Will The Lake Rise? —

Power Company Sale Causes Concern

For Lake Lillinonah

By Kendra Bobowick

Tensions remain after a recent swell of response to Northeast Generation Service Company’s (NGS) Shoreline Management Program (SMP). Residents are questioning the local power generation company’s future plans, and whether those plans will bring a higher water mark to Lake Lillinonah’s shores.

Fueling apprehensions over raising the lake’s levels several feet is a pending change of ownership. NGS is a subsidiary of Northeast Utilities, which recently announced it would “exit competitive business, and that includes the power plants…a sale process is underway,” said NGS spokesperson Donna Powell.

Although higher lake levels are within the company’s licensing rights, Ms Powell said, “There are no plans to raise [the water] to the full extent the license allows.”

Under the current license, water levels on Lake Lillinonah have an “ultimate limit” of approximately 199 feet (above sea level), said Senior Communications Specialist Joel Weinberg. The lake is currently at 197 feet, with an average between 195.5 and 198.5 feet.

A pending sale has one Lake Lillinonah Authority member worried about the water line.

Newtown resident and authority member Michael McCarthy worried that a new owner would raise the water level to the maximum allowed under the existing license.

Taking precautions, Mr McCarthy said the lake authority’s main officers are now in conversations with the Federal Energy Regulatory Commissions, (FERC), which issues NGS’s license.

FERC Spokesperson Celeste Miller spoke about terms of licensing agreements in the event of a sale.

“It’s safe to say that when a transfer occurs the new licensee is required to operate the project in accordance with the terms of the license.” She did not indicate if a future buyer would invoke rights to raise water levels.

Ms Powell explained that potential new ownership is confidential.

She said part of that process is identifying and speaking with potential buyers, but was not able to identify any interested buyers. She anticipates a sales closing at the end of 2006 at the soonest, she said.

Past days’ public hearings about the SMP had sounded alarms about hazards of higher shoreline water levels, citing a negative impact on the environment.

The shoreline management plan must be fulfilled per the terms of a Federal Energy Regulatory Commission (FERC) licensing agreement, which is now underway. The current license issued to NGS in 2004 is a 40-year license, Ms Miller said.

Other concerns recently part of discussions regarded fees that would apply to Lakes Candlewood and Lillinonah property owners, but would not impact Lake Zoar property owners. Mr Weinberg explained that impacts on Newtown property owners along the Lake Zoar and Lake Lillinonah shorelines would differ because Lake Zoar landowners own up to the water. On Lake Lillinonah the land up to a certain watermark above the water belongs to NGS. Residents on Lake Lillinonah could see fees for shoreline structures including decks, docks, or gazebos. Complete details are available at. NGS is a wholly-owned subsidiary of Northeast Utilities, and manages and operates power generation facilities.

Serving as consultant to NGS is The Essex Partnership, which website, essexpartnership.com, provides complete details about Lake Lillinonah fees and explains that the extended deadline for public input is in response to requests for more time. NGS will accept comments on the Draft for the Final Shoreline Management Plan until close of business on July 8. The website contains additional details, outlines the management plans, and provides a forum for comments.

Comments should be submitted to Bruce DiGennaro at bruce@essexpartnership.com or c/o The Essex Partnership, 65 Main Street, Ivoryton, CT 06442. Comments may also be faxed to 401-709-4526. For a copy of the Draft Final SMP, seewww.essexpartnership.com/documents.asp.