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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended
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Jun. 30, 2024
Accounting Policies [Abstract] |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES A. Basis of Presentation Eversource Energy is a public utility holding company primarily engaged, through its wholly-owned regulated utility subsidiaries, in the energy delivery business. Eversource Energy's wholly-owned regulated utility subsidiaries consist of CL&P, NSTAR Electric and PSNH (electric utilities), Yankee Gas, NSTAR Gas and EGMA (natural gas utilities), and Aquarion (water utilities). Eversource provides energy delivery and/or water service to approximately 4.4 million electric, natural gas and water customers through twelve regulated utilities in Connecticut, Massachusetts and New Hampshire. The unaudited condensed consolidated financial statements of Eversource, NSTAR Electric and PSNH include the accounts of each of their respective subsidiaries. Intercompany transactions have been eliminated in consolidation. The accompanying unaudited condensed consolidated financial statements of Eversource, NSTAR Electric and PSNH and the unaudited condensed financial statements of CL&P are herein collectively referred to as the "financial statements." The combined notes to the financial statements have been prepared pursuant to the rules and regulations of the SEC. Certain information and footnote disclosures included in annual financial statements prepared in accordance with GAAP have been omitted pursuant to such rules and regulations. The accompanying financial statements should be read in conjunction with the Combined Notes to Financial Statements included in Item 8, "Financial Statements and Supplementary Data," of the Eversource 2023 Form 10-K, which was filed with the SEC on February 14, 2024. The preparation of the financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The financial statements contain, in the opinion of management, all adjustments (including normal, recurring adjustments) necessary to present fairly Eversource's, CL&P's, NSTAR Electric's and PSNH's financial position as of June 30, 2024 and December 31, 2023, and the results of operations, comprehensive income and common shareholders' equity for the three and six months ended June 30, 2024 and 2023, and the cash flows for the six months ended June 30, 2024 and 2023. The results of operations and comprehensive income for the three and six months ended June 30, 2024 and 2023 and the cash flows for the six months ended June 30, 2024 and 2023 are not necessarily indicative of the results expected for a full year. CYAPC and YAEC are inactive regional nuclear power companies engaged in the long-term storage of their spent nuclear fuel. Eversource consolidates the operations of CYAPC and YAEC because CL&P's, NSTAR Electric's and PSNH's combined ownership and voting interests in each of these entities is greater than 50 percent. Intercompany transactions between CL&P, NSTAR Electric, PSNH and the CYAPC and YAEC companies have been eliminated in consolidation of the Eversource financial statements. As of June 30, 2024, Eversource held several equity ownership interests that are not consolidated and are accounted for under the equity method, including 50 percent ownership interests in three offshore wind projects and a tax equity investment in one of the projects. See Note 1E, "Summary of Significant Accounting Policies – Investments in Unconsolidated Affiliates," for further information on Eversource’s equity method investments. Eversource's utility subsidiaries' electric, natural gas and water distribution and transmission businesses are subject to rate-regulation that is based on cost recovery and meets the criteria for application of accounting guidance for entities with rate-regulated operations, which considers the effect of regulation on the differences in the timing of the recognition of certain revenues and expenses from those of other businesses and industries. See Note 2, "Regulatory Accounting," for further information. Certain reclassifications of prior period data were made in the accompanying financial statements to conform to the current period presentation. B. Allowance for Uncollectible Accounts Receivables, Net on the balance sheets primarily includes trade receivables from retail customers and customers related to wholesale transmission contracts, wholesale market sales, sales of RECs, and property rentals. Receivables, Net also includes customer receivables for the purchase of electricity from a competitive third party supplier, the current portion of customer energy efficiency loans, property damage receivables and other miscellaneous receivables. There is no material concentration of receivables. Receivables are recorded at amortized cost, net of a credit loss provision (or allowance for uncollectible accounts). The current expected credit loss (CECL) model is applied to receivables for purposes of calculating the allowance for uncollectible accounts. This model is based on expected losses and results in the recognition of estimated expected credit losses, including uncollectible amounts for both billed and unbilled revenues, over the life of the receivable at the time a receivable is recorded. The allowance for uncollectible accounts is determined based upon a variety of judgments and factors, including an aging-based quantitative assessment that applies an estimated uncollectible percentage to each receivable aging category. Factors in determining credit loss include historical collection, write-off experience, analysis of delinquency statistics, and management's assessment of collectability from customers, including current economic conditions, customer payment trends, the impact on customer bills because of energy usage trends and changes in rates, flexible payment plans and financial hardship arrearage management programs offered to customers, reasonable forecasts, and expectations of future collectability and collection efforts. Management continuously assesses the collectability of receivables and adjusts estimates based on actual experience and future expectations based on economic conditions, collection efforts and other factors. Management also monitors the aging analysis of receivables to determine if there are changes in the collections of accounts receivable. Receivable balances are written off against the allowance for uncollectible accounts when the customer accounts are no longer in service and these balances are deemed to be uncollectible. Management concluded that the reserve balance as of June 30, 2024 adequately reflected the collection risk and net realizable value for its receivables. The PURA allows CL&P and Yankee Gas to accelerate the recovery of accounts receivable balances attributable to qualified customers under financial or medical duress (uncollectible hardship accounts receivable) outstanding for greater than 180 days and 90 days, respectively. The DPU allows NSTAR Electric, NSTAR Gas and EGMA to recover in rates amounts associated with certain uncollectible hardship accounts receivable. These uncollectible hardship customer account balances are included in Regulatory Assets or Other Long-Term Assets on the balance sheets. Hardship customers are protected from shut-off in certain circumstances, and historical collection experience has reflected a higher default risk as compared to the rest of the receivable population. Management uses a higher credit risk profile for this pool of trade receivables as compared to non-hardship receivables. The allowance for uncollectible hardship accounts is included in the total uncollectible allowance balance. The total allowance for uncollectible accounts is included in Receivables, Net on the balance sheets. The activity in the allowance for uncollectible accounts by portfolio segment as of June 30 th is as follows:
| Eversource |  | CL&P |  | NSTAR Electric |  | PSNH
(Millions of Dollars) | Hardship Accounts |  | Retail (Non-Hardship), Wholesale, and Other |  | Total Allowance |  | Hardship Accounts |  | Retail (Non-Hardship), Wholesale, and Other |  | Total Allowance |  | Hardship Accounts |  | Retail (Non-Hardship), Wholesale, and Other |  | Total Allowance |  | Total Allowance
Three Months Ended 2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Beginning Balance | $ | 379.4 |  |  | $ | 190.7 |  |  | $ | 570.1 |  |  | $ | 271.8 |  |  | $ | 36.0 |  |  | $ | 307.8 |  |  | $ | 41.8 |  |  | $ | 55.9 |  |  | $ | 97.7 |  |  | $ | 13.8 |
Uncollectible Expense | — |  |  | 9.9 |  |  | 9.9 |  |  | — |  |  | 2.8 |  |  | 2.8 |  |  | — |  |  | 5.9 |  |  | 5.9 |  |  | 1.0 |
Uncollectible Costs Deferred (1) | 26.0 |  |  | 10.0 |  |  | 36.0 |  |  | 15.3 |  |  | 2.6 |  |  | 17.9 |  |  | 4.3 |  |  | 4.7 |  |  | 9.0 |  |  | 1.1 |
Write-Offs | (16.5) |  |  | (23.3) |  |  | (39.8) |  |  | (12.9) |  |  | (8.3) |  |  | (21.2) |  |  | (0.2) |  |  | (7.1) |  |  | (7.3) |  |  | (2.0) |
Recoveries Collected | 0.2 |  |  | 3.2 |  |  | 3.4 |  |  | 0.2 |  |  | 1.1 |  |  | 1.3 |  |  | — |  |  | 0.9 |  |  | 0.9 |  |  | 0.2 |
Ending Balance | $ | 389.1 |  |  | $ | 190.5 |  |  | $ | 579.6 |  |  | $ | 274.4 |  |  | $ | 34.2 |  |  | $ | 308.6 |  |  | $ | 45.9 |  |  | $ | 60.3 |  |  | $ | 106.2 |  |  | $ | 14.1 |
Six Months Ended 2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Beginning Balance | $ | 366.8 |  |  | $ | 187.7 |  |  | $ | 554.5 |  |  | $ | 259.7 |  |  | $ | 36.3 |  |  | $ | 296.0 |  |  | $ | 43.6 |  |  | $ | 53.4 |  |  | $ | 97.0 |  |  | $ | 14.3 |
Uncollectible Expense | — |  |  | 26.3 |  |  | 26.3 |  |  | — |  |  | 6.3 |  |  | 6.3 |  |  | — |  |  | 12.0 |  |  | 12.0 |  |  | 2.2 |
Uncollectible Costs Deferred (1) | 53.5 |  |  | 21.4 |  |  | 74.9 |  |  | 38.1 |  |  | 5.3 |  |  | 43.4 |  |  | 3.5 |  |  | 9.1 |  |  | 12.6 |  |  | 2.4 |
Write-Offs | (31.7) |  |  | (51.8) |  |  | (83.5) |  |  | (23.8) |  |  | (16.0) |  |  | (39.8) |  |  | (1.2) |  |  | (16.3) |  |  | (17.5) |  |  | (5.2) |
Recoveries Collected | 0.5 |  |  | 6.9 |  |  | 7.4 |  |  | 0.4 |  |  | 2.3 |  |  | 2.7 |  |  | — |  |  | 2.1 |  |  | 2.1 |  |  | 0.4 |
Ending Balance | $ | 389.1 |  |  | $ | 190.5 |  |  | $ | 579.6 |  |  | $ | 274.4 |  |  | $ | 34.2 |  |  | $ | 308.6 |  |  | $ | 45.9 |  |  | $ | 60.3 |  |  | $ | 106.2 |  |  | $ | 14.1 |
| Eversource |  | CL&P |  | NSTAR Electric |  | PSNH
(Millions of Dollars) | Hardship Accounts |  | Retail (Non-Hardship), Wholesale, and Other |  | Total Allowance |  | Hardship Accounts |  | Retail (Non-Hardship), Wholesale, and Other |  | Total Allowance |  | Hardship Accounts |  | Retail (Non-Hardship), Wholesale, and Other |  | Total Allowance |  | Total Allowance (2)
Three Months Ended 2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Beginning Balance | $ | 318.7 |  |  | $ | 216.4 |  |  | $ | 535.1 |  |  | $ | 216.2 |  |  | $ | 37.2 |  |  | $ | 253.4 |  |  | $ | 42.0 |  |  | $ | 52.6 |  |  | $ | 94.6 |  |  | $ | 33.5 |
Uncollectible Expense | — |  |  | 1.4 |  |  | 1.4 |  |  | — |  |  | 0.9 |  |  | 0.9 |  |  | — |  |  | 3.1 |  |  | 3.1 |  |  | (5.5) |
Uncollectible Costs Deferred (1) | 27.0 |  |  | (5.5) |  |  | 21.5 |  |  | 16.6 |  |  | 3.4 |  |  | 20.0 |  |  | 3.7 |  |  | 3.9 |  |  | 7.6 |  |  | (13.5) |
Write-Offs | (8.1) |  |  | (21.8) |  |  | (29.9) |  |  | (6.8) |  |  | (6.7) |  |  | (13.5) |  |  | (0.1) |  |  | (8.6) |  |  | (8.7) |  |  | (2.0) |
Recoveries Collected | 0.6 |  |  | 3.7 |  |  | 4.3 |  |  | 0.5 |  |  | 1.5 |  |  | 2.0 |  |  | — |  |  | 1.2 |  |  | 1.2 |  |  | 0.2 |
Ending Balance | $ | 338.2 |  |  | $ | 194.2 |  |  | $ | 532.4 |  |  | $ | 226.5 |  |  | $ | 36.3 |  |  | $ | 262.8 |  |  | $ | 45.6 |  |  | $ | 52.2 |  |  | $ | 97.8 |  |  | $ | 12.7 |
Six Months Ended 2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Beginning Balance | $ | 284.4 |  |  | $ | 201.9 |  |  | $ | 486.3 |  |  | $ | 188.9 |  |  | $ | 36.4 |  |  | $ | 225.3 |  |  | $ | 43.7 |  |  | $ | 51.3 |  |  | $ | 95.0 |  |  | $ | 29.2 |
Uncollectible Expense | — |  |  | 24.2 |  |  | 24.2 |  |  | — |  |  | 4.8 |  |  | 4.8 |  |  | — |  |  | 7.8 |  |  | 7.8 |  |  | (0.5) |
Uncollectible Costs Deferred (1) | 70.8 |  |  | 8.7 |  |  | 79.5 |  |  | 50.9 |  |  | 6.1 |  |  | 57.0 |  |  | 2.4 |  |  | 9.3 |  |  | 11.7 |  |  | (12.2) |
Write-Offs | (17.8) |  |  | (48.0) |  |  | (65.8) |  |  | (14.1) |  |  | (13.7) |  |  | (27.8) |  |  | (0.5) |  |  | (18.9) |  |  | (19.4) |  |  | (4.2) |
Recoveries Collected | 0.8 |  |  | 7.4 |  |  | 8.2 |  |  | 0.8 |  |  | 2.7 |  |  | 3.5 |  |  | — |  |  | 2.7 |  |  | 2.7 |  |  | 0.4 |
Ending Balance | $ | 338.2 |  |  | $ | 194.2 |  |  | $ | 532.4 |  |  | $ | 226.5 |  |  | $ | 36.3 |  |  | $ | 262.8 |  |  | $ | 45.6 |  |  | $ | 52.2 |  |  | $ | 97.8 |  |  | $ | 12.7 |
(1) These expected credit losses are deferred as regulatory costs on the balance sheets, as these amounts are ultimately recovered in rates. Amounts include uncollectible costs for hardship accounts and other customer receivables, including uncollectible amounts related to uncollectible energy supply costs and COVID-19. The increases in the allowance for uncollectible hardship accounts at Eversource and CL&P in both 2024 and 2023 primarily relate to increased customer enrollment in disconnection prevention programs in Connecticut. (2) In connection with PSNH’s pole purchase agreement on May 1, 2023, the purchase price included the forgiveness of previously reserved receivables for reimbursement of operation and maintenance and vegetation management costs. C. Fair Value Measurements Fair value measurement guidance is applied to derivative contracts that are not elected or designated as "normal purchases" or "normal sales" (normal) and to marketable securities held in trusts. Fair value measurement guidance is also applied to valuations of the investments used to calculate the funded status of pension and PBOP plans, the nonrecurring fair value measurements of nonfinancial assets such as goodwill, long-lived assets, equity method investments, AROs, and in the valuation of business combinations and asset acquisitions. The fair value measurement guidance was also applied in estimating the fair value of preferred stock, long-term debt and RRBs. Fair Value Hierarchy: In measuring fair value, Eversource uses observable market data when available in order to minimize the use of unobservable inputs. Inputs used in fair value measurements are categorized into three fair value hierarchy levels for disclosure purposes. The entire fair value measurement is categorized based on the lowest level of input that is significant to the fair value measurement. Eversource evaluates the classification of assets and liabilities measured at fair value on a quarterly basis. The levels of the fair value hierarchy are described below: Level 1 - Inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities as of the reporting date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 2 - Inputs are quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-derived valuations in which all significant inputs are observable. Level 3 - Quoted market prices are not available. Fair value is derived from valuation techniques in which one or more significant inputs or assumptions are unobservable. Where possible, valuation techniques incorporate observable market inputs that can be validated to external sources such as industry exchanges, including prices of energy and energy-related products. Uncategorized - Investments that are measured at net asset value are not categorized within the fair value hierarchy. Determination of Fair Value: The valuation techniques and inputs used in Eversource's fair value measurements are described in Note 4, "Derivative Instruments," Note 5, "Marketable Securities," and Note 10, "Fair Value of Financial Instruments," to the financial statements. D. Other Income, Net The components of Other Income, Net on the statements of income were as follows:
| For the Three Months Ended
| June 30, 2024 |  | June 30, 2023
(Millions of Dollars) | Eversource |  | CL&P |  | NSTAR Electric |  | PSNH |  | Eversource |  | CL&P |  | NSTAR Electric |  | PSNH
Pension, SERP and PBOP Non-Service Income Components, Net of Deferred Portion | $ | 30.0 |  |  | $ | 7.2 |  |  | $ | 13.3 |  |  | $ | 3.7 |  |  | $ | 33.3 |  |  | $ | 8.4 |  |  | $ | 14.1 |  |  | $ | 3.9 |
AFUDC Equity | 23.7 |  |  | 5.5 |  |  | 15.2 |  |  | 1.7 |  |  | 19.0 |  |  | 4.6 |  |  | 12.0 |  |  | 1.1 |
Equity in Earnings of Unconsolidated Affiliates (1) | 23.2 |  |  | — |  |  | 0.2 |  |  | — |  |  | 5.0 |  |  | — |  |  | 0.1 |  |  | — |
Investment Income/(Loss) | 1.1 |  |  | (0.1) |  |  | 0.5 |  |  | — |  |  | (1.4) |  |  | (1.1) |  |  | 0.3 |  |  | (0.3) |
Interest Income | 37.1 |  |  | 10.4 |  |  | 19.2 |  |  | 2.4 |  |  | 21.4 |  |  | 1.5 |  |  | 14.4 |  |  | 1.2 |
Other (2) | 0.2 |  |  | — |  |  | — |  |  | — |  |  | 17.6 |  |  | — |  |  | — |  |  | 0.4 |
Total Other Income, Net | $ | 115.3 |  |  | $ | 23.0 |  |  | $ | 48.4 |  |  | $ | 7.8 |  |  | $ | 94.9 |  |  | $ | 13.4 |  |  | $ | 40.9 |  |  | $ | 6.3 |
| For the Six Months Ended
| June 30, 2024 |  | June 30, 2023
(Millions of Dollars) | Eversource |  | CL&P |  | NSTAR Electric |  | PSNH |  | Eversource |  | CL&P |  | NSTAR Electric |  | PSNH
Pension, SERP and PBOP Non-Service Income Components, Net of Deferred Portion | $ | 57.8 |  |  | $ | 13.7 |  |  | $ | 25.6 |  |  | $ | 7.3 |  |  | $ | 68.1 |  |  | $ | 17.9 |  |  | $ | 28.8 |  |  | $ | 8.1 |
AFUDC Equity | 50.5 |  |  | 11.5 |  |  | 31.4 |  |  | 3.6 |  |  | 34.5 |  |  | 8.7 |  |  | 21.5 |  |  | 1.8 |
Equity in Earnings of Unconsolidated Affiliates (1) | 31.0 |  |  | — |  |  | 0.4 |  |  | — |  |  | 8.8 |  |  | — |  |  | 0.2 |  |  | — |
Investment Income/(Loss) | 0.3 |  |  | (0.9) |  |  | 0.9 |  |  | (0.2) |  |  | (3.1) |  |  | (1.7) |  |  | (0.2) |  |  | (0.4) |
Interest Income | 67.1 |  |  | 15.1 |  |  | 37.2 |  |  | 4.1 |  |  | 44.5 |  |  | 3.4 |  |  | 30.4 |  |  | 2.1 |
Other (2) | (0.4) |  |  | — |  |  | — |  |  | — |  |  | 31.1 |  |  | — |  |  | 0.1 |  |  | 0.4 |
Total Other Income, Net | $ | 206.3 |  |  | $ | 39.4 |  |  | $ | 95.5 |  |  | $ | 14.8 |  |  | $ | 183.9 |  |  | $ | 28.3 |  |  | $ | 80.8 |  |  | $ | 12.0 |
(1) Equity in Earnings of Unconsolidated Affiliates includes $23.4 million of pre-tax income recorded at Eversource in the second quarter of 2024 from Eversource’s wind equity method investment, North East Offshore, as a result of a vendor settlement agreement payment received by the joint venture. This settlement payment reduced the required capital contributions to be made by Eversource to North East Offshore during the second quarter of 2024. (2) Eversource’s equity method investment in a renewable energy fund was liquidated in March 2023. Liquidation proceeds in excess of the carrying value were recorded in both the first and second quarters of 2023 within Other in the tables above. See Note 1E, "Summary of Significant Accounting Policies - Investments in Unconsolidated Affiliates," for further information. E. Investments in Unconsolidated Affiliates Investments in entities that are not consolidated are included in long-term assets on the balance sheets and earnings impacts from these equity investments are included in Other Income, Net on the statements of income. Eversource's investments included the following:
|  |  |  |  | Investment Balance
(Millions of Dollars) | Ownership Interest |  | As of June 30, 2024 |  | As of December 31, 2023
Offshore Wind Business | 50% | - | 100% |  | $ | 806.1 |  |  | $ | 515.5 |
Natural Gas Pipeline - Algonquin Gas Transmission, LLC | 15% |  | 113.2 |  |  | 116.0 |
Other | various |  | 29.7 |  |  | 29.0 |
Total Investments in Unconsolidated Affiliates |  |  |  |  | $ | 949.0 |  |  | $ | 660.5 |
Offshore Wind Business: As of June 30, 2024, Eversource’s offshore wind business includes 50 percent ownership interests in each of North East Offshore and South Fork Class B Member, LLC, which collectively hold three offshore wind projects. North East Offshore holds the Revolution Wind project and the Sunrise Wind project. South Fork Class B Member, LLC holds the South Fork Wind project. The offshore wind projects are being developed and constructed through joint and equal partnerships with Ørsted. Eversource’s offshore wind business also includes a noncontrolling tax equity investment in South Fork Wind through a 100 percent ownership in South Fork Wind Holdings, LLC Class A shares. On May 25, 2023, Eversource announced that it had completed a strategic review of its offshore wind investments and determined that it would pursue the sale of its offshore wind investments. On September 7, 2023, Eversource completed the sale of its 50 percent interest in an uncommitted lease area consisting of approximately 175,000 developable acres located 25 miles off the south coast of Massachusetts to Ørsted for $625 million in an all-cash transaction. In September of 2023, Eversource made a contribution of $528 million using the proceeds from the lease area sale to invest in a tax equity interest for South Fork Wind. South Fork Wind was restructured as a tax equity investment, with Eversource purchasing 100 percent ownership of a new Class A tax equity membership interest. This investment will result in Eversource receiving cash flow benefits from investment tax credits (ITC) and other future cash flow benefits as well. As of June 30 2024, all twelve South Fork Wind turbines met the requirements to qualify for the investment tax credits. As a result, $385 million of expected investment tax credits were reclassified from the South Fork Wind tax equity investment balance reported in Investments in Unconsolidated Affiliates as a reduction in current taxes payable of $54 million and an increase in deferred tax assets of $331 million on the Eversource balance sheet as of June 30, 2024. As a result of these investment tax credits generated from our wind investments, Eversource expects lower federal income tax payments between 2024 through 2026. Sales of Offshore Wind Investments: On January 24, 2024, Ørsted signed an agreement with Eversource to acquire Eversource’s 50 percent share of Sunrise Wind, subject to the successful selection of Sunrise Wind in the New York fourth solicitation for offshore wind capacity, signing of an OREC contract with NYSERDA, finalization of agreements including the equity and asset purchase agreement, receipt of the final approval by BOEM of the Sunrise Wind Construction and Operations Plan (COP), and relevant regulatory approvals. On February 29, 2024, Sunrise Wind was selected for contract negotiation in the offshore wind solicitation by NYSERDA, and was subsequently awarded a contract, which was finalized and completed on May 31, 2024. In June 2024, Sunrise Wind received final approval by BOEM of its COP and all remaining regulatory approvals. On April 18, 2024, Eversource and Ørsted executed the equity and asset purchase agreement to sell Eversource’s 50 percent interest in Sunrise Wind to Ørsted for a gross purchase price of $230 million. The purchase price was subject to reduction for actual capital spending less than forecasted spending between signing the agreement in January and closing of the transaction. On July 9, 2024, Eversource completed the sale of its 50 percent ownership share of Sunrise Wind to Ørsted. In accordance with the equity and asset purchase agreement and after adjustment for the reduction in capital spending compared to forecasted, Ørsted paid Eversource $118 million at the closing of the sale transaction, and the remaining proceeds of $34 million will be paid after onshore construction is completed and certain other construction milestones are achieved. With the completion of the sale, Eversource has divested all of its ownership interest in Sunrise Wind and will not have any ongoing ownership interest in the project, nor any ongoing financial obligations associated with project costs. Eversource’s existing credit support obligations were either terminated or indemnified by Ørsted as a result of the sale. Eversource has entered into a separate amended and restated construction management agreement to manage Sunrise Wind’s onshore construction through completion. In this role, Eversource will solely be a service provider to Sunrise Wind. On February 13, 2024, Eversource executed an agreement to sell its existing 50 percent interests in the South Fork Wind and Revolution Wind projects to Global Infrastructure Partners (GIP) for $1.1 billion of cash proceeds to be received upon closing, subject to adjustment. The purchase price is inclusive of the sales value related to a 40 percent level of federal investment tax credits, 10 percent of which is the energy community ITC adder of approximately $170 million related to Revolution Wind. The purchase price is subject to adjustments based on, among other things, the progress, timing and the construction cost of Revolution Wind, including changes in actual versus forecasted capital spending between signing the agreement and closing of the transaction. Factors that could result in Eversource’s total net proceeds from the transaction to be lower, resulting in post-closing adjustment payments owed to GIP, include the ultimate cost of construction and extent of cost overruns for Revolution Wind, delays in constructing Revolution Wind, which would impact the economics associated with the purchase price adjustment, and Revolution Wind’s eligibility for federal investment tax credits at less than the value included in the purchase price. Total net proceeds could also be adjusted for a benefit due to Eversource if there are lower operation costs or higher availability of the projects through the period that is four years following the commercial operation date of the Revolution Wind project. The post-closing purchase price adjustment payments include cost sharing obligations that provide Eversource will share equally with GIP in GIP’s funding obligations for up to approximately $240 million of incremental capital expenditure overruns incurred during the construction phase for Revolution Wind, after which obligations for any additional capital expenditure overruns would be shared equally by Eversource and Ørsted. The purchase price is also subject to post-closing adjustments as a result of final project economics, which includes Eversource’s obligation to maintain GIP’s internal rate of return for each project as specified in the agreement. Post-closing purchase price adjustment payments will be made following the sale closing date for South Fork and following the commercial operation of Revolution Wind. South Fork Wind construction has been completed, and Eversource does not expect any material cost sharing or other purchase price adjustment payments for South Fork Wind. Closing the transaction with GIP is subject to customary conditions, including certain regulatory approvals, as well as other conditions, among which is the completion and execution of the partnership agreements between GIP and Ørsted that will govern GIP’s new ownership interest in those projects following Eversource’s divestiture. All regulatory approvals have been received and the review period under the Hart Scott Rodino Act has expired. Closing of this transaction is currently expected to occur in the third quarter of 2024. Under the agreement with GIP, Eversource’s existing credit support obligations are expected to roll off for each project around the time that each project completes its expected capital spend. Eversource will continue to make future cash expenditures for required cash contributions up to the time of disposition of the Revolution Wind and South Fork Wind projects and changes in the timing and amounts of these contributions would be adjusted in the purchase price. Upon close of the sale transactions in the third quarter of 2024, the total proceeds will be compared to the current carrying value of the investments, and the difference will be reflected in the statement of income. At that time, Eversource will also record an estimate of future obligations under the terms of the GIP transaction, which primarily could include the potential cost overrun sharing obligation and potential obligation to maintain GIP’s internal rate of return for the Revolution Wind project. Eversource is currently evaluating the combined impact of the Sunrise Wind sale and the expected sale of Revolution Wind and South Fork Wind, and at this time, does not expect a material financial impact on our 2024 results. Proceeds from the transactions will be used to pay off parent company debt. Impairment: Equity method investments are assessed for impairment when conditions exist as of the balance sheet date that indicate that the fair value of the investment may be less than book value. Eversource continually monitors and evaluates its equity method investments to determine if there are indicators of an other-than-temporary impairment. If the decline in value is considered to be other-than-temporary, the investment is written down to its estimated fair value, which establishes a new cost basis in the investment. Subsequent declines or recoveries after the reporting date are not considered in the impairment recognized. Investments that are other-than-temporarily impaired and written down to their estimated fair value cannot subsequently be written back up for increases in estimated fair value. Impairment evaluations involve a significant degree of judgment and estimation, including identifying circumstances that indicate an impairment may exist at the equity method investment level, selecting discount rates used to determine fair values, and developing an estimate of discounted future cash flows expected from investment operations or the sale of the investment. In the second quarter of 2024, there were no indicators of an other-than-temporary impairment in Eversource’s equity method investment balance. In the second quarter of 2023, in connection with the process to divest its offshore wind business, Eversource identified indicators for impairment. In the impairment assessment, Eversource evaluated its investments and determined that the carrying value of the equity method offshore wind investments exceeded the fair value of the investments and that the decline in fair value was other-than-temporary. The completion of the strategic review in the second quarter of 2023 resulted in Eversource recording a pre-tax other-than-temporary impairment charge of $401 million ($331 million after-tax) to reflect the investment at estimated fair value based on the expected purchase price at that time. In the fourth quarter of 2023, Eversource recognized an additional pre-tax other-than-temporary impairment charge of $1.77 billion ($1.62 billion after-tax) in its offshore wind investments and established a new cost basis in the investments as of December 31, 2023. The impairment charges were non-cash charges and did not impact Eversource’s cash position. 2023 Liquidation of Renewable Energy Investment Fund: On March 21, 2023, Eversource’s equity method investment in a renewable energy investment fund was liquidated by the fund’s general partner in accordance with the partnership agreement. Proceeds received from the liquidation of $147.0 million were included in Investments in Unconsolidated Affiliates within investing activities on the statement of cash flows for the six months ended June 30, 2023. Of this amount, $123.4 million was received in the first quarter of 2023, and $23.6 million was received from escrow in the second quarter of 2023. A portion of the proceeds was used to make a charitable contribution to the Eversource Energy Foundation (a related party) of $20.0 million in the first quarter of 2023. The liquidation benefit received in excess of the investment’s carrying value and the charitable contribution are included in Other Income, Net on the statement of income. F. Other Taxes Eversource's companies that serve customers in Connecticut collect gross receipts taxes levied by the state of Connecticut from their customers. These gross receipts taxes are recorded separately with collections in Operating Revenues and with payments in Taxes Other Than Income Taxes on the statements of income as follows:
| For the Three Months Ended |  | For the Six Months Ended
(Millions of Dollars) | June 30, 2024 |  | June 30, 2023 |  | June 30, 2024 |  | June 30, 2023
Eversource | $ | 44.6 |  |  | $ | 44.7 |  |  | $ | 97.9 |  |  | $ | 99.7 |
CL&P | 39.7 |  |  | 38.9 |  |  | 83.6 |  |  | 82.0
As agents for state and local governments, Eversource's companies that serve customers in Connecticut and Massachusetts collect certain sales taxes that are recorded on a net basis with no impact on the statements of income. G. Supplemental Cash Flow Information Non-cash investing activities include plant additions included in Accounts Payable as follows:
(Millions of Dollars) | As of June 30, 2024 |  | As of June 30, 2023
Eversource | $ | 477.9 |  |  | $ | 457.5 |
CL&P | 89.2 |  |  | 104.8 |
NSTAR Electric | 142.2 |  |  | 113.4 |
PSNH | 86.5 |  |  | 59.6 |
The following table reconciles cash as reported on the balance sheets to the cash and restricted cash balance as reported on the statements of cash flows:
| As of June 30, 2024 |  | As of December 31, 2023
(Millions of Dollars) | Eversource |  | CL&P |  | NSTAR Electric |  | PSNH |  | Eversource |  | CL&P |  | NSTAR Electric |  | PSNH
Cash as reported on the Balance Sheets | $ | 33.4 |  |  | $ | — |  |  | $ | 2.7 |  |  | $ | 0.3 |  |  | $ | 53.9 |  |  | $ | 10.2 |  |  | $ | 6.7 |  |  | $ | 0.2 |
Restricted cash included in: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Special Deposits | 66.4 |  |  | 1.1 |  |  | 1.4 |  |  | 30.6 |  |  | 81.5 |  |  | 2.0 |  |  | 16.1 |  |  | 31.6 |
Marketable Securities | 16.3 |  |  | — |  |  | — |  |  | — |  |  | 13.7 |  |  | — |  |  | — |  |  | — |
Other Long-Term Assets | 16.5 |  |  | — |  |  | — |  |  | 3.2 |  |  | 17.3 |  |  | — |  |  | — |  |  | 3.2 |
Cash and Restricted Cash as reported on the Statements of Cash Flows | $ | 132.6 |  |  | $ | 1.1 |  |  | $ | 4.1 |  |  | $ | 34.1 |  |  | $ | 166.4 |  |  | $ | 12.2 |  |  | $ | 22.8 |  |  | $ | 35.0 |
Special Deposits represent cash collections related to the PSNH RRB customer charges that are held in trust, required ISO-NE cash deposits, cash held in escrow accounts, and CYAPC and YAEC cash balances. Special Deposits are included in Current Assets on the balance sheets. Restricted cash included in Marketable Securities represents money market funds held in restricted trusts to fund CYAPC and YAEC's spent nuclear fuel storage obligations. Eversource’s restricted cash includes an Energy Relief Fund for energy efficiency and clean energy measures in the Merrimack Valley established under the terms of the EGMA 2020 settlement agreement. This restricted cash held in escrow accounts included $20.0 million recorded as short-term in Special Deposits as of both June 30, 2024 and December 31, 2023, and $13.3 million and $14.1 million recorded in Other Long-Term Assets on the balance sheets as of June 30, 2024 and December 31, 2023, respectively.

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