The company faces risks from regulatory challenges (rate cases, legal proceedings, environmental regulations), economic conditions (inflation, energy price volatility, market disruptions), weather events, and energy commodity prices. Litigation, including environmental remediation costs, contract disputes, and tax claims, pose significant financial risks. Access to capital markets and financial covenants also present potential liquidity issues.
Financial Upside
The company anticipates increased electric deliveries and stable gas deliveries, driven by modest demand growth and energy efficiency programs. Rate increases, higher earnings at NorthStar Clean Energy, and sales of assets (like the ASP business) contribute to revenue growth. Renewable energy tax credits and favorable weather conditions also present potential revenue opportunities.
