Senate OKs framework allowing utilities to pursue advanced nuclear and multi'year power agreements, with guardrails

The New Hampshire Senate on May 20 adopted an amended version of House Bill 710 that expands electric utilities' authority to own and offer advanced nuclear resources, and to pursue multi'year power purchase agreements, while adding regulatory limitations designed to protect ratepayers.

Under the amendment approved on the floor, utilities would be authorized to solicit long'term proposals that can include advanced nuclear technologies such as small modular reactors through 2040, subject to approval by the Public Utilities Commission (PUC) under public'interest and reasonableness criteria. The amendment also raised the annual cap for low'to'moderate'income community solar from 6 megawatts to 18 megawatts and expanded net metering eligibility in specified ways.

Senator Avard, who offered the floor amendment and moved the bill, emphasized the state's need for price stability and resource diversity. "This legislation provides tools to address that challenge," he said, noting stakeholder testimony about New Hampshire's higher-than'average electric costs and the potential for advanced nuclear to provide long'term reliability.

Senator Rosenwald pressed for caution about long'term power purchase agreements (PPAs), arguing that such contracts can transfer financial risk to ratepayers for decades. "Power purchase agreements present the same quandary. ... If the state enters into a bad deal, ratepayers will be stuck for decades," Rosenwald said, and cited examples from neighboring states where nuclear PPAs cost consumers above'market sums.

The floor process included at least two amendments: floor amendment 2329, which the Senate adopted and which contained the principal structure for procurement and guardrails; and a subsequent amendment (2257) that would have removed sections authorizing long'term PPAs for existing resources; that amendment failed on the floor after debate over whether long'term guarantees could protect consumers or expose them to undue risk.

Senator Waters, speaking in favor, said the move signals that New Hampshire is open to new technologies and regulatory structures that could stabilize prices and diversify supply. "It is significant that we are saying now ... that we would consider letting utilities own sources of generation," Waters said.

Outcome and next steps: The Senate adopted the amended bill and ordered HB 710 to third reading. The language approved on the floor grants the PUC explicit authority to approve contracts that meet stated public'interest criteria and places limits on procurement levels and other guardrails; detailed PUC review and possible further rulemaking will shape any final projects.

Policy context: Floor debate highlighted a tension common in energy policy: whether long'term contracts and utility ownership can protect consumers from price volatility and encourage new technologies, or whether they risk locking ratepayers into above'market payments if conditions change.

Votes: The Senate adopted floor amendment 2329 (aye vote recorded on the floor) and later adopted the bill as amended, ordering it to third reading. A subsequent amendment to restrict procurement for existing resources failed in floor voting.