<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.
<MULTIPLIER>     1,000
       
                                                                     
<FISCAL-YEAR-END>                    DEC-31-1997
<PERIOD-END>                         SEP-30-1997
<PERIOD-TYPE>                              9-MOS
<BOOK-VALUE>                            PER-BOOK
<TOTAL-NET-UTILITY-PLANT>              3,916,076
<OTHER-PROPERTY-AND-INVEST>              369,825
<TOTAL-CURRENT-ASSETS>                   432,111
<TOTAL-DEFERRED-CHARGES>                 572,052    <F1>
<OTHER-ASSETS>                                 0
<TOTAL-ASSETS>                         5,290,064
<COMMON>                                    64,970
<CAPITAL-SURPLUS-PAID-IN>                736,773
<RETAINED-EARNINGS>                      934,357
<TOTAL-COMMON-STOCKHOLDERS-EQ>         1,731,163    <F3>
<PREFERRED-MANDATORY>                          0
<PREFERRED>                              126,166    <F2>
<LONG-TERM-DEBT-NET>                   1,481,878
<SHORT-TERM-NOTES>                             0    
<LONG-TERM-NOTES-PAYABLE>                      0
<COMMERCIAL-PAPER-OBLIGATIONS>           139,700
<LONG-TERM-DEBT-CURRENT-PORT>             82,910
<PREFERRED-STOCK-CURRENT>                      0
<CAPITAL-LEASE-OBLIGATIONS>                    0
<LEASES-CURRENT>                               0
<OTHER-ITEMS-CAPITAL-AND-LIAB>         1,728,247
<TOT-CAPITALIZATION-AND-LIAB>          5,290,064
<GROSS-OPERATING-REVENUE>              1,844,377
<INCOME-TAX-EXPENSE>                     102,882
<OTHER-OPERATING-EXPENSES>             1,475,426
<TOTAL-OPERATING-EXPENSES>             1,578,308
<OPERATING-INCOME-LOSS>                  266,069
<OTHER-INCOME-NET>                        (1,628)
<INCOME-BEFORE-INTEREST-EXPEN>           264,441
<TOTAL-INTEREST-EXPENSE>                  92,201
<NET-INCOME>                             161,798
<PREFERRED-STOCK-DIVIDENDS>                5,499    <F2>
<EARNINGS-AVAILABLE-FOR-COMM>            161,798
<COMMON-STOCK-DIVIDENDS>                 114,733
<TOTAL-INTEREST-ON-BONDS>                 80,362
<CASH-FLOW-OPERATIONS>                   433,926
<EPS-PRIMARY>                              $2.49
<EPS-DILUTED>                              $2.49
<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.
<F3>                                  Total common stockholders equity is reflected net of treasury stock at
                                      cost and unrealized gain on securities.
</FN>