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Analysis Group Report Highlights Major Flaws in Northern Pass Transmission Economic Study

Click here to read the full report

Some of the conclusions of the Analysis Group report concerning the LEI study on Northern Pass include the following:

  • While claiming to be a “cost/benefit” analysis, the LEI study examines only the purported benefits of Northern Pass, but not the costs;
  • The public version of the report is atypical in the amount of information that is redacted, severely limiting the public’s ability to objectively analyze its findings;
  • The report’s conclusions are based on several incorrect assumptions; 
  • The study fails to account for significant negative impacts including potential adverse impacts on tourism, New Hampshire’s second-largest industry; potential for lost jobs and property taxes from the closings of other power plants in New Hampshire; and inhibiting construction of other power plants in New Hampshire which would support local jobs and construction dollars;
  • NPT is an expensive line to build. The NPT Line would likely cost $55/MWh (or 5.5 cents per kWh) above and beyond the expected cost of power to New England customers, due to the cost of actually constructing the line. While other studies have assumed that this cost is borne by customers outside of New Hampshire, Analysis Group’s report points out that this outcome is unlikely. In addition, the cost could be even larger due to the need for Hydro-Quebec to construct additional hydro resources that would be priced in as well;