ISO-NE to review ‘asset condition’ transmission projects under proposal filed at FERC

New England's grid operator, ISO-NE, has asked federal regulators to approve a plan giving it more oversight of "asset condition" projects — the power line and equipment replacement work that utilities plan and build largely on their own, mainly to swap out aging infrastructure. These projects have drawn complaints from states and consumer advocates because they get less scrutiny than other transmission spending, even though they make up a large share of costs on electric bills. In Connecticut, transmission charges account for about 15% of a typical bill, and asset condition work makes up 73% of transmission owners' annual capital spending in New England.

Under the proposal, ISO-NE would review these projects and report on whether they're needed and cost-effective, starting Jan. 1. It would not have power to approve or block any project, but its findings could help states and advocates challenge utilities' bills later on. The move comes as New England utilities plan to add roughly $5 billion in asset condition projects by 2034, including about $1.3 billion next year. It follows a complaint over a roughly $360 million Eversource project in New Hampshire and a push from Sen. Richard Blumenthal, who also introduced a bill requiring federal regulators to weigh "affordability" when setting transmission rates.

This is a policy and regulatory development, not something requiring immediate action from homeowners. But since transmission costs show up on electric bills, it's a sign that regulators are paying closer attention to a cost driver that has been largely invisible to ratepayers.