Clearing the way for a pivotal upgrade to New England's critical electric infrastructure, the Massachusetts Energy Facilities Siting Board last week tentatively approved NSTAR's request to build a new, 18-mile underground transmission line. With construction slated to begin in early 2005, the new line is scheduled to be in service by summer of 2006, when the region's electric demand is expected to be higher than ever. The draft decision will be voted on by the full siting board on Jan. 13, 2005.

"The tentative approval of this line is great news for NSTAR customers and electricity users all over New England," said Thomas J. May, president, chairman, and CEO for NSTAR. "This line will help secure our region's future electric supply by adding much-needed capacity to our existing system," said May.

When complete, NSTAR's new 345,000-V (or 345 kV) transmission line will significantly improve the reliability of the transmission system that serves families and businesses in Northeastern Massachusetts and the Greater Boston area, by allowing NSTAR to tap into the abundant supply of electricity in Southeastern Massachusetts and Rhode Island. Currently, several lower-voltage transmission lines and a single 345-kV line serve the area from the north. The project is a key component in a series of improvements needed because customers' demand for electricity is projected to exceed available capacity in coming years.

In addition to improving reliability, the project will also provide economic benefits by reducing the area's reliance on local, high cost power-generating plants. A study by ISO New England recommends adding new power lines like the new 345-kV line, to the regional system to meet future growth in electricity use and to offset the potential retirement of local plants. Consumer demand for electricity has increased by 20% over the past several years. This growth is expected to continue into 2006 and beyond.

While similar proposed upgrades in neighboring states have been stalled by procedural issues, NSTAR's line received prompt action from the siting board, under the leadership of Chairman Paul G. Afonso. "The board's swift action on this project indicates widespread agreement that this upgrade is not only necessary, but essential to the future of Boston and its surrounding communities," said CEO Tom May. "We need the additional capacity and the Board clearly recognizes that," May added.