Mass. utilities and Hydro-Quebec sue each other over missing hydropower

Three Massachusetts utilities — Eversource, National Grid, and Unitil — are in a legal fight with Hydro-Québec over a new power line called the New England Clean Energy Connect, which started running in January. During a stretch of extreme cold in January and February, Hydro-Québec largely stopped sending power south for 12 days, diverting it to meet demand at home. The utilities say this cost them $40 million, since they had to buy pricier, dirtier power to fill the gap and purchase renewable energy credits to meet state clean-energy requirements. Hydro-Québec argues the cold snap was unforeseeable enough that its contract lets it make up the missed power later, since Quebec's grid operator, not the company itself, made the call to cut exports. Hydro-Québec is separately suing the utilities for $50 million it says it's owed for power that was delivered as promised, since the utilities have withheld payment.

For homeowners, this dispute doesn't change anything directly about your utility bill or any rebate program. It's a sign that this new hydropower line, meant to bring cleaner electricity into New England and help meet state climate goals, has had reliability hiccups since coming online, including several outages beyond this one. Advocates say the line is still delivering real benefits and that volatile fossil fuel prices remain a bigger concern for energy costs than these interruptions. The outcome of the lawsuits could shape how future clean-power contracts with Canada, including possible offshore wind deals, are written.