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For 20 years, RGGI has ‘weathered the political winds’
Dec 3, 2024

EMISSIONS: The Regional Greenhouse Gas Initiative offers a model of successful state-led action on decarbonization, and is considering ways to expand participation as President-elect Trump pledges to roll back federal climate policies. (Energy News Network)

ALSO: In its push to go fossil fuel-free by 2050, Harvard University has more than tripled its sustainability fund to $37 million and entered a new renewable energy partnership with other Boston-area institutions. (Inside Climate News)

TRANSMISSION: An $11 billion project intended to bring 3.8 GW of renewable energy to New York City from the upstate area has been canceled with no explanation. (RTO Insider, subscription)

ELECTRIC VEHICLES:

WIND:

  • A federal agency identifies environmental measures it will likely take in a group of six offshore wind lease areas off New York, pushing ahead despite Trump’s claims he will stop offshore wind development. (Maritime Executive)
  • Further development of land-based wind resources in western Massachusetts, home to two existing wind farms, is “extremely unlikely,” say renewable energy experts. (Berkshire Eagle)

GRID: Maryland launches a $15 million grant program aimed at strengthening the state’s “battered” grid and preparing the system to better accommodate clean energy resources. (Utility Dive)

SOLAR: Massachusetts utilities regulators issue two orders that will allow more small solar developments to use net metering and make it easier for multifamily buildings to take advantage of the program. (Fall River Reporter)

BATTERIES:

  • The University of Maryland and the University of Rhode Island are among a national consortium working on how to develop long-lasting batteries using sodium, a more abundant element than the lithium that is widely used today. (Maryland Today)
  • Massachusetts’ attorney general strikes down a town bylaw that attempted to put stringent restrictions on the development of battery storage facilities. (Daily Hampshire Gazette)
  • Residents of a Connecticut town object to plans for a nearly 5 MW battery storage development, citing fears of a possible fire. (Greenwich Time)

AFFORDABILITY: A new report finds that 100,000 Maine households have trouble paying their energy bills, in part because of competitive suppliers charging more than public utilities. (Maine Morning Star)

Wisconsin coal plant closure delayed again
Dec 5, 2024

COAL: The utilities that co-own a large Wisconsin coal plant delay the facility’s closure for a second time, now planning to shutter the 1,100 MW plant in 2029, allowing time to explore a conversion to natural gas. (Wisconsin Public Radio)

ALSO: A central Illinois coal mine is shutting down after the city of Springfield chose a cheaper supplier for its power plant. (Illinois Times)

GRID:

  • Renewable energy developers say PJM’s proposal to fast-track the interconnection process for shovel-ready projects is a “blatant attempt” to benefit utilities that want to serve surging data center load. (Utility Dive)
  • Consumer advocates in Illinois and Ohio are also pushing back against the plan that would prioritize natural gas projects, saying PJM has historically overestimated load growth. (E&E News)

CLEAN ENERGY: The U.S. Energy Department office that has approved nearly $55 billion in loans to help clean energy companies scale up is racing to get “dollars out the door” before the Trump administration potentially halts the program. (Canary Media)

PIPELINES: The proposed Summit Carbon Pipeline sparks a backlash in Upper Midwest farm country against “industrial climate solutions” fueled by oil and agricultural interests and federal tax credits. (Drilled)

BIOFUELS: Biofuel advocates and lawmakers are urging the Biden administration to issue guidance on a tax credit for sustainable aviation fuel to end uncertainty for producers. (Iowa Capital Dispatch)

ELECTRIC VEHICLES:

  • Analysts and experts say utilities should scale up time-of-use rates and other programs to help manage load growth from electric vehicles before major investments in distribution infrastructure. (Utility Dive)
  • Ford Motor Co. reportedly plans to build an EV plant in Indonesia, the world’s largest producer of nickel, as it cuts jobs in Europe and loses market share in China. (Elektrek)
  • Nearly 15,000 electric vehicles have been registered in Iowa since 2020 as the state’s EV adoption steadily grows. (Cedar Rapids Gazette)

SOLAR: A manufacturer donates 2,000 solar modules to a Native-led nonprofit that will deliver nearly 1 MW of power to Midwestern tribes. (news release)

EFFICIENCY: Illinois issues $285,000 in grants to local governments to support climate action plans as well as efficiency audits and upgrades. (CBS Chicago)

As climate focus shifts to states, East Coast partnership offers model for multi-state collaboration
Dec 3, 2024

A trailblazing regional greenhouse gas partnership on the East Coast is considering possible changes or expansion that would allow it to keep building on its success — and the stakes grew higher last month with the reelection of Donald Trump.

The 11-state Regional Greenhouse Gas Initiative, established in 2005, is the country’s first regional cap-and-invest system for reducing carbon emissions from power generation. Since 2021, administrators have been conducting a program review, analyzing its performance since the last review in 2017 and weighing potential adjustments to make sure it continues to deliver benefits to member states.

The role of such programs is more crucial as Trump’s pledges to roll back federal climate action leaves it up to cities, states, and the private sector to maintain the country’s momentum on clean energy over the next four years. In RGGI, as the regional initiative is known, states have a potential model for scaling their impact through collaboration.

“RGGI has not only been an effective climate policy, it’s been an extraordinary example of how states can work together on common goals,” said Daniel Sosland, president of climate and energy nonprofit Acadia Center. “It is a major vehicle for climate policy now in the states, more than it might have seemed before the election.”

How RGGI works

RGGI sets a cap for total power plant carbon emissions among member states. Individual generators must then buy allowances from the state, up to the total cap, for each ton of carbon dioxide they produce in a year. The cap lowers over time, forcing power plants to either reduce emissions or pay more to buy allowances from a shrinking pool.

States then reinvest the proceeds from these auctions into programs that further reduce emissions and help energy customers, including energy efficiency initiatives, direct bill assistance, and renewable energy projects. Since 2008, RGGI has generated $8.3 billion for participating states, and carbon dioxide emissions from power generation in the nine states that have consistently participated fell by about half between 2008 and 2021, a considerably faster rate than the rest of the country.

“It has really thrived and been really effective across multiple administrations,” said Jackson Morris, state power sector director with the Natural Resources Defense Council. “RGGI is a winning model. It’s not theoretical — we’ve got numbers.”

Currently, Connecticut, Delaware, Maine, Maryland, Massachusetts, New Hampshire, New Jersey, New York, Pennsylvania, Rhode Island, and Vermont are part of the program. Virginia joined RGGI in 2021, but in 2023 Gov. Glenn Youngkin repealed the state’s participation, a move immediately challenged in court; a judge ruled last month that the governor lacked the authority to withdraw the state from initiative, though a spokesman for the governor has declared the state’s intention to appeal.

There is widespread agreement that RGGI will endure despite likely federal hostility to climate measures. There was no attempt to take direct action against it during Trump’s first term, nor has there been any concerted industry opposition, said Conservation Law Foundation president Bradley Campbell, who was involved in the founding of RGGI when he was commissioner of the New Jersey Department of Environmental Protection.

Supporters also note that the program has historically had broad bipartisan support: Participating states have been led through the years by both Republican and Democratic governors and legislatures.

Politics has had some influence over the years, though only at the margins. New Jersey, a founding member of RGGI, left in 2011 when Chris Christie was governor, but returned in 2020 following an executive order from his successor. Pennsylvania joined in 2022 through an executive order from the governor, but its participation is now being challenged in court.

Still, RGGI’s foundations are solid and will remain so, experts said.

“The basic infrastructure has weathered the political winds over the decades,” Campbell said.

Looking forward

Nonetheless, RGGI will need to make some carefully thought-out program design decisions during its current review to make an impact in the face of falling federal support for decarbonization.

One question under consideration is whether to maintain the existing trajectory for the overall emissions cap for the program — a reduction of 30% between 2020 and 2030, then holding steady thereafter — or to continue lowering the limit after 2030.

The RGGI states are also contemplating a possible change to the compliance schedule that would require power generators to acquire allowances worth 100% of their carbon emissions each year, and certify compliance annually. The current system calls for certification every three years, and only mandates allowances equivalent to half of carbon emissions for the first two years of each period.

The program is looking for ways to appeal to potential new participant states that have less aggressive decarbonization goals than current member states without watering down the program’s overall impact on decarbonization, said Acadia Center policy analyst Paola Tamayo. Acadia suggested possible program mechanisms such as giving proportionately more allowances to states with more stringent emissions targets to incentivize tighter limits.

“At this point it is critical for states to maintain a high level of ambition when it comes to programs like RGGI,” Tamayo said. “There are different mechanisms that they can implement to accommodate other states.”

The program review is expected to yield a model rule some time over the winter, though updates may be made into the spring as the RGGI states receive and consider feedback on how to accommodate potential new participants.  

States will also need to maintain and strengthen their own climate policies to magnify the impact of RGGI, Campbell said. He pointed to Massachusetts, where Gov. Maura Healey needs to show “bolder leadership,” he said, and Maine and Vermont, where the Conservation Law Foundation has filed lawsuits in an attempt to compel the states to meet their own carbon reduction deadlines.

“It’s especially important that the states that have strong emissions reduction mandates speed up the implementation of their climate laws,” he said. “State leadership on these issues is going to be more important than ever.”

Oregon regulators vote to reinstate landmark climate plan
Nov 22, 2024

CLIMATE: Oregon regulators vote to reinstate the state’s landmark climate plan aimed at reducing greenhouse gas emissions after a court invalidated the 2021 program over a technicality. (Oregon Capital Chronicle)

ALSO: A western Colorado city seeks public input on its proposed energy and climate resilience action plan. (Post-Independent)

OIL & GAS: Federal regulators charge Phillips 66 with violating environmental laws for allegedly discharging hundreds of thousands of gallons of industrial waste from its Los Angeles-area refinery into county sewer systems. (Mercury News)

UTILITIES:

WIND: U.S. Sen. James Risch, an Idaho Republican, says he will work with the incoming Trump administration to kill the controversial proposed Lava Ridge wind facility on federal land in the southern part of the state. (E&E News, subscription)

SOLAR:

STORAGE:

TRANSITION: Northwestern New Mexico officials advance a proposed freight rail line aimed at spurring industrial development in the wake of a coal plant’s 2022 retirement. (Albuquerque Journal)

ELECTRIC VEHICLES: A Nevada city brings an electric vehicle charging system online to power its police and municipal fleets. (news release)

COMMENTARY: California regulators say their agency’s recent tweaks to the state’s low carbon fuel standards inadvertently incentivize “pollution-heavy practices over sustainable, low-impact solutions.”(Los Angeles Times)

New York revives congestion pricing plans
Nov 14, 2024

EMISSIONS: New York Gov. Kathy Hochul intends to revive plans for congestion pricing in parts of New York City, dropping the toll to $9 from $15, before the new Trump administration can squash the plan. (New York Times)

ALSO:

TRANSMISSION: The developers behind a 145-mile transmission line intended to import Canadian hydropower to Massachusetts sue NextEra Energy, alleging the electric utility purposely misled voters and physically blocked progress to protect its turf and stop the project. (MassLive, subscription)

SOLAR:

NUCLEAR: Small modular nuclear reactors could be the key to providing onsite energy for power-hungry big tech companies and convincing them to set up shop in New York, says Gov. Hochul.  (Times Union)

EFFICIENCY: Burlington, Vermont’s plan to weatherize more than 700 rental properties is seriously behind schedule because of a shortage of workers trained to do the upgrades. (Seven Days)

CLIMATE: As New York falls behind on its climate goals, the state needs to ramp up its procurement of renewable energy, advocates say. (Canary Media)

OFFSHORE WIND: Seven Cape Cod towns vote against supporting offshore wind development on a ballot question that is nonbinding but raises questions about the region’s appetite for wind. (Cape Cod Times)

STORAGE: New Jersey utilities regulators modify their proposed incentive plan for grid-scale battery storage projects, as the state aims to reach 2,000 MW of capacity by 2030. (RTO Insider, subscription)

GRID:

COMMENTARY: Grid operator PJM should look to battery storage and other creative solutions to meet high demand rather than leaning on existing coal plants that hurt nearby communities, an Appalachian equity advocate says. (Utility Dive)

Paper and pulp mills produce half of Maine’s industrial CO2 emissions. Could lasers help slash their climate impact?
Nov 14, 2024

A Massachusetts university is developing technology that aims to use lasers to drastically cut emissions and energy use from Maine’s paper and pulp industry.

Worcester Polytechnic Institute recently received a $2.75 million U.S. Department of Energy grant to help ready the industrial drying technology for commercial use.

“We are all excited about this — this is potentially a groundbreaking technology,” said Jamal Yagoobi, founding director of the institute’s Center for Advanced Research in Drying.

In Maine, the paper and pulp business generates about 1 million metric tons of carbon dioxide emissions each year, roughly half of the state’s industrial emissions. Much of these emissions come from the process of drying mashed, pressed, and rolled wood pulp to yield paper products. The emissions come mainly from three major operations across the state; three additional facilities contribute smaller amounts.

These plants’ emissions will need to be addressed if Maine is to reach its goal of going carbon neutral by 2045. Furthermore, each of these plants is located in an area with an above-average population of low-income residents, according to data assembled by Industrious Labs, an environmental organization focused on the impact of industry. And two are located in areas with a higher-than-average risk of cancer from air toxins, suggesting a correlation between their operations and the incidence of cancer in the area.

At the same, the paper and pulp industry remains economically important to Maine, said Matt Cannon, state conservation and energy director for the Maine chapter of the Sierra Club.

“It’s got real union jobs — the paper industry is still very important to our community,” he said.

Worcester Polytechnic’s drying research center has been working on ways to dry paper, pulp, and other materials using the concentrated energy found in lasers. The lasers Yagoobi’s team is using are not the lasers of the public imagination, like a red beam zapping at alien enemies. Though the lasers are quite strong — they can melt metal, Yagoobi says — they are dispersed over a larger area, spreading out the energy to evenly and gently dry the target material.

Testing on food products has shown that the technology can work. Now, researchers need to learn more about how the laser energy affects different materials to make sure the product quality is not compromised during the drying process.

“For paper, it’s important to make sure the tensile strength is not degrading,” Yagoobi said. “For food products, you want to make sure the color and sensory qualities do not degrade.”

Therefore, before the system is ready for a commercial pilot, the team has to gather a lot more data about how much laser energy is incident on different parts of the surface and how deeply the energy penetrates different materials. Once gathered, this data will be used to determine what system sizes and operating conditions are best for different materials, and to design laser modules for each intended use.

Once these details are worked out, the laser technology can be installed in new commercial-scale drying equipment or existing systems. “This particular technology will be easy to retrofit,” Yagoobi said.

Industrial sources were responsible for about 1.3 billion metric tons of carbon dioxide emissions in the United States in 2023, about 28% of the country’s overall emissions, according to the U.S. Energy Information Administration. Heating processes, often powered by natural gas or other fossil fuels, are responsible for about half of those emissions, said Evan Gillespie, one of the co-founders of Industrious Labs. Many industrial drying processes require high temperatures that have traditionally been hard to reach without fossil fuels, giving the sector a reputation as hard to decarbonize, Gillespie said.

“The key challenge here is: How do you remove natural gas as a heating source inside industrial facilities?” said Richard Hart, industry director at the American Council for an Energy-Efficient Economy. “The scale of what is happening in industry is enormous, and the potential for change is very powerful.”

To make the new technology effective, industry leaders and policymakers will need to commit to reinvesting in old facilities, Gillespie noted. And doing so will be well worth it by strengthening an economically important industry, keeping jobs in place, and creating important environmental benefits, he added.

“There’s often this old story of tensions between climate and jobs,” Gillespie said. “But what we’re trying to do is modernize these facilities and stabilize them so they’ll be around for decades to come.”

Power generation emissions drop in New England
Nov 5, 2024

EMISSIONS: Greenhouse gas emissions from electricity generation in New England dropped 4% last year, due to mild weather, lower natural gas prices, and increases in solar and wind energy, the region’s grid operator reports. (Maine Public)

EFFICIENCY: Massachusetts utilities submit their latest three-year energy efficiency plan for regulatory approval, with the goal of installing heat pumps in more than 119,000 homes and creating $13.7 billion in benefits for consumers. (Utility Dive)

GRID:

FOSSIL FUELS: Despite burgeoning power demands from cryptocurrency and AI operations, New York state may have built its last fossil fuel power plant, some clean energy advocates say. (New York Focus)

OFFSHORE WIND:

ELECTRIC VEHICLES: A Vermont electric aircraft startup tops $1 billion in equity capital, but questions remain about the climate benefits of the technology. (Canary Media)

SOLAR:

COMMENTARY: New York should delay implementation of rules requiring more electric truck sales to allow charging infrastructure and technology to improve, says a spokesperson for the retail lumber industry. (Long Island Press)

$61 million settlement reached over Missouri coal plant emissions
Nov 7, 2024

COAL: Ameren Missouri would spend $61 million on high-efficiency air filters for residents and electric school buses under a proposed agreement to settle past clean air violations at a St. Louis-area coal plant. (Missouri Independent)

ALSO: Indiana regulators approve AES’ plan to transition two coal plant units to run on gas, despite opposition from the coal industry and U.S. Sen. Mike Braun, who was elected Tuesday as the state’s next governor. (Indiana Capital Chronicle)

CLEAN ENERGY: The incoming Trump administration is likely to reverse federal regulations limiting emissions from power plants and light- and heavy-duty vehicles, and could jeopardize America’s global climate leadership, experts say. (Canary Media, Inside Climate News)

ELECTION:

  • Minnesota Republicans flip enough state House seats to break Democrats’ trifecta, which could result in a tie or a Republican majority following recounts in two races. (WCCO)
  • Minnesota, which will keep allocating 40% of lottery revenue to environmental causes, is among states where environmental ballot initiatives prevailed in Tuesday’s election despite broad gains by the GOP. (Grist)
  • Whether the GOP ends up controlling both the U.S. House and Senate could either supercharge President-elect Trump’s anti-climate agenda or serve as a check on fossil fuel interests. (Inside Climate News)

SOLAR: A solar installer and the Standing Rock Sioux Tribe run an apprenticeship program that promotes workforce development and builds renewable energy projects on tribal land across the Great Plains. (Buffalo’s Fire)

EFFICIENCY: A historic former train station in Detroit that was recently renovated and reopened to house various startups is also equipped with various energy-efficiency upgrades. (FacilitiesNet)

BIOFUELS: Biofuel options outside of corn could play a key role in a more climate-friendly future for Indiana’s biofuels industry. (WFYI)

COMMENTARY: Voters’ rejection of a South Dakota law to regulate carbon pipelines in Tuesday’s election may have been influenced by a broader campaign in the state to vote ‘no’ on several initiatives that were on the ballot, an editor writes. (South Dakota Searchlight)

Months ahead of schedule, North Carolina regulators accept Duke Energy’s controversial plan to reduce carbon
Nov 4, 2024

North Carolina regulators on Friday accepted Duke Energy’s controversial plan for curbing carbon pollution, a blueprint that ramps up renewable energy and ratchets down coal power but also includes 9 gigawatts of new plants that burn natural gas.

The biennial plan is mandated under a 2021 state law, which requires Duke to zero out its climate-warming emissions by midcentury and cut them 70% by the end of the decade.

The timing of the order from the North Carolina Utilities Commission, two months ahead of schedule, caught many advocates by surprise. But its content did not: it hewed closely to a settlement deal Duke reached this summer with a trade group for the renewable energy industry; Walmart; and Public Staff, the state-sanctioned ratepayer advocate.

But critics were dismayed by regulators’ abdication of the 2030 deadline. The ruling said Duke no longer needed a plan to make the reductions by decade’s end, instead telling it to “pursue ‘all reasonable steps’ to achieve the [70%] target by the earliest possible date.”

“Major step back on climate,” Maggie Shober, research director at the Southern Alliance for Clean Energy,” wrote on X, the website formerly known as Twitter, adding, “for those that say it couldn’t be done, Duke had a 67% reduction by 2030 in its 2020 [long-range plan.] The utility industry generally, and Duke in particular, has had opportunity after opportunity to do better. They chose not to, and here we are.”

EPA rules could complicate plans for gas plants

And while many observers say the three large gas plants approved in the near-term carbon plan are better than the five originally proposed by Duke, detractors note the facilities still could run afoul of rules finalized this spring by the Biden-Harris administration.

“Duke’s plan isn’t even compliant with the latest EPA regulations related to greenhouse gas pollution,” David Rogers, deputy director of the Sierra Club’s Beyond Coal Campaign, said in a statement.

Concerns about the Biden-Harris rules, along with doubt that the natural gas plants could be converted to burn carbon-free hydrogen, appeared not to persuade regulators.

“The Commission acknowledges that there are uncertainties and risks associated with new natural gas-fired generation resources, but this is true of all resources,” the panel wrote.

On the contrary, regulators believe Duke can make use of gas plants after the state’s 2050 zero-carbon deadline, even if clean hydrogen doesn’t pan out.

“Accordingly,” the panel said, “the Commission determines that a 35-year anticipated useful life of new natural gas-fired generation and its assumed capital costs are reasonable for planning purposes.”

The greenlight for the gas infrastructure is not absolute, commissioners emphasized in their order, since Duke still must obtain a separate permit for the facilities. But advocates still bemoaned the anticipated impact on customers.

“This order leaves the door open for Duke Energy to stall on carbon compliance in order to develop additional resources, like natural gas, that largely benefit their shareholders over ratepayers,” Matt Abele, the executive director of the North Carolina Sustainable Energy Association, said via text message.

‘Positive step’ for offshore wind

Still, Abele and other advocates acknowledged the plan’s upsides, including its increase in renewables like solar and batteries. The 2022 plan limited those resources to about 1 gigawatt per year; this year’s version increases the short-term annual addition to about 1.7 gigawatts.

Regulators’ decision to bless 2.4 gigawatts of offshore wind by 2034 and call for Duke to complete an “Acquisition Request for Information” by next summer also drew measured praise.

“This order is an overall positive step for offshore wind,” Karly Lohan, North Carolina program manager for the Southeastern Wind Coalition, said in an email, adding, “we still need to see Duke move with urgency and administer the [request for information] as soon as possible.”

With regulators required to approve a new carbon-reduction plan for Duke every two years, advocates are already looking ahead to next year, when the process begins anew.

“Proceedings in 2025 present another chance to get North Carolina back on track to achieving the carbon reduction goals as directed by state law,” Will Scott, Environmental Defense Fund’s director of Southeast climate and clean energy, said in a statement.

“By accelerating offshore wind and solar, the Commission could still set a course for meaningful emissions reductions from the power sector that are fueling the effects of climate change, including dangerous and expensive storms like Hurricane Helene.”

And like Scott, David Neal, senior attorney with the Southern Environmental Law Center, isn’t giving up on the state’s 2030 carbon-reduction deadline, the commission’s latest order notwithstanding.

“We’ll continue to push for the clean energy future that North Carolinians deserve and that state law and federal carbon pollution limits mandate,” he said in a statement.

Massachusetts legislation looks to remove barriers to the state’s shift from natural gas
Nov 4, 2024

Nearly a year after Massachusetts regulators laid out a vision for the state’s evolution from natural gas distribution to clean energy use, lawmakers are coalescing around legislation that would start converting principles into policy.

The wide-ranging climate bill includes several provisions that would allow utilities to explore alternatives to gas and empower regulators to place more limits on the expansion and continuation of natural gas infrastructure, changes that supporters say are critical to a successful transition away from fossil fuels.

“This bill is a major first step in empowering [regulators] to do something rather than just rubber stamping the utilities’ plans,” said Lisa Cunningham, co-founder of ZeroCarbonMA.

Natural gas is currently the primary heating source for half the homes in Massachusetts, a number that needs to drop if the state is going to meet its ambitious climate goal of net-zero emissions by 2050, advocates and state leaders say. In 2020, the state department of public utilities opened an investigation into the role natural gas utilities would play in the transition to cleaner energy. In December 2023, the department issued a lengthy order concluding that the state must move “beyond gas” and outlining a broad framework for making the shift.

Lawmakers attempted to start turning these general ideas into binding law earlier this year, but the legislative session closed at the end of July before the Senate and House reconciled the differences between their versions of a climate bill. Legislators returned to work this fall and hammered out an agreement, and the Senate passed the resulting bill last month. The House speaker has said the body will vote when it returns to formal session later this year. The bill is generally expected to pass and be signed into law.

“A lot of people were skeptical we’d get a bill at all, but I’m happy with where this bill ended up,” said Kyle Murray, Massachusetts program director for climate nonprofit Acadia Center. “It shows a step toward that needed urgency.”

At the heart of the bill’s energy transition provisions is a change to the definition of a natural gas utility that allows the companies to also provide geothermal power. Networked geothermal — systems that draw heat from the earth and deliver it to a group of buildings — is widely seen as a promising alternative to natural gas, and both National Grid and Eversource have pilot projects in the works. However, current law prevents the utilities from pursuing such projects without specific authorization from regulators. The climate bill would remove this barrier, making it easier for gas companies to explore new approaches to business.

“The gas utilities deeply need a new business model that can help them step into the future,” said Audrey Schulman, founder of climate solutions incubator HEETlabs. “That allows them to potentially evolve.”

This definition change supports other provisions aimed at slowing the expansion of natural gas use in the state. The bill would end the requirement that natural gas utilities provide service to any customer in their service area who requests it, with few exceptions. Under the new law, utilities could decline these requests when other alternatives are available.

The bill would also allow regulators to consider the impact of emissions when deciding whether to approve requests to expand natural gas service into new communities. In 2023, the state approved a request to bring gas service to the central Massachusetts town of Douglas. Regulators at the time noted that the decision works against the state’s goal of phasing out natural gas, but said the law gave them no choice but to approve the plan. Provisions in the climate bill would untie regulators’ hands in such cases in the future.

“The [Department of Public Utilities] can consider the public interest, including climate, it doesn’t have to say yes to more gas service,” said Amy Boyd Rabin, vice president of policy at the Environmental League of Massachusetts. And the inclusion of geothermal in gas utilities’ definition means “now there’s also something else to offer the customers.”

Another major element of the bill would reform the state’s Gas System Enhancement Plans program, which encourages utilities to repair or replace pipes in the state’s aging and leak-prone natural gas distribution system. Clean energy advocates have often argued that these plans are problematic, investing billions of ratepayer dollars into shoring up a system that is increasingly obsolete. The climate bill would allow utilities to choose to retire segments of pipe rather than fixing them.

“For the first time ever they are able to look at a pipe and say, ‘You know what, this is not worth the cost,’” Murray said. “We don’t want ratepayers shouldering the burden for a lot of stuff that’s not going to be useful in five to 10 years.”

Environmental advocates praised the bill’s gas provisions, and are already focusing on what more there is to be done. Several would have liked to see a more aggressive phasing out of Gas System Enhancement Plans, with a specific end date. Others champion an expansion of a pilot program that allows cities and towns to ban fossil fuel use in new construction and major renovations.

“There is no reason why communities that want to enact this via home rule petition should be restricted from enacting the will of their constituents,” Cunningham said.

In the meantime, advocates are ready to see the climate bill turning into reality.

“There’s a lot of good stuff in there that will do a lot of good for the commonwealth,” Boyd Rabin says.

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