Eversource faces risks from cyberattacks, fluctuating energy prices, uncertain investment tax credits, potential cost overruns on offshore wind projects, changing economic conditions, regulatory actions, and third-party supplier performance. The company also faces potential liability from environmental remediation and pending FERC ROE complaints, which could significantly impact earnings and cash flows. Uncertainty surrounding the outcome of legal proceedings and appeals adds to the risk profile.
Financial Upside
Eversource anticipates positive impacts from rate increases, lower storm-related costs, and improved regulatory recoveries. The sale of offshore wind investments, while resulting in a loss, could generate future proceeds and reduce ongoing obligations. The company expects lower federal income tax payments in the future due to investment tax credits. Positive outcomes in pending regulatory matters could also lead to increased earnings.
