The Connecticut Light and Power Company

What they do

CL&P purchases and delivers electricity to approximately 1.32 million customers across 157 Connecticut cities and towns. It operates as a regulated electric distribution utility under the jurisdiction of the Connecticut Public Utilities Regulatory Authority (PURA), which sets rates and oversees service standards. CL&P does not own any electric generation facilities.

Revenue drivers

• Residential electric distribution — Serves the largest customer class; revenues from delivery charges are regulated by PURA and tied to rate structures covering residential service.
• Commercial electric distribution — Provides delivery service to commercial customers; contributes to rate base and revenues through base distribution rates.
• Industrial electric distribution — Serves industrial customers; revenues from delivery charges are subject to regulated rates and customer demand.
• Electric transmission (via Eversource) — CL&P also participates in Eversource's electric transmission business serving New England, which earns FERC-regulated returns on investment.

Recent performance

CL&P is a wholly-owned subsidiary of Eversource Energy; its results are included in Eversource's electric distribution segment. In Q2 2026, Eversource's electric distribution segment earned $170.4 million, up from $161.5 million in Q2 2025. For the first half of 2026, the segment earned $373.1 million versus $350.0 million in the prior year, driven by base distribution rate increases and continued investments, partially offset by higher interest, depreciation, and property taxes. CL&P-specific figures are not separately reported in the provided excerpts.

Strategy

Eversource's strategy is to operate as a pure-play regulated electric and natural gas delivery company, having divested Aquarion Water Company in Q2 2026. Management emphasizes operating safely and efficiently, delivering reliable service, and executing on strategic infrastructure investments. The company was preliminarily selected by ISO-NE to develop transmission infrastructure bringing power from northern Maine to southern New England, an opportunity enabled by the focused strategy.

Risks

• Regulatory rate risk — PURA regulates CL&P's rates and service; adverse rate decisions could reduce revenues and profitability.
• FERC ROE reduction — A March 2026 FERC order reduced the New England transmission ROE from 10.57% to 9.57%, impacting transmission earnings and leading to estimated refunds.
• Extreme weather and climate change — Severe storms and weather pattern changes can damage distribution infrastructure, leading to higher costs and service disruptions.
• Cyber and physical security threats — Cyber events or physical attacks on systems could disrupt operations and compromise customer and company data.

Outlook

Eversource reaffirmed 2026 non-GAAP recurring earnings guidance of $4.57 to $4.72 per share, reflecting the lower transmission ROE and absence of Aquarion earnings in H2. The company expects annual earnings growth toward the upper half of its 5-7% long-term growth range by 2028. CL&P's outlook is tied to achieving regulated rate outcomes and executing on capital investments in its distribution system.