Gov. Maura Healey's Bill Aims to Cut Energy Bill Fees, Increase Supply For MA Customers

LEOMINSTER, MA — Legislation filed on Tuesday will save Massachusetts residents $10 billion or more in energy costs over 10 years through reduced or eliminated fees, increased supply and rules to prohibit month-to-month increases and price spikes, Gov. Maura Healey said in a news conference on Tuesday.

The Energy Affordability, Independence & Innovation Act is an addition to the steps Healey took this winter, including a $50 per-customer bill credit for April, that she said will save $6 billion over the next decade.

"My goal has been to do everything we can to drive down energy costs," Healey said in a news conference in Leominster. "That was the charge. That was the mission given to our team. ... I know that the issues driving energy costs have built up over the years."

She said the bill eliminates the Alternative Portfolio Standard charge and other metering charges that often go unchallenged and unverified as part of the billing process.

"For too long, it's been the practice to add more charges to your bills," Healey said. "We're going to start removing a bunch of those things."

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To reduce bill volatility and rate shocks, the legislation requires the Department of Public Utilities to review and reform all charges on bills and establish a cap on month-to-month bill increases. The legislation also authorizes the DPU or an outside firm to audit the utilities' management

and operations, while banning the use of ratepayer funds for advertising, lobbying, entertainment, and other costs.

Utility companies could be fined for non-compliance.

"I believe this legislation is going to give us the tools that we need to create more accountability for our utilities and maximize every taxpayer dollar," Healey said. "We need to make sure that every single taxpayer dollar that gets paid in, we're getting the most out of that. We have to make sure that you are not getting stuck with corporate investments that don't help you either."

The bill prohibits utility shutoffs during periods of heat waves due to financial hardship and expands the moderate-income discount rate to gas customers.

It also continues to reduce the funding for the Mass Save program, which critics said inflates utility company expenses, and thus energy bills, for initiatives that fail to deliver for consumers.

"We took steps on Mass Save earlier," Healey said. "I asked DPU to reduce the charges for Mass Save and they did that a couple of months ago. Then, with this legislation, there are some changes to the Mass Save program.

"Fundamentally, this is due to volatility in world energy markets and not being able to control our own fate. We rely on energy coming in from other places. We are working to build and create new energy. That's why solar arrays are important. That's why wind off our shores is important. That's why I am fighting hard to ensure we work as Northeast states with Canada to make sure that hydro is flowing. This is about supply. We've got to bring in more energy. In doing so, we'll be able to reduce the costs and lower everybody's bills.

She said that includes expanding wind energy despite President Donald Trump's executive order to freeze federal permitting for new projects.

"Wind is a really important source for us," she said. "We have put a lot of money into wind. That is a very quick way for us to bring energy online. But we're moving ahead with everything. I know members of the Trump Administration support nuclear, for example."

AG Andrea Campbell said in filing the lawsuit against the Trump Administration's executive order last week that "my colleagues and I will continue to challenge this administration's unlawful actions to chill investment and growth of this critical industry."

Salem Mayor Dominick Pangallo told Patch that his city is "continuing the efforts necessary to advance that (wind energy) vision" and that he's "encouraged to know that our state partners share that positive commitment."

"I'm grateful to the attorney general for standing up for our clean energy future and the future of offshore wind in Massachusetts, specifically," Pangallo said in a statement to Patch. "The port development in Salem is important for diversifying and future-proofing our economy both locally and regionally."

(Scott Souza is a Patch field editor covering Beverly, Danvers, Marblehead, Peabody, Salem and Swampscott. He can be reached at Scott.Souza@Patch.com. X/Twitter: @Scott_Souza.)