What changed in this filing

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Item 1. Business

2026-02-17 compared with 2025-02-14 · 135 added, 126 removed, 370 unchanged (41% of the section changed)

9 unchanged sentences

• Aquarion Company (Aquarion), a utility holding company that owns five separate regulated water utility subsidiaries and collectively serves residential, commercial, industrial, and municipal and fire protection customers in parts of Connecticut, Massachusetts and New Hampshire.

Eversource is currently in the process of selling its Aquarion water distribution business.

For further information, see "Business Development and Capital Expenditures – Pending Sale of Aquarion" in the accompanying Item 7, Management's Discussion and Analysis of Financial Condition and Results of Operations .

For information regarding the sale status of Aquarion, regulatory denial and subsequent appeal, see "Business Development and Capital Expenditures – Aquarion Sale Status and Regulatory Denial" in the accompanying Item 7, Management's Discussion and Analysis of Financial Condition and Results of Operations .

CL&P, NSTAR Electric and PSNH also serve New England customers through Eversource's electric transmission business.

9 unchanged sentences

Eversource’s current offshore wind business is now comprised only of a noncontrolling tax equity investment in South Fork Wind.

For more information, see "Business Development and Capital Expenditures – Offshore Wind Business" in the accompanying Item 7, Management's Discussion and Analysis of Financial Condition and Results of Operations .

For more information, see Note 13G, "Commitments and Contingencies – Offshore Wind Sale and Contingent Liability," in the accompanying Item 8, Financial Statements and Supplementary Data .

ELECTRIC DISTRIBUTION SEGMENT

8 unchanged sentences

For those customers who do not choose a competitive energy supplier, CL&P purchases power on behalf of, and passes the related cost, without mark-up, through to those customers under standard service (SS) rates for customers with less than 500 kilowatts of demand (residential customers and small and medium commercial and industrial customers), and supplier of last resort service (LRS) rates for customers with 500 kilowatts or more of demand (larger commercial and industrial customers).

CL&P charges customers only the amount that it pays generators for producing electricity and does not earn a profit on the cost of electricity.

CL&P charges customers only the amount that it pays generators for producing electricity and does not earn a return on the cost of electricity.

CL&P's retail rates include an energy supply component and a delivery service component, which includes distribution, transmission, conservation, renewable energy programs and other public benefit charges that are assessed on all customers.

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The non-bypassable component of the FMCC is adjusted periodically and reconciled annually in accordance with the policies and procedures of the PURA, with any differences refunded to, or recovered from, customers.

CL&P is required by regulation to purchase electric generation from Millstone and Seabrook under PURA-approved PPAs entered into in 2019.

CL&P is required by both state legislation and regulation to purchase electric generation from Millstone and Seabrook under PURA-approved PPAs entered in 2019.

CL&P does not have legislative authority to use this purchased output to serve its customer load and therefore sells the energy into the wholesale market and uses the proceeds from the energy sales to offset the contract costs.

The net cost or net sales amount is recovered from, or refunded to, customers in the non-bypassable component of the FMCC rate with no company profit.

The net cost or net sales amount is recovered from, or refunded to, customers in the non-bypassable component of the FMCC rate.

CL&P does not earn any return from these PPAs.

• A Systems Benefits Charge (SBC), established to fund expenses associated with various hardship and low-income programs.

8 unchanged sentences

The transmission charge is adjusted periodically and reconciled annually to actual costs incurred, and reviewed by PURA, with any difference refunded to, or recovered from, customers.

A summary of CL&P's retail revenues, grouped by customer bill rate components described above, are as follows:

For the Years Ended December 31,

(Millions of Dollars)

2025 2024 Increase/

(Decrease) Return Included in Customer Rates

Retail Tariff Sales Revenues Amount % Amount %

Supply $ 1,050.0 25 % $ 1,094.1 29 % $ (44.1) pass through costs;

Local Delivery 1,425.1 34 % 1,354.5 35 % 70.6 includes return on investments

Public Benefits 959.3 23 % 709.5 19 % 249.8 pass through costs;

required by legislation and regulation

Transmission 721.0 17 % 664.6 17 % 56.4 includes return on investments

Total Retail Tariff Sales Revenues $ 4,155.4 $ 3,822.7 $ 332.7

Distribution Rate Case and Settlement Agreement :

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None of the SS load for 2027 has been procured.

CL&P obtained a full requirements supply contract for its LRS load through March 2025 and intends to purchase 100 percent of full requirements for LRS for the remainder of 2025.

CL&P obtained a full requirements supply contract

for its LRS load through March 2026 and intends to purchase 100 percent of full requirements for LRS for the remainder of 2026.

CL&P is prepared to self-manage the LRS load if unable to obtain full requirements supply contracts for LRS.

10 unchanged sentences

Electric distribution companies in Massachusetts are required to obtain and resell power to retail customers through basic service for those who choose not to buy energy from a competitive energy supplier.

NSTAR Electric charges customers only the amount that it pays generators for producing electricity and does not earn a profit on the cost of electricity.

NSTAR Electric charges customers only the amount that it pays generators for producing electricity and does not earn a return on the cost of electricity.

NSTAR Electric's retail rates include a supply component and a delivery component, which include distribution, transmission, renewable energy programs and other public policy charges that are assessed on all customers.

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As approved by the DPU, NSTAR Electric enters into supply contracts for basic service for approximately 20 percent of its residential and 15 percent of its small commercial and industrial (C&I) customers twice per year for twelve-month terms.

NSTAR Electric enters into supply contracts for basic service for three percent of its large C&I customers every three months.

NSTAR Electric enters into supply contracts for basic service for two percent of its large C&I customers every three months.

During 2025, NSTAR Electric supplied approximately 12 percent of its overall customer load at basic service rates.

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For those customers who do not choose a competitive energy supplier, PSNH purchases power on behalf of, and passes the related cost without mark-up through to, those customers (default energy service).

PSNH charges customers only the amount that it pays generators for producing electricity and does not earn a profit on the cost of electricity.

PSNH charges customers only the amount that it pays generators for producing electricity and does not earn a return on the cost of electricity.

PSNH's retail rates include a supply component and a delivery component, which include distribution, transmission, renewable energy programs and other public policy charges that are assessed on all customers.

5 unchanged sentences

• A distribution charge, which includes kilowatt-hour and/or demand-based charges to recover costs related to the maintenance and operation of PSNH's infrastructure to deliver power to its destination, as well as power restoration and service costs.

It also includes a customer charge to collect the cost of providing service to a customer;

It also includes a

customer charge to collect the cost of providing service to a customer;

such as the installation, maintenance, reading and replacement of meters and maintaining accounts and records.

4 unchanged sentences

• A Systems Benefits Charge (SBC), which funds energy efficiency programs for all customers, as well as assistance programs for residential customers within certain income guidelines.

The SBC also has a component for the company to collect lost base revenue (LBR) from the implementation of energy efficiency measures.

LBR will remain a component of the SBC charge unless and until PSNH has a decoupling or other revenue adjustment mechanism approved by the NHPUC.

The SBC rate changes annually and is reconciled annually in accordance with the policies and procedures of the NHPUC, with any differences refunded to, or recovered from, customers.

• A Regulatory Reconciliation Adjustment (RRA) that reconciles the difference between certain estimated and actual costs included in base distribution rates, including costs related to regulatory assessments, vegetation management program expenses, property tax expenses, storm cost amortization updated for the actual cost of long-term debt and lost base revenues related to net metering.

• A Pole Plant Adjustment Mechanism (PPAM) that recovers certain costs associated with poles acquired under a 2023 purchase agreement between PSNH and Consolidated Communications, including the operation and maintenance of poles, pole inspections, and vegetation management expenses incurred, beginning February 10, 2021 through April 30, 2023.

Distribution Rate Case and Settlement Agreement :

PSNH's distribution rates were established in a 2020 NHPUC-approved rate case settlement agreement with rates effective January 1, 2021.

PSNH was permitted three step increases, effective January 1, 2021, August 1, 2021, and November 1, 2022 to reflect plant additions in calendar years 2019, 2020 and 2021, respectively.

On June 11, 2024, PSNH filed an application with the NHPUC for approval of a temporary annual base distribution rate increase effective August 1, 2024, which was approved by the NHPUC on July 31, 2024.

Also on June 11, 2024, PSNH filed an application with the NHPUC to request an increase in permanent base distribution rates, proposed to take effect August 1, 2025.

A decision by the NHPUC on permanent rates is expected by August 1, 2025.

• A Regulatory Reconciliation Adjustment (RRA) that reconciles the difference between certain estimated and actual costs included in base distribution rates, including costs related to regulatory assessments, property tax expenses, the New Start Arrearage Forgiveness Program, and unrecovered storm costs in excess of the Major Storm Cost Reserve, once approved.

Additionally, the RRA recovers approved rate case expense, as well as historical amounts for New Start and Fee Free program costs.

Distribution Rate Case :

PSNH's distribution rates were established in a July 2025 NHPUC-approved rate case, with rates effective August 1, 2025.

As part of the NHPUC’s alternative regulatory framework, PSNH is authorized three formulaic annual revenue adjustments on August 1, 2026, 2027 and 2028.

PSNH is required to file its next base distribution rate case for effect in June 2029.

The alternative regulatory framework also contains an exogenous events recovery mechanism for certain unforeseen events out of PSNH’s control and exceeding a specified threshold, a performance metric, and an earnings sharing mechanism where PSNH would return 75 percent of all revenue back to customers that exceeds 25 basis points more than the authorized ROE of 9.5 percent.

For further information, see "Regulatory Developments and Rate Matters - New Hampshire" in the accompanying Item 7, Management's Discussion and Analysis of Financial Condition and Results of Operations.

1 unchanged sentence

PSNH does not own any generation assets and as approved by the NHPUC, purchases energy supply from a variety of competitive suppliers for its energy service customers through requests for proposals issued twice per year, for six-month terms, for approximately 56 percent of its residential and small C&I customers and for 18 percent of its large C&I customers.

As required by the NHPUC, PSNH purchased 12.5 percent of its residential and small C&I customer load through direct wholesale market participation for the second half of 2024.

As required by the NHPUC, PSNH purchased 50 percent of its residential and small C&I customer load and 100 percent of its medium C&I and large C&I customer load through direct wholesale market participation for the second half of 2025.

During 2025, PSNH supplied approximately 56 percent of its customer load at default energy service rates while the other 44 percent of its customer load had migrated to competitive energy suppliers.

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During 2019 and 2020, FERC also issued multiple decisions in two pending transmission ROE complaints against the Midcontinent ISO (MISO) transmission owners, in which FERC adopted new methodologies for determining base ROEs.

On August 9, 2022, the Court issued a decision vacating these MISO FERC decisions and remanded to FERC to reopen the proceedings.

On August 9, 2022, the Court issued a decision vacating these MISO ROE FERC decisions and remanded to FERC to reopen the proceedings.

On October 17, 2024, FERC issued an order on the remand of the MISO ROE proceedings.

6 unchanged sentences

NATURAL GAS DISTRIBUTION SEGMENT

Our natural gas businesses are engaged in the distribution and sale of natural gas to customers.

NSTAR Gas distributes natural gas to approximately 306,000 customers in 59 communities in central and eastern Massachusetts.

1 unchanged sentence

Yankee Gas distributes natural gas to approximately 256,000 customers in 85 cities and towns in Connecticut.

Our natural gas businesses provide firm natural gas sales and transportation service to eligible retail customers who require a continuous natural gas supply throughout the year, such as residential customers who rely on natural gas for heating, hot water and cooking needs, as well as commercial and industrial customers who rely on natural gas for space heating, hot water, cooking and commercial and industrial applications.

Total throughput (sales and transportation) in 2025 was approximately 69.9 Bcf for NSTAR Gas, 56.6 Bcf for EGMA, and 61.6 Bcf for Yankee Gas.

NSTAR Gas, EGMA and Yankee Gas generate revenues primarily through the sale and/or transportation of natural gas.

Our natural gas businesses provide uninterruptible (or firm) natural gas sales and transportation service to eligible retail customers who require a continuous natural gas supply throughout the year, such as residential customers who rely on natural gas for heating, hot water and cooking needs, as well as commercial and industrial customers who rely on natural gas for space heating, hot water, cooking and commercial and industrial applications and who choose to purchase natural gas from our natural gas businesses.

Firm transportation service is offered to customers who purchase natural gas from sources other than NSTAR Gas, EGMA or Yankee Gas.

All NSTAR Gas and EGMA retail customers have the ability to choose to purchase gas from third-party marketers under the Massachusetts Retail Choice program.

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For customers who purchase natural gas from NSTAR Gas, EGMA and Yankee Gas, the purchased natural gas commodity cost is passed through to those customers without mark-up.

NSTAR Gas, EGMA and Yankee Gas do not earn a profit on the cost of purchased gas.

Firm transportation service is offered to customers who purchase natural gas from sources other than NSTAR Gas, EGMA or Yankee Gas.

NSTAR Gas and EGMA have the ability to offer interruptible transportation and interruptible natural gas sales service to high volume commercial and industrial customers.

Yankee Gas offers interruptible transportation and interruptible natural gas sales service to commercial and industrial customers who have the ability to switch from natural gas to an alternate fuel on short notice.

NSTAR Gas, EGMA and Yankee Gas do not earn a return on the cost of purchased gas.

Interruptible transportation and interruptible natural gas sales service is offered to certain customers.

NSTAR Gas and EGMA offer interruptible transportation and natural gas sales service to high volume commercial and industrial customers.

Yankee Gas offers interruptible transportation and natural gas sales service to commercial and industrial customers who have the ability to switch from natural gas to an alternate fuel on short notice.

NSTAR Gas, EGMA and Yankee Gas can interrupt service to these customers during peak demand periods or at any other time to maintain distribution system integrity.

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This also includes collection of ongoing operating costs.

• A local distribution adjustment clause (LDAC) at NSTAR Gas and EGMA that collects all energy efficiency and related program costs, environmental costs, pension and PBOP related costs, attorney general consultant costs, credits related to the Tax Cuts and Jobs Act of 2017, gas system enhancement program (GSEP) costs, costs associated with low income customers, and costs associated with a geothermal pilot program.

• A local distribution adjustment clause (LDAC) at NSTAR Gas and EGMA that collects all energy efficiency and related program costs, environmental costs, pension and PBOP related costs, attorney general consultant costs, credits related to the Tax Cuts and Jobs Act of 2017, costs of the gas system enhancement program designed to accelerate the replacement of certain natural gas distribution facilities (GSEP), costs associated with low income customers, and costs associated with a geothermal pilot program.

The LDAC is reset annually with any difference being recovered from, or refunded to, customers during the following period and provides for the recovery of certain costs applicable to both sales and transportation customers.

1 unchanged sentence

A reconciliation of CAM revenues to expenses is performed annually with any difference being recovered from, or refunded to, customers with carrying charges during the following year.

• A Gas System Improvement (GSI) reconciliation mechanism at Yankee Gas, which collects the costs of certain Distribution Integrity Management Program (DIMP) and core capital plant in service above and beyond the level that is recovered through the distribution charge.

• A Gas System Improvement (GSI) reconciliation mechanism at Yankee Gas, which collects the cost of core capital plant in service above and beyond the level that is recovered through the distribution charge.

The GSI is adjusted and reconciled annually, with any differences refunded to, or recovered from, customers.

A Distribution Integrity Management Program (DIMP) reconciliation mechanism at Yankee Gas, which collects the cost of capital to replace aging infrastructure.

The DIMP is adjusted and reconciled annually, with any differences refunded to, or recovered from, customers.

• A System Expansion Rate (SER) reconciliation mechanism at Yankee Gas, which compares distribution system expansion investment costs and revenues from system expansion customers with the level projected in current distribution customer rates.

3 unchanged sentences

• A RDM at Yankee Gas that reconciles annual base distribution rate recovery amounts recovered from customers to the pre-established level of baseline distribution delivery service revenue requirement approved by the PURA.

The pre-established level of baseline distribution delivery service revenue requirement is also subject to adjustment in accordance with provisions of the 2018 rate case settlement agreement.

The pre-established level of baseline distribution delivery service revenue requirement is also subject to adjustment in accordance with provisions of the November 2025 Yankee Gas distribution rate case.

Distribution Rate Cases and Settlement Agreements :

1 unchanged sentence

The DPU also approved a 10-year PBR plan through November 1, 2030, which includes inflation-based adjustments to annual base distribution amounts effective annually beginning November 1, 2021.

On December 30, 2025, NSTAR Gas and the Massachusetts Office of the Attorney General reached a joint settlement agreement that allowed for the reinstatement of a rate base reset in base distribution rates effective January 1, 2026, for NSTAR Gas to not petition for a rate case with new rates effective December 1, 2026, and for continuation of NSTAR Gas’ PBR program through November 1, 2030.

The settlement agreement was approved by the DPU on January 16, 2026.

For further information, see "Regulatory Developments and Rate Matters - Massachusetts" in the accompanying Item 7, Management's Discussion and Analysis of Financial Condition and Results of Operations.

3 unchanged sentences

Yankee Gas distribution rates were established in a December 2018 PURA-approved rate case settlement agreement, with rates effective November 15, 2018.

PURA also approved step adjustments effective January 1, 2020 and January 1, 2021.

On November 12, 2024, Yankee Gas filed an application to amend its base distribution rates for effect on November 1, 2025.

A final decision by PURA is expected in October 2025.

Yankee Gas distribution rates were established in a November 5, 2025 PURA-approved rate case, which included a distribution rate increase effective November 1, 2025.

For further information, see "Regulatory Developments and Rate Matters - Connecticut" in the accompanying Item 7, Management's Discussion and Analysis of Financial Condition and Results of Operations.

Massachusetts Future of Gas:

In October 2020, the DPU opened Docket "DPU 20-80 The Future of Gas" to examine the role of Massachusetts natural gas local distribution companies (LDCs) in helping to meet the state’s 2050 climate goals.

In December 2023, the DPU ordered that it would consider and, in some cases, require new processes and analysis for traditional natural gas investments, which may require significant changes to the LDC planning process and business models.

On April 2, 2024, the DPU ordered the LDCs to implement the inclusion of a Non-Gas Pipeline Alternatives (NPA) analysis on all project authorizations and that each LDC submit climate compliance plans every five years beginning April 1, 2025 that include performance metrics to promote the achievement of climate targets.

The climate compliance plan filings include the NPA frameworks, along with energy transitions plans including details on the management of embedded infrastructure investments and cost recovery.

Eversource along with the LDCs, have also contracted a consultant to model and investigate statewide cost recovery scenarios including under accelerated depreciation rates.

Eversource does not believe there is any indication of an inability to recover costs or risk of impairment of NSTAR Gas’ and EGMA’s natural gas assets at this time.

Service Quality Metrics :

NSTAR Gas and EGMA are subject to SQ metrics that measure safety, reliability and customer service and each could be required to pay to customers a SQ charge of up to 2.5 percent of annual distribution revenues for failing to meet such metrics.

NSTAR Gas and EGMA will not be required to pay any SQ charges relating to their 2024 performance.

Natural Gas Replacement

Massachusetts:

Pursuant to Massachusetts legislation, in October of each year, NSTAR Gas and EGMA file GSEP Plans with the DPU for the following construction year.

The GSEP Program is designed to accelerate the replacement of certain natural gas distribution facilities in the system to less than 25 years.

The GSEP includes a tariff that provides NSTAR Gas and EGMA an opportunity to collect the costs for the program on an annual basis through a reconciling factor.

On April 30th each year, the DPU approves the GSEP rate recovery factor that goes into effect on May 1st.

In October 2020, the DPU opened Docket “DPU 20-80 The Future of Gas” to examine the role of Massachusetts natural gas local distribution companies (LDCs) in helping to meet the state’s 2050 climate goals.

Yankee Gas' December 2018 PURA-approved rate case settlement agreement included an accelerated pipeline replacement cost recovery program.

The GSI rate recovers accelerated pipeline replacement as well as other capital investment through an annual reconciliation.

Yankee Gas files its GSI reconciliation annually on March 1st for rates effective April 1st.

NSTAR Gas is required to pay approximately $1.6 million to customers in SQ charges as a result of not meeting certain customer service-related performance metrics in 2025, which was recorded as a regulatory liability as of December 31, 2025.

EGMA will not be required to pay any SQ charges relating to its 2025 performance.

Sources and Availability of Natural Gas Supply

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PURA requires Yankee Gas to meet the needs of its firm customers under all weather conditions.

Specifically, Yankee Gas must structure its supply portfolio to meet firm customer needs under a design day scenario (defined as the coldest day in 30 years) and under a design year scenario (defined as the average of the four coldest years in the last 30 years).

Specifically, Yankee Gas must structure its supply portfolio to meet firm customer needs under a design day scenario (defined as the coldest day in 30 years) and under a design year scenario

(defined as the average of the four coldest years in the last 30 years).

Yankee Gas also maintains a flexible resource portfolio consisting of natural gas supply contracts, transportation contracts on interstate pipelines, off-system storage and its on-system 1.2 Bcf LNG storage facility in Connecticut to meet consumption needs during the coldest days of winter.

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Distribution Rate Cases :

On August 29, 2022, Aquarion Water Company of Connecticut (AWC-CT) filed an application with PURA to amend its existing rate schedules.

On March 15, 2023, PURA issued a final decision that rejected AWC-CT’s application with PURA, which was subsequently appealed by AWC-CT.

On March 25, 2024, the State of Connecticut Superior Court issued a decision on the appeal and on March 28, 2024, AWC-CT filed an appeal of the Connecticut Superior Court decision.

On July 31, 2024, PURA issued a final decision and increased AWC-CT’s approved revenue requirement by $0.1 million above the amount authorized in the March 15, 2023 decision, which was also subsequently appealed by AWC-CT.

Both appeals are pending.

Aquarion's Connecticut base distribution rates were established in a 2023 PURA-approved rate case, with updated decisions in 2024 and 2025.

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For information on capital expenditures and projects during 2025, as well as projected capital expenditures by business, see "Business Development and Capital Expenditures" in the accompanying Item 7, Management's Discussion and Analysis of Financial Condition and Results of Operations .

For information regarding short-term and long-term debt agreements, see "Liquidity" in the accompanying Item 7, Management's Discussion and Analysis of Financial Condition and Results of Operations, and Note 8, "Short-Term Debt," and Note 9, "Long-Term Debt," of the Combined Notes to Financial Statements.

For information regarding short-term and long-term debt agreements, see "Liquidity" in the accompanying Item 7, Management's Discussion and Analysis of Financial Condition and Results of Operations, Note 8, "Short-Term Debt," and Note 9, "Long-Term Debt," of the Combined Notes to Financial Statements.

NUCLEAR FUEL STORAGE

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Connecticut's RPS statute requires increasing percentages of the electricity sold to retail customers to have direct ties to renewable sources.

In 2024, the total RPS obligation was 37.0 percent and will ultimately reach 48.0 percent in 2030.

In 2025, the total RPS obligation was 39.0 percent and will be 37.0 percent in 2030.

CL&P is permitted to recover any costs incurred in complying with RPS from its customers through its generation service charge rate.

11 unchanged sentences

We are subject to various federal, state and local environmental legislation and regulation with respect to water quality, air quality, natural/working lands (wetlands, water resource areas that include land that borders a body of water, plant/animal habitat), hazardous materials and other environmental matters.

Our environmental policy includes formal procedures and a task-scheduling system in place to help ensure environmental compliance.

Our environmental policy includes formal procedures and a task-scheduling system in place to help address ongoing environmental compliance obligations.

The Governance, Environmental and Social Responsibility Committee of Eversource’s Board of Trustees also provides oversight of climate issues, environmental matters and compliance.

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In many cases, these remediation projects are designed to address opportunities for beneficial reuse of the property.

Global Climate Change and Greenhouse Gas Emission Issues

Eversource assesses the regulatory, physical and transitional impacts related to climate change to develop mitigation strategies including evaluating the impacts of more severe and frequent weather events, financial risks, changing customer behaviors, and opportunities to reduce emissions in our operations and for the region through clean energy and emerging technologies investments.

Global Climate Change and Greenhouse Gas Emissions Issues

Eversource assesses the regulatory, physical and transitional impacts related to climate change to develop mitigation strategies to reduce emissions in our operations and for the region through clean energy and emerging technologies investments and also to develop adaptation strategies, including evaluating the impacts of more severe and frequent weather events, financial risks, and changing customer behaviors.

Regulatory Impacts of Climate Change:

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Some of the states in which we operate have aggressive climate goals and implementation plans.

In Connecticut, legislation includes a target to achieve zero-carbon electricity by 2040.

In Connecticut, legislation includes a target to achieve zero-carbon electricity by 2040 and economy-wide net-zero greenhouse gas (GHG) emissions by 2050.

In response to the 2021 Massachusetts climate legislation calling for increased electrification of the transportation and building sectors, in 2023, Eversource developed an Electric Sector Modernization Plan (ESMP) detailing steps the Company will take over the next five and ten years to help ensure reliability and resiliency while supporting a clean energy future.

Approved by the DPU in 2024, the ESMP includes incremental spending for interconnections of clean energy and resiliency initiatives and corresponding cost recovery will be established in 2025.

Similarly, the Massachusetts “Future of Gas” docket (DPU 20-80) specified measures for natural gas local distribution companies to support the state’s net zero by 2050 climate goal.

Approved by the DPU in 2024, the ESMP includes incremental spending for interconnections of clean energy and resiliency initiatives, and corresponding cost recovery was established in 2025.

Similarly, the Massachusetts “Future of Gas” docket (DPU 20-80) specified measures for natural gas LDCs to support the state’s net zero by 2050 climate goal.

In response, the LDCs submitted a Climate Compliance Plan in 2025 which is under review.

These state regulations and related policies may introduce risks and opportunities to our businesses if demands for energy change.

The prior administration had communicated a strong focus on addressing climate change by setting a U.S.

target of reducing greenhouse gas (GHG) emissions by 50 percent by 2030, compared to 2005 levels, and achieving net-zero emissions by 2050 economy-wide.

The prior Federal Administration had communicated a strong focus on addressing climate change by setting a U.S.

target of reducing GHG emissions by 50 percent by 2030, compared to 2005 levels, and achieving net-zero emissions by 2050 economy-wide.

The plan called for aggressive measures focused on clean transportation, clean energy and climate investments targeted at environmental justice communities.

In support of this plan, federal funding and incentive programs for clean transportation and energy have offered opportunities for Eversource to invest in projects that have the ability to reduce emissions in the region while benefiting our communities and shareholders.

Under the new administration there is uncertainty about the future of this funding and other clean energy policies, and the potential impact it may have on future projects.

In addition, the states we operate in may respond to the federal policy shift with enhancements to existing clean energy programs, creating additional opportunities.

Eversource continually evaluates the evolving regulatory landscape concerning climate change, which could potentially lead to additional requirements, rules and regulations that could impact how we operate our businesses.

Eversource continually evaluates the evolving regulatory landscape concerning climate change and emissions reductions, which could potentially lead to additional requirements, rules and regulations that could impact how we operate our businesses.

Potential future environmental statutes, regulations, policies and reporting metrics for rate cases that address climate change could impose significant additional costs and there can be no assurance that regulators will approve the recovery of those costs.

Physical and Transitional Impacts of Climate Change:

Eversource assesses the physical impacts of climate change that are presented in the form of weather or natural events or due to longer-term shifts in climate patterns, as well as transitional impacts related to a shift to a lower-carbon economy and changes to address mitigation and adaptation requirements.

To address physical and transitional impacts related to climate change, maintain resiliency across our system, and enable potential opportunities for our business, we are pursuing the following actions:

Eversource assesses the physical impacts of climate change that are presented in the form of weather and natural events or longer-term shifts in climate patterns, as well as transitional impacts related to a shift to a lower-carbon economy and mitigation and adaptation requirements.

• Improving our system resiliency in response to climate change through vegetation management, pole and wire strengthening, flood proofing, and other system hardening measures;

• Conducting climate modeling to assess vulnerable regions and infrastructure in order to prioritize hazard mitigation projects;

• Implementing a grid modernization plan that will enhance our electric distribution infrastructure to improve resiliency and reliability and increase opportunities to facilitate integration of distributed energy resources, electric vehicle infrastructure, and electrification of building heat;

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• Investigating emerging technologies such as energy storage and automation programs that improve reliability.

Physical risks from climate change may be acute due to increased severity of extreme weather events or chronic due to changes in precipitation patterns and extreme variability in weather patterns, rising mean temperatures and/or rising sea levels and shifting weather conditions, such as changes in precipitation, extreme heat, more frequent and severe storms, droughts, wildfires and floods.

Physical risks from climate change may be acute due to increased severity of extreme weather events, such as extreme heat, severe storms, droughts, wildfires, and floods.

Acute risks are often exacerbated by chronic risks due to changes in precipitation patterns, extreme variability in weather patterns, rising mean temperatures, and/or rising sea levels.

These risks may result in customers’ energy and water usage increasing or decreasing depending on the duration and magnitude of the changes, degradation of water quality, and our ability to reliably deliver our services to customers.

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Additionally, we collaborate with other utility providers and industry partners across the country to better understand storm hazards and develop solutions to improve our system reliability.

Eversource set a GHG reduction goal in 2019 to reduce Scope 1 and 2 emissions from our operations and reach carbon neutrality by 2030.

This goal addresses emissions from our operations primarily in the form of line loss (emissions associated with the energy lost when power is transmitted and distributed across the electric system), methane leaks from our natural gas distribution system, fuel consumption from our facilities and vehicle fleet, and sulfur hexafluoride (SF6) leaks from electric equipment.

Initiatives to reduce GHG emissions have resulted in a 30% reduction in emission from 2018 to 2023 from initiatives including improved energy efficiency at our buildings, utilizing alternative fuels and introducing more hybrid and electric vehicles into the company fleet, reducing fugitive emissions of methane by replacing leak-prone natural gas pipes, improving maintenance of SF6 gas-insulated electrical equipment, and piloting innovative SF6-free technologies thereby reducing SF6 emissions and supporting the overall interconnection of clean energy to the region thereby helping reduce the carbon intensity of line losses across the electric grid.

Progress towards this target is reported at least annually through a third-party-verified GHG emission inventory.

We are also looking to introduce an expanded target that will place a greater emphasis on the indirect Scope 3 emissions from our customers’ energy use.

An expanded target that aligns with the climate policies and regulations of the states where we operate will be introduced in early 2025.

In 2025, Eversource replaced its carbon neutrality goal with an expanded set of GHG reduction targets aiming to achieve a 45 percent reduction in both Scope 1 and 2 emissions by 2035 and to achieve net zero emissions by 2050 for both Scope 1 and 2 as well as Scope 3 emissions associated with customer energy use.

These targets rely on absolute emissions reductions as opposed to carbon offsets and put greater emphasis on the indirect emissions from our customers’ energy usage, thereby better aligning with, and supporting, the climate policies and regulations of the states where we operate.

Our Scope 1 and 2 emissions from our operations include line loss (emissions associated with the energy lost when power is transmitted and distributed across the electric system), methane leaks from our natural gas distribution system, fuel consumption from our facilities and vehicle fleet, electricity use at our facilities, and sulfur hexafluoride (SF6) leaks from electric equipment.

Initiatives to reduce GHG emissions have resulted in a nearly 30 percent reduction in both Scope 1 and 2 emissions from 2018 through 2024 from initiatives including improved energy efficiency at our buildings, utilizing alternative fuels and introducing more hybrid and electric vehicles into the company fleet, reducing emissions of methane by replacing leak-prone natural gas pipes, improving maintenance of SF6 gas-insulated electrical equipment and piloting innovative SF6-free technologies thereby reducing SF6 emissions, and supporting the overall interconnection of clean energy to the region thereby helping reduce the carbon intensity of line losses across the electric grid.

Our Scope 3 emissions are our largest portion of our inventory as it includes emissions associated with customer energy use and are included in our net zero target.

While we have limited influence over this emissions source, the investments we make to the grid infrastructure that enables more clean energy to be interconnected overtime, will help reduce the carbon footprint of our service territory and our customers, while supporting regional goals addressing climate change.

We also influence Scope 3 emissions through our industry-leading energy efficiency programs and interconnection of customer-owned renewable generation sources (such as solar panels).

Progress towards our targets is reported at least annually through a third-party-verified GHG emissions inventory.

Our business is also exposed to climate-related transitional impacts, such as policy, legal and reputational impacts and technology and market changes as we enable broad decarbonization of the electrical and building sectors in support of regional policies and targets.

We actively support local, state and federal emission reduction goals to address climate change and pursue climate-related opportunities that enable continued business success while serving the needs of our customers.

We actively support local, state and federal emissions reduction goals to address climate change and pursue climate-related opportunities that enable continued business success while serving the needs of our customers.

Our investments help reduce regional emissions while improving shareholder value.

Meanwhile, our energy efficiency solutions and electric vehicle infrastructure investments allow our customers to make choices that minimize climate-related impacts.

Additionally, as our business transitions to support a more energy diverse economy, human capital needs will also change with the potential to impact our workforce.

Meanwhile, our energy efficiency solutions, building electrification and electric vehicle infrastructure investments allow our customers to make choices that minimize climate-related impacts.

As our business transitions to support a more energy diverse economy, human capital needs will also change with the potential to impact our workforce.

As new technologies are implemented, we will need to recruit, develop and possibly retrain employees to meet the need for new skill sets.

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HUMAN CAPITAL

Eversource is committed to delivering reliable energy and superior customer service;

expanding energy options for our region;

environmental stewardship;

a safe and fairly compensated workforce;

and community service and leadership.

Our employees are critical to achieving this mission and we recognize the importance of attracting, retaining, and developing the most qualified individuals and ensuring fairness and equal employment opportunity for all.

Leaders at all levels strive to create a workplace where our employees are engaged, empowered, advocate for the customer, work collaboratively, raise ideas for improvement and focus on delivering superior customer experience.

We build employee engagement through continuous communication, talent development, and fostering teamwork.

We have established metrics and annual goals on our corporate scorecard, including safety performance, talent management and employee engagement, that drive accountability for progress across the business.

Eversource Energy is committed to delivering reliable energy and exceptional customer service, expanding energy solutions for our region, promoting environmental stewardship, ensuring a safe and fairly compensated workforce, and demonstrating leadership through community engagement.

Our employees are essential to achieving these objectives, and we prioritize attracting, retaining, and developing top talent while upholding fairness and equal employment opportunity for all.

Leaders at every level foster a workplace where employees are engaged, empowered, and collaborative by advocating for customers, sharing ideas for improvement, and focusing on delivering superior experiences.

We strengthen engagement through ongoing communication, robust talent development programs, and a culture of teamwork.

To drive accountability, we maintain corporate scorecard metrics and annual goals in areas such as safety performance and talent management ensuring measurable progress across the entire Eversource Energy organization.

As of December 31, 2025, Eversource Energy employed a total of 10,731 employees, excluding temporary employees, of which 1,554 were employed by CL&P, 2,164 were employed by NSTAR Electric, and 802 were employed by PSNH.

In addition, 4,286 were employed by Eversource Service, Eversource's service company, that provides support services to all Eversource operating companies.

Of Eversource Energy’s employees, 4,495 were employed by Eversource Service, Eversource's service company, that provides support services to all Eversource operating companies.

Approximately 49 percent of our employees are members of the International Brotherhood of Electrical Workers, the Utility Workers Union of America or The United Steelworkers, and are covered by various collective bargaining agreements.

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We provide safety training and perform field safety job observations of both internal and contractor crews with a focus on high-energy hazards.

We use metrics such as Days Away Restricted Time (DART) and High Energy Field Observations, among others, to monitor safety performance.

Our DART safety performance was 0.76 in 2024, measured by days away, restricted or transferred per 100 workers, using the DART-OSHA method of measurement.

We believe an engaged workforce and culture of respect contribute to our success and sustainability by driving innovation and creating trusted relationships with our employees, customers, suppliers, and community partners.

We support and continue to seek to identify many programs and agencies that address the specific challenges and particular issues facing each of the communities we serve.

We are committed to merit-based hiring practices that emphasize recruiting the most qualified individuals, ensuring fairness and equal employment opportunity for all candidates, and we encourage our employees to embrace different perspectives and experiences in our workplace and within our communities.

Eversource’s executive leadership team promotes and supports a culture of engagement by building and leading high performing and dynamic teams, where employees’ voices and contributions can deliver superior customer service and an engaged workplace culture.

Leaders are committed to growing a pipeline of exceptional talent, leveraging multiple perspectives to improve customer service, and engaging with the many communities we serve.

Our Business Resource Groups provide our leaders with valuable feedback on the impact of our decisions on workforce engagement and job satisfaction.

Eversource's Board of Trustees also is committed to overseeing a high-performing and engaged workforce at Eversource.

The Board receives regular monthly progress updates on human capital and employee engagement activities.

The Corporate Governance, Environmental and Social Responsibility Committee of the Board of Trustees is responsible for the oversight of environmental, human capital management and social responsibility strategies, programs, and policies.

The Board of Trustees seeks a diversity of experiences and professional perspectives when considering Trustee candidates.

We use a series of both industry specific and state and federal metrics to monitor safety performance.

A key metric is the OSHA-designed Days Away Restricted Time (DART), which measures the amount of time employees are out of work or on restricted duty as a result of a safety incident.

We continue to perform substantially better than the performance goal range and within the top half of the industry, albeit slightly below our DART metric from the prior year, from 0.76 in 2024 to 0.87 in 2025.

Workforce Engagement.

At Eversource, we are committed to fostering an empowered, engaged workforce that delivers superior service safely to our customers.

We believe that a culture of respect and collaboration drives innovation and strengthens trusted relationships with employees, customers, suppliers, and community partners.

Our approach includes partnering with programs and agencies that address the unique challenges facing the communities we serve.

Employee engagement remains a priority because we know that engaged employees deliver outstanding service.

We regularly gather feedback through pulse surveys for individual groups and Business Resource Groups (BRGs), listening sessions, employee meetings, and our online employee community.

These insights inform actions that support productivity, customer focus, and evolving work expectations.

Throughout the year, we delivered programs, events and discussions aimed at strengthening employee engagement and reinforcing our collaborative culture.

We also enhanced our Employee Value Proposition, underscoring Eversource’s commitment to safety, our customers, and sustainability.

This proposition serves as a clear message to employees, customers, investors, and prospective candidates, demonstrating how our values guide the employee experience and contribute to long-term organizational success.

Leadership and Talent Development .

Our executive leadership team actively promotes a culture of engagement by building and leading dynamic, high-performing teams.

Leaders are committed to growing a pipeline of exceptional talent, leveraging diverse perspectives to enhance customer service, and engaging with the communities we serve.

Recognizing that employees are our most valuable component to the success of our business, we integrate workforce strategies into our annual business and workforce planning process to address immediate and long-term resource needs.

In 2025, we launched the Eversource Leadership Development Cohort for high-potential employees, offering senior management interaction, targeted coaching, and learning experiences that promote independent thinking, collaboration and inclusion of different perspectives.

We provided targeted training and educational opportunities to all employees to ensure continued growth in the utility industry.

Interactive tools and resources supported learning effectiveness and the development of business, leadership, and technical skills.

Development initiatives were aligned with strategic workforce plans to support succession planning across all levels of the organization.

Additionally, we offered professional development for recent college graduates through our Engineering and Transmission Development Cohorts program.

To attract and retain talent in critical technical roles, we partnered with trade organizations and educational institutions within our communities.

These partnerships, along with proactive sourcing strategies, help us recruit experienced professionals in engineering, electric and gas operations, and energy efficiency.

Employees benefit from competitive pay, comprehensive benefits, and robust training programs, including tuition assistance, internships, co-ops, and leadership development initiatives, all reinforcing equal opportunity, non-discrimination, and advancement based on merit and performance.

Strategic Workforce Planning .

As the demand for skilled talent grows.

Eversource continues to adapt its recruiting strategies for trade and technical roles.

Each year, we develop strategic workforce plans to identify short-term and long-range resource needs, ensuring we acquire, develop, and retain top talent.

We remain focused on innovative approaches to build and strengthen the workforce, expanding programs to meet business needs, and building a pipeline of technically qualified individuals while maintaining fairness and equal opportunity for all candidates.

Compensation, Health and Wellness Benefits.

Eversource is committed to the health, safety and wellness of our employees.

We provide competitive compensation and comprehensive benefit packages, including healthcare, life insurance, sick time and disability plans, death benefits, retirement plans (defined benefit pension plans or 401k Plan), an Employee Stock Purchase Plan, health savings and flexible spending accounts, paid time off, employee assistance programs, and tuition assistance, among many others.

Eversource also provides wellness programs and benefits to encourage employees and their families to adopt and maintain healthy lifestyle habits.

Eversource has established flexible work guidelines and offers hybrid work arrangements to employees in applicable positions.

Talent Development, Training Programs and Education Opportunities.

Strategic workforce plans are developed every year as part of the annual business planning process to address immediate and long-range resource needs and to ensure that Eversource acquires, develops, and retains the most qualified individuals.

We provide employees with education and experiences that broaden the reach of our brand through our Employee Value Proposition, the messaging that Eversource provides to staff, investors, customers and job candidates regarding our commitment to our values, rewards and recognition, and company culture of respect and engagement .

Employee development programs are aligned to our strategic workforce plan to support succession within all levels of the organization.

Continuous professional development is important to support our employees’ ongoing success.

These professional development programs include leadership effectiveness programs designed to develop new and current supervisors;

a talent management process to identify high potential and emerging talent and ensure their development;

multiple early career development programs in Engineering, Transmission and Operations;

educational and professional development opportunities for employees who are recent college graduates;

tuition assistance program;

paid internships and co-ops;

and workforce development programs focused on building a talent pipeline for our technical craft roles.

We leverage educational partnerships in critical trade and technical areas and have developed proactive sourcing strategies to attract experienced workers in highly technical roles in engineering, electric and gas operations, and energy efficiency.

As part of this process, Eversource identifies critical roles and develops succession plans to ensure we have a capable supply of talent for the future.

Eversource is committed to fostering a safe, healthy, and supportive work environment.

We offer competitive compensation and comprehensive benefits, including healthcare, life insurance, disability coverage, retirement, an Employee Stock Purchase Plan, paid time off, and tuition assistance.

Additional programs include health savings and flexible spending accounts, employee assistance services, and wellness initiatives designed to promote healthy lifestyles for employees and their families.

To support work-life balance, Eversource has established flexible work guidelines and provides hybrid work arrangements for eligible positions.

Community & Social Impact.

Eversource and our employees support many nonprofit organizations and programs that make a positive difference in the lives of our customers and the communities that we serve.

The Eversource Foundation provides grants to charitable organizations that help to make broad, meaningful, and sustainable change for the communities we serve.

Our employees also lend their time and talents to volunteer with charitable organizations that address local high-priority concerns and needs.

Our goal at Eversource is to lend a hand to organizations that really make a difference in the communities where we live and work.

See our 2023 Sustainability Report and our 2023 Diversity, Equity and Inclusion Report located on our website, for more detailed information regarding our human capital programs and initiatives.

Nothing on our website, including our Sustainability Report, our Diversity, Equity and Inclusion Report, or sections thereof, shall be deemed incorporated by reference into this Annual Report.

Eversource is committed to strengthening the communities where we live and work.

Through the Eversource Foundation, we provide grants to nonprofit organizations that drive meaningful, sustainable change and address critical community needs.

In addition to financial support, our employees actively volunteer their time and expertise to charitable programs focused on high-priority local concerns.

These efforts reflect our ongoing commitment to making a positive difference for our customers and the communities we serve.

See our 2024 Sustainability Report located on our website, for more detailed information regarding our human capital programs and initiatives.

Nothing on our website, including our Sustainability Report, or sections thereof, shall be deemed incorporated by reference into this Annual Report.

INTERNET INFORMATION

Our website address is www.eversource.com.

Our Investor Relations website address is investors.eversource.com.

We make available through our website a link to the SEC's EDGAR website (http://www.sec.gov/edgar/searchedgar/companysearch.html), at which site Eversource's, CL&P's, NSTAR Electric's and PSNH's combined Annual Reports on Form 10-K, combined Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and any amendments to those reports may be reviewed.

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Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 1. Business