EXHIBIT 21

                         SUBSIDIARIES OF THE REGISTRANT

     Yankee Gas Services Company is a wholly-owned subsidiary of the registrant.
It is incorporated in Connecticut and does business under its own name.

     Yankee Energy Financial Services Company is a wholly-owned subsidiary of
the registrant. It is incorporated in Connecticut and does business under its
own name.

     Yankee Energy Services Company is a wholly-owned subsidiary of the
registrant. It is incorporated in Connecticut and does business under its own
name in Connecticut and New Jersey.

     NorConn  Properties, Inc. is a wholly-owned subsidiary of the registrant.
It is  incorporated  in Connecticut and does business under its own name.

    R. M. Services, Inc. is a wholly-owned subsidiary of the registrant. It is
incorporated in Connecticut and does business under its own name in Connecticut,
Alaska, Arizona, Arkansas, California, D.C., Florida, Hawaii, Idaho, Illinois,
Indiana, Louisiana, Michigan, Oregon, New Jersey, North Dakota, South Carolina,
Vermont and West Virginia. R. M. Services, Inc. does business in Colorado,
Illinois, Maine, Maryland, Massachusetts, Minnesota, New York, North Carolina,
Ohio, Pennsylvania, Texas, Utah, Washington and West Virginia under the name
R.M. Connecticut Services, Inc.