Category: Gas Pipeline

190th Session Wrap Up: Energy

190th Session Wrap Up: Energy Conference Report

As we wrap up yet another legislative session, my office has worked to provide recaps on the vast array of subject areas that I have worked on and voted on in the Chamber. Below is an overview of the energy legislation conference report which worked out the differences between the house’s energy legislation and the senate’s energy legislation

H.4857 – An Act to advance clean energy

  • Establishes the requirement of utilities and municipal aggregates to jointly prepare an “energy efficiency investment plan.” [similar to House legislation]
  • Creates an annual increase of 2% for the Renewable Portfolio Standard by January 2020.
  • Establishes a Clean Peak Standard to incentivize electricity generation at times when the grid is at its highest demand and therefore most vulnerable to reliability issues. It is designed to incentivize installation of renewable resources in conjunction with storage systems to ensure that the Commonwealth will not only be increasing its overall usage of renewable sources of electricity through the RPS program, but that those resources can be utilized to provide energy at periods of high-demand to resuce reliance on natural gas and other non-renewable resources that typically get deployed during high-demand periods.
  • Requires DPU to develop regulations requiring gas companies to annually report how much gas is lost and where those leaks are.
  • Establishes an energy storage target of 1000 Megawatt hours by December 31, 2025; includes a feasibility study for a mobile emergency battery storage system for emergency response to extreme weather events or outages.
  • Creates a study of necessity, cost, and benefits of requiring electricity distribution companies to procure 1,600 MW of additional offshore wind capacity, beyond the 2016 requirements, by 2035.

RPS – I worked with my colleagues in the Progressive Caucus to organize behind Representative Kay Khan’s amendment #29 to increase the RPS increases to 3% year. I was disappointed that the amendment was not adopted.

Gas Pipelines – I was proud to co-sponsor a number of amendments filed by my colleagues to address the issue of pervasive and environmentally destructive pipelines in Massachusetts. Representative Kulik filed Amendments 11, 12, & 13 to address these issues by prohibiting a pipeline tax on electric ratepayers, establishing standards for approval of gas capacity contracts, and guaranteeing public intervention rights at the Department of Public Utilities. I was disappointed that these were not included in the final version.

Environmental Justice I was pleased that Representative Vincent filed the environmental justice amendment, Amendment 24, similar to a piece of legislation that I co-sponsored. This would establish an Environmental Justice advisory council to provide recommendations to the Baker administration. Again, I wish that the measure was included in the final bill.

Gas Leaks – I was happy to co-sponsor Amendment 15 by Representative Barber. This amendment instructs DPU to establish uniform standards for gas companies to identify and measure lost and unaccounted for gas by location, quality, and source. It also allows DPU to grant regulatory waivers to allow gas companies to develop innovative projects to reduce lost and unaccounted for gas. I am pleased to report that the amendment was adopted as written.

 

To read the full text of the conference report, click here.

190th Session Wrap Up: Energy Legislation

190th Session Wrap Up: Energy Legislation

As we wrap up yet another legislative session, my office has worked to provide recaps on the vast array of subject areas that I have worked on and voted on in the Chamber. Below is an overview of the energy legislation that the House voted on July 12, 2018. We voted on a total of four pieces of legislation and passed all four. 

The bills did not contain everything that I wanted, but it moved the ball forward.  Now there is a House and Senate Conference Committee formed to resolve differences (and hopefully improve the final product).  The end of the session is quickly approaching.  I hope that these bills (with potential improvements through the conference committee) will help Massachusetts reach its clean energy goals.

UPDATE (7/31/18): To read a summary of the Conference Committee Report (Final Version), click here. 

H.4738 – An Act to increase renewable energy and reduce high-cost peak hours

Topic: Renewable Portfolio Standard
Summary: This bill increases the renewable energy standard annual rate increase from 1% to 2% by July 31, 2019 and reduces the high-cost peak hours, which could result in substantial savings.  Increasing the state’s renewable portfolio standard has been a top priority of mine.  The renewable portfolio standard is the percentage of renewable energy from new sources that energy companies are required to buy or produce.  It is currently at 13% and that percentage increases 1% per year.  It is key to Massachusetts achieving substantial reductions in greenhouse gas emissions.
Notes:

RPS – I worked with my colleagues in the Progressive Caucus to organize behind Representative Kay Khan’s amendment #29 to increase the RPS increases to 3% year. I was disappointed that the amendment was not adopted.  Because of our efforts, though, the increase from 1% to 2% was shifted from December 31, 2020 to July 31, 2019.

Gas Pipelines – I was proud to co-sponsor a number of amendments filed by my colleagues to address the issue of pervasive and environmentally destructive pipelines in Massachusetts. Representative Kulik filed Amendments 11, 12, & 13 to address these issues by prohibiting a pipeline tax on electric ratepayers, establishing standards for approval of gas capacity contracts, and guaranteeing public intervention rights at the Department of Public Utilities. I was disappointed that these were not included in the final version.

Environmental Justice I was pleased that Representative Vincent filed the environmental justice amendment, Amendment 24, similar to a piece of legislation that I co-sponsored. This would establish an Environmental Justice advisory council to provide recommendations to the Baker administration. Again, I wish that the measure was included in the final bill. There is still pending legislation that accomplishes the same purpose as this Amendment that I will continue to support.

 To read the full text of the bill, click here.

H.4737 – An Act relative to expanding resource efficiency in the commonwealth

Topic: Energy Efficiency
Summary: This bill creates energy and water efficiency standards for 10 new products in the Massachusetts General Laws under the Massachusetts Appliance Efficiency Act. The standards were derived from EPA Energy Star and WaterSense standards as well as California’s efficiency standards. The bill states that none of the included products may be sold in the state after January 1, 2020 unless they meet these new standards. Massachusetts is a nation and international leader regarding energy efficiency and this bill provides the opportunity to continue to hold that position.

To read the full text of the bill, click here.

H. 4739 – An Act to improve grid resiliency through energy storage

Topic: Energy Efficiency
Summary: This bill established the Energy Storage Innovation Research Institute within the MA Clean Energy Center as well as an energy storage testing facility that will serve as a resource for companies developing energy storage systems.  It instructs the Department of Energy Resources to study the use of mobile storage technology for emergency response to extreme weather events or power outages. Finally, the legislation mandates that distribution companies must file an annual System Resiliency Report with the DPU.  Improving energy storage is key to fully taking advantage of renewable sources, such as solar.  I hope this bill encourage further development of this technology.
Notes:

Gas Leaks – I was happy to co-sponsor Amendment 15 by Representative Barber. This amendment instructs DPU to establish uniform standards for gas companies to identify and measure lost and unaccounted for gas by location, quality, and source. It also allows DPU to grant regulatory waivers to allow gas companies to develop innovative projects to reduce lost and unaccounted for gas. I am pleased to report that the amendment was adopted as written.

To read the full text of the bill, click here.

H.4749 – An Act relative to energy efficiency

Topic: Energy Efficiency
Summary: This bill expands the types of efficiency programs that can be included in the “electric efficiency investment plan” and the “natural gas efficiency investment plan” under current regulations. It also changes the formula by which the cost-effectiveness of the programs is calculated.

To read the full text of the bill, click here.

Representative Livingstone and Colleagues Sign Letter Requesting Considerations in Upcoming Omnibus Energy Legislation

State Representative Jay Livingstone recently signed on to a letter requesting that certain considerations be made in the upcoming omnibus energy legislation anticipated to hit the House floor this Summer. The bill is being prepared by the Committee on Telecommunications, Utilities and Energy and the committee’s House chairman, Rep. Tom Golden as well as the House Committee on Ways and Means and the committee’s chairman, Rep. Brian Dempsey. The letter, circulated by Representatives Lori Erhlich and Tricia Farley-Bouvier, was signed by over 60 Representatives from across the State and outlines a variety suggestions about what the bill should cover including:

  • No publicly funded gas pipeline projects
  • Meaningful offshore wind development
  • Fixing our leaking gas distribution system
  • Consumer and Environmental protections in Large-Scale Hydropower development

Representative Livingstone signed another letter last month against electricity rate payer financing on natural gas pipelines. That letter can be found HERE.

“I am excited and encouraged to see what the Chairmen, The Speaker, and their hard working staff will produce for the omnibus energy bill this session,” Representative Livingstone said. “My hope is to see a bill that reflects the Commonwealth’s efforts to move away from a dependency on Natural Gas and shift towards clean energy options like hydro and wind.”

View the letter in its entirety below:

[gview file=”http://www.livingstonedispatch.com/wp-content/uploads/2016/05/FINAL-Omnibus-Energy-Priorities-Sign-on-Letter.pdf”]

State House News: Kinder Morgan Suspends Work, Spending On Pipeline Project

By Michael Norton
STATE HOUSE NEWS SERVICE

Citing inadequate commitments from prospective customers, Kinder Morgan on Wednesday suspended further work and spending on its Northeast Energy Direct natural gas pipeline project, which held the possibility of helping Massachusetts and the New England to meet its energy and electricity cost goals.

Less than a year ago, in July 2015, the company’s board authorized Tennessee Gas Pipeline (TGP) Company to move forward with a $3.3 billion investment in pipeline capacity from Wright, New York to Dracut, Massachusetts. On Wednesday, Kinder Morgan said that approval was based on contractual commitments at the time and expected commitments from additional gas distribution companies, electric distribution companies and other “market participants” in New England.

“Unfortunately, despite working for more than two years and expending substantial shareholder resources, TGP did not receive the additional commitments it expected,” Kinder Morgan said in a statement on Wednesday. “As a result, there are currently neither sufficient volumes, nor a reasonable expectation of securing them, to proceed with the project as it is currently configured.”

Environmentalists, rival energy sectors and some public officials have questioned both the costs of the pipeline project and the wisdom of increasing the region’s already heavy reliance on natural gas. Kinder Morgan had hoped the project would address natural gas transportation problems affecting the Northeast and alleviate “uniquely high” gas and electricity costs.

Kinder Morgan attributed the lack of contracted capacity to the lack of regulatory procedures in the New England states to facilitate binding commitments and the “open-ended” nature for establishing those procedures in each state.

“In addition, innovations in production have resulted in a low-price environment that, while good for consumers, has made it difficult for producers to make new long term commitments. Further, current market conditions and counter-party financial instability have called into question TGP’s ability to secure incremental supply for the project. Given these market conditions, continuing to develop the project is not an acceptable use of shareholder funds,” Kinder Morgan said.

TGP plans to “continue to work with customers to explore alternative solutions to address their needs, particularly local distribution companies that are unable to fully serve consumers and businesses in their areas because of the lack of access to abundant, low-cost domestic natural gas,” Kinder Morgan said.

Asked earlier in the day whether Kinder Morgan and other pipelines developers should be able to pass along the cost of construction to consumers, Gov. Charlie Baker said:
“I’m not paying too much attention to the Kinder Morgan project, primarily because most of that is driven by federal policy and not by state policy. What I’ve said all along is the best way for Massachusetts and New England to ensure that people here in the Commonwealth get the best price they possible can on their electricity and their thermal piece is to have a proactive approach to this and my hope and my anticipation is that that pro-active approach will look like a bill that comes out of the House at some point during this session and gets debated and enacted and includes what I’ve talked about before, which is a combo platter of the two I’m particularly interested in which is hydro and wind,” Baker said.

Energy industry stakeholders – from natural gas to offshore wind and solar and hydro producers – are jockeying for a piece of the region’s supply mix as lawmakers contemplate major energy policy legislation and the looming 2019 shutdown of Pilgrim Nuclear Power Station in Plymouth, a major source of carbon-free power.

“Kinder Morgan is stopping the pipeline simply because it is both expensive to ratepayers and simply not needed,” Environmental League of Massachusetts President George Bachrach said. “Massachusetts has the capacity to develop its own energy in solar, wind and hydro and create new industries and jobs here, rather than importing energy and exporting our dollars and jobs.”

[Matt Murphy contributed reporting] END
04/20/2016
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Representative Livingstone Signs onto Letter Against Ratepayer Financing on Natural Gas Pipe Lines

Representative Livingstone, along with his colleagues in the House, signed onto a letter penned by Representatives Kulik and Jones asking leadership to omit public support for natural gas pipeline expansion from upcoming omnibus energy legislation conversations. The letter answers to a larger question about rate payer’s roles in new Natural Gas infrastructure. See below:
[gview file=”http://www.livingstonedispatch.com/wp-content/uploads/2016/04/Reps-Kulik-and-Jones-Protecting-Ratepayers-letter-to-the-Speaker.pdf”]