The Climate Bill has passed the State House and State Senate!
BILL DETAILS, OUR ASK AND SUMMARY
SETTING STATEWIDE CLIMATE POLICY
Establishes aggressive 5 year emissions limits
Changes state law to require Massachusetts to set emissions targets (known as ‘limits’) every five years (as opposed to every ten), which bill drafters say “keeps our attention riveted on the climate.” Also requires the Governor to create and release “comprehensive, clear, and specific” plans and reports, known as ‘roadmaps’, that outline how the state will meet each emissions limit. The administration is also required to establish regulations to achieve the policies outlined in each roadmap. (Section 10)
First sector-by-sector sublimits in the nation
Massachusetts will become the first state to adopt “emissions sublimits.” This means that in addition to having economy-wide emissions limits, the state will also require further emissions reductions in six “high-priority” sectors of the economy: electric power, transportation, commercial and industrial heating and cooling, residential heating and cooling, industrial processes, and natural gas distribution and service. (Sections 9, 106-111)
Benchmarks clean technology adoption
Requires the state to set numerical benchmarks for the adoption of electric vehicles, charging stations, solar technology, energy storage, heat pumps, anaerobic digesters, and other clean technology solutions. These are required to align with new limits and sublimits. (Section 10)
Establishes net zero emissions goals for 2050
Makes legally binding the statewide greenhouse gas limit for 2050 at net zero, as opposed to the previous target of 85% reductions by 2050. The Baker administration has already set a goal for net zero by 2050, but it could (hypothetically) be reversed by a future Governor if it is not added into state law. (Section 8)
Requires 50% reductions by 2030
More ambitious than the 45% reductions advocated by Governor Baker’s administration. The bill also requires 75% reductions by 2040. (Section 8)
Requires municipal light plants (MLPs) to reduce emissions
For the first time, requires MLPs to meet emissions standards, requiring them to purchase 50% non-emitting electricity by 2030 and get to “net zero” emissions by 2050. MLPs are electric utilities operated by a specific city or town, and collectively account for 14% of the state’s energy. (Sections 33, 34, 102)
CLIMATE JUSTICE
Codifying environmental justice
For the first time, writes environmental justice into Massachusetts law by defining environmental justice populations and providing new tools, protections, and public input for frontline communities. (Sections 55-60) Also requires that each roadmap plan to explicitly include ways the state can improve or mitigate economic, environmental, and public health impacts on environmental justice populations and low and moderate income individuals. (Sections 10, 57)
Removes incentives for biomass
For five years, it prevents wood-to-energy (aka. ‘biomass’) from qualifying for renewable energy incentives. Also requires the administration to conduct a new study of the impact of biomass on greenhouse gas emissions and public health. There was some confusion over whether this would stop operation of the controversial Springfield biomass facilitator, but reporting from WBUR’s Miriam Wasser showed that it would not. (Section 33, 34, 112)
HEATING & BUILDING EMISSIONS
Allows towns to adopt local net zero stretch codes
Mandates the administration to create a local net zero stretch energy code that municipalities would have the option to opt-in. This is a crucial step in decarbonizing new buildings, which if built inefficiently ‘lock in’ emissions for the lifetime of the building. According to bill drafters, it also allows for cities to adopt local bans on new fossil fuel construction. Brookline attempted this, passing an ordinance in 2019, that was eventually struck down by Attorney General Healey after she ruled it was illegal without a new state law. (Sections 31, 101)
Reforms building regulation board
Adds four new seats to the Board of Building Regulations and Standards (BBRS) for experts in building energy efficiency, advanced building technology, and the Commissioner of the Department of Energy Resources (DOER). Also transfers responsibility for energy code development to the DOER and away from the BBRS. (Sections 64-74)
ENERGY EFFICIENCY
Aligns MassSave with climate policy goals
Requires each three-year MassSave plan to report on emissions reductions actually achieved and to include an explicit value for greenhouse gas reductions when they calculate the cost-effectiveness of the various MassSave programs. (Sections 16-18, 20-30)
Sets nationally consistent appliance efficiency standards
Sets Massachusetts appliance efficiency standards according to precedents set in California and likely future federal standards. This will help drive down emissions from common household and commercial appliances, and may save residents, businesses, and local and state governments more than $287 million annually by 2035. This also includes certain water-saving technology relating to plumbing fixtures and sprinklers. (Sections 35-55, 113)
CLEAN ENERGY
Increases offshore wind development by 43%
Boosts the amount of offshore wind utilities are required to purchase by an additional 2,400 megawatts. This builds upon previous legislation and will result in a total authorization to 5,600 megawatts of offshore wind for Massachusetts. It also gives the administration the power to require offshore wind developers to coordinate on building offshore wind energy transmission lines to the mainland. The bill also quickens the timeframe for procuring new offshore wind by 6 months. (Sections 91-93, 95)
Boosts renewable portfolio standard (RPS)
Raises the Renewable Energy Portfolio Standard (RPS) by 3% each year for 2025-2029, which would ensure at least 40% of the state’s electric power will come from renewables by 2030. (Section 32)
Seeks to increase solar access & equity
Forces the administration to prioritize low-income communities in the SMART, the state’s primary solar incentive program (Section 94). Also allows low-income individuals to enroll in solar “without signing complicated contracts” (Section 96), and establishes a new solar energy grant program for nonprofits working to address food insecurity and homelessness (Section 54).
Includes a number of updates to the state’s solar laws
Loosens the current net metering caps by allowing an owner of a new solar project to give solar credits to customers regardless of where in the state they live (Section 84). Also includes what bill writers called “a long-awaited compromise between local tax assessors and developers on the tax status of clean energy installations.” (Sections 61, 97, 98, 105) It also enables small municipal buildings to have rooftop solar net metered (Sections 82, 83), makes it easier for some businesses and other large customers to install solar (Section 85), and lets utilities own some solar projects. (Section 77)
UTILITY REFORMS
Incorporates climate into DPU mandate
For the first time, statutorily enacts a mandate for the Department of Public Utilities (DPU), the state’s regulator of electric and natural gas utilities. Going forward, the DPU would be required to balance priorities for system safety, system security, reliability, affordability, equity, and, significantly, reductions in greenhouse gas emissions. (Section 15)
Puts $12 million towards workforce development & jobs
Gives the Massachusetts Clean Energy Center (MassCEC) $12 million in new annual funding for clean energy workforce development for minority and women owned small businesses, environmental justice communities, and fossil fuel workers. The program would provide educational and professional development, job placement, startup opportunities, and grants to participants. (Sections 14, 19)
Reform to natural gas safety standards & fines
Finally passes legislation updating the gas safety regime, a legislative priority since the 2018 Merrimack Valley gas explosions. Includes new regulations certifying utility contractors; (Section 103), creates standards for maintaining gas distribution maps and records (Section 86), and extends whistleblower protections to utility employees (Sections 75, 76). It also doubles the penalty for failure to restore service after emergencies to $500,000 per violation day (Section 790 and establishes an increased maximum penalty of $50 million for failure to meet emergency preparation and service restoration standards (Section 80). It also requires the state to investigate and publish all written gas service complaints (Section 78) and sets interim targets requiring companies to reduce gas leak rates. (Section 87-88)
OTHER PROVISIONS
Transparency in climate policy development
Mandates transparency with respect to the inputs, outputs, assumptions, and modeling involved in the formulation of state climate policy. (Section 10)
Consideration of natural & working lands
Incorporates within climate policy planning the promotion and protection of natural and working lands, with the goal of increasing carbon sequestration. (Sections 4 & 10)
Allows utilities to pilot renewable thermal technology
Authorizing utilities to pilot renewable thermal energy sources, systems or technologies capable of substituting for fossil-fueled natural gas, including geothermal heating and cooling. Bill sponsors say this “nudges natural gas utilities to get into new lines of work.” (Section 99)
Gives incentives to hydrogen energy and fuel cell technology
Exempts fuel cell systems from local property taxes, which should further reduce the cost of installing hydrogen fuel cell technology. (Section 62)