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2 | 2 | | SENATE DOCKET, NO. 786 FILED ON: 1/18/2023 |
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3 | 3 | | SENATE . . . . . . . . . . . . . . No. 2100 |
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4 | 4 | | The Commonwealth of Massachusetts |
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5 | 5 | | _________________ |
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6 | 6 | | PRESENTED BY: |
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7 | 7 | | Cynthia Stone Creem |
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8 | 8 | | _________________ |
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9 | 9 | | To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General |
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10 | 10 | | Court assembled: |
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11 | 11 | | The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill: |
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12 | 12 | | An Act relative to electric utility climate resilience and microgrids. |
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13 | 13 | | _______________ |
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14 | 14 | | PETITION OF: |
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15 | 15 | | NAME:DISTRICT/ADDRESS :Cynthia Stone CreemNorfolk and Middlesex 1 of 5 |
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16 | 16 | | SENATE DOCKET, NO. 786 FILED ON: 1/18/2023 |
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17 | 17 | | SENATE . . . . . . . . . . . . . . No. 2100 |
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18 | 18 | | By Ms. Creem, a petition (accompanied by bill, Senate, No. 2100) of Cynthia Stone Creem for |
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19 | 19 | | legislation relative to electric utility climate resilience and microgrids. Telecommunications, |
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20 | 20 | | Utilities and Energy. |
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21 | 21 | | The Commonwealth of Massachusetts |
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22 | 22 | | _______________ |
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23 | 23 | | In the One Hundred and Ninety-Third General Court |
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24 | 24 | | (2023-2024) |
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25 | 25 | | _______________ |
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26 | 26 | | An Act relative to electric utility climate resilience and microgrids. |
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27 | 27 | | Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority |
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28 | 28 | | of the same, as follows: |
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29 | 29 | | 1 SECTION 1. Chapter 25 of the General Laws is hereby amended by inserting after |
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30 | 30 | | 2Section 23 the following section: |
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31 | 31 | | 3 Section 24. (a) The department of public utilities shall require electric distribution and |
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32 | 32 | | 4transmission companies to prepare and file a climate vulnerability and resilience plan by |
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33 | 33 | | 5December 31, 2024, and at least once every 5 years thereafter based on best available data. |
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34 | 34 | | 6Climate vulnerability and resilience plans shall both identify existing vulnerabilities in the |
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35 | 35 | | 7system that must be adapted to climate change-induced threats as well as plan proactively for |
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36 | 36 | | 8future climate conditions to ensure the system can absorb and withstand impacts. Climate |
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37 | 37 | | 9vulnerability and resilience plans shall prioritize, to the maximum extent practicable, adaptation |
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38 | 38 | | 10measures that: (i) promote the preservation, protection, restoration, and enhancement of the |
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39 | 39 | | 11commonwealth’s natural infrastructure through nature-based solutions, as defined in section 1 of |
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40 | 40 | | 12chapter 21N; and (ii) account for the existing natural, built and economic characteristics of the 2 of 5 |
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41 | 41 | | 13commonwealth’s most vulnerable areas and human populations. Adaptation measures that |
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42 | 42 | | 14include the use of hard-engineered, hardscape, or gray infrastructure features shall be supported |
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43 | 43 | | 15by evidence that the measures will not cause or exacerbate negative environmental impacts and |
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44 | 44 | | 16that alternative green or green and gray hybrid solutions are not feasible. |
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45 | 45 | | 17 (b) Climate vulnerability and resilience plans shall include, at a minimum: (i) an |
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46 | 46 | | 18evaluation of the climate science and projected extreme weather and other climate-related risks |
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47 | 47 | | 19for the service territory including changes in temperature extremes, humidity, precipitation, sea |
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48 | 48 | | 20level rise, and extreme storms; (ii) an evaluation and risk assessment of potential impacts of |
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49 | 49 | | 21climate change on existing operation, planning, and physical assets, including any design and |
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50 | 50 | | 22construction standards or maintenance and operations practices that require changes to address |
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51 | 51 | | 23current and future climate conditions as it relates to reliability and resilience of the grid; (iii) an |
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52 | 52 | | 24evaluation of the vulnerability of existing infrastructure based on location and whether and when |
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53 | 53 | | 25certain facilities may require retrofitting or relocation; (iv) identification and prioritization of |
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54 | 54 | | 26adaptation options to increase asset and system-wide resilience over time; (v) an evaluation of |
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55 | 55 | | 27costs and benefits against a range of possible future scenarios and adaptation options; and (vi) an |
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56 | 56 | | 28implementation timeline, including benchmarks over time, for making changes in line with the |
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57 | 57 | | 29findings of the study such as modifying design and construction standards, modifying operations |
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58 | 58 | | 30and planning processes, and upgrades to existing infrastructure to ensure reliability and resilience |
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59 | 59 | | 31of the grid. |
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60 | 60 | | 32 (c) Climate vulnerability and resilience plans shall be prepared in collaboration with |
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61 | 61 | | 33communities most impacted by the effects of climate change within the company’s service area, |
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62 | 62 | | 34including environmental justice populations, as defined in section 30 of chapter 62, and shall |
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63 | 63 | | 35include a community engagement plan that includes, at a minimum: (i) identification and 3 of 5 |
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64 | 64 | | 36description of any environmental justice populations in the service area, and any community |
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65 | 65 | | 37based environmental justice organizations in the service area; (ii) outreach goals and targets, |
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66 | 66 | | 38including at least two public meetings planned in collaboration with representatives from |
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67 | 67 | | 39identified environmental justice populations and community based organizations; (iii) |
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68 | 68 | | 40assessment of past engagement goals shortfalls or deficiencies; and (iv) updates and remedies to |
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69 | 69 | | 41ensure shortfalls or deficiencies are not repeated. |
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70 | 70 | | 42 (d) The department of public utilities shall require, in any ratemaking proceeding |
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71 | 71 | | 43pursuant to sections 76, 93, and 94 of chapter 164, that electric companies identify in priority |
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72 | 72 | | 44order the climate risks to its facilities that will arise over the projected useful life of such |
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73 | 73 | | 45facilities or thirty years, whichever is greater, in accordance with climate vulnerability and |
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74 | 74 | | 46resilience plans as required by subsection (a). The companies shall present evidence |
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75 | 75 | | 47documenting their evaluation of climate risks and measures addressing such climate risks based |
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76 | 76 | | 48on the best available climate science, data and other evidence in the record before the agency and |
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77 | 77 | | 49shall identify how their operating and capital budgets address such climate risks. The companies |
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78 | 78 | | 50shall also: (i) consider and present evidence addressing likely climate change risks scenarios for |
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79 | 79 | | 51its utility infrastructure in relation to the infrastructure’s criticality and risk tolerance; and (ii) |
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80 | 80 | | 52disclose in all design engineering, architectural, or other drawings and analyses the climate |
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81 | 81 | | 53assumptions used in evaluating and addressing climate risks. |
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82 | 82 | | 54 (e) In adjudicating ratemaking proceedings pursuant to sections 76, 93, and 94 of chapter |
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83 | 83 | | 55164, the department of public utilities shall determine whether the applicant’s costs proposed or |
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84 | 84 | | 56incurred for capital investment projects include consideration and minimization of climate risks |
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85 | 85 | | 57for the useful life of the proposed investment or 30 years, whichever is greater. In considering |
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86 | 86 | | 58climate risks, the department of public utilities shall consult the most recent climate vulnerability 4 of 5 |
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87 | 87 | | 59and resilience plan on file for the applicant and projected climate change risk based on best |
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88 | 88 | | 60available data. The department of public utilities may take into consideration whether the |
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89 | 89 | | 61applicant has made progress in implementing its climate vulnerability and resilience plan and |
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90 | 90 | | 62whether the applicant’s costs proposed or incurred for capital investment projects are consistent |
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91 | 91 | | 63with the plan. The department of public utilities shall conclude in writing that the applicant’s |
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92 | 92 | | 64costs are appropriate based on the risk tolerance of the project or facility. Any electric company |
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93 | 93 | | 65failing to file its climate vulnerability and resilience plan may be fined $500 for each day during |
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94 | 94 | | 66which such failure continues. The fines levied by the department shall be returned to ratepayers |
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95 | 95 | | 67through distribution rates. |
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96 | 96 | | 68 (f) The department of public utilities shall promulgate such rules and regulations as are |
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97 | 97 | | 69necessary to promptly and effectively enforce the provisions of this section. |
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98 | 98 | | 70 SECTION 2. Subsection (a) of section 85B of chapter 164 of the General Laws is hereby |
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99 | 99 | | 71amended by striking out paragraphs (7) and (8) and inserting in place thereof the following: |
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100 | 100 | | 72 (7) identification of additional supplies and equipment needed during an emergency and |
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101 | 101 | | 73the means of obtaining additional supplies and equipment; |
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102 | 102 | | 74 (8) designation of a call center in the commonwealth for service assistance for the |
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103 | 103 | | 75duration of an emergency or until full service is restored, whichever occurs first. The call center |
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104 | 104 | | 76shall be staffed continuously for the duration of the emergency and to ensure sufficient staffing |
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105 | 105 | | 77levels to handle all customer calls; and |
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106 | 106 | | 78 (9) a description of how the company is implementing its climate vulnerability and |
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107 | 107 | | 79resilience plan in its response to emergency events and in its efforts to minimize the effects of 5 of 5 |
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108 | 108 | | 80extreme weather on the company’s infrastructure and operations, including disruptions to |
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109 | 109 | | 81service. |
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110 | 110 | | 82 SECTION 3. Chapter 164 of the General Laws is hereby amended by inserting after |
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111 | 111 | | 83section 1K the following section: |
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112 | 112 | | 84 Section 1L. For the purposes of climate resiliency and mitigation, reliability, and |
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113 | 113 | | 85encouragement of installation of distributed electricity generation and storage capacity, no right |
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114 | 114 | | 86to exclusive service or franchise established within Section 1B or elsewhere in this chapter shall |
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115 | 115 | | 87prevent a municipality, or agencies of the commonwealth or private electric customers in |
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116 | 116 | | 88coordination with a municipality, within an electric or gas company’s service territory, from: (a) |
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117 | 117 | | 89establishing an energy microgrid or district energy system; (b) sharing electric generation or |
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118 | 118 | | 90storage resources among facilities that are contiguous and owned by the same utility customer, |
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119 | 119 | | 91irrespective of the number of electric meters installed at such facilities; or (c) using public rights |
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120 | 120 | | 92of way to conduct electrical conduit or other energy resources point to point where the |
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121 | 121 | | 93municipality deems there is benefit from sharing energy resources. |
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