfers; the gas division had a month loss in December but finished the year positive. Staff emphasized that these figures are unaudited and subject to an external audit.

Staff reported the OPEB trust was about 91.7% funded as of Dec. 31, 2024, and that a recent actuarial update reduced the liability by roughly $150,000; funding was described as about 92.5% in January. Carbon-free generation was reported at 66% for December, with renewables (wind and hydro) contributing 16% for the month — figures the presenter said exceed the state 50% mandate.

On capital projects, staff said the utility took ownership Feb. 4 of a parking lot and pathway behind the electric truck garage to support construction staging for a new electric building and to provide space for equipment and containers. Permit applications for the new electric building have been filed with the Conservation Commission and the Zoning Board of Appeals; hearings were scheduled in the coming weeks. Administrative-building construction is expected to begin in May, with sub-bid packages for plumbing and electrical available and due back Feb. 27.

Staff outlined substation planning: layout work for a new substation on Pine Street is underway, but long lead times for 115 kV breakers — estimated at roughly 2 years — will likely push the overall project completion toward 2027. Staff said they are evaluating alternatives to SF6 gas-insulated breakers and working with vendors on cost and lead-time estimates. The gas division also budgeted for a new trim heater for the LNG yard; staff said lead time for the heater could be up to 35 weeks and that preparatory site work will be done this summer and fall.

Staff also noted operational shifts in peak electricity demand timing (December peaks at 6 p.m.; January peaked at 9 a.m.) and announced that energy analyst Anwar El Husseini will leave the utility at the end of the month; staff said his duties will be distributed among existing personnel pending recruitment.

All financial figures cited were described as unaudited and subject to the upcoming external audit.