Massachusetts 2023-2024 Regular Session

Massachusetts House Bill H3159 Compare Versions

Only one version of the bill is available at this time.

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2	2	HOUSE DOCKET, NO. 3207 FILED ON: 1/20/2023
3	3	HOUSE . . . . . . . . . . . . . . . No. 3159
4	4	The Commonwealth of Massachusetts
5	5	_________________
6	6	PRESENTED BY:
7	7	Dylan A. Fernandes
8	8	_________________
9	9	To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
10	10	Court assembled:
11	11	The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:
12	12	An Act relative to electric utility climate resilience and microgrids.
13	13	_______________
14	14	PETITION OF:
15	15	NAME:DISTRICT/ADDRESS :DATE ADDED:Dylan A. FernandesBarnstable, Dukes and Nantucket1/18/2023Patrick Joseph Kearney4th Plymouth2/16/2023Simon Cataldo14th Middlesex2/27/2023 1 of 5
16	16	HOUSE DOCKET, NO. 3207 FILED ON: 1/20/2023
17	17	HOUSE . . . . . . . . . . . . . . . No. 3159
18	18	By Representative Fernandes of Falmouth, a petition (accompanied by bill, House, No. 3159) of
19	19	Dylan A. Fernandes, Patrick Joseph Kearney and Simon Cataldo relative to electric utility
20	20	climate resilience and microgrids. Telecommunications, Utilities and Energy.
21	21	The Commonwealth of Massachusetts
22	22	_______________
23	23	In the One Hundred and Ninety-Third General Court
24	24	(2023-2024)
25	25	_______________
26	26	An Act relative to electric utility climate resilience and microgrids.
27	27	Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
28	28	of the same, as follows:
29	29	1 SECTION 1. Chapter 25 of the General Laws is hereby amended by inserting after
30	30	2Section 23 the following section:
31	31	3 Section 24. (a) The department of public utilities shall require electric distribution and
32	32	4transmission companies to prepare and file a climate vulnerability and resilience plan by
33	33	5December 31, 2024, and at least once every five years thereafter based on best available data.
34	34	6Climate vulnerability and resilience plans shall both identify existing vulnerabilities in the
35	35	7system that must be adapted to climate change-induced threats as well as plan proactively for
36	36	8future climate conditions to ensure the system can absorb and withstand impacts. Climate
37	37	9vulnerability and resilience plans shall prioritize, to the maximum extent practicable, adaptation
38	38	10measures that (i) promote the preservation, protection, restoration, and enhancement of the
39	39	11commonwealth’s natural infrastructure through nature-based solutions, as defined in section 1 of
40	40	12chapter 21N, and (ii) account for the existing natural, built and economic characteristics of the 2 of 5
41	41	13commonwealth’s most vulnerable areas and human populations. Adaptation measures that
42	42	14include the use of hard-engineered, hardscape, or gray infrastructure features shall be supported
43	43	15by evidence that the measures will not cause or exacerbate negative environmental impacts and
44	44	16that alternative green or green and gray hybrid solutions are not feasible.
45	45	17 (b)Climate vulnerability and resilience plans shall include, at a minimum, (i) an
46	46	18evaluation of the climate science and projected extreme weather and other climate-related risks
47	47	19for the service territory including changes in temperature extremes, humidity, precipitation, sea
48	48	20level rise, and extreme storms, (ii) an evaluation and risk assessment of potential impacts of
49	49	21climate change on existing operation, planning, and physical assets, including any design and
50	50	22construction standards or maintenance and operations practices that require changes to address
51	51	23current and future climate conditions as it relates to reliability and resilience of the grid, (iii) an
52	52	24evaluation of the vulnerability of existing infrastructure based on location and whether and when
53	53	25certain facilities may require retrofitting or relocation, (iv) identification and prioritization of
54	54	26adaptation options to increase asset and system-wide resilience over time, (v) an evaluation of
55	55	27costs and benefits against a range of possible future scenarios and adaptation options, and (vi) an
56	56	28implementation timeline, including benchmarks over time, for making changes in line with the
57	57	29findings of the study such as modifying design and construction standards, modifying operations
58	58	30and planning processes, and upgrades to existing infrastructure to ensure reliability and resilience
59	59	31of the grid.
60	60	32 (c)Climate vulnerability and resilience plans shall be prepared in collaboration with
61	61	33communities most impacted by the effects of climate change within the company’s service area,
62	62	34including environmental justice populations, as defined in section 30 of chapter 62, and shall
63	63	35include a community engagement plan that includes, at a minimum, (i) identification and 3 of 5
64	64	36description of any environmental justice populations in the service area, and any community
65	65	37based environmental justice organizations in the service area, (ii) outreach goals and targets,
66	66	38including at least two public meetings planned in collaboration with representatives from
67	67	39identified environmental justice populations and community based organizations, (iii) assessment
68	68	40of past engagement goals shortfalls or deficiencies, and updates and remedies to ensure shortfalls
69	69	41or deficiencies are not repeated.
70	70	42 (d)The department of public utilities shall require, in any ratemaking proceeding
71	71	43pursuant to sections seventy-six, ninety-three, and ninety-four of chapter one hundred and sixty-
72	72	44four, that electric companies identify in priority order the climate risks to its facilities that will
73	73	45arise over the projected useful life of such facilities or thirty years, whichever is greater, in
74	74	46accordance with climate vulnerability and resilience plans as required by subsection (a). The
75	75	47companies shall present evidence documenting their evaluation of climate risks and measures
76	76	48addressing such climate risks based on the best available climate science, data and other
77	77	49evidence in the record before the agency and shall identify how their operating and capital
78	78	50budgets address such climate risks. The companies shall also (i) consider and present evidence
79	79	51addressing likely climate change risks scenarios for its utility infrastructure in relation to the
80	80	52infrastructure’s criticality and risk tolerance, and (ii) disclose in all design engineering,
81	81	53architectural, or other drawings and analyses the climate assumptions used in evaluating and
82	82	54addressing climate risks.
83	83	55 (e)In adjudicating ratemaking proceedings pursuant to sections seventy-six, ninety-
84	84	56three, and ninety-four of chapter one hundred and sixty-four, the department of public utilities
85	85	57shall determine whether the applicant’s costs proposed or incurred for capital investment projects
86	86	58include consideration and minimization of climate risks for the useful life of the proposed 4 of 5
87	87	59investment or thirty years, whichever is greater. In considering climate risks, the department of
88	88	60public utilities shall consult the most recent climate vulnerability and resilience plan on file for
89	89	61the applicant and projected climate change risk based on best available data. The department of
90	90	62public utilities may take into consideration whether the applicant has made progress in
91	91	63implementing its climate vulnerability and resilience plan and whether the applicant’s costs
92	92	64proposed or incurred for capital investment projects are consistent with the plan. The department
93	93	65of public utilities shall conclude in writing that the applicant’s costs are appropriate based on the
94	94	66risk tolerance of the project or facility. Any electric company failing to file its climate
95	95	67vulnerability and resilience plan may be fined $500 for each day during which such failure
96	96	68continues. The fines levied by the department shall be returned to ratepayers through distribution
97	97	69rates.
98	98	70 (f) The department of public utilities shall promulgate such rules and regulations as
99	99	71are necessary to promptly and effectively enforce the provisions of section twenty-four.”
100	100	72 SECTION 2. Subsection (a) of section 85B of chapter 164 of the General Laws is hereby
101	101	73amended by striking out paragraphs (7) and (8) and inserting in place thereof the following:
102	102	74 (7) identification of additional supplies and equipment needed during an emergency
103	103	75and the means of obtaining additional supplies and equipment;
104	104	76 (8) designation of a call center in the commonwealth for service assistance for the
105	105	77duration of an emergency or until full service is restored, whichever occurs first. The call center
106	106	78shall be staffed continuously for the duration of the emergency and to ensure sufficient staffing
107	107	79levels to handle all customer calls; and 5 of 5
108	108	80 (9)a description of how the company is implementing its climate vulnerability and
109	109	81resilience plan in its response to emergency events and in its efforts to minimize the effects of
110	110	82extreme weather on the company’s infrastructure and operations, including disruptions to
111	111	83service.
112	112	84 SECTION 3. Chapter 164 of the General Laws is hereby amended with the addition of a
113	113	85new Section following Section 1K:
114	114	86 Section 1L. Distributed energy services; Microgrid operations
115	115	87 For the purposes of climate resiliency and mitigation, reliability, and encouragement of
116	116	88installation of distributed electricity generation and storage capacity, no right to exclusive service
117	117	89or franchise established within Section 1B or elsewhere in this chapter shall prevent a
118	118	90municipality, or agencies of the Commonwealth or private electric customers in coordination
119	119	91with a municipality, within an electric or gas company’s service territory, from:
120	120	92 (a)establishing an energy microgrid or district energy system;
121	121	93 (b)sharing electric generation or storage resources among facilities that are
122	122	94contiguous and owned by the same utility customer, irrespective of the number of electric meters
123	123	95installed at such facilities; or
124	124	96 (c)using public rights of way to conduct electrical conduit or other energy resources
125	125	97point to point where the municipality deems there is benefit from sharing energy resources.