Mass. DPU Proposes Major Shift in Gas Line Extension Policies

The Massachusetts Department of Public Utilities has proposed requiring customers who request new gas service to cover the full cost of any needed line extensions, which effectively would end the gas utilities’ practice of spreading these costs across their rate base.

The proposal is the latest step in the department’s docket focused on aligning gas regulations with the state’s statutory decarbonization requirements (DPU 20-80).

Ben Butterworth, of the Acadia Center, called the draft policy “a pretty big deal,” adding that it likely will result in “a significant reduction in terms of the growth of the system.”

“Obviously those three variables are open to interpretation by the commission, but my interpretation is the vast majority of projects would have an extremely hard time meeting those criteria,” Butterworth said.

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