Massachusetts continues to assert itself as a policy leader for developing sources of clean energy. Last week the state’s lawmakers unveiled a wide-ranging bill mandating 20% of electricity production to come from renewable sources by the year 2020.
The bill, which is the result of negotiations between Governor Deval Patrick and business and environmental groups, calls for the use of wind, hydroelectric and crop-based fuels to cut greenhouse gas emissions by roughly 20%.
Other measures in the bill will make it simpler and more cost effective for homeowners and business to install solar panels, wind turbines and super-efficient basement-based power and heating devices. Massachusetts residents will also be able to qualify for a $2,000 deduction on state income taxes for purchasing fuel-efficient, hybrid vehicles.
But perhaps the most progressive measure of the bill is one requiring utilities to pay customers to install energy-conserving appliances, lightbulbs, weatherproofing and other features. Utilities would only have to pay for such measures if they cost less per unit of electricity than the cost of purchasing the electricity from power generators.
Other features of the bill include:
– Requiring Massachusetts’ total energy consumption to be cut 10% by 2017.
– Replacing the Division of Energy Resources with a new Department of Clean Energy.
– Creation of a new consumer advocate in Attorney General’s office to represent consumers in utility rate cases.
– Amendments to state corporation law requiring mergers involving Massachusetts utilities be approved by the state Department of Public Utilities.
– Changing state law to allow utilities to sign 10- and 20-year energy purchase agreements. Currently they are restricted to one-year agreements, making project financing difficult for windfarms.
The new bill is a heavily revised version of the Green Communities Act supported by House Speaker Salvatore F. DiMasi about a year ago. Dimasi says he is optimistic the new bill will be approved quickly, because it results from the negotiating work done by the Governor, Attorney General Martha Coakley, Senate President Therese Murray, as well as other legislative, business and environmental leaders.
The House is expected to take up the bill this week, but it is unclear when the Senate will address it. State Senator Michael W. Morrissey (Democrat), who is co-chairman of the legislative energy panel said he felt the Senate was close to an agreement on the bill.
“We think we have a great product. It’s important now to move the bill ahead to members of the House and Senate and get it to the governor’s desk later this year or early next year,” he told the Boston Globe.
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