1 of 1 HOUSE DOCKET, NO. 4154 FILED ON: 1/17/2025 HOUSE . . . . . . . . . . . . . . . No. 3520 The Commonwealth of Massachusetts _________________ PRESENTED BY: Jack Patrick Lewis _________________ 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 facilitating distributed energy resources in the commonwealth. _______________ PETITION OF: NAME:DISTRICT/ADDRESS :DATE ADDED:Jack Patrick Lewis7th Middlesex1/17/2025Carmine Lawrence Gentile13th Middlesex2/5/2025Lindsay N. Sabadosa1st Hampshire2/5/2025Danillo A. Sena37th Middlesex2/5/2025James C. Arena-DeRosa8th Middlesex3/12/2025Marjorie C. Decker25th Middlesex3/12/2025William C. Galvin6th Norfolk3/12/2025 1 of 11 HOUSE DOCKET, NO. 4154 FILED ON: 1/17/2025 HOUSE . . . . . . . . . . . . . . . No. 3520 By Representative Lewis of Framingham, a petition (accompanied by bill, House, No. 3520) of Jack Patrick Lewis and others relative to distributed energy resources in the commonwealth. Telecommunications, Utilities and Energy. The Commonwealth of Massachusetts _______________ In the One Hundred and Ninety-Fourth General Court (2025-2026) _______________ An Act facilitating distributed energy resources in the commonwealth. 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. Section 1 of chapter 40 of the General Laws is hereby amended by inserting 2after section 1B the following section:- 3 Section 1C. “Smart Residential Solar Permitting Platform”, software or a combination of 4software that automates plan review, automatically produces code-compliant approvals, accepts 5online payments for permitting fees if permitting fees are levied, and instantly issues permits and 6permit revisions for residential photovoltaic systems upon online submission of permitting fee 7payments, if permitting fees are levied, and a code-compliant application. The Smart Residential 8Solar Permitting Platform shall be available for solar photovoltaic systems up to the maximum 9capacity allowed with a 200-amp main service disconnect that provides electrical power to a one- 10or two-family dwelling, and that may include an energy storage system, a main panel upgrade, or 11a main breaker derate. 2 of 11 12 SECTION 2. Said chapter 40 is hereby amended by inserting after section 69 the 13following sections:- 14 Section 70. 15 (a) Not later than July 1, 2027, the Permit Granting Authority shall allow for electronic 16submission of the permit application and associated documentation for the installation of a 17residential solar photovoltaic system, that may include an energy storage system, a main panel 18upgrade, and/or a main breaker derate. All required permitting documentation and forms shall be 19published on the Permit Granting Authority’s publicly accessible internet website. The Permit 20Granting Authority shall authorize an electronic signature for the permit application and other 21documentation in lieu of a wet signature by an applicant. Electronic submission, including online 22payment of associated permitting fees, shall be offered through either an online portal available 23on the website of the Permit Granting Authority or via electronic mail to a dedicated account that 24shall be capable of receiving permit applications. 25 (b) Upon submission of required permit application documents, the application shall be 26deemed complete if, after five business days have elapsed, the Permit Granting Authority has not 27issued a written correction notice detailing all deficiencies in the application and identifying 28additional information explicitly necessary for the Permit Granting Authority to complete a 29review. 30 (c) An application shall be deemed approved and the applicant may begin installation if 31ten business days after the application was deemed complete has elapsed and the following are 32true: 33 (1) the Permit Granting Authority has not administratively approved the application. 3 of 11 34 (2) the Permit Granting Authority has not denied the permit. 35 (e) A Permit Granting Authority may use a Smart Residential Solar Permitting Platform 36to satisfy the requirements of this section. An applicant may begin installation after the issuance 37of a permit from the platform. 38 Section 71. 39 (a) Not later than July 1, 2027, the Permit Granting Authority for a municipality with a 40population greater than 5,000 people, that is not exempt pursuant to paragraph (f), shall 41implement a Smart Residential Solar Permitting Platform. The Permit Granting Authority shall 42anticipate that the Smart Residential Solar Permitting Platform will have the capability to process 43at least 75 percent of residential solar applications on existing construction submitted to 44municipalities in the Commonwealth of Massachusetts. 45 (b) Municipalities that adopt a Smart Residential Solar Permitting Platform pursuant to 46subsection (a) shall, for a solar photovoltaic system approved by such a platform, not require 47manual review at any time during the permitting and inspection processes, including but not 48limited to, before issuing a permit or before conducting or finalizing the inspection. 49 (c) Subsection (b) does not preclude an inspector from examining construction 50documents. 51 (d) (1) Municipalities shall submit compliance reports to the Massachusetts Department 52of Energy Resources when the municipality is in compliance with subsection (a). The reports 53shall be submitted within 60 days of the municipality becoming compliant with subsection (a). 54The Massachusetts Department of Energy Resources may set guidelines for these reports. 4 of 11 55 (2) If the municipality has a resolution or ordinance in effect pursuant to subsection (f), 56the report shall include the resolution or ordinance. 57 (3) If the municipality does not have a resolution or ordinance in effect pursuant to 58subsection (f), the report shall include: 59 (i) Date of compliance; 60 (ii) Software used for compliance; 61 (iii) Confirmation that the municipality is: 62 (A) using a Smart Residential Solar Permitting Platform to issue permits instantly and 63issue permit revisions instantly for residential solar photovoltaic systems; and 64 (B) not requiring manual review at any time during the permitting and inspection 65processes, including but not limited to, before issuing a permit or before conducting or finalizing 66the inspection for solar photovoltaic systems approved by the Smart Residential Solar Permitting 67Platform. 68 (iv) Explanation for why the municipality anticipates the Smart Residential Solar 69Permitting Platform has the capability to process at least 75 percent of the residential solar 70photovoltaic permit applications on existing construction submitted to municipalities in the 71commonwealth. 72 (A)Municipalities may provide explanations that are based on, but are not necessarily 73limited to, statements from the provider of the Smart Residential Solar Permitting Platform. 5 of 11 74 (4) The Massachusetts Department of Energy Resources may determine if the 75municipality’s report of compliance is accurate, may make the findings publicly available, and 76may take action at the Massachusetts Department of Energy Resources’ discretion to encourage 77and enforce compliance with subsection (a). 78 (e) (1) Municipalities shall submit annual reports to the Massachusetts Department of 79Energy Resources on the usage of the Smart Residential Solar Permitting Platform. 80Municipalities shall annually report to the Massachusetts Department of Energy Resources by 81April 1st each year, covering the previous calendar year, starting on April 1, 2028. This annual 82reporting requirement shall become inoperative on April 2, 2037. The Massachusetts Department 83of Energy Resources may set guidelines for these reports. 84 (2) If the municipality has a resolution or ordinance in effect pursuant to subparagraph 85(f), the report shall include the resolution or ordinance. 86 (3) If the municipality does not have a resolution or ordinance in effect pursuant to 87subparagraph (f), the report shall include: 88 (i) Number of permits issued through the Smart Residential Solar Permitting Platform 89and relevant characteristics of those systems; 90 (ii) Number of residential photovoltaic solar permits issued by means other than the 91Smart Residential Solar Permitting Platform and relevant characteristics of those systems; 92 (iii) Software used for compliance; 93 (iv) Confirmation that the municipality is: 6 of 11 94 (A) using a Smart Residential Solar Permitting Platform to issue permits instantly and 95issue permit revisions instantly for residential solar photovoltaic systems; and 96 (B) not requiring manual review at any time during the permitting and inspection 97processes, including but not limited to, before issuing a permit or before conducting or finalizing 98the inspection for permits and permit revisions issued by the Smart Residential Solar Permitting 99Platform. 100 (v) Plan to increase usage of the Smart Residential Solar Permitting Platform if fewer 101than 75 percent of residential solar photovoltaic permits are issued through the Smart Residential 102Solar Permitting Platform on existing construction. 103 (4) The Massachusetts Department of Energy Resources may determine if the 104municipality’s report of compliance is accurate, may make the findings publicly available, and 105may take action at the Massachusetts Department of Energy Resources’ discretion to encourage 106and enforce compliance with subsection (a). 107 (f) (1) The Permit Granting Authority for a municipality with a population greater than 1085,000 people is exempt from paragraph (a) if the aforementioned municipality makes a written 109finding and adopts a resolution or ordinance. The resolution or ordinance shall stay in effect for 110no more than one year. Within the last three months of the effective end date for the resolution or 111ordinance, the municipality may adopt an additional resolution or ordinance to extend the 112exemption from paragraph (a) for an additional year. The municipality may continue to adopt 113resolutions or ordinances extending the exemption for an additional year so long as each 114resolution or ordinance is adopted within the last three months of the effective end date of the 115resolution or ordinance. 7 of 11 116 (2) Each resolution or ordinance adopted pursuant to this subdivision shall include both 117of the following: 118 (i) A determination that the Permit Granting Authority is unable to adopt a Smart 119Residential Solar Permitting Platform due to unique technical, climactic, geological, 120seismological, or topographical conditions, including a description of those unique conditions. 121 (ii) A plan for the Permit Granting Authority to approve all residential photovoltaic 122permit applications or issue a written correction notice within five business days. The plan shall 123include the time it has taken for the Permit Granting Authority to approve residential 124photovoltaic permit applications or issue written correction notices in the past year, and, if the 125Permit Granting Authority has previously taken more than five business days to approve a 126residential solar photovolatic permit application or issue a written correction notice in the past 127year, an explanation of how the plan would address the delays. 128 (g) A municipality shall self-certify its compliance with this section when applying for 129funding from the Massachusetts Department of Energy Resources after the applicable date in 130subdivision (a). Municipalities that fail to comply with this section may be ineligible for funding 131opportunities offered by the Massachusetts Department of Energy Resources. The Massachusetts 132Department of Energy Resources may, at its sole discretion, condition or deny a municipality or 133county direct funding from any of its programs if the municipality is not in compliance with this 134section. 135 Section 71. 136 (a) On or before July 1, 2027, municipalities with a population of more than 5,000 137residents shall provide an option for remote inspections via recorded video or photo that can be 8 of 11 138submitted electronically for projects permitted by the Smart Residential Solar Permitting 139Platform. These inspections shall be offered at no greater cost, and shall be available with no 140greater delay, than in-person inspections. 141 (b) Municipalities shall require no more than one inspection for projects permitted by the 142Smart Residential Solar Permitting Platform unless the first inspection was failed. 143 (c) An electric distribution company shall not require inspections additional to the 144inspection performed by the Permit Granting Authority by the electric distribution company or 145any other entity as a precondition to granting the customer permission to operate. 146 SECTION 3. Section 6 of chapter 62 of the General Laws, as appearing in the 2022 147Official Edition, is hereby amended by by striking out subsection (d) and inserting in place 148thereof the following subsection:- 149 (d) any owner or tenant of residential property located in the commonwealth who is not a 150dependent of another taxpayer and who occupies said property as his principal residence, shall be 151allowed a credit equal to 15 per cent of the net expenditure for a renewable energy source 152property or seven thousand five hundred dollars, whichever is lesser; provided, however, that in 153the case of a newly constructed residence the credit shall be available to the original 154owner/occupant. Any taxpayer entitled to this credit for any taxable year, the amount of which 155exceeds his total tax due for the then current taxable year, may carry over the excess amount, as 156reduced from year to year, and apply it to his tax liability for any one or more of the next 157succeeding three taxable years; provided, however, that in no taxable year may the amount of the 158credit allowed exceed the total tax due of the taxpayer for the relevant taxable year. For taxable 159years beginning on or after January first, two thousand twenty-seven, if the amount of the credit 9 of 11 160allowable under this subsection shall exceed the taxpayer's tax liability for such year, and the 161taxpayer meets the definition of low to moderate income, as defined in section 38d of chapter 162121b in the general laws, or resides in an environmental justice population, as defined in section 16362 of chapter 30 of the general laws, the excess shall be treated as an overpayment of tax to be 164credited or refunded, provided, however, that no interest shall be paid thereon. Joint owners of a 165residential property shall share any credit available to the property under this subsection in the 166same proportion as their ownership interest. 167 SECTION 4. Section 6 of chapter 25A of the General Laws, as so appearing, is hereby 168amended inserting after subsection (14) the following subsection:- 169 (15) develop and promulgate, in consultation with the state board of building regulation 170and standards, the department of transportation, and local zoning and planning boards, a 171requirement that parking lots 16,000 square feet or larger which are constructed or significantly 172renovated on or after January 1, 2028 must install a solar canopy. The department may establish 173exemption criteria from the requirements of this section. Such criteria may include insufficient 174solar energy generating potential and the installation of a solar energy system elsewhere on the 175property. The department may allow exemptions from the requirements of this section for 176affordable housing developments, after consulting with affordable housing developers and 177operators, community development corporations, organizations that represent affordable housing 178residents, and other stakeholders. 179 SECTION 5. Chapter 164 of the General Laws is hereby amended by inserting after 180section 1K the following section:- 181 Section 1L. 10 of 11 182 (1) For the purposes of climate resiliency and mitigation, reliability, and encouragement 183of installation of distributed electricity generation and storage capacity, no right to exclusive 184service or franchise established within Section 1B or elsewhere in this chapter shall prevent a 185municipality, or agencies of the commonwealth or private electric customers in coordination 186with a municipality, within an electric or gas company’s service territory, from: 187 (i) establishing an energy microgrid or district energy system; 188 (ii) sharing electric generation or storage resources among facilities that are contiguous 189and owned by the same utility customer, irrespective of the number of electric meters installed at 190such facilities; or 191 (iii) using public rights of way to conduct electrical conduit or other energy resources 192point to point where the municipality deems there is benefit from sharing energy resources. 193 SECTION 6. Chapter 164 of the General Laws is hereby amended by inserting after 194section 142, as so appearing, the following new section:- 195 Section 142A. 196 (1) The Department shall direct each electric distribution company to update their 197interconnection tariff to require a process to determine whether a project application being 198considered for interconnection within a Group Study has sufficient available hosting capacity 199when considered as an individual project, and to grant Interconnection Service Agreements to 200those projects with sufficient hosting capacity. 201 (2) An inverter-based generating facility with a generating capacity of 25 kW or less shall 202be allowed to apply for interconnection under the simplified interconnection process established 11 of 11 203by the Department. The Department shall direct the distribution companies to file updated tariffs 204no later than 180 days after this act is enacted. The distribution companies shall impose no study 205or transformer fees for behind-the-meter simplified interconnection applications of less than 25 206kilowatts. 207 (3) The Department shall develop, in consultation with the electric distribution 208companies, a common application for interconnection to the distribution grid, regardless of 209compensation type or program. 210 SECTION 7. Section 6 of chapter 64H of the General Laws, as appearing in the 2022 211Official Edition, is hereby amended by striking out subsection (dd) and inserting in place thereof 212the following subsection:- 213 (dd) Sales of equipment directly relating to any solar, energy storage, windpowered; or 214heat pump system, which is being utilized as a primary or auxiliary power system for the purpose 215of heating or otherwise supplying energy needs in the commonwealth. 216 SECTION 8. Section 139 of chapter 164 of the General Laws, as so appearing, is hereby 217amended by striking out, in lines 137 and 138, the words, “that are not net metering facilities of a 218municipality or other governmental entity.” 219 SECTION 9. Said section 139 of said chapter 164, as so appearing, is hereby further 220amended by striking out, in lines 145 and 146, the words, “in the second sentence by striking the 221words “that are not net metering facilities of a municipality or other governmental entity.”