Energy New England warns Concord of rising transmission charges; $185.28/kW‑year cited for 2025

Energy New England officials told the Concord Light Plant board that regional transmission costs are likely to rise for years and that Concord could see material rate pressure as large, multibillion‑dollar transmission projects and recent true‑up adjustments are reflected in bills.

Dave Capela, senior vice president for regulatory market affairs at Energy New England, said the Regional Network Service (RNS) charge effective Jan. 1, 2025, is $185.28 per kilowatt‑year, “which represents a $30 … increase over the 2024 rate.” He attributed roughly half of that year‑over‑year increase to a true‑up related to lower measured 12CP (12 critical peak) loads in the test year, which reduced allocated volumes and raised unit rates.

The presenters said the immediate driver is asset‑condition work — replacing aging poles, foundations and reconducting lines — and they flagged a new long‑term transmission planning process approved by FERC that lets states request and sponsor economic projects. “There’s no transition without transmission,” Capela said, noting that LTTP‑driven projects and state choices about cost allocation could show up in RNS rates.

Board members and Energy New England staff discussed local options to limit exposure. Jason, Concord’s director, asked whether behind‑the‑meter programs and local battery projects become more cost‑effective as transmission charges increase; Capela replied that a fuller revenue stack (transmission, capacity, energy) improves behind‑the‑meter economics and could make some projects more viable.

Energy New England also described market reforms under consideration, including capacity‑auction redesigns and Order 2023 interconnection changes that alter queue study processes. Officials warned those reforms could change timelines and upgrade allocations for projects seeking interconnection.

John Zimaringes, introduced as president and CEO of Energy New England, emphasized that municipal light plants can pursue “physical hedges” — participation in transmission equity or rights packages — to mitigate transmission cost risk, though he said municipal success has been limited and that such moves require careful consideration.

What’s next: Energy New England said states and ISO New England will continue to run long‑term studies and that requests for projects and related RFPs are likely to surface in 2025–2026. Concord board members asked staff to continue tracking RNS forecasts as the town finalizes its budget work and TOU (time‑of‑use) planning.

Direct quotes in this article are drawn from the meeting transcript and attributed to the speakers who made them.