Massachusetts Seeks to End Ratepayer-Funded Subsidy for New Natural Gas Connections
A new Massachusetts Department of Public Utilities policy designed to discourage continued growth in the use of natural gas would end existing subsidies for gas utility lines in all newly constructed homes and buildings.
Under the new policy, developers, home builders or home buyers who wanted gas heat would have to pay the full cost of the connection, which is currently around $9,000 per home. Under the state’s existing policy, utilities pass the cost of those gas hook-ups along to their existing customers in small monthly surcharges on their bills.
“At a time when we know we should be actually winding down the gas system, we have continued to expand it, and ratepayers have been the ones who have borne the brunt of that,” Kyle Murray, the state program implementation director at Acadia Center, an environmental organization based in Rockport, Maine, said. “This is just a really great decision for energy affordability and a really great win for climate as well.”
To read the full article from Inside Climate News, click here.
RGGI market rebounds from program review bearishness
Regional Greenhouse Gas Initiative (RGGI) allowances have mostly recovered since plunging immediately after the member states finished their third program review as summer power demand looms larger in the market.
As a result, various stakeholders view the latest changes to RGGI as a compromise, while those concerns likely contributed to the length of the review process.
“If this is the way to get consensus then I can’t really complain too much,” said Paola Tamayo, a senior policy and data analyst at the Acadia Center, a non-profit clean energy research group.
In addition, member states may have accounted for increased uncertainty with regards to the resource mix for the region, said Jamie Dickerson, senior director of climate and clean energy programs at the Acadia Center, citing, for example, recent roadblocks to offshore wind development.
As a result, the size of the combined CCRs relative to the emissions cap is “partly a reflection of that sort of medium-term uncertainty around what resources will be available” and which resources will be left to buy allowances, Dickerson said.
In addition, interim climate goals — which, for many states, are approaching in 2030 — could be a large driver of conversations. Member states likely will take a fresh look at the “evolution of the power mix, where technology costs are, [and] where the policy landscape” is at the federal level, Dickerson said.
To read the full article from Argus Media, click here.
Mass. DPU Requires Revisions to Gas Line Extension Policies
The Massachusetts Department of Public Utilities has directed the state’s gas distribution companies to revise their line extension policies and require new customers to cover the cost of new hookups, with limited exceptions.
Issued on Aug. 8, the order is poised to end the longstanding utility practice of charging to the rate base the costs of connecting new gas customers. The practice assumes the new customers will eventually pay back these costs through distribution fees (20-80-E).
“This order is another great step in the right direction toward an orderly transition off of the natural gas system,” said Kyle Murray, Massachusetts program director at the Acadia Center. “It also shows that the natural gas system has traditionally only been able to expand thanks to massive subsidies from existing ratepayers. This order is simply removing that subsidy and requiring natural gas to compete on an even playing field.”
To read the full article from RTO Insider, click here.
New state law could power cryptomining, data centers in New Hampshire
A new state law signed earlier this month by Gov. Kelly Ayotte allows for off-grid energy providers in New Hampshire, part of a larger Republican-backed effort to make the state more attractive to the cryptocurrency industry.
These off-grid providers, which would operate independently from the state’s energy grid, could connect directly to specific buyers while bypassing regulations related to pricing and renewables
Noah Berman, senior policy advocate and utility innovation program manager at the energy think tank Acadia Center, said the law could protect consumers from energy price spikes which usually follow when power-hungry businesses come into town.
“This could potentially reduce demand if facilities choose to go this direction, but I don’t think in the short term there are any realistic residential price impacts,” Berman said.
Other states, including Texas and Ohio, are having to deal with those price spikes retroactively, attempting to come up with ways to reduce the impact of data centers on their grids.
Protection from such spikes would only materialize if this law gets widely used by the industry, which, on the flip-side, could also introduce new challenges, Berman said. He is worried about what New Hampshire’s new law could mean for renewable energy goals, since off-grid providers would not be required to meet state renewable energy standards.
“The environmental impacts would be quite negative if this pathway gets significant uptake in such a way that, for instance, brings many new diesel generators online all around the state,” Berman said.
To read the full article from New Hampshire Public Radio, click here.
Ayotte says she supports a new gas pipeline. What might that mean for prices in NH?
Gov. Kelly Ayotte announced her support this week for a pipeline project that would bring natural gas from Pennsylvania to New York.
During a visit from Environmental Protection Agency Administrator Lee Zeldin, Ayotte said she hoped New York leaders would take new interest in the Constitution Pipeline, which was initially approved in 2014 but shuttered in 2020.
Jamie Dickerson, senior director of climate and clean energy programs with the Acadia Center, which advocates for cutting carbon emissions in the Northeast, said customers may be worse off if a new pipeline were built.
“We see that it’s much more likely that prices would go up rather than go down as a result,” he said.
Domestic gas prices continue to grow more volatile in the global market which means unreliable prices for consumers, he said. He highlighted the spike in gas prices in 2022 as a result of the war in Ukraine as an example of that international context.
Pipelines and natural gas infrastructure are also expensive – both to construct and to maintain — and customers are usually the ones footing those bills, Dickerson said.
“We already have this multi-billion dollar gas network underneath our streets,” he said. “There is really a huge, looming bill that is coming due over the next 10 years that I think the general public is not aware of, and only increases the imperative of basically phasing out our reliance on natural gas and shifting off a natural gas system as quickly as possible.”
Dickerson says there are other energy resources — like offshore wind, solar, batteries, and inter-regional transmission lines — that could help with reliability in the winter, when gas is used for heating and electricity.
“The clean energy alternatives that exist have never been more cost effective and more readily available, both for utilities to invest in, for customers to invest in, for states to invest in,” he said.
To read the full article from New Hampshire Public Radio, click here.
Batteries Take Heat Off Strained Electric Grid In Con Ed AC Experiment
When a heat wave hits New York City, many customers can soon expect a message from Con Ed, asking customers to conserve energy.
The reason is to protect the heat-strained electric grid, which, when taxed to the point of failure, can lead to blackouts and brownouts.
When demand for power is high, especially in the summer, fossil fuel-fired peaker plants kick in to meet that need. Those plants, often located in and around low-income neighborhoods, can be highly polluting and costly to rely on.
“By switching your AC to a battery rather than the outlet, you’re providing a measure of relief to the grid, avoiding more expensive, dirtier power plants turning on,” said Jamie Dickerson, senior director of climate and clean energy programs at Acadia Center, a research and advocacy nonprofit.
The small batteries in participants’ homes have served as a source of back-up power in other instances.
To read the full article from The City, click here.
State OKs new heat pump rate for Eversource customers. Here’s how much you could save
The state’s utility agency recently approved a heat pump rate for Eversource customers that could save them hundreds of dollars, state officials said this week.
On Tuesday, the Department of Public Utilities approved a way for customers of Eversource to enroll in seasonal electric rates, which could save them — on average — $540 throughout the winter season.
Heat pumps help reduce the cost of electricity while the state works to achieve its climate goals, a report from Switchbox, a New York climate policy think tank, said last week.
“This is a good first step,” said Kyle Murray, director of implementation in Massachusetts for the clean-energy advocate Acadia Center, which is based in Maine. Murray’s work focuses on advocacy efforts in the commonwealth, including coalition building and outreach.
If that new rate is adopted, 8 out of 10 Massachusetts homes with heat pumps will save on their winter energy bills, with median savings of $687 per heating season, the Switchbox report said.
“That would be a universal, increased, heat pump rate reduction,” Murray said Tuesday, meaning all heat pump users would benefit.
To read the full article from Mass Live, click here.
Save RIPTA Coalition addresses devastating bus service cuts; Proposes alternatives
A coalition of community organizations, transit riders, bus drivers, and legislators gathered outside the Amalgamated Transit Union Local 618 Hall in Providence to speak out against the proposed cuts to RIPTA Service and how this “devastating” loss of service will affect all Rhode Islanders.
“I’m here to remind our state leaders that a robust public transit system is necessary to reach our climate mandates and mitigate the climate crisis’s harm for generations to come,” said Emily Koo, policy advocate for the climate and energy nonprofit Acadia Center. “As a mom, I’m worried about the heat, flooding, and air quality that my son will face 15 years from now when he’ll be about driving age. But maybe he’ll take the bus instead. Fifteen years beyond that, he may consider starting a family. If these cuts stand, it will only become harder to rebuild our beleaguered transit system and reduce emissions from how we get around our state. I urge our leaders to fund RIPTA to have a safe, healthy, and livable climate for our children.”
To read the full article from RI Future News, click here.
As rooftop solar gets hammered, virtual power plants offer a way forward
The rooftop solar industry is facing an unprecedented crisis. Utilities are cutting incentives. Major residential solar installers and financiers have gone bankrupt. And sweeping legislation just passed by Republicans in Congress will soon cut off federal tax credits that have supported the sector for 20 years.
But the fact remains that solar panels — and the lithium-ion batteries that increasingly accompany them — remain the cheapest and most easily deployable technologies available to serve the ever-hungry U.S. power grid.
During last month’s heat wave across New England, as power prices spiked and grid operators sought to import energy from neighboring regions, distributed solar and batteries reduced stress on the grid. Nonprofit group Acadia Center estimated that rooftop solar helped avoid about $20 million in costs by driving down energy consumption and suppressing power prices.
Familiar Claims About Offshore Wind Aired at Portsmouth Forum on SouthCoast Wind Cable Project
PORTSMOUTH, R.I. — While polling shows they have wide public support, southern New England’s offshore wind projects continue to be dogged by vocal opposition — and at times, misinformation — from a minority of local residents and property owners, as evidenced by a public forum Wednesday evening.
The project itself, and the substation where the electricity generated by the turbines will connect into the grid, is outside Rhode Island’s lands and waters. The turbines will sit in a lease area in federal waters, and the substation sits at Brayton Point in Somerset, Mass.
Other groups supporting the project include the Green Energy Consumers Alliance, the Rhode Island office of the Acadia Center, the Conservation Law Foundation, Climate Action Rhode Island, and 24 state representatives and 11 state senators.
To read the full article from ecoRI, click here.