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HOUSE DOCKET, NO. 1696 FILED ON: 1/18/2023
HOUSE . . . . . . . . . . . . . . . No. 755
The Commonwealth of Massachusetts
_________________
PRESENTED BY:
Natalie M. Blais
_________________
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 reforming energy system planning for equity and climate transformation.
_______________
PETITION OF:
NAME:DISTRICT/ADDRESS :DATE ADDED:Natalie M. Blais1st Franklin1/18/2023Mindy Domb3rd Hampshire1/20/2023Jack Patrick Lewis7th Middlesex2/6/2023Margaret R. Scarsdale1st Middlesex2/9/2023Lindsay N. Sabadosa1st Hampshire2/17/2023 1 of 10
HOUSE DOCKET, NO. 1696 FILED ON: 1/18/2023
HOUSE . . . . . . . . . . . . . . . No. 755
By Representative Blais of Deerfield, a petition (accompanied by bill, House, No. 755) of
Natalie M. Blais and others for legislation to establish a department of energy transformation
planning within the Executive Office of Energy and Environmental Affairs. Environment and
Natural Resources.
The Commonwealth of Massachusetts
_______________
In the One Hundred and Ninety-Third General Court
(2023-2024)
_______________
An Act reforming energy system planning for equity and climate transformation.
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. The General Laws are hereby amended by inserting after chapter 25C the
2following chapter:-
3 Chapter 25D. DEPARTMENT OF ENERGY TRANSFORMATION PLANNING
4 Section 1. As used in this chapter the following words shall, unless the context clearly
5requires otherwise, have the following meanings:-
6 “Energy distribution system”, the components of the electric grid, natural gas distribution
7network, geomicrogrid, or other utility-scale investment that collectively distribute electricity
8and/or thermal energy to consumers in the Commonwealth.
9 “Environmental burdens”, as defined in section 62 of chapter 30, including any
10destruction, damage or impairment of natural resources that is not insignificant, resulting from
11intentional or reasonably foreseeable causes, including but not limited to, climate change, air 2 of 10
12pollution, water pollution, improper sewage disposal, dumping of solid wastes and other noxious
13substances, excessive noise, activities that limit access to natural resources and constructed
14outdoor recreational facilities and venues, inadequate remediation of pollution, reduction of
15ground water levels, impairment of water quality, increased flooding or storm water flows, and
16damage to inland waterways and waterbodies, wetlands, marine shores and waters, forests, open
17spaces, and playgrounds from private industrial, commercial or government operations or other
18activity that contaminates or alters the quality of the environment and poses a risk to public
19health.
20 “Environmental justice population”, as defined in section 62 of chapter 30 of the General
21Laws, including a neighborhood that meets 1 or more of the following criteria: (i) the annual
22median household income is not more than 65 per cent of the statewide annual median
23household income; (ii) minorities comprise 40 per cent or more of the population; (iii) 25 per
24cent or more of households lack English language proficiency; or (iv) minorities comprise 25 per
25cent or more of the population and the annual median household income of the municipality in
26which the neighborhood is located does not exceed 150 per cent of the statewide annual median
27household income; provided, however, that for a neighborhood that does not meet said criteria,
28but a geographic portion of that neighborhood meets at least 1 criterion, the secretary may
29designate that geographic portion as an environmental justice population upon the petition of at
30least 10 residents of the geographic portion of that neighborhood meeting any such criteria;
31provided further, that the secretary may determine that a neighborhood, including any geographic
32portion thereof, shall not be designated an environmental justice population upon finding that:
33(A) the annual median household income of that neighborhood is greater than 125 per cent of the
34statewide median household income; (B) a majority of persons age 25 and older in that 3 of 10
35neighborhood have a college education; (C) the neighborhood does not bear an unfair burden of
36environmental pollution; and (D) the neighborhood has more than limited access to natural
37resources, including open spaces and water resources, playgrounds and other constructed outdoor
38recreational facilities and venues.
39 “Environmental justice principles”, as defined in section 62 of chapter 30 of the General
40Laws, including principles that support protection from environmental pollution and the ability
41to live in and enjoy a clean and healthy environment, regardless of race, color, income, class,
42handicap, gender identity, sexual orientation, national origin, ethnicity or ancestry, religious
43belief or English language proficiency, which includes: (i) the meaningful involvement of all
44people with respect to the development, implementation and enforcement of environmental laws,
45regulations and policies, including climate change policies; and (ii) the equitable distribution of
46energy and environmental benefits and environmental burdens.
47 “Long-term distribution system planning”, comprehensive 10-year plan for the energy
48distribution system to meet customers’ energy, capacity, and thermal needs.
49 “Distributed energy resources”, distributed renewable generation facilities, energy
50efficiency, energy storage, electric vehicles, active demand management, and load management
51technologies.
52 Section 2. There shall be within the executive office of energy and environmental affairs
53a department called the department of energy transformation planning, under the supervision of a
54commissioner of energy transformation planning, hereinafter the commissioner. The duties given
55to the commissioner in this chapter and in any other general or special law shall be exercised and
56discharged subject to the direction, control and supervision of the secretary of energy and 4 of 10
57environmental affairs. The commissioner shall be appointed by the secretary of energy and
58environmental affairs, with the approval of the governor, and may, with like approval, be
59removed. The commissioner shall be a person of skill and experience in the field of energy
60regulation or policy and shall serve a term coterminous with that of the governor. The position of
61commissioner shall be classified in accordance with section 45 of chapter 30 and the salary shall
62be determined in accordance with section 46C of said chapter 30. The commissioner shall devote
63full time during business hours to the duties of the office. In the case of an absence or vacancy in
64the office of the commissioner, or in the case of disability as determined by the secretary, the
65secretary may designate an acting commissioner to serve as commissioner until the vacancy is
66filled or the absence or disability ceases. The acting commissioner shall have all the powers and
67duties of the commissioner and shall have similar qualifications as the commissioner.
68 Section 3. The commissioner shall be the executive and administrative head of the
69department of energy transformation planning and shall be responsible for administering and
70enforcing the provisions of law relative to the division and to each administrative unit thereof.
71 The department shall advance the commonwealth’s public interest by conducting
72statewide long-term distribution system planning. The department’s long-term distribution
73planning shall meet the goals and objectives outlined in section 5.
74 The commissioner may, from time to time, subject to appropriation, establish within the
75department such administrative units as may be necessary for the efficient and economical
76administration of the department and, when necessary for such purpose, may abolish any such
77administrative unit, or may merge any 2 or more of them, as the commissioner deems advisable.
78The commissioner shall prepare and keep current a statement of the organization of the 5 of 10
79department, of the assignment of its functions to its various administrative units, offices and
80employees, and of the places at which and the methods whereby the public may receive
81information or make requests. Such statement shall be known as the department's description of
82organization. A current copy of the description of organization shall be kept on file in the office
83of the secretary of state and in the office of the secretary of administration.
84 Section 4. Subject to appropriation, the commissioner of energy transformation planning
85with the approval of the governor may appoint such persons as they shall deem necessary to
86perform the functions of the department and his office, provided that the provisions of chapter 31
87and section 9Aof chapter 30 shall not apply to any person holding any such appointment. Every
88person so appointed to any position in his office shall have experience and skill in the field of
89such position. So far as practicable in the judgment of the commissioner, appointments to such
90positions in their office shall be made by promoting or transferring employees of the
91commonwealth serving in positions which are classified under chapter 31, and such
92appointments shall at all times reflect the professional needs of the department or division
93affected. If an employee serving in a position which is classified under chapter 31 or in which an
94employee has tenure by reason of section 9A of chapter 30 shall be appointed to a position
95within this office which is not subject to the provisions of chapter 31, the employee shall upon
96termination of his service in such position be restored to the position which they held
97immediately prior to such appointment; provided, however, that their service in such position
98shall be determined by the civil service commission in accordance with the standards applied by
99said commission in administering chapter 31. Such restoration shall be made without impairment
100of their civil service status or tenure under section 9A of chapter 30 and without loss of seniority,
101retirement or other rights to which uninterrupted service in such prior position would have 6 of 10
102entitled him. During the period of such appointment, each person so appointed from a position in
103the classified civil service shall be eligible to take any competitive promotional examination for
104which the person would otherwise have been eligible. The general court shall appropriate
105funding necessary to fully implement the long-term distribution system planning provisions of
106this chapter.
107 Section 5. (a) The department shall, in consultation with the Department of Energy
108Resources and the Department of Public Utilities, develop and implement long-term distribution
109system plans to assist in the transition to a clean, affordable, and reliable electric grid and
110restructured natural gas distribution system in a cost-effective manner. No later than December
11131, 2023, and every 3 years thereafter, the shall issue a 10-year plan for the energy distribution
112system to enable the cost-effective achievement of statewide greenhouse gas emissions limits
113and other climate policies pursuant to chapter 21N. The plan shall examine the energy
114distribution system’s relationship to the regional grid, to identify cost-effective solutions to
115improve reliability and resiliency, and to achieve greenhouse gas reductions.
116 (b) The department shall be responsible for the following functions and duties:
117 (i) enhanced load forecasting that reflects end-use electrification and distributed energy
118resources, in coordination with electric distribution companies;
119 (ii) coordinating with utilities to ensure data adequacy, accuracy, consistency, and
120transparency;
121 (iii) coordinating with relevant executive offices charged with energy policy to
122incorporate other public policy programs and objectives, including equitable access to the
123benefits of distributed energy resources; and 7 of 10
124 (iv) development of related metrics for monitoring incremental progress toward planning
125goals pursuant to section 5, including for the purposes of evaluating electric or natural gas
126distribution company service pursuant to section 5.
127 (c) The department shall conduct its long-term distribution system planning in a fully
128transparent and accessible way and shall allow for rigorous stakeholder input. The department
129shall run technical conferences and stakeholder workshops before the plans are developed to
130define requirements and inform inputs, assumptions, methodologies, and tools that will assist the
131department in determining what actions it shall direct an electric transmission and distribution
132company to take. An electric transmission and distribution company shall ensure to the greatest
133extent practicable that any information requested by the department is provided in a form
134accessible to interested parties and all relevant data and distribution planning modeling tools are
135available to stakeholders subject to commercial non-disclosure, confidential energy
136infrastructure, codes of conduct and other commercial, department of public utilities, and FERC
137requirements.
138 Plans shall include, but not be limited to: (i) forecasts of projected load that accounts for
139factors including projected end-use electrification, state climate mandates, energy efficiency and
140distributed energy resources;
141 (ii) baseline energy supply data and assessment, including but not limited to energy
142generation additions including renewable energy, and energy storage installations;
143 (iii) hosting capacity analysis including locational benefits of distributed energy resources
144and areas of existing or potential system congestion; 8 of 10
145 (iv) analysis of available and emerging technologies necessary to enable load
146management and flexibility;
147 (v) an assessment of the environmental burdens and impact upon environmental justice
148populations of integrated distribution plans;
149 (vi) an assessment of consumer cost impacts and protections for low-income
150communities;
151 (vii) a 3-year action plan to optimize near-term grid investments and operations; and
152 (viii) pathways that address the strategic wind-down of the natural gas system, including
153whether components of the gas distribution system should be safely decommissioned, replaced,
154repaired, or repurposed to meet customer needs, including the possibility of using networked
155geothermal systems that use non-emitting renewable thermal infrastructure.
156 Section 6. (a) The department shall conduct the long-term distribution system planning
157for the technologies and services that are required to meet statewide greenhouse gas emissions
158limits pursuant to chapter 21N. The department shall conduct long-term system planning so that
159the commonwealth can mitigate and equitably adapt to climate change while minimizing
160stranded costs.
161 (b) Each plan shall prioritize alleviating and mitigating energy burdens experienced by
162environmental justice populations and shall equitably allocate costs.
163 (c) The department shall integrate and utilize distributed and local energy resources to
164meet customers’ energy, capacity, and thermal needs and shall maximize customer benefits while
165attempting to minimize costs. The department shall consider the costs of climate change impacts, 9 of 10
166including societal impacts and impacts to the distribution system itself, when evaluating alternate
167pathways for meeting distribution system needs.
168 (d) The distribution system plans shall ensure energy system safety, reliability, and
169affordability.
170 Section 7. The department may at any time, if it determines it is necessary, revise an
171energy distribution system plan to address any deficiencies. The department of public utilities
172may order an electric or natural gas distribution company to take any reasonable actions to align
173its business, programs, operations, and investments with the plan.
174 Section 8. (a) The department shall conduct open and competitive procurement processes
175to solicit proposals to fill the system needs identified in the energy distribution system plan. The
176department shall oversee open markets to solicit and to select projects that meet the grid,
177consumer, environmental justice principles, and climate objectives outlined in section 5.
178 (b) The department shall determine which distribution assets may provide consumer and
179grid benefits by remaining under monopoly ownership and control and shall assign those needs
180directly to the electric distribution company who shall incorporate them in their next rate case or
181grid modernization proceeding before the department of public utilities.
182 SECTION 2. The secretary of energy and environmental affairs, in consultation with the
183department of public utilities, shall promulgate regulations for the implementation,
184administration and enforcement of this chapter.
185 SECTION 3. No later than 90 days after the effective date of this act, the secretary of
186energy and environmental affairs shall submit a report to the clerks of the senate and the house of 10 of 10
187representatives, joint committee on telecommunications, utilities, and energy, the house and
188senate committees on ways and means, that includes an assessment of staffing and resources that
189may be necessary to implement the long-term distribution planning provisions of chapter 25D of
190the General Laws, as inserted by this act.