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The Boston Globe

Business

More terms sought for NStar merger

HARTFORD - NRG Energy Inc., backed by organized labor and Montville officials, is seeking a requirement by Connecticut that Northeast Utilities agree to buy power from an alternative energy plant as a condition of the utility’s purchase of Boston-based NStar.

The demand mirrors an agreement in Massachusetts. Hartford-based Northeast Utilities and NStar agreed to buy more than a quarter of the power produced by the Cape Wind offshore wind farm as a condition of the deal.

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NRG said its Montville biomass project would provide up to 40 megawatts of power from wood chips, enough for about 32,000 homes. The company will not build it without a power purchase agreement.

The project also is being promoted as helping meet Connecticut’s goal of having 20 percent of power from renewable resources by 2020.

A spokesman for Northeast Utilities said the project has no connection to the NStar deal, but NU expects Connecticut’s decision will reflect “consideration of all comments.’’

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