Slide 1: Investor Call, November 2, 2016
Investor Call November 2, 2016 EVERSSURCE ENERGY
Slide 2: Safe Harbor
Safe Harbor All per share amounts in this presentation are reported on a diluted basis. The only common equity securities that are publicly traded are common shares of Eversource Energy. The earnings and EPS of each business do not represent a direct legal interest in the assets and abilities alloca
Slide 3: Agenda
Investor Call Agenda Phil Lembo = Q3 and YTD 2016 Results EVP, CFO & Treasurer \ = Transmission Projects Update = Regulatory and Legislative Update Lee Olivier EVP Enterprise Strategy & = Northern Pass Business Development = Access Northeast EVERS: URCE
Slide 4: Phil Lembo
Phil Lembo Executive Vice President, Chief Financial Officer and Treasurer EVERSSURC ENERGY
Slide 5: Third Quarter and Nine Months Results
Investor Call Third Quarter and Nine Months Results Nine Months Nine Months 2016 bois nage Q3 2016 Q32015 Change Electric Transmission $0.28 $0.24 $0.04 $0.84 $0.70 $0.14 Electric Distribution $0.53 $0.53 $0.00 $1.20 $1.32 ($0.12) Natural Gas Distribution ($0.02) ($0.01) —($0.01) $0.16 $0.18 ($0.02)
Slide 6: Progress on Major Transmission Reliability Projects
Progress on Major Transmission Reliability Projects Greater Hartford Central Connecticut Greater Boston Reliability Solutions (GHCC) + 27 projects including seven new transmission ETS SC ISG eC no WI SECE lines, new substations and substation expansion cts + Eight projects under construction, eight
Slide 7: Key Elements of New Massachusetts Energy Legislation — H 8
Key Elements of New Massachusetts Energy Legislation — H 4568 — An Act to Promote Energy Diversity * Signed by Governor Baker on 8/8/16 + Authorizes long-term contracting for 1,600 MW of off-shore wind + First solicitation for at least 400 MW commencing on or before 6/30/17 with full obligation comp
Slide 8: Recent State Regulatory Developments
Investor Call Recent State Regulatory Developments ey S. Ons Massachusetts Solar Filing New Hampshire Generation Divestiture = 62 MW proposal filed with DPU 5/30/16 = Settlement approved by NHPUC on 7/1/16 = 35 MW for NSTAR Electric = J.P. Morgan hired by NHPUC as auction adviser + 27 MW for WMECO *
Slide 9: Multiple Complaints Pending at FERC Regarding New England Transmission ROE
Investor Call Multiple Complaints Pending at FERC Regarding New England Transmission ROE FERC ROE COMPLAINTS " First complaint decided in 2014; resulted in base ROE of 10.57% and project cap of 11.74% = Appeal pending in DC Circuit Court—Oral arguments 12/6/16 = ALJ’s recommended decision issued in
Slide 10: Lee Olivier
Lee Olivier EVP Enterprise Energy Strategy & Business Development EVERSSURC ENERGY
Slide 11: Transmission — Northern Pass Update
Investor Call Transmission — Northern Pass Update 1,090 MW of clean energy $1.6 billion HVDC line, terminal and AC facilities Approximately 192 miles of new transmission using HVDC technology with AC/DC converters in Quebec and NH DOE draft Environmental Impact Statement issued 7/21/15 Revised route
Slide 12: Northern Pass Timeline
July 21, 2015 Department of Energy (DOE) issued Draft Environmental Impact Statement (Els) Northern Pass Timeline { september 30, 2017 NHSEC-approved deadline for issuing decision December 18, 2015 Northern Pass NHSEC accepted filed application application with New a Hampshire Site Evaluation ommitt
Slide 13: Access Northeast - Designed to Provide a Long-Term Solution to Challenge of New England Natural Gas Supply
Investor Call Access Northeast - Designed to Provide a Long-Term Solution to Challenge of New England Natural Gas Supply my Ps g Maritimes & \; . Northeast }. Project Scope: * Joint development with Eversource (40%), be AGT and M&N systems directly 7 Spectra Energy (40%) and National Grid = « ‘conne
Slide 14: Most New England States Addressing Natural Gas Capacity Issues
Investor Call Most New England States Addressing Natural Gas Capacity Issues CT MA Electric Distribution Co. (EDC) Purchase of Natural Gas Pipeline Capacity Order of 10/2/15 found the DPU had authority to approve EDC natural gas supply contracts. DPU ruling vacated by Massachusetts Supreme Judicial
Slide 15: New England's Natural Gas Transmission Capacity Dilemma Today
Investor Call New England’s Natural Gas Transmission Capacity Dilemma Today + NewEngland natural gas (and power) market prices are highest in the country + Marcellus area prices low as low cost production looks for outlets but pipeline projects lack funding or are delayed, trapping gas just west of
Slide 16: That Dilemma Intensifies as 2,000-3,000 MW of Non-Gas Generation Retire by Mid-2019
That Dilemma Intensifies as 2,000-3,000 MW of Non-Gas Generation Retire by Mid-2019 and is Replaced Primarily by Gas Generation New England Gas-Fired Power Plant Capacity lm Gas Primary (Dual Fuel) Gas Only 20,000 15,000 10,000 5,000 - A Existing Winter Capacity (MW) Winter Capacity - Including Capa
Slide 17: ISO-NE's Tale of Two Seasons
Investor Call ISO-NE’s Tale of Two Seasons = @ Midcontinent iso continent ISO $28.78/MWh $29.31/MWh $280/MMBtu $374/MMBtu (at Chicago City Gate) (at Chicago City Gate) @ 180 Now England @ !SONew England $26.86/MWh_ $76.64/MWh Ss2/MMBtu s1070/MBtu (at Algonquin City Gate) (at Aigonguin City Gate) ‘So