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Massachusetts Senate Bill S2282

Massachusetts 2025-2026 Regular Session

Massachusetts Senate Bill S2282 Compare Versions

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22 SENATE DOCKET, NO. 2468 FILED ON: 1/17/2025
33 SENATE . . . . . . . . . . . . . . No. 2282
44 The Commonwealth of Massachusetts
55 _________________
66 PRESENTED BY:
77 Dylan A. Fernandes
88 _________________
99 To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
1010 Court assembled:
1111 The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:
1212 An Act advancing the clean energy transition.
1313 _______________
1414 PETITION OF:
1515 NAME:DISTRICT/ADDRESS :Dylan A. FernandesPlymouth and BarnstableSteven Owens29th Middlesex2/24/2025 1 of 15
1616 SENATE DOCKET, NO. 2468 FILED ON: 1/17/2025
1717 SENATE . . . . . . . . . . . . . . No. 2282
1818 By Mr. Fernandes, a petition (accompanied by bill, Senate, No. 2282) of Dylan A. Fernandes and
1919 Steven Owens for legislation to create new divisions with the Division of Energy Resources to
2020 advance clean energy transition. Telecommunications, Utilities and Energy.
2121 The Commonwealth of Massachusetts
2222 _______________
2323 In the One Hundred and Ninety-Fourth General Court
2424 (2025-2026)
2525 _______________
2626 An Act advancing the clean energy transition.
2727 Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
2828 of the same, as follows:
2929 1 SECTION 1. Section 2 of chapter 25A of the General Laws, as appearing in the 2022
3030 2Official Edition, is hereby amended by striking the second paragraph and inserting in place
3131 3thereof the following paragraph:-
3232 4 There shall be within the department: (i) a division of energy efficiency, which shall
3333 5work with the department of public utilities regarding energy efficiency programs; (ii) a division
3434 6of renewable and alternative energy development, which shall oversee and coordinate activities
3535 7that seek to maximize the installation of renewable and alternative energy generating sources that
3636 8will provide benefits to ratepayers, advance the production and use of biofuels and other
3737 9alternative fuels as the division may define by regulation and administer the renewable portfolio
3838 10standard and the alternative portfolio standard; (iii) a division of green communities, which shall
3939 11serve as the principal point of contact for local governments and other governmental bodies
4040 12concerning all matters under the jurisdiction of the department of energy resources, excluding 2 of 15
4141 13matters involving the siting and permitting of small clean energy infrastructure facilities; (iv) a
4242 14division of clean energy siting and permitting, which shall establish standard conditions, criteria
4343 15and requirements for the siting and permitting of small clean energy infrastructure facilities by
4444 16local governments and provide technical support and assistance to local governments, small
4545 17clean energy infrastructure facility project proponents and other stakeholders impacted by the
4646 18siting and permitting of small clean energy infrastructure facilities at the local government level;
4747 19and (v) a division of clean energy procurement, which shall develop resource solicitation plans,
4848 20administer procurements for clean energy generation and energy services and negotiate and
4949 21manage contracts with clean energy generation and energy service facilities as required by
5050 22section 21. Each division shall be headed by a director appointed by the commissioner and who
5151 23shall be a person of skill and experience in the field of energy efficiency, renewable energy or
5252 24alternative energy, energy regulation or policy and land use and planning, respectively. The
5353 25directors shall be the executive and administrative heads of their respective divisions and shall be
5454 26responsible for administering and enforcing the law relative to their division and to each
5555 27administrative unit thereof under the supervision, direction and control of the commissioner. The
5656 28directors shall serve at the pleasure of the commissioner, shall receive such salary as may be
5757 29determined by law and shall devote full time during regular business hours to the duties of the
5858 30office. In the case of an absence or vacancy in the office of a director or, in the case of disability
5959 31as determined by the commissioner, the commissioner may designate an acting director to serve
6060 32as director until the vacancy is filled or the absence or disability ceases. The acting director shall
6161 33have all the powers and duties of the director and shall have similar qualifications as the director.
6262 34 SECTION 2. Section 6 of said chapter 25A is hereby amended by inserting after
6363 35subsection (14) the following subsection: 3 of 15
6464 36 (15) develop resource solicitation plans, conduct procurements pursuant to such plans as
6565 37approved by the department of public utilities and negotiate and execute contracts with clean
6666 38energy generation and energy services providers pursuant to section 21.
6767 39 SECTION 3. Section 21 of said chapter 25A is hereby further amended by repealing
6868 40subsections (k) through (o), inclusive.
6969 41 SECTION 4. Said chapter 25A is hereby further amended by adding the following
7070 42section:-
7171 43 Section 22. (a) As used in this section, the following words shall have the following
7272 44meanings unless the context clearly requires otherwise:
7373 45 “Clean energy generation”, electrical energy output, or that portion of the electrical
7474 46energy output, excluding any electrical energy utilized for parasitic load of a clean existing
7575 47generation unit, that qualifies under clean energy standard regulations established pursuant to
7676 48subsection (c) of section 3 of chapter 21N.
7777 49 “Clean energy solicitation”, a competitive solicitation for clean energy associated
7878 50environmental attributes or energy services completed by the department conducted pursuant to
7979 51this section.
8080 52 “Distribution company”, a distribution company as defined in section 1 of chapter 164.
8181 53 “Energy services”, operation of infrastructure that increases the deliverability or
8282 54reliability of clean energy generation or reduces the cost of clean energy generation, including,
8383 55but not limited to, transmission, energy storage and demand response technologies. 4 of 15
8484 56 “Environmental attributes”, all present and future attributes under any and all
8585 57international, federal, regional, state or other law or market, including, but not limited to, all
8686 58credits or certificates that are associated, either now or by future action, with unit specific clean
8787 59energy generation, including, but not limited to, those provided for in regulations promulgated
8888 60pursuant to subsection (c) of section 3 of chapter 21N and sections 11F and 17.
8989 61 “Long-term contract” a contract for a period of not more than 20 years.
9090 62 (b) Notwithstanding any general or special law to the contrary, in order to maximize the
9191 63commonwealth’s ability to achieve compliance with limits and sublimits established pursuant to
9292 64sections 3 and 3A of chapter 21N, the department shall investigate the necessity, benefits and
9393 65risks of solicitations for environmental attributes or energy services, competitively solicit for
9494 66environmental attributes or energy services established pursuant to said sections 3 and 3A of said
9595 67chapter 21N and may negotiate and enter into long-term contracts for such environmental
9696 68attributes or energy services.
9797 69 (c) Not less than every 3 years, the department shall publish a resource solicitation plan,
9898 70which shall include, but not be limited to: (i) a description of the clean energy generation needs
9999 71sufficient to maximize the commonwealth’s ability to achieve compliance with limits and
100100 72sublimits established pursuant to sections 3 and 3A of chapter 21N, including resource
101101 73generation type, nameplate capacity amounts and commercial operation dates for new resources;
102102 74(ii) a schedule recommendation for clean energy solicitations that the department will conduct
103103 75within the next 3 years; (iii) economic development objectives and requirements for the clean
104104 76energy solicitations; (iv) a mechanism for the distribution companies to recover the costs
105105 77associated with long-term contracts for clean energy associated environmental attributes or 5 of 15
106106 78energy services entered into by the department under this section, including any administrative
107107 79costs to support the department’s requirements under this section; and (v) a review of the
108108 80previous clean energy solicitations, if applicable. The department shall consult with the
109109 81department of public utilities and attorney general’s office in the development of this resource
110110 82plan in advance of publishing it. Any ex parte rules established by the department of public
111111 83utilities shall not apply to this consultation process.
112112 84 (d) The department shall file the resource solicitation plan and its recommendations with
113113 85the department of public utilities. The department of public utilities shall review the resource
114114 86solicitation plan and recommendations to determine whether the resource solicitation plan is a
115115 87reasonable, appropriate and cost-effective mechanism to achieve the goals of this section. The
116116 88department of public utilities shall approve, approve with modifications or reject the plan within
117117 897 months of submission. Upon approval of the resource solicitation plan, the department of
118118 90public utilities shall require the distribution companies to jointly propose tariffs consistent with
119119 91the approved resource solicitation plan to recover costs associated with all contracts pursuant to
120120 92this section not later than 3 months following the approval; provided, however, that the
121121 93distribution companies shall not receive any remuneration, benefit or fee to compensate for costs
122122 94associated with such contracts. The tariffs shall apportion costs associated with the contracts to
123123 95be recovered from ratepayers among the distribution companies.
124124 96 (e) The method for the clean energy solicitations shall be proposed by the department and
125125 97shall utilize a competitive bidding process. The department shall consult with the attorney
126126 98general regarding the choice of solicitation methods. The department may coordinate any
127127 99solicitation under this section with other states, municipal light plants or other governmental and
128128 100non-governmental organizations; provided, however, that the department shall describe any 6 of 15
129129 101impacts coordination may have on the solicitation, including any impacts to nameplate capacity
130130 102amounts or quantities of clean energy generation attributes sought in its solicitation. After notice
131131 103and the opportunity for public comment, the department shall proceed with the clean energy
132132 104solicitation. The department may competitively solicit proposals for long-term contracts for: (i)
133133 105environmental attributes from clean energy generation; or (ii) energy services contracts. The
134134 106department may consult with other states, federal agencies and regional organizations, including,
135135 107but not limited to, ISO New England Inc. or its successor; provided, however, that reasonable
136136 108proposals have been received, the department shall make or cause to be made filings as necessary
137137 109through the appropriate jurisdictional mechanism and enter into long-term contracts that are
138138 110consistent with the roadmap plans published pursuant to chapter 21N.
139139 111 (f) The department shall propose draft contracts and take all reasonable actions to
140140 112structure the contracts, pricing or administration of the products purchased under this section to
141141 113contribute towards achieving compliance with limits and sublimits established pursuant to
142142 114sections 3 and 3A of chapter 21N in a cost-effective manner that minimizes rate-payer impacts.
143143 115 (g) Long-term contracts executed pursuant to this section shall be subject to the approval
144144 116of the department of public utilities. The department of public utilities shall consider the
145145 117potential costs and benefits of the proposed long-term contract and shall approve a long-term
146146 118contract if the department finds that the contract is cost-effective and consistent with the
147147 119roadmap plans published pursuant to chapter 21N, taking into account the factors outlined in this
148148 120section, consistency with the approved resource solicitation plan and the department’s
149149 121recommendations. The department of public utilities shall complete its review of long-term
150150 122contracts submitted for its approval not later than 90 days after the contracts are filed by the
151151 123department of energy resources. 7 of 15
152152 124 (h) The department may retire any environmental attributes purchased pursuant to
153153 125approved long-term contracts under this section on behalf of the commonwealth to be used
154154 126toward satisfying compliance with the limits and sublimits established pursuant to sections 3 and
155155 1273A of chapter 21N and any regulations or programs established pursuant to sections 3 and 6 of
156156 128said chapter 21N or sections 11F and 17. If any retired environmental attributes are eligible
157157 129under a clean, renewable, clean peak or other energy portfolio standard established by the
158158 130department or the department of environmental protection, the portfolio standard minimum
159159 131obligations of suppliers subject to such standards may be reduced in proportion to any eligible
160160 132environmental attributes retired pursuant to this section, subject to the discretion of the
161161 133department and the department of environmental protection.
162162 134 (i) There shall be a separate, non-budgeted special revenue fund known as the central
163163 135procurement fund, which shall be administered by the department, without further appropriation,
164164 136for funding long-term contracts consistent with this section. The fund shall be credited with: (i)
165165 137funds or revenue collected by distribution companies pursuant to a tariff approved by the
166166 138department of public utilities in furtherance of the objectives and requirements of this section;
167167 139(ii) revenue from appropriations or other money authorized by the general court and specifically
168168 140designated to be credited to the fund; (iii) interest earned on such funds or revenues; (iv) bid fees
169169 141collected by the department from participants in clean energy solicitations conducted pursuant to
170170 142this section; (v) other revenue from public and private sources, including gifts, grants and
171171 143donations; and (vi) any funds provided from other sources. All amounts credited to the fund shall
172172 144be used solely for activities and expenditures consistent with the public purposes of this section,
173173 145including the ordinary and necessary administrative and personnel expenses of the department
174174 146related to the administration and operation of the fund and performance of the duties established 8 of 15
175175 147by this section. Revenues deposited in the fund that are unexpended at the end of a fiscal year
176176 148shall not revert to the General Fund and shall be available for expenditure in the following fiscal
177177 149year. No expenditure made from the fund shall cause the fund to be in deficit at any point.
178178 150 (j) A request for proposal or solicitation under this section shall include:
179179 151 (i) documentation reflecting the applicant’s demonstrated commitment to workforce or
180180 152economic development within the commonwealth;
181181 153 (ii) a statement of intent concerning efforts that the applicant and its contractors and
182182 154subcontractors will make to promote workforce or economic development through the project;
183183 155 (iii) documentation reflecting the applicant’s demonstrated commitment to expand
184184 156workforce diversity, equity and inclusion in its past projects within the commonwealth;
185185 157 (iv) documentation as to whether the applicant and its contractors and subcontractors
186186 158participate in a state or federally certified apprenticeship program and the number of apprentices
187187 159the apprenticeship program has trained to completion for each of the last 5 years;
188188 160 (v) a statement of intent concerning how or if the applicant and its contractors and
189189 161subcontractors intend to utilize apprentices on the project;
190190 162 (vi) documentation relative to the applicant and its contractors and subcontractors
191191 163regarding their history of compliance with chapters 149, 151, 151A, 151B and 152, 29 U.S.C. §
192192 164201, et seq. and applicable federal antidiscrimination laws;
193193 165 (vii) documentation that the applicant and its contractors and subcontractors are currently,
194194 166and will remain, in compliance with chapters 149, 151, 151A, 151B, and 152, 29 U.S.C. § 201,
195195 167et seq. and applicable federal anti-discrimination laws for the duration of the project; 9 of 15
196196 168 (viii) documentation of the applicant’s history with picketing, work stoppages, boycotts
197197 169or other economic actions against the applicant and a description or plan on how the applicant
198198 170intends to prevent or address such actions; and
199199 171 (ix) documentation relative to whether the applicant and its contractors have been found
200200 172in violation of state or federal safety regulations in the previous 10 years.
201201 173 The department may require a wage bond or other comparable form of insurance in an
202202 174amount to be set by the department to ensure compliance with law, certifications or department
203203 175obligations.
204204 176 (k) A proposal or solicitation issued by the department shall notify applicants that
205205 177applicants shall be disqualified from the project if the applicant has been debarred by the federal
206206 178government or commonwealth for the entire term of the debarment.
207207 179 (l) An applicant shall, in a timely manner, provide documentation and certifications as
208208 180required by law or otherwise directed by the department. Incomplete or inaccurate information
209209 181may be grounds for disqualification, dismissal or other action deemed appropriate by the
210210 182department.
211211 183 (m) Applicants that demonstrate compliance with sections 26 to 27F, inclusive, of chapter
212212 184149 and the use of state or federally certified apprenticeship programs, shall receive added
213213 185weight in clean energy solicitations under subsection (e).
214214 186 SECTION 5. Said Chapter 25A is hereby amended by inserting after Section 17 a new
215215 187section as follows: 10 of 15
216216 188 Section 17A: (a) The department of energy resources may develop a statewide energy
217217 189storage incentive program to encourage the continued development of energy storage resources
218218 190connected to the electric distribution system throughout the commonwealth. The department
219219 191shall, after notice and the opportunity for public comment, promulgate rules and regulations
220220 192implementing an energy storage incentive program which: (i) promotes the orderly transition to a
221221 193stable and self-sustaining energy storage market at a reasonable cost to ratepayers; (ii) considers
222222 194underlying system costs, including but not limited to storage costs, balance of system costs,
223223 195installation costs and soft costs; (iii) takes into account any federal or state incentives; (iv)
224224 196minimizes direct and indirect program costs and barriers; (v) considers environmental benefits,
225225 197energy demand reduction, distribution system benefits and other avoided costs provided by
226226 198energy storage resources; (vi) encourages energy storage resource deployment where it can
227227 199provide benefits to the distribution system; (vii) ensures that the costs of the program are shared
228228 200collectively among all ratepayers of the distribution companies; and (viii) promotes stakeholder
229229 201confidence through long-term incentive revenue certainty and market stability.
230230 202 (b) Attributes, as defined by the department of energy resources, of the energy storage
231231 203resources receiving incentives pursuant to this section shall be eligible for use by retail electric
232232 204suppliers pursuant to their obligations pursuant to said section 17 of said chapter 25A.
233233 205 (c) The department may hire additional staff to implement said energy storage incentive
234234 206program. These positions may be funded from one or more sources including but not limited to
235235 207the following: (i) appropriation, (ii) grants, or (iii) receipts of alternative compliance payments
236236 208made pursuant to section 17 of chapter 25A of the general laws. 11 of 15
237237 209 SECTION 6. Chapter 25A of the General Laws, as appearing in the 2022 Official
238238 210Edition, is hereby amended by adding the following section:
239239 211 Section 23. The department shall utilize programs established pursuant to section 11 of
240240 212Chapter 75 of the Acts of 2016 and authority granted under Section 4 of this Act to achieve a
241241 213minimum goal of 10 gigawatts (GW) of solar measured in alternating current (AC) deployed in
242242 214the commonwealth by 2035. The secretary shall ensure that annual solar deployment in the
243243 215commonwealth increases at a pace sufficient to meet the 2050 statewide emissions limit of net
244244 216zero greenhouse gas emissions established by the secretary on December 21, 2022.
245245 217 SECTION 7: Section 92B of Chapter 164 of the General Laws is hereby amended by
246246 218inserting the following subsection after subsection (e):
247247 219 (f) Any submission to the department of a capital investment project proposal under the
248248 220provisional program, as established by the department in 2021 and extended by the department in
249249 221its electric sector modernization plan approval in 2024, shall be approved, denied, or approved
250250 222with modifications by the department within 120 days of its submission.
251251 223 SECTION 8. Chapter 164 of the General Laws is hereby amended by inserting after
252252 224section 92C the following section:
253253 225 Section 92D. (a) The department shall establish an office of a distributed generation and
254254 226clean energy ombudsperson to, at a minimum, facilitate the efficient interconnection of
255255 227distributed generation and implementation of proactive long-term system planning and cost
256256 228allocation for interconnection of distributed generation. The office of the ombudsperson shall be
257257 229staffed by a distributed generation and clean energy ombudsperson, a deputy ombudsperson, and
258258 230two or more individuals, one of whom shall be an expert in the standards for interconnection of 12 of 15
259259 231distributed generation tariff and related department precedent and one of whom shall be an
260260 232expert in technical solutions and standards for interconnecting distributed generation customers.
261261 233The department shall develop a table of civil penalties that the ombudsperson may recommend
262262 234that the department impose upon a finding that a distribution company has intentionally or
263263 235negligently violated a rule, regulation or tariff provision, or that the company has exhibited a
264264 236pattern or history of violating such rule, regulation or tariff provisions. In considering penalties
265265 237under this section, the ombudsperson and the department shall consider the severity of the
266266 238violation, the financial impact upon the distribution customer or customers, the distribution
267267 239company’s history of violations, the sufficiency of the distribution company’s customer service
268268 240relevant to the dispute, and other relevant factors at the discretion of the ombudsperson. The
269269 241department may direct that all or a portion of a penalty take the form of restitution to be paid to
270270 242an affected distribution customer.
271271 243 (b) Distributed generation interconnection working groups, for the purpose of considering
272272 244improvements to interconnection tariffs and interconnection technical standards and processes,
273273 245are essential to meeting the Commonwealth’s clean energy goals. To facilitate effective
274274 246utilization of distributed generation interconnection working groups, the office of the
275275 247ombudsperson shall develop a detailed process for stakeholder working groups in the
276276 248Commonwealth dedicated to the interconnection of distributed generation to submit to the
277277 249department and have considered consensus and non-consensus findings. This process shall
278278 250include an expedited track for consensus findings. The department or the office of the
279279 251ombudsperson shall act on each submission within six months.
280280 252 (c) The department shall direct the distribution companies to contract with a third-party to
281281 253assist in administrative facilitation of stakeholder working groups in the Commonwealth 13 of 15
282282 254dedicated to the interconnection of distributed generation. The hiring process shall be conducted
283283 255by the Chairs and Vice Chairs of the working groups. The facilitator shall assist the working
284284 256groups with agendas, meeting minutes, website maintenance, establishing and revising operating
285285 257procedures and bylaws, coordinating written information exchanges and developing summary
286286 258informational packages for submission to the department. The contract with the third-party
287287 259facilitator must clearly indicate that the relationship of the facilitator with the working groups
288288 260shall be managed by the Chairs and Vice Chairs of the working groups.
289289 261 (d) The department shall provide a process for working groups in the Commonwealth
290290 262dedicated to the interconnection of distributed generation to fund the engagement of consultants
291291 263for support discussion of substantive topics.
292292 264 (e) To support interconnection of distributed energy resources by diminishing the risk to
293293 265interconnecting customers of multi-year interest carrying costs associated with interconnection
294294 266deposits and in furtherance of the Commonwealth’s clean energy mandates, effective
295295 267immediately, the electric distribution companies shall accept a surety bond or letter of credit in
296296 268lieu of cash, at the discretion of the interconnecting customer, for common system modification
297297 269payments required under an interconnection service agreement to commence construction of
298298 270required electric power system upgrades.
299299 271 (f) Flexible interconnection is a process by which an electric distribution company
300300 272provides an alternative interconnection solution to a distributed generation facility allowing for
301301 273interconnection based on an agreed upon curtailment schedule. In recognition that flexible
302302 274interconnection is likely to provide opportunity for reduced interconnection costs, expedited
303303 275interconnection process, and increased network utilization, the department shall direct the 14 of 15
304304 276electric distribution companies to develop a proposal for a flexible interconnection program to be
305305 277established in the Commonwealth. The electric distribution companies shall file a proposed
306306 278model tariff provision or tariff revision with the department to implement a uniform program for
307307 279flexible interconnection within six months of the effective date of this act. The department shall
308308 280conduct a proceeding to investigate the flexible interconnection proposal, and within one year of
309309 281the effective date of this act issue an order establishing a uniform flexible interconnection
310310 282program.
311311 283 (g) The electric distribution companies shall take the following procedural steps prior to
312312 284filing a flexible interconnection program proposal with the department:
313313 285 i. Convene a flexible interconnection stakeholder working group facilitated by one
314314 286distributed generation industry member and one electric distribution company member and
315315 287including (a) two representatives from each electric distribution company, (b) one or more
316316 288representatives from each of the department of energy resources and the office of the attorney
317317 289general, and (c) six representatives from the distributed generation industry.
318318 290 ii. Attend and participate in bimonthly working group meetings.
319319 291 iii. Present a draft joint model tariff provision or tariff revisions to the working group
320320 292within three months of the effective date of this act.
321321 293 iv. Accept written and oral comments on that draft and allow stakeholders to submit
322322 294alternative language or proposed modifications.
323323 295 v. Develop consensus language among that group, to the extent possible. 15 of 15
324324 296 vi. Include in their filing with the Department any alternative proposal which is supported
325325 297by six or more group members along with a summary and explanation of that proposal prepared
326326 298by supportive group members.