Top Massachusetts House Democrats on Tuesday suggested policymakers might be facing a reality check as to how impactful their actions can be on the energy affordability front.
“There isn’t enough that you can give these people off the bill, with our tools, that’s significant to have an impact. That’s the reality,” House Speaker Ron Mariano said after meeting privately with representatives to discuss possible approaches to lowering energy costs.
“Everyone’s shocked at the rates, the increase of the rates. The fact that the feds took all our alternative energy sources off the table — we had invested in offshore wind, we were committed to bringing that in, as an alternative energy source, and the feds pulled the rug right out from underneath us,” Mariano said, referring to the Trump administration’s consistent efforts to stop large-scale offshore wind power projects.
“It’s absolutely hard to have an impact on the bills when the things you’re going to use for alternatives, you can’t use them anymore,” Mariano added.
House Ways and Means Chair Aaron Michlewitz, who co-hosted the meetings Tuesday and Thursday, suggested the House might be considering long-term utility bill relief when asked Thursday about specific solutions.
“One thing we’ve talked about is long-term, trying to figure out, you know, create some stability and predictability in these electrical bills long-term, while also maintaining the balance of sticking to our principles and what we’ve done in the past, in terms of trying to commit to our climate goals and reducing our carbon emission,” Michlewitz said.
The North End Democrat confirmed on Tuesday that changes to the state’s 2030 emissions reduction mandates are “off the table” in any near-term energy affordability legislation. Environmental advocates in the fall slammed a House bill drafted by Telecommunications, Energy and Utilities Committee members for the rollbacks it would have made to the state’s emissions reduction statutes.
“It’s a tricky balance to do both,” Michlewitz added Thursday. “I think we’re trying to find the — thread the right needle, in relation to this legislation to find a pathway to some type of goal of reducing the bills while also sticking to our principles.”
Energy Committee Co-Chair Rep. Mark Cusack added: “And also being realistic of what we can actually affect on a bill as policymakers.”
“Trying to get immediate relief, there’s very few different buckets you can actually access — like Mass Save, ACP [alternative compliance] payments. Clearly, the governor is using that money as well. So different areas like that,” Cusack said when asked about what realistic options could be.
“But, you know, the utilities aren’t thrilled with what was in the bill that came out of the committee — there’s a lot of haircutting going on for them,” Cusack added. “But just explaining to the membership in the larger picture that this is very technical, difficult, but fitting all the pieces together. It’s not as simple as saying, ‘Oh, we’re just going to cut bills in half. It’s not realistic.”
Gov. Maura Healey announced Thursday that the state will use $180 million to help temporarily reduce residential electric and gas bills this winter. That $180 million stems from alternative compliance payments that can only go toward electric ratepayer relief and covers an estimated 15% reduction in electric bills, the administration said.
House and Senate Republicans last week proposed a bill that requires 50% of alternative compliance payments made in connection with the state’s Renewable Portfolio Standard to be returned to utility customers in each of the next three years. The ACP revenue is currently deposited in a fund overseen by the Massachusetts Clean Energy Center for use in clean energy projects, the Republicans said, and the change would return between between $198 million and $207 million over three years. The GOP bill, which authors say could provide $147 million in first-year savings, also calls for the Mass Save energy efficiency program to be restructured.
Utilities also plan to defer an estimated 10% of gas bills for later payments for their customers.
