Public Scrutiny Needed for Eversource Northern Pass Project
BOSTON—Acadia Center is calling for a public review and full transparency following yesterday’s announcement that Northern Pass Transmission’s hydro-only bid, a partnership between Eversource and Hydro Quebec, was selected as the sole winner of the Massachusetts Clean Energy RFP.
The RFP, called for by a 2016 energy law, sought clean energy for about 17% of Massachusetts’ annual electricity needs. Although more than 40 bids were submitted in the summer of 2017—including several with a blend of on-shore wind and hydroelectricity, the Department of Energy Resources (DOER) and a group of Massachusetts utilities, which included Eversource, chose one controversial project, owned in large part by a subsidiary of Eversource. As the winning bid, Eversource and Hydro-Quebec will begin the process of negotiating long-term, multi-billion-dollar contracts with Eversource, National Grid and Unitil, the other distribution companies.
“Acadia Center is disappointed but not surprised that the process has resulted in the recommendation of the Northern Pass project,” said Daniel Sosland, president of Acadia Center. “Acadia Center has long asserted that clean energy bids should include the region’s wind resources and not only hydropower imports and has further been concerned that having utilities review bids in which they have a financial interest creates a clear conflict of interest that undermines public confidence in the process.”
Acadia Center supported the 2016 energy law and the Commonwealth’s pursuing a large-scale procurement of clean energy, particularly arguing for environmental protections, a preference for a blend of new renewables and hydro, and guaranteed winter energy delivery to control price spikes, all of which the statute and RFP specified. One provision that Acadia Center argued against—but was still allowed in the 2016 energy law—was allowing the utilities to bid for the contract and serve on the selection committee.
“Under the terms of the RFP, the selected project was to provide the greatest benefit with limited risk to Massachusetts ratepayers. We don’t know the relative benefit-cost ratios because the price terms are confidential, but choosing only one project from an existing importer of electricity has major risks,” said Amy Boyd, Senior Attorney at Acadia Center. “Hydro-Quebec has previously curtailed power to New England in winter months, when demand in Quebec is highest. Similarly, reliance on a single project has its own risks. Northern Pass Transmission faces serious opposition due to its land use impacts and its projected in-service date has been delayed previously.”
After the contract is negotiated it will be reviewed by the Department of Public Utilities (DPU), and the review must include a report from an independent evaluator and the participation of the Attorney General’s office. Under the statute, Eversource is also eligible for an additional incentive of up to 2.75% of the contract price for its share of the energy, as one of the contracting distribution companies. The public must be privy to any evaluation of the fairness of this and other aspects of the contract.
“Acadia Center believes that a full public report from the statutorily required independent evaluator and scrutiny by the Attorney General are important next steps. The public needs to have full confidence that this was a fair process and the benefits of other bidders were evaluated reasonably. The current ongoing procurements for offshore wind and future procurements are even more crucial to progress towards a clean energy future,” said Mark LeBel, Staff Attorney for Acadia Center. “If this contract is approved, the DPU should deny Eversource an additional incentive as a distribution company. Ratepayers don’t need to give Eversource additional money as a backstop for a contract where they are also on the other side.”
Media Contacts:
Amy Boyd, Senior Attorney
aboyd@acadiacenter.org, 617-742-0054 x102
Mark LeBel, Staff Attorney
mlebel@acadiacenter.org, 617-742-0054 x104
Krysia Wazny, Communications Director
kwazny@acadiacenter.org, 617-742-0054 x107
Consumer and environmental advocates release statements opposing National Grid settlement proposal
After months of negotiations, a Joint Proposal was filed Friday, January 19, in the National Grid rate case, representing the settlement position of some parties in the case. The new proposed increases are as follows:
Under the agreement, the fixed charge for electricity would remain at $17.00 per month. The fixed customer charge is the portion of the bill that does not change, no matter how much electricity the customer uses. For more information see: www.lowerfixedcharges.org.
The Joint Proposal will now be open for public comment and consideration by the Public Service Commission. In response to the filing, some parties to the case who do not support the settlement released the following statements:
Cullen Howe, Acadia Center’s New York Director, said: “Acadia Center is disappointed that the Joint Proposal filed today does not address National Grid’s high fixed charges of $17 per month for residential customers. In contrast to its high fixed charges in New York, National Grid has a residential fixed charge of only $5 in Rhode Island and $5.50 in Massachusetts. These high fixed charges reduce customers’ ability to lower their electricity bills by using less energy, and they are ultimately incompatible with the energy future envisioned by New York’s Reforming the Energy Vision, which anticipates wide deployment of distributed energy resources and increased energy efficiency. By not addressing these charges, these goals are much more difficult to achieve.”
Jessica Azulay, Program Director of Alliance for a Green Economy, said: “We are disappointed that we were unable to reach an agreement with the parties in this case that would prevent a rate hike and support the State’s environmental goals. While there are some improvements made in the filed agreement as compared to National Grid’s original proposal, it does not go far enough to protect low-income households and the environment. In particular, we oppose any rate increase at a time when there is already an untenable affordability and economic crisis in Upstate New York, and we further call on the Public Service Commission to reduce the fixed charges on our bills. These fixed charges, which customers must pay regardless of how much energy they use — disproportionately hurt low-income customers by impeding their ability to control their bills through conservation, efficiency, and renewable energy participation. Finally, we oppose the provisions in the proposal that support ratepayer investments and incentives for gas expansion. The climate crisis demands that we stop investing our public money into gas infrastructure and that we support renewable-based heating options instead.”
Clarke Gocker, Director of Policy and Strategy at PUSH Buffalo, said, “Low income National Grid customers in Buffalo and Western NY struggle to afford the high cost of utility bills and want nothing more than to take control over their energy consumption, whether it’s through conserving energy, participating in no cost or cost-effective energy efficiency programs, or accessing rooftop and community solar opportunities that afford them real decision making power and actual savings. The Joint Proposal filed today with the Public Service Commission in the National Grid rate case fails to deliver the kind of direct benefits that can permanently reduce household energy burdens and create the conditions for energy democracy in marginalized communities. While settlement negotiations in the case, together with fallout from the recent federal tax cut plan, have appeared to reduce the potential rate impact for customers, any increase in utility rates is extractive and unaffordable for low income customers in our community, and for that reason PUSH Buffalo opposes the terms reached in the Joint Proposal.”
Rich Puchalski, Executive Director of Syracuse United Neighbors, said: “The Joint Proposal fails to once again look at the historic policies that have forced high electric and gas rates on low income families in Syracuse for all too long. Those living in 1, 2 and 3 family poorly insulated wood frame homes are shelling out hundreds of dollars especially in the last couple of months of below freezing temperatures. Shutoffs will escalate. Credit will be ruined, and the poor can’t manage their way out of the bills they get from National Grid. And this is a 3-year plan! HELP.”
The public can submit comments to the Public Service Commission on the Joint Proposal at this web address: http://documents.dps.ny.gov/public/Comments/PublicComments.aspx?MatterCaseNo=17-E-0238
Comments can also be submitted through the following websites, which have samples and talking points available to aid in comment writing:
www.allianceforagreeneconomy.org/new-year
www.lowerfixedcharges.org
All documents related to the case can be found here:
http://documents.dps.ny.gov/public/MatterManagement/CaseMaster.aspx?MatterCaseNo=17-E-0238&submit=Search
Media Contacts:
Cullen Howe, Senior Attorney & New York Director
chowe@acadiacenter.org, 212-256-1535 x501
Krysia Wazny, Communications Director
kwazny@acadiacenter.org, 617-742-0054 x107
MA Department of Public Utilities Order Damages Clean Energy and Consumer Control
BOSTON—On Friday, January 5, 2018, the Massachusetts Department of Public Utilities (MA DPU) issued an order on a major rate case involving Eversource, the Commonwealth’s largest utility, which provides service from Boston to the Berkshires. In Docket 17-05, the DPU rubberstamped a range of proposals by Eversource including demand charges for new residential solar projects starting on December 31, 2018 and the elimination of optional time-of-use rates for residential customers. Acadia Center is an intervenor in the rate case and opposed these proposed changes, along with numerous other parties, as harmful to consumers and counterproductive to incentives for consumer-friendly, clean energy technologies that should be the cornerstone of a modern energy system: energy efficiency, storage, electric vehicles, and rooftop solar.
“In order to achieve a cleaner, modern, more efficient and consumer-friendly energy system, Massachusetts needs to step up its game and embrace smarter electricity rates and more customer control. Rate reform should provide customers with the right tools, including understandable incentives to reduce energy use and invest in clean energy technologies,” said Daniel Sosland, president of Acadia Center. “By eliminating optional residential time-of-use rates and approving complicated demand charges, the Department is moving backwards instead of forward.”
“Demand charges” are charges based on the highest peak hourly usage by a customer over the course of a month, regardless of when that electricity is used. Given the lack of sophisticated metering in Massachusetts, there is no way for consumers to know what time this peak occurred and what actions could be taken to manage these charges. As a result, consumers will be paying the highest possible rate for this charge without being provided the information needed to understand the cause of these costs. Importantly, because an individual customer’s peak usage does not necessarily correspond to peak demand across the utility’s electricity system, consumers are not being provided incentives to reduce energy usage in a way that could benefit the whole electricity system. The result is that opportunities to reduce peak demand—which drives costs for the system at large—will be lost. Acadia Center co-authored a paper on issues with demand charges in 2016.
“Acadia Center and other intervenors in the Eversource rate case made a detailed case that demand charges are not understandable by small customers and are inefficient because they are not tied to the peak times that drive costs,” said Amy Boyd, Senior Attorney and lead counsel for Acadia Center in the rate case. “The Department has chosen to move forward despite these issues. In addition, elimination of residential time-of-use rates harms efforts to reduce the costs associated with peak usage across the system through energy efficiency and other investments made by customers.”
Mark LeBel, Staff Attorney and expert witness in the rate case, said: “Imposition of demand charges on new residential solar customers starting in 2018 is a mistake. The Department has taken an unreasonable approach to addressing any issues with net metering and ignored Acadia Center’s proposals for more gradual reforms over time, including a distribution reliability charge that could be implemented with current metering.”
Media Contacts:
Amy Boyd, Senior Attorney
aboyd@acadiacenter.org, 617-742-0054 x102
Mark LeBel, Staff Attorney
mlebel@acadiacenter.org, 617-742-0054 x104
Krysia Wazny, Communications Director
kwazny@acadiacenter.org, 617-742-0054 x107
Following Bonn Announcement, Leaders and Stakeholders Gather at The Fletcher School of Law and Diplomacy to Discuss the Future of Transportation
MEDFORD, MA—On January 11, 2018 stakeholders from across the northeast region will gather at The Fletcher School of Law and Diplomacy at Tufts University for “The Future of Transportation Symposium: Innovation, Technology & Policy,” a one-day conference co-hosted by Acadia Center and The Fletcher School’s Climate Policy Lab in their Center for International Environment and Resource Policy, and in partnership with Transportation for Massachusetts (T4MA) and other allies.
The symposium will serve as a forum for conversations about how the region can address transportation pollution, access, and innovation from academic, policy, and business perspectives.
The conference follows the November announcement at COP23 in Bonn, Germany by seven states—Massachusetts, Connecticut, Rhode Island, Delaware, New York, Maryland, Vermont, and Washington, D.C.—that they will explore regional climate policies for the transportation sector by holding listening sessions in the coming months. Massachusetts Governor Charlie Baker’s administration recently held several well-attended listening sessions, generating input from many members of the public and groups that want to see progress in this area. “The Future of Transportation Symposium” is an opportunity for stakeholders and policy makers to gather and discuss the best approaches and practices to shape state and regional transportation policy.
The symposium will also highlight the leadership of Massachusetts in working to promote modern, forward-looking transportation policies. Matthew Beaton, Secretary of Energy and Environmental Affairs, will open the day’s activities with an address about the future of transportation in Massachusetts and across the region.
In addition to T4MA, symposium partners include the Environmental League of Massachusetts and the Metropolitan Area Planning Council.
WHAT: The Future of Transportation Symposium: Innovation, Technology & Policy – convened by The Fletcher School’s Climate Policy Lab and Acadia Center
WHO: Matthew Beaton, Secretary of Massachusetts Executive Office of Energy and Environmental Affairs; Barbara Kates-Garnick, Professor of Practice at The Fletcher School and former Undersecretary of Energy for the Commonwealth of Massachusetts; Daniel L. Sosland, President, Acadia Center
WHERE: Alumnae Hall, Tufts University, 40 Talbot Ave, Medford, MA 02155
WHEN: January 11, 2018 10 a.m.- 4 p.m.
A complete agenda and list of speakers is available here.
Media Contacts:
Lindsay Hammes, Communications and PR Specialist, The Fletcher School
Lindsay.hammes@tufts.edu, 617-627-2447
Krysia Wazny, Communications Director, Acadia Center
kwazny@acadiacenter.org, 617-742-0054
Clean Energy and Consumer Organizations Launch Campaign Calling for Lower Monthly Mandatory Electric Charges
NEW YORK — Acadia Center, Alliance for a Green Economy, Citizens for Local Power, Natural Resources Defense Council, The Public Utility Law Project of New York, and Vote Solar today launched a campaign to decrease one of New York’s most regressive and unfair charges for utility service: the fixed charge, an unavoidable monthly fee that all residential electric customers must pay regardless of the amount of electricity they use.
New York has very high fixed customer charges compared to other states, which can make energy unaffordable for many households and discourages investments in energy efficiency and renewable energy.
For example, National Grid has a residential fixed charge of $17 in New York, but only $5 in Rhode Island and $5.50 in Massachusetts. Central Hudson has even higher fixed charges at $24, which it is seeking to increase to $25, as well as add an additional tiered “service size charge” for many customers. Acadia Center found that current average residential customer charges for major investor-owned utilities are higher in New York than in all of its neighboring states.
A newly launched website, www.lowerfixedcharges.org, explains why a majority of utility customers would substantially benefit from lower fixed charges and contains original analysis and supporting information, including:
- Joint principles on residential fixed charges signed by over 50 organizations;
- A letter signed by more than 130 New York public officials requesting that state regulators reduce fixed charges in New York;
- Articles and op-eds on fixed charges;
- Expert analysis on the consumer, economic, and environmental benefits of lowering fixed charges in New York; and
- Opportunities for consumers make their voices heard on this issue by giving them the ability to submit comments in the National Grid and Central Hudson rate cases and the Reforming the Energy Vision (REV) proceeding.
Cullen Howe, Acadia Center’s New York director, said: “Fixed charges remain a stubborn and pressing problem in New York as it looks to modernize its energy system and give customers more control over their energy bills. Most states across the country use a definition for residential fixed charges that is much narrower than New York’s approach. This new web campaign gives New Yorkers valuable information on why residential fixed charges are too high and what they can do to address this problem.”
“We see no reason why utility customers in New York should be paying fixed charges that are three times higher than those paid to the same company by customers in other states,” said Jessica Azulay, program director of Alliance for a Green Economy. “It’s high time to reduce these charges so that low-income customers, low energy users, and people who want to invest in energy efficiency and renewables are no longer overburdened with these regressive and unfair costs.”
“A key goal of the Governor’s Reforming the Energy Vision Initiative is to empower New Yorkers to manage their energy use in a way that both supports the State’s clean energy goals and also reduces their bills,” said Jen Metzger, Director of Citizens for Local Power. “Lowering utility fixed charges must be part of this reform effort because high fixed charges prevent customers from realizing the savings that they should when they use less energy or install solar panels on their homes.”
Miles Farmer, a clean energy attorney at the Natural Resources Defense Council, said: “For New York to lead in developing utility regulation for the future, it must end its practice of high unavoidable fixed charges and instead design utility rates to encourage customers to save energy and install advanced technologies that will help them use energy even smarter.”
“New York has an energy affordability crisis, where as much as 50% or more of energy consumers chronically struggle to pay their vital bills like heat, light or medicine, due in large part to high energy prices,” said Richard Berkley, Executive Director of the Public Utility Law Project of New York. “High fixed charges worsen those affordability problems for low- and fixed-income and low-usage customers, and they disincentivize conservation. Both of those results are contrary to the State’s low-income affordability program and REV program goals. This coalition is dedicated to lowering high fixed charges to address those affordability concerns for New York’s vulnerable households, and also to help the State meet its renewable energy goals by helping consumers get ‘more green for less green.’”
Nathan Phelps, Program Manager at Vote Solar, said: “Families and business owners should be reaping the benefits of solar and wind energy, which are more affordable than ever, especially compared to traditional fuels. Instead, New Yorkers pay unnecessarily high fixed fees on their utility bill, regardless of how much electricity they use. Instead of passing on savings to customers, New York utilities are making it more expensive for them to invest in private solar, efficiency, and other clean energy technology. This brand new resource will shed light and offer solutions to New York’s high customer fee problem.”
Media Contacts:
Cullen Howe, NY Director
chowe@acadiacenter.org, 212-256-1535 x501
Krysia Wazny, Communications Director
kwazny@acadiacenter.org, 617-742-0054 x107
Community|EnergyVision Action Guide Webinar Series
The Community|EnergyVision Action Guide is a new tool for communities seeking local clean energy options. It promotes greater alignment between state rules and actions that communities may take to advance clean energy at the local level. The Action Guide is customized for seven states: Connecticut,Maine, Massachusetts, New Hampshire, New York, Rhode Island, and Vermont.
In upcoming webinars, learn more about how the different sections of the Community|EnergyVision Action Guide come together to give residents a picture of clean energy options in their community and opportunities to break down barriers to further action.
Visit the links below to register for webinars with Acadia Center staff in each state.
New Hampshire and Vermont
Tuesday, November 28
11am (EST)
Rhode Island
Thursday, November 30
2pm (EST)
Maine
Tuesday, December 5
11am (EST)
Connecticut
Thursday, December 7
3pm (EST)
New York
Tuesday, December 12
2pm (EST)
Massachusetts
Thursday, December 14
2pm (EST)
Rhode Island Issues Blueprint for Developing Modern, Consumer-Friendly Grid
PROVIDENCE—Acadia Center applauds the state of Rhode Island for its blueprint to create a modern electric grid that is cleaner, more efficient and more reliable. The Division of Public Utilities and Carriers, the Office of Energy Resources, and the Public Utilities Commission initiated the Power Sector Transformation Initiative in March 2017 at the direction of Governor Gina Raimondo.
“New clean energy technologies at lower costs offer an historic opportunity to build a modern, more equitable energy system that benefits consumers, reduces pollution and improves economic productivity,” said Daniel Sosland, president of Acadia Center. “To achieve that future, states need to reform outdated rules that govern the energy system. With the release of the Power Sector Transformation Phase One report, Rhode Island is embracing that future and has taken a leadership position regionally and nationally.”
The Power Transformation Initiative’s goals are to control long-term electric system costs, to give customers more energy choices, and to build a flexible grid that incorporates more clean energy resources. The agencies jointly released the Rhode Island Power Sector Transformation Phase One report, with accompanying recommendations, earlier this month. Today, National Grid will file a new rate case at the Rhode Island Public Utilities Commission, which is the first opportunity to implement these proposed reforms.
“The Power Sector Transformation Initiative has laid out an ambitious path forward to benefit Rhode Island residents, businesses, communities and the environment,” said Erika Niedowski, policy advocate in Acadia Center’s Providence office. “Acadia Center would like to thank the agencies for running a thorough stakeholder process, which has led to a thoughtful and innovative set of recommendations. Acadia Center also looks forward to reviewing National Grid’s soon-to-be filed rate case proposal for its consistency with the recommendations from Power Sector Transformation.”
Acadia Center, which participated extensively in the Power Sector Transformation’s seven-month public stakeholder process, has long advocated for states to embrace these reforms through materials such as UtilityVision and supports the key reforms recommended in the report:
- Reforming the utility business model with less emphasis on capital investments and more emphasis on achieving key goals for system efficiency, integration of distributed energy resources, and customer engagement and network support services.
- Developing new revenue streams from third parties to improve services for Rhode Island residents and lower ratepayer costs.
- Investing in the intelligence and flexibility of the electric grid.
- Improving distribution system planning to lower costs, efficiently integrate distributed energy resources, and provide more information and better incentives to customers.
“Rhode Island is poised to be the first state in New England to implement serious reforms to the utility business model,” said Amy Boyd, senior attorney at Acadia Center. “This is a key step to incentivizing utilities to act in the public interest, instead of merely advancing their own bottom line.”
“Acadia Center looks forward to the implementation phase of the Power Sector Transformation Initiative and finding the best path forward on cutting edge issues,” said Mark LeBel, staff attorney at Acadia Center. “Rhode Island should work with New York and Massachusetts to lower the cost to Rhode Island ratepayers of back office investments that can be shared across jurisdictions and define a reasonable role for the utility to advance electric vehicle charging.”
See the report at: http://www.ripuc.org/utilityinfo/electric/PST%20Report_Nov_8.pdf
Media Contacts:
Erika Niedowski, Policy Advocate, Rhode Island Office
eniedowski@acadiacenter.org, 401-276-0600
Krysia Wazny, Communications Director
kwazny@acadiacenter.org, 617-742-0054 x107
Acadia Center Applauds New England’s Continued Nation-Leading Progress on Energy Efficiency
BOSTON — The American Council for an Energy-Efficient Economy (ACEEE), a national nonpartisan organization, released its 2017 State Energy Efficiency Scorecard today, with Massachusetts holding the #1 rank for the seventh straight year, Rhode Island climbing to #3, Vermont at #4, and Connecticut at #6. Maine and New Hampshire were ranked #13 and #21, respectively.
New England states’ rankings in the category of utility and public benefit efficiency programs are even more impressive. Together, these programs represent the single largest state policy-driven impact on greenhouse gas emissions in the region. The efficiency investments driven by these programs have brought tremendous energy and bill savings to the region’s residents. They have also halted the growth of peak electric usage and its associated need for expensive new transmission projects. Rhode Island was first in this category, followed by Massachusetts, Vermont, and Connecticut. Maine was ranked twelfth, and New Hampshire sixteenth.
“Maximizing efficiency is a major step toward putting the region on the path to the clean energy future detailed in Acadia Center’s EnergyVision 2030 report. The New England states are showing that deploying least-cost, non-polluting measures effectively reduces the need for expensive fossil fuels. The leading states are successfully using this approach to spur economic development while also benefitting the environment and consumers, who enjoy lower costs and healthier, more comfortable spaces in which to live and work,” said Dan Sosland, Acadia Center President.
Massachusetts is leading the way with a current 3-year efficiency plan (2016‑2018) that is expected to deliver $8.1 billion in economic benefits and energy savings, as well as environmental benefits equivalent to removing approximately 408,000 cars from the road. The plan sets annual savings goals (2.93% of sales for electric and 1.24% of sales for natural gas) that are the highest in the nation, yet again. In 2016, Massachusetts programs far exceeded these goals, achieving savings of 3.34% of sales for electric efficiency.
“Massachusetts holds the first-place ranking alone this year—and for an amazing seven years running—but there is still plenty of work to do to make the most of this low-cost, clean resource,” said Amy Boyd, Senior Attorney at Acadia Center. “We should applaud our success, but not rest on our laurels. We must return to the hard work that it takes to accelerate strategies to reach the homes and businesses that still need help lowering their energy costs,” Boyd said. “Making smart use of all the data that new technologies can provide will reduce costs, make processes more transparent and keep us on track to stay on top of the evolving ACEEE scoring criteria.”
Rhode Island’s Least Cost Procurement law is primarily responsible for the state’s continued leadership on energy efficiency. First implemented a decade ago and extended for another five years in 2015, the policy states that distribution companies cannot acquire new electric or natural gas supply until “all cost-effective” energy efficiency measures have been exhausted. However, recent actions by Rhode Island state government, including a diversion of $12.5 million in ratepayer funds collected for energy efficiency, will make it difficult for the state to maintain its ranking next year.
“By investing in low-cost energy efficiency instead of expensive electricity and natural gas, Rhode Island lowers energy bills and spurs economic growth,” said Erika Niedowski, Rhode Island Policy Advocate with Acadia Center. “Energy efficiency reduces the cost of doing business in Rhode Island, and when residents spend less money on energy, they have more left in their paycheck to spend locally on other things.”
A widening gap has emerged between the electric efficiency programs of Massachusetts, Rhode Island, and Vermont and other states, with Vermont achieving 65% more savings than Connecticut. These three leading states have fully embraced efficiency as a resource, just like electric generation, and are choosing the lower-cost option of efficiency. The second tier of energy efficiency performers, Connecticut, Maine, and New Hampshire, finished the year with a mix of improved performance in some areas and need for improvement in others. Maine continues to achieve respectable savings levels and leads the nation in the deployment of clean, efficient heat pumps, despite a difficult political environment for clean energy. New Hampshire’s new Energy Efficiency Resource Standard promises to finally put that state on a path to reducing energy waste. Even with this progress, New Hampshire, as well as Connecticut and Maine, have plans to achieve only about half the electric efficiency savings that Massachusetts did in 2016.
“Connecticut dropped a spot to #6 this year, an indication that its historical commitments to energy efficiency are not enough. As other states are making big gains, Connecticut is only cutting half the energy waste it can,” said Kerry Schlichting, Connecticut Policy Advocate with Acadia Center. “Leaving these savings on the table is a loss for residents and businesses. Officials should reevaluate opportunities for future efficiency gains through increasing savings targets, addressing languishing appliance standards and tackling energy waste in state buildings.”
“It is unfortunate to see that Maine’s ranking dropped for the first time in five years, falling two spots to #13,” said Acadia Center Maine Policy Advocate Kathleen Meil. “As other states ramp up their commitment to energy efficiency, Maine’s drop demonstrates that standing still means falling behind.”
“Despite the temporary dip in savings and spending in 2016 for both the electric and natural gas programs, New Hampshire’s new Energy Efficiency Resource Standard (EERS) promises to finally put that state on a path to reducing energy waste,” said Ellen Hawes, Senior Analyst at Acadia Center.
“New England is on the right path, far ahead of some other regions, but there is still work to do to make the most of this clean resource. The states need to find better ways to weatherize older buildings, integrate new technologies, and accelerate strategies to reach all types of homes and businesses,” said Jamie Howland, Director of Acadia Center’s Energy Efficiency and Demand Side Initiative.
As a member of efficiency stakeholder boards in multiple states, Acadia Center looks forward to working with fellow members, utilities and other stakeholders to make sure that the plans are implemented effectively to deliver cost savings through lower utility bills, emissions reductions, and clean energy job growth, in addition to broader economic benefits.
See the Scorecard at: http://www.aceee.org/state-policy/scorecard
Media Contacts:
Jamie Howland, Director, Energy Efficiency and Demand Side Initiative
860-246-7121 x201, jhowland@acadiacenter.org
Krysia Wazny, Communications Director
617-742-0054 x107, kwazny@acadiacenter.org
45 Organizations Call for New York to Lower Monthly Mandatory Electric Charges
New York, N.Y. — Today, Acadia Center, Alliance for a Green Economy, Natural Resources Defense Council, Vote Solar, and 41 other organizations joined to support a common set of principles to address one of New York’s most regressive charges for utility service: the unavoidable monthly fee that all residential customers must pay regardless of the amount of electricity consumed. “Joint Principles on Residential Fixed Charges in New York” calls on New York utility regulators to lower these inefficient and regressive rates. The 45 organizations come from many different perspectives, including low-income and consumer advocates, environmental and clean energy public interest organizations, solar advocates, and clean energy industry groups, and span national organizations as well as community organizations across New York.
“In order to achieve a cleaner, more modern and consumer friendly energy system, New York needs to reform and lower fixed charges. The current regressive approach was adopted in the 1990s and places barriers in the way of consumer adoption of modern technologies like solar and energy efficiency” said Daniel Sosland, president of Acadia Center, which has successfully advocated for lower residential fixed charges in Connecticut. “The diverse array of groups who have endorsed lowering fixed charges show that this would be a win for ratepayers, clean energy, and communities across New York.”
New York has very high fixed customer charges compared to other states. For example, National Grid has a residential fixed charge of $17 in New York, but only $5 in Rhode Island and $5.50 in Massachusetts. Central Hudson has even higher fixed charges at $24, which it is seeking to increase to $25, as well as an additional tiered “service size charge” for many customers. Acadia Center found that current average residential customer charges for major investor-owned utilities are higher in New York than all of its neighboring states. New York’s fixed charges are even higher than Wisconsin, a state that has been widely criticized for approving large fixed charge increases since 2014.
Mark LeBel, Attorney and Associate Director of Acadia Center’s Grid Modernization and Utility Reform Initiative, said: “Most states across the country use a definition for residential fixed charges that is much narrower than New York’s approach. Our testimony in the National Grid rate case demonstrated that residential fixed charges are currently far too high and that reform would benefit the majority of residential ratepayers. Large consumers would pay more, but 61% of monthly bills would go down with lower residential fixed charges.”
“We see no reason why utility customers in New York should be paying fixed charges that are three times higher than those paid to the same company by customers in other states,” said Jessica Azulay, program director of Alliance for a Green Economy. “It’s high time to reduce these charges so that low-income customers, low energy users, and people who want to invest in energy efficiency and renewables are no longer overburdened with these regressive and unfair costs.”
“High unavoidable charges on electricity bills have a disproportionate impact on lower income customers who use less energy and decrease the incentive for customers to make energy efficiency improvements or invest in clean energy through actions like participating in a community solar project or installing solar panels,” said Miles Farmer, a Clean Energy Attorney at Natural Resources Defense Council. “New York utilities should reduce fixed charges and instead focus on designing rates that empower customers.”
“Vote Solar is proud to stand with dozens of organizations working for customer rights, community health, environmental justice and clean energy progress in the call for lower fixed charges,” said Nathan Phelps, program manager of DG regulatory policy at Vote Solar. “In order for New York to succeed in its ambitious and laudable clean energy vision, it must empower families and businesses to take control of their own electric bills. Lowering fixed charges is a critical step to achieving that vision.”
Cullen Howe, Acadia Center’s New York Director, noted, “Acadia Center supports the overall vision that has been laid out by the Public Service Commission and Cuomo Administration over the last several years. Lower residential fixed charges will help enable the goals of Reforming the Energy Vision, including increased energy efficiency and vibrant markets for clean energy.”
Media Contacts:
Cullen Howe, Senior Attorney & New York Director
chowe@acadiacenter.org, 212-256-1535
Mark LeBel, Attorney & Associate Director, Grid Modernization and Utility Reform Initiative
mlebel@acadiacenter.org, 617-742-0054 x104
Krysia Wazny, Communications Director
kwazny@acadiacenter.org, 617-742-0054 x107
RGGI States Leading the Way Toward Economic and Environmental Success
BOSTON — A new report from Acadia Center shows that the Northeast and Mid-Atlantic states’ Regional Greenhouse Gas Initiative (RGGI) continues to deliver for the economy, for the environment, and for public health. The program is driving down CO2 emissions, which have declined in each of the last 6 years and are down 40% since the program launched. The RGGI states have outperformed the rest of the country in emissions reductions and economic growth over this period, and the region has seen average electricity prices fall while prices have increased in the rest of the country. On top of all this, the program has driven substantial reductions in harmful co-pollutants, making the region’s air cleaner and its people healthier.
The report, Outpacing the Nation: RGGI’s Environmental and Economic Success, describes key trends and drivers, including the following:
- Emissions of CO2 fell 8.4% below the RGGI cap in 2016, and emissions have declined 40% since RGGI launched.
- Average electricity prices across the region have decreased by 6.4% since RGGI took effect, while electricity prices in other states have increased by 6.2%.
- RGGI states have reduced emissions 15% faster than other states and have seen 4.3% more economic growth since RGGI launched.
- Proposed RGGI reforms will result in 130 million fewer tons of CO2 and $1.28 billion in avoided health impacts through 2031.
“States in RGGI are demonstrating the power of bipartisan climate leadership,” said Daniel L. Sosland, Acadia Center President. “RGGI is a powerful example of an effective policy that drives economic, consumer, health and climate benefits while tackling a major challenge. Responsible leaders know we need to address climate change, and RGGI provides a readily available blueprint for success.”
“Launching RGGI took bold action from the region’s Governors, and thanks to that leadership the participating states have been reaping the rewards ever since,” said Peter Shattuck, Director of Acadia Center’s Clean Energy Initiative. “The current RGGI Governors have built on that success by strengthening the program for the future, ensuring that RGGI will continue to deliver benefits for years to come.”
“The RGGI states have shown that we don’t have to choose between ambitious climate policy and economic prosperity. In fact, RGGI’s track record has proven that ambitious climate policy can drive economic prosperity,” said Jordan Stutt, Policy Analyst at Acadia Center. “Now that the program for the electric sector has been strengthened and extended, we hope this proven model will be expanded to cover more states and applied to the region’s largest source of climate pollution: transportation.”
For more information, see: acadiacenter.org/document/outpacing-the-nation-rggi
Media Contacts:
Jordan Stutt, Policy Analyst
jstutt@acadiacenter.org, (617) 742-0054 x105
Peter Shattuck, Director, Clean Energy Initiative
pshattuck@acadiacenter.org, (617) 742-0054 x103
Krysia Wazny, Communications Director
kwazny@acadiacenter.org, (617) 742-0054 x107