Sat Sep 06 19:40:00 UTC 2025: **News Article:**
**Eversource Seeks Approval for Natural Gas Deal, Promising Ratepayer Savings and Reduced LNG Reliance**
BOSTON – Eversource Energy is seeking state regulatory approval for a long-term natural gas supply contract aimed at lowering costs for Massachusetts customers and reducing the state’s reliance on expensive, imported liquefied natural gas (LNG) delivered via the Everett Marine Terminal.
The utility giant, which manages NSTAR Gas and Eversource Gas Company of Massachusetts, filed petitions with the Department of Public Utilities (DPU) on Tuesday. The move coincides with Enbridge, owner of the Algonquin Gas Transmission Pipeline, announcing a final investment decision to expand its pipeline system by $300 million. The expansion is slated to deliver approximately 75 million cubic feet per day of additional natural gas to the Northeast by 2029.
Eversource spokesman William Hinkle stated the agreement secures a less carbon intensive domestic supply, resulting in $400 million in estimated savings for Massachusetts customers over the agreement’s lifespan. The proposed 10-year agreement with Algonquin stems from the pipeline’s expansion.
“As part of our continued focus on affordability and reliability for customers, we’ve entered into a precedent agreement with Algonquin over a 10-year period to purchase additional natural gas supply from a proposed capacity expansion project,” Hinkle said. He added that the plan aligns with the state’s climate goals, providing a needed energy source as Massachusetts transitions to clean energy.
The utility argued the agreement will reduce dependence on the Everett Marine Terminal, as the current contracts with the terminal are set to expire in 2030. The proposed agreement would eliminate the need to extend that contract.
Eversource Gas of Massachusetts projects the agreement would reduce winter gas supply costs for its customers by approximately 17%, resulting in a roughly 5% reduction in the total bill for a typical residential natural gas heating customer by 2030. This amounts to an estimated $340 million reduction in gas supply costs for Eversource Gas of Massachusetts customers over ten years. NSTAR customers could expect smaller reductions, estimated to lower winter gas supply costs by 3% and average 1% off their natural gas bill, saving $60 million over 10 years.
Both companies have requested a ruling from the DPU by February 2026. If approved, the deal would be among the first supply agreements stemming from the Algonquin pipeline expansion in Massachusetts.
The DPU did not respond to requests for comment.
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