Eversource CEO Joseph Nolan Defends Connecticut Investments Amid Storm Cost Dispute
“We shut the faucet off,” Eversource CEO Joseph Nolan said in a call with investors on Wednesday, sparking intense scrutiny from Connecticut lawmakers over whether the utility withheld infrastructure investments during a regulatory dispute over storm costs, wfsb.com reported.
The remarks centered on a prolonged disagreement between the state’s largest electric utility and regulators regarding financial recovery for severe weather events. In July, the Public Utilities Regulatory Authority (PURA) approved $869m in storm costs for the company, a figure Nolan noted during the investor call as $960m—representing roughly 96 percent of the utility’s total financial request. Despite that decision, Nolan indicated the utility held back on potential projects while negotiating financial terms, pointing to a proposed clean energy hub and an additional $60 million contribution to the state storm fund as opportunities that were paused.
State officials immediately pushed back against the utility executive’s characterization. Governor Ned Lamont stated that Eversource maintains a legal obligation to maintain the electric grid regardless of regulatory outcomes. State Senator Ryan Fazio, who serves as Co-Chair of the Energy Committee and is running for Governor, called for a formal legislative investigation into the matter, arguing that the utility cannot legally withhold grid maintenance or investments due to unfavorable regulatory decisions.
Lawmakers Demand Answers on Withheld Projects and Ratepayer Impact
Senate Majority Leader Bob Duff called for a full public accounting from utility leadership regarding which specific investments were delayed and how those decisions affected ratepayers across the state.
An Eversource spokesperson clarified that Nolan’s comments referred to a public announcement made in 2024, in which the company stated it would cut $500 million in spending over a five-year period due to what it described as an unstable regulatory environment in Connecticut. The utility maintained that the regulatory climate has since stabilized under the current PURA Commission following the departure of former Chairwoman Marissa Gillett, who resigned in September 2025.
Eversource Outlines Multi-Year Spending and State Tax Contributions
In a formal statement provided by spokesperson Tricia Modifica, Eversource emphasized that its long-term outlook for Connecticut is constructive and growth-oriented. The utility stated that investors turned their backs on the state for years, but leadership is now communicating an improving investment climate to Wall Street.
The company highlighted several prospective investments intended to modernize the regional power grid, including the Huntsbrook interconnection site for new generation, battery storage, and transmission, alongside smart meter deployments designed to improve operational efficiency. According to corporate figures, Eversource has invested more than $3.3 billion in the Connecticut electric distribution system and over $2.1 billion in the natural gas network since 2018. The utility anticipates annual capital investments in its electric system to exceed $800 million by 2029 under a proposed Performance-Based Multi-Year Rate Plan currently before regulators.
The company also noted that its operations generate more than $300 million annually in local municipal tax revenues, with total state tax contributions exceeding $500 million per year when including gross earnings taxes.
Frequently Asked Questions About the Eversource Regulatory Dispute
What specific storm cost amount was approved by PURA?
The PURA Commission approved $869m in storm costs in July, though Eversource CEO Joseph Nolan referenced the figure as $960m during the investor call, representing approximately 96 percent of the utility’s initial request.
What legislative actions are Connecticut lawmakers pursuing?
State Senator Ryan Fazio has called for a formal investigation into the utility’s investment decisions, while Senate Majority Leader Bob Duff is demanding specific explanations regarding which projects were held back and how those delays affected utility customers.
How much has Eversource invested in Connecticut’s distribution system since 2018?
The utility reports spending more than $3.3 billion on the state’s electric distribution system and over $2.1 billion on its natural gas network since 2018, with annual electric investments projected to surpass $800 million by 2029.