<ARTICLE>   UT
  <LEGEND>  THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION
              EXTRACTED FROM THE CONSOLIDATED BALANCE SHEET AND RELATED
              CONSOLIDATED STATEMENTS OF INCOME, RETAINED EARNINGS AND CASH
              FLOWS OF NEW ENGLAND ELECTRIC SYSTEM, AND IS QUALIFIED IN ITS
              ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
  <CIK>     0000071297
  <NAME>    New England Electric System
  <MULTIPLIER>   1,000
         
                                                                   
  <FISCAL-YEAR-END>                DEC-31-1996
  <PERIOD-END>                     DEC-31-1996
  <PERIOD-TYPE>                         12-MOS
  <BOOK-VALUE>                        PER-BOOK
  <TOTAL-NET-UTILITY-PLANT>          3,896,605
  <OTHER-PROPERTY-AND-INVEST>          389,146
  <TOTAL-CURRENT-ASSETS>               488,880
  <TOTAL-DEFERRED-CHARGES>             448,620                 <F1>
  <OTHER-ASSETS>                             0
  <TOTAL-ASSETS>                     5,223,251
  <COMMON>                                64,970
  <CAPITAL-SURPLUS-PAID-IN>            736,773
  <RETAINED-EARNINGS>                  887,292
  <TOTAL-COMMON-STOCKHOLDERS-EQ>     1,685,417                 <F3>
  <PREFERRED-MANDATORY>                      0
  <PREFERRED>                          126,166                 <F2>
  <LONG-TERM-DEBT-NET>               1,614,578
  <SHORT-TERM-NOTES>                         0
  <LONG-TERM-NOTES-PAYABLE>                  0
  <COMMERCIAL-PAPER-OBLIGATIONS>       145,050
  <LONG-TERM-DEBT-CURRENT-PORT>         79,705
  <PREFERRED-STOCK-CURRENT>                  0
  <CAPITAL-LEASE-OBLIGATIONS>                0
  <LEASES-CURRENT>                           0
  <OTHER-ITEMS-CAPITAL-AND-LIAB>     1,572,335
  <TOT-CAPITALIZATION-AND-LIAB>      5,223,251
  <GROSS-OPERATING-REVENUE>          2,350,698
  <INCOME-TAX-EXPENSE>                 139,199
  <OTHER-OPERATING-EXPENSES>         1,863,381
  <TOTAL-OPERATING-EXPENSES>         2,002,580
  <OPERATING-INCOME-LOSS>              348,118
  <OTHER-INCOME-NET>                     2,168
  <INCOME-BEFORE-INTEREST-EXPEN>       350,286
  <TOTAL-INTEREST-EXPENSE>             127,760
  <NET-INCOME>                         208,936
  <PREFERRED-STOCK-DIVIDENDS>            6,463                 <F2>
  <EARNINGS-AVAILABLE-FOR-COMM>        208,936
  <COMMON-STOCK-DIVIDENDS>             153,173
  <TOTAL-INTEREST-ON-BONDS>            110,479
  <CASH-FLOW-OPERATIONS>               522,570
  <EPS-PRIMARY>                          $3.22
  <EPS-DILUTED>                          $3.22
  <FN>
  <F1>                              Total deferred charges includes other assets.
  <F2>                              Preferred stock reflects preferred stock of subsidiaries.  Preferred
                                      stock dividends reflect preferred stock dividends of subsidiaries and
                                      net gain on reacquisition of preferred stock.
  <F3>                              Total common stockholders equity is reflected net of treasury stock
                                      at cost.
  </FN>