Massachusetts 2023-2024 Regular Session

Massachusetts House Bill H3159 Latest Draft

Bill / Introduced Version Filed 02/16/2023

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