SECURITIES AND EXCHANGE COMMISSION
Washington, D.C.
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In the Matter of )
)
EUA SERVICE CORPORATION, )
Boston, Massachusetts ) Certificate of Notification
) Pursuant to Rule 24
File No. 70-7428 )
)
(Public Utility Holding )
Company Act of 1935) )
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EUA Service Corporation, ("Service"), a subsidiary of Eastern
Utilities Associates, ("EUA"), a registered holding company, in
accordance with the Supplemental Order of the Securities and Exchange
Commission entered in the above matter on February 18, 1986, authorizing
the financing by System service company and amendment of intrasystem
service contracts hereby certifies pursuant to Rule 24 that the equity
return which was part of the subject of the application-declaration,
as amended, filed in said matter, for the calendar year 1998, will be
11.21%. The equity return for 1998 is based upon actual results for
1997 as detailed on Exhibit L filed herewith.
Item 6. Exhibits and Financial Statements (* indicates filed herewith):
Exhibit K-1 Portion of the most recent Decision of
the Massachusetts Department of Public
Utilities with respect to a rate
application of Eastern Edison (Exhibit
K-1, to Certificate of Notification
dated April 27, 1993, previously filed by
Form SE, File No. 70-7428).
Exhibit K-2 Settlement Agreement of Federal
Energy Regulatory Commission (FERC) with respect
to a rate application between Montaup Electric Company,
Newport Electric Corporation, the Attorney General of
Massachusetts, and the Attorney General of Rhode Island and
the Rhode Island Division of Public Utilities and Carriers
dated January 26, 1995. (Exhibit K-2, to R-24 filed March 21,
1996, File No. 70-7428).
Exhibit K-3 Portion of the most recent Decision of
the Department of Public Utilities and
Carriers, Public Utilities Commission
of Rhode Island with respect to a rate
application of Blackstone (Exhibit
K-3, to Certificate of Notification
dated April 1, 1992, previously filed by Form SE,
File No. 70-7428).
Exhibit K-4 Portion of the most recent Decision of
the Department of Public Utilities and
Carriers, Public Utilities Commission
of Rhode Island with respect to a rate
application of Newport (Exhibit
K-4, to Certificate of Notification
dated April 27, 1993, previously filed by Form SE,
File No. 70-7428).
Exhibit L* Computation of 1998 Annual Equity
Return.
EUA SERVICE CORPORATION
By: /s/ Donald T. Sena
Donald T. Sena
Assistant Treasurer
March 25, 1998
Exhibit L
<TABLE>
EASTERN UTILITIES ASSOCIATES
COMPUTATION OF 1998 ANNUAL EQUITY RETURN
($000's)
<CAPTION>
Blackstone
Valley Eastern Montaup Newport
Electric Edison Electric Electric
Company Company Company Corp. Elim. Consol.
<S> <C> <C> <C> <C> <C> <C>
REVENUES-1997 $140,258 $277,323 $347,709 $63,504 $322,098 $506,696
LESS: FUEL & P. POWER 90,276 188,217 37,606 316,099
EQUIP. RENTALS 3,124 1,667 135 1,073 5,999
NET REVENUES 46,858 87,439 347,574 24,825 506,696
% OF CONS. REVENUES 9.25% 17.25% 68.60% 4.90% 100.00%
RETURN ON COMMON EQUITY 11.43% 11.50% 11.10% 11.40%
WEIGHTED COST
OF COMMON EQUITY 1.06% 1.98% 7.61% .56% 11.21%
</TABLE>
