Conn. regulators OK $4.9 billion utility deal

AP News
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Posted: Apr 02, 2012 10:46 PM
Conn. regulators OK $4.9 billion utility deal

Connecticut utility regulators have formally approved a state settlement that would allow Hartford-based Northeast Utilities to buy Massachusetts energy company NStar for $4.9 billion.

Massachusetts regulators are still considering Northeast Utilities' proposed purchase of Boston-based NStar.

The Connecticut Public Utilities Regulatory Authority said in giving its final approval on Monday it believes a Connecticut rate cut and a rate freeze included in the deal are good for the state's consumers. The agency gave preliminary approval to the settlement last week.

Northeast Utilities has agreed to a $25 million rate credit for about 1.2 million customers of its subsidiary Connecticut Light and Power, the state's largest utility. The deal includes a separate rate freeze on distribution costs, $300 million for system improvements and other demands by Connecticut in exchange for approval.