Matters ▸ Attachment
Session Law - Acts of 2022 Chapter 179 — File 22-1494
Acts (2022)
Chapter 179
AN ACT DRIVING CLEAN ENERGY AND OFFSHORE WIND
Whereas, The deferred operation of this act would tend to defeat
its purpose, which is to authorize forthwith the advancement of
offshore wind and clean energy in the commonwealth, therefore it is
hereby declared to be an emergency law, necessary for the immediate
preservation of the public convenience.
Be it enacted by the Senate and House of Representatives in
General Court assembled, and by the authority of the same, as
follows:
SECTION 1. Chapter 6C of the General Laws is hereby amended
by adding the following section:-
Section 78. The department shall create an anonymized and
aggregated database of motor vehicle types and locations. In so doing,
the department shall consult with at least 1 member organization of
the Massachusetts Association of Regional Planning Agencies and
with the department of energy resources. The database shall consist of
data for the most recently available 12 months, shall be updated
annually, shall consist of data readily sortable by municipality and zip
code and shall contain the: (i) total number of passenger fossil fuel-
powered vehicle registrations; (ii) total number of passenger hybrid
vehicle registrations; (iii) total number of passenger zero-emission
vehicle registrations; (iv) total number of commercial fossil fuel-
powered vehicle registrations; (v) total number of commercial hybrid
vehicle registrations; (vi) total number of commercial zero-emission
vehicle registrations; (vii) total number of vehicle miles traveled by
passenger fossil fuel-powered vehicles over a defined 12-month
period; (viii) total number of vehicle miles traveled by passenger
hybrid vehicles over a defined 12-month period; (ix) total number of
vehicle miles traveled by passenger zero-emission vehicles over a
defined 12-month period; (x) total number of vehicle miles traveled by
commercial fossil fuel-powered vehicles over a defined 12-month
period; (xi) total number of vehicle miles traveled by commercial
hybrid vehicles over a defined 12-month period; and (xii) total number
of vehicle miles traveled by commercial zero-emission vehicles over a
defined 12-month period. Annually, not later than June 30, the
department shall update the database for the previous calendar year.
Annually, not later than September 30, the department shall compile a
summary report of the data in the database and post the report on its
website.
Upon request, the department shall provide the data to a member
organization of the Massachusetts Association of Regional Planning
Agencies or a municipality to aid in the deployment of electric
vehicles and related infrastructure.
SECTION 2. Chapter 23 of the General Laws is hereby amended
by adding the following section:-
Section 26. (a) As used in this section, the term “employment
value” shall mean the economic value of a particular occupation to the
individual and the community, including but not limited to
considerations of the entry wage, growth rate in employment, and
present and projected average annual open positions for the
occupation in the commonwealth.
(b) For the purpose of promoting access to academic and
technical skills that prepare the workforce for high-demand
occupations in the commonwealth, the executive office of labor and
workforce development shall provide the department of elementary
and secondary education, annually, not later than February 1, a list of
occupations in high-demand industries in the commonwealth that
either require an industry-recognized certification or for which such
certification will materially enhance a job applicant’s opportunities for
employment or increased compensation. The list shall include, but not
be limited to: (i) the related workforce needs and shortages in each
region of the commonwealth; and (ii) recommendations on potential
courses and programming in public schools that can effectively
contribute to providing credentials for high-demand industries in the
commonwealth. The list shall include occupations with high
employment value; provided, that the top 20 per cent of occupations
shall be high-demand occupations; provided, however, that no
occupation shall be included on the list which has an annual salary or
wage in an amount less than 70 per cent of the average annual salary
or wage in the commonwealth, unless the certification for such an
occupation is stackable to another industry certification and required
for the next level of occupation which does meet the 70 per cent wage
criterion.
(c) The executive office of labor and workforce development, in
consultation with the department of elementary and secondary
education, shall make the list created pursuant to subsection (b)
available to all school districts in the commonwealth and post the list
publicly on the executive office of labor and workforce development’s
website.
SECTION 3. Section 1 of chapter 23J of the General Laws, as
appearing in the 2020 Official Edition, is hereby amended by striking
out the definition of “Board” and inserting in place thereof the
following 2 definitions:-
“Affiliate”, any business which directly or indirectly controls or is
controlled by or is under direct or indirect common control of another
business including, but not limited to, any business with which a
business is merged or consolidated, or which purchases all or
substantially all of the assets of a business.
“Board”, the board of directors of the center.
SECTION 4. Said section 1 of said chapter 23J, as so appearing,
is hereby further amended by inserting after the definition of “Center”
the following definition:-
“Certified offshore wind company”, an offshore wind company
that has been certified by the center for participation in the
Massachusetts offshore wind industry investment program and the
offshore wind tax incentive program established in section 8A.
SECTION 5. Said section 1 of said chapter 23J, as amended by
section 4 of this act, is hereby further amended by striking out the
definition of “Certified offshore wind company” and inserting in place
thereof the following definition:-
“Certified offshore wind company”, an offshore wind company
that has been certified by the center for participation in the
Massachusetts offshore wind industry investment program.
SECTION 6. Said section 1 of said chapter 23J, as so appearing,
is hereby further amended by inserting after the definition of “Fund”
the following 2 definitions:-
“Offshore wind company”, a business corporation, partnership,
firm, unincorporated association or other entity engaged in offshore
wind development, manufacturing or commercialization in the
commonwealth and any affiliate thereof, which is, or the members of
which are, subject to taxation under chapter 62, 63, 64H or 64I.
“Offshore wind organization”, a non-profit institution, adult and
community learning service provider, labor organization, regional
employment board, public or private higher education institution,
vocational-technical
education
institution,
designated
port
management agency or entity or other entity engaged in offshore wind
development that is not an offshore wind company.
SECTION 7. Section 1 of chapter 23J of the General Laws, as
appearing in the 2020 Official Edition, is hereby amended by striking
out the definitions of “Clean energy” and “Clean energy research” and
inserting in place thereof the following 2 definitions:-
“Clean energy”, advanced and applied technologies that
significantly reduce or eliminate the use of energy from non-
renewable sources including, but not limited to: (i) energy efficiency;
(ii) demand response; (iii) energy conservation; or (iv) technologies
powered, in whole or in part, by the sun, wind, water, geothermal
energy, including networked geothermal and deep geothermal energy,
hydrogen produced by non-fossil fuel sources and methods, alcohol,
fuel cells, fusion energy or any other renewable, non-depletable or
recyclable fuel; provided, however, that “clean energy” shall include
an alternative energy generating source as defined in clauses (i) to
(vi), inclusive, of subsection (a) of section 11F½ of chapter 25A.
“Clean energy research”, advanced and applied research in new
clean energy technologies including: (i) solar photovoltaic; (ii) solar
thermal; (iii) wind power; (iv) geothermal energy, including
networked geothermal and deep geothermal energy; (v) wave and tidal
energy; (vi) advanced hydropower; (vii) energy transmission and
distribution; (viii) energy storage; (ix) renewable biofuels, including
ethanol,
biodiesel
and
advanced
biofuels;
(x)
renewable,
biodegradable chemicals; (xi) advanced thermal-to-energy conversion;
(xii) fusion energy; (xiii) hydrogen produced by non-fossil fuel
sources and methods; (xiv) carbon capture and sequestration; (xv)
energy monitoring; (xvi) green building materials; (xvii) energy
efficiency; (xviii) energy-efficient lighting; (xix) gasification and
conversion of gas to liquid fuels; (xx) industrial energy efficiency;
(xxi) demand-side management; and (xxii) fuel cells; provided,
however, that ''clean energy research'' shall not include advanced and
applied research in coal, oil, natural gas or nuclear power other than
fusion energy.
SECTION 8. Section 2 of said chapter 23J, as so appearing, is
hereby amended by striking out subsection (b) and inserting in place
thereof the following subsection:-
(b) The center shall be governed and its corporate powers
exercised by a board of directors consisting of 15 directors: 1 of whom
shall be the secretary of energy and environmental affairs or their
designee, who shall serve as a chair; 1 of whom shall be the secretary
of housing and economic development or their designee; 1 of whom
shall be the secretary of administration and finance or their designee;
1 of whom shall be the secretary of labor and workforce development
or their designee; 1 of whom shall be the president of the University
of Massachusetts or their designee; 1 of whom shall be the executive
director of the Massachusetts Workforce Alliance, Inc.; 1 of whom
shall be the commissioner of energy resources or their designee; and 8
of whom shall be appointed by the governor, 1 of whom shall be a
venture capitalist or a chief executive officer of a Massachusetts-based
clean energy corporation with expertise in clean energy technologies
in the commonwealth, 1 of whom shall be the president of a
Massachusetts community college or their designee, 2 of whom shall
be the presidents of a Massachusetts private college or university or
their designee, 1 of whom shall be a union representative selected
from a list of 3 nominees submitted by the speaker of the house of
representatives, 1 of whom shall be the president of a Massachusetts
state university or college selected from a list of 3 nominees submitted
by the speaker of the house of representatives, 1 of whom shall have
knowledge of electricity distribution, generation, supply or power or
energy economics selected from a list of 3 nominees submitted by the
president of the senate, and 1 of whom shall be selected from a list of
3 nominees submitted by the president of the senate. Each of the 8
directors appointed by the governor, shall serve for a term of 5 years.
A director shall be eligible for reappointment. A director may be
removed from their appointment by the governor for cause. A person
appointed to fill a vacancy in the office of an appointed director of the
board shall be appointed in a like manner and shall serve for only the
unexpired term of the director.
SECTION 9. Said section 2 of said chapter 23J, as so appearing,
is hereby further amended by striking out, in line 66, the word “Six”
and inserting in place thereof the following word:- Eight.
SECTION 10. Subsection (a) of section 3 of said chapter 23J, as
so appearing, is hereby amended by adding the following clause:-
(32) to serve as a focal point, and provide state-wide
coordination, for offshore wind initiatives; provided, that said
responsibilities shall include, but shall not be limited to: (i) working
with public and private higher education institutions in the
commonwealth to coordinate and strengthen offshore wind research
activities in the commonwealth; (ii) strengthening collaborative
research and development between higher education institutions and
companies located within the commonwealth; (iii) addressing critical
barriers facing offshore wind companies in the commonwealth; (iv)
assessing and reporting on infrastructure requirements that support the
growing offshore wind industry in the commonwealth; (v) supporting
the growth of an offshore wind supply chain in the commonwealth;
(vi) supporting and developing offshore wind training initiatives; and
(vii) supporting and growing offshore wind innovation and
entrepreneurship in the commonwealth.
SECTION 11. Section 8 of said chapter 23J, as so appearing, is
hereby amended by inserting after the figure “15A,”, in line 4, the
following
words:-
“municipally-owned
institutions
of
higher
education and”.
SECTION 12. Said section 8 of said chapter 23J, as so appearing,
is hereby further amended by inserting after the word “section”, in line
20, the following words:- , public elementary and secondary schools.
SECTION 13. Said section 8 of said chapter 23J, as so appearing,
is hereby further amended by striking out the third sentence and
inserting in place thereof the following sentence:- The grants shall
include matching grants to such public institutions of higher
education, municipally-owned institutions of higher education, public
elementary and secondary schools and such vocational technical
schools for the development of small-scale renewable clean energy
generating sources, energy storage technologies, energy efficiency
innovations and energy transmission and distribution innovations
including, but not limited to: (i) photovoltaic installations; (ii) wind
energy; (iii) ocean thermal, wave or tidal energy; (iv) fuel cells; (v)
hydrogen produced by non-fossil fuel sources and methods; (vi)
landfill gas; (vii) natural flowing water and hydroelectric; (viii) low-
emission advanced biomass power conversion technologies using
biomass fuels including, but not limited to, agricultural or food
wastes; (ix) renewable biogas, biodiesel or organic refuse-derived
fuel; (x) geothermal energy, including networked geothermal and deep
geothermal energy; and (xi) fusion energy; provided, however, that the
matching grants shall not be awarded for such development if it
includes as sources coal, oil or natural gas resources other than the
sources enumerated here or nuclear power other than fusion energy.
SECTION 14. Said chapter 23J is hereby further amended by
inserting after section 8 the following section:-
Section 8A. (a) There shall be established and placed within the
center a Massachusetts offshore wind industry investment program
that shall be administered by the center, in consultation with the
department of revenue. The purpose of the program shall be to
develop and expand offshore wind industry-related employment
opportunities in the commonwealth and to promote renewable energy-
related economic development in the commonwealth by supporting
and stimulating manufacturing and related supply chain capacity in
the offshore wind industry. Certified offshore wind companies shall be
eligible for participation in the program, which shall consist of the
offshore wind tax incentive program established in subsection (d) and
access to expenditures pursuant to the Massachusetts Offshore Wind
Industry Investment Trust Fund established in section 9A.
(b) The center may, upon a majority vote of the board, certify an
offshore wind company as a certified offshore wind company upon: (i)
the timely receipt, as determined by the center, of a certification
proposal supported by independently verifiable information, signed
under the pains and penalties of perjury by a person expressly
authorized to contract on behalf of the offshore wind company and
shall include, but not be limited to, an estimate of the projected new
state revenue the offshore wind company expects to generate during
the period for which the company seeks certification, together with a
plan that shall include, but not be limited to: (1) precise goals and
objectives, by which the offshore wind company proposes to achieve
the projected new state revenue; (2) an estimate of the number of
permanent full-time employees to be hired or retained; (3) an estimate
of the year in which the company expects to hire or retain the
employees; (4) an estimate of the projected average salaries of said
employees; (5) an estimate of the projected taxable income pursuant to
chapter 62 generated by said employees; (6) an estimate of the
methods by which the company shall obtain new employees and
pursue a diverse workforce; and (7) if applicable, an estimate of the
company’s planned capital investment in the commonwealth; and (ii)
findings made by the center, based on the certification proposal,
documents submitted therewith and any additional investigation by the
center that shall be incorporated in its approval, that: (1) the offshore
wind company is likely to contribute substantially to the manufacture,
fabrication and assembly within the commonwealth of domestic
supply chain components of the offshore wind industry; (2) the
offshore wind company has a substantial likelihood of meeting all
statutory requirements and any other criteria that the center, in
consultation with the department of revenue, may prescribe including,
but not limited to, criteria in the following areas: (A) leveraging
additional funding or attracting additional resources to the
commonwealth; (B) increasing the manufacture, fabrication and
assembly within the commonwealth of domestic supply chain
components of the offshore wind industry; and (C) creating
employment in the commonwealth; and (3) the offshore wind
company has a substantial likelihood of meeting its state revenue,
employment growth and applicable capital investment projections, as
specified in the certification proposal, over the period for which it
receives benefits.
(c)(1) Certification granted pursuant to subsection (b) shall be
valid for 5 years starting with the tax year in which certification is
granted. Each certified offshore wind company shall file an annual
report with the center and the department of revenue certifying
whether it has met the specific targets established in the proposal
pursuant to clause (i) of subsection (b) and, if not, detailing its
progress towards those targets.
(2) The certification of an offshore wind company may be
revoked by the center after an investigation by the center, in
consultation with the department of revenue, and a determination that
the certified offshore wind company is in material noncompliance
with its certification proposal; provided, however, that the center shall
review said certified offshore wind company at least annually.
Revocation shall take effect on the first day of the tax year in which
the center determines the certified offshore wind company to be in
material noncompliance. The commissioner of revenue shall, as of the
effective date of the revocation, disallow any credits, exemptions or
other tax benefits allowed by the original certification of tax benefits
under this section. The department of revenue shall issue regulations
to establish a process to recapture the value of any credits, exemptions
or other tax benefits allowed by the certification under this section.
For the purposes of this paragraph, “material noncompliance” shall
mean the failure of a certified offshore wind company to substantially
achieve the new state revenue, job growth and capital investment
projections set forth in its certification proposal or any other act,
omission or misrepresentation by the certified offshore wind company
that frustrates the public purpose of the Massachusetts offshore wind
industry investment program.
(3) Nothing in this subsection shall limit any legal remedies
available to the commonwealth against any certified offshore wind
company.
(d) There shall be established an offshore wind tax incentive
program. The center, in consultation with the department of revenue,
may annually authorize incentives, including those established in
subsections (aa) and (bb) of section 6 of chapter 62 and sections 38KK
and 38LL of chapter 63, that shall not exceed $35,000,000 annually.
The center, in consultation with the department of revenue, may limit
the incentives to a specific dollar amount or time duration or in any
other manner deemed appropriate by the department of revenue;
provided, however, that the department of revenue shall only allocate
the incentives among certified offshore wind companies.
The center, in consultation with the department of revenue, shall
provide an estimate to the secretary of administration and finance of
the tax cost of extending benefits to a proposed project before
certification, as approved by the commissioner of revenue, based on
reasonable projections of project activities and costs. Tax incentives
shall not be available to a certified offshore wind company unless
expressly granted by the secretary of administration and finance in
writing.
SECTION 15. Said section 8A of said chapter 23J, as inserted by
section 14 of this act, is hereby amended by striking out subsection (a)
and inserting in place thereof the following subsection:-
Section 8A. (a) There shall be established and placed within the
center a Massachusetts offshore wind industry investment program
that shall be administered by the center, in consultation with the
department of revenue. The purpose of the program shall be to
develop and expand offshore wind industry-related employment
opportunities in the commonwealth and to promote renewable energy-
related economic development in the commonwealth by supporting
and stimulating manufacturing and related supply chain capacity in
the offshore wind industry. Certified offshore wind companies shall be
eligible for participation in the program, which shall consist of access
to expenditures pursuant to the Massachusetts Offshore Wind Industry
Investment Trust Fund established in section 9A.
SECTION 16. Said section 9 of said chapter 23J, as so appearing,
is hereby further amended by inserting after the word “projects” , in
line 118, the following words:- including networked geothermal and
deep geothermal energy.
SECTION 17. Section 9 of said chapter 23J, as so appearing, is
hereby amended by striking out, in line 55the words “and (vi)” and
inserting in place thereof following words:- “(vi) the achievement of
the greenhouse gas reduction limits and sublimits established in
chapter 21N; (vii) the facilitation of clean energy supply chain
opportunities; and (viii).
SECTION 18. Said chapter 23J is hereby further amended by
striking out section 9A, inserted by section 13 of chapter 102 of the
acts of 2021, and inserting in place thereof the following section:-
Section 9A. (a) There shall be established and placed within the
center a trust fund to be known as the Massachusetts Offshore Wind
Industry Investment Trust Fund to be held by the center separate and
apart from its other funds. The trust fund shall be credited with: (i) any
appropriations, bond proceeds or other monies authorized by the
general court and specifically designated to be credited thereto; (ii)
funds from public and private sources and other gifts, grants and
donations; and (iii) any income derived from the investment of
amounts credited to the trust fund. All amounts credited to the trust
fund shall be held in trust and used solely for activities and
expenditures consistent with the public purpose of the trust fund
pursuant to subsection (b), and the ordinary and necessary expenses of
administration and operation associated with the trust fund. All
available monies in the trust fund that are unexpended at the end of
each fiscal year shall not revert to the General Fund and shall be
available for expenditure in the subsequent fiscal year.
(b) To advance the following public purposes for the offshore
wind industry in the commonwealth, the center shall make
expenditures from the trust fund to:
(1) promote the manufacture, fabrication and assembly within the
commonwealth of domestic supply chain components of the offshore
wind industry and new or existing advanced technologies and offshore
wind research;
(2) advance clean energy research, technology and innovation by
assisting
commonwealth-based
investors,
entrepreneurs
and
institutions, inclusive of federally recognized and state acknowledged
tribes within the commonwealth, involved in the offshore wind energy
industry;
(3) convene and manage multi-institutional research teams,
including a state-wide research partnership tasked with coordinating
between member institutions, the center, federal partners, partners
from other states and international partners;
(4) stimulate increased financing for the siting and expansion of
permanent
offshore
wind
manufacturing
facilities
in
the
commonwealth by providing financing for the construction or
expansion of new or substantially renovated facilities;
(5) provide funding for planning, technical and program support
to assist a certified offshore wind company with interconnection
studies or plans;
(6) support the revitalization and development of ports in the
commonwealth to support the offshore wind industry;
(7) prepare individuals for offshore wind careers by supporting
workforce training provided at: (i) state and municipal public higher
education institutions, private higher education institutions and
vocational-technical education institutions, including basic safety
training and basic technical training programs; provided, that the
center shall prioritize awards to education institutions seeking
accreditation in internationally recognized training standards,
including, but not limited to, standards developed by the Global Wind
Organisation; (ii) state and municipal public higher education
institutions, private higher education institutions and vocational-
technical education institutions for the development, expansion and
promotion of offshore wind professional certificate programs and
courses tailored to careers in the offshore wind industry; (iii) state and
municipal public higher education institutions, private higher
education institutions and vocational-technical education institutions
for the sponsorship of award, scholarship and paid internship
programs to support the education and training of individuals seeking
careers in the offshore wind industry; provided, that the center shall
prioritize the promotion of careers in the skilled trades, water
transportation, operations and maintenance and other occupations that
the center may identify as high priority; and (iv) regional employment
boards, to develop regional strategies to support the development of
the offshore wind industry, which strategies may be published as
addenda to their workforce development blueprints; provided, that
recipients of funds under this clause shall demonstrate a commitment
to workforce training for members of socially or economically
disadvantaged communities;
(8) secure future federal funding to support the offshore wind
industry;
(9) support the development and coordination of secondary,
vocational-technical and higher education programs related to the
offshore wind industry;
(10) support site remediation, preparation and ancillary
infrastructure improvement projects related to the manufacture,
fabrication, and assembly within the commonwealth of domestic
supply chain components of the offshore wind industry;
(11) provide funding for planning, technical and program support
to enable a municipality or group of municipalities with an approved
municipal load aggregation plan authorized pursuant to section 134 of
chapter 164, or with approved aggregations authorized pursuant to
section 137 of said chapter 164 and other private aggregations with
plans approved by the center, to enter into a long-term contract to
purchase electricity from an offshore wind developer; and
(12) otherwise further the public purposes set forth in this section.
(c) In furtherance of the public purposes set forth in subsection
(b), the center may expend monies from the trust fund to: (i) make
grants, contracts, loans, equity investments, energy production credits,
bill credits or rebates available to customers; (ii) provide financial or
debt service obligation assistance; or (iii) take any other action, in
such forms, under such terms and conditions and under such selection
procedures as the center deems appropriate and otherwise in a manner
consistent with good business practices; provided, that the center shall
conduct, when practicable, competitive procurements; provided
further, that the center shall endeavor to leverage the full range of
resources, expertise and participation of other state and federal
agencies and instrumentalities in the design and implementation of
programs conducted pursuant to this section; and provided further,
that the board shall determine and incorporate into the minutes of its
proceedings a finding that any such action is calculated to advance the
public purpose and public interests set forth in this section.
(d) The center shall make no expenditure from the trust fund
unless: (i) the expenditure has been approved by a majority vote of the
board; (ii) the recipient is an offshore wind company or offshore wind
organization; provided, that an offshore wind company that has not
been certified pursuant to section 8A shall not receive an award in an
amount greater than $5,000,000; (iii) the center finds, to the extent
possible, that a definite benefit to the commonwealth’s economy may
reasonably be expected from said expenditure; and (iv) the
expenditure conforms with any rules the board may adopt to
administer the trust fund. In evaluating a request or application for
funding,
the
center
shall
consider
the
following:
(i)
the
appropriateness of the project; (ii) whether the project has significant
potential to expand employment; (iii) the project’s potential to
enhance technological advancements; (iv) the project’s potential for
leveraging additional funding or attracting resources to the
commonwealth; and (v) the project’s potential to promote
manufacturing in the commonwealth.
(e) Subject to the approval of the board and not inconsistent with
any strategic or annual operational plans, investment activity of
monies from the trust fund by the center may include: (i) an equity
fund to provide risk capital to offshore wind companies, offshore wind
organizations and projects; (ii) a debt fund to provide loans to offshore
wind companies, offshore wind organizations, projects, intermediaries
and end-users; and (iii) a market growth assistance fund to be used to
attract private capital to the equity and debt funds. To implement these
investment activities, the center may retain, through a bid process,
public or private sector investment fund managers, who shall have
prior knowledge and experience in fund management and possess
related skills in offshore wind, renewable energy or related
development, to direct the investment activity described in this section
and to seek other fund co-sponsors to contribute public and private
capital from the commonwealth and other states; provided, however,
that such capital shall be appropriately segregated. Subject to the
approval of the board, the managers may retain necessary services and
consultants to carry out the purposes of the trust fund. The managers
shall develop a business plan to guide investment decisions, which
shall be approved by the board before any expenditure from the trust
fund and which shall be consistent with the plan for the trust fund as
adopted by the board.
(f) The center shall not make expenditures from or commit the
assets of the trust fund if the amount of the trust fund is less than the
minimum requirement established by the board.
SECTION 19. Said chapter 23J is hereby further amended by
striking out section 13, inserted by section 14 of chapter 8 of the acts
of 2021, and inserting in place thereof the following section:-
Section 13. (a) There shall be within the center a clean energy
equity workforce and market development program to provide
workforce training, educational and professional development, job
placement, startup opportunities and grants to: (i) certified minority-
owned and women-owned small business enterprises; (ii) other
businesses or communities underrepresented in the clean energy
workforce or clean energy industry; (iii) individuals residing within an
environmental justice or low-income community; (iv) current and
former workers from the fossil fuel industry; and (v) federally
recognized and state acknowledged tribes within the commonwealth.
The program shall promote participation, inclusive of federally
recognized and state acknowledged tribes in the commonwealth, in the
commonwealth’s energy efficiency, clean energy and clean heating
and cooling industries and promote access to employment
opportunities in clean energy, clean transportation, electrification, and
energy efficiency. The program shall: (i) identify the employment
potential of the energy efficiency and clean energy industries and the
skills and training needed for workers in those fields; (ii) support
clean energy community-based programs and maximize energy
efficiency and clean energy employment opportunities for members of
federally recognized and state acknowledged tribes in the
commonwealth, certified minority-owned and women-owned small
business
enterprises,
other
businesses
or
communities
underrepresented in the clean energy workforce or clean energy
industry and individuals residing within an environmental justice or
low-income community; (iii) provide grants and support to expand
employment in the clean energy, clean transportation, building
electrification and energy efficiency sectors, including employment
with organizations promoting climate resilience in those communities
with a focus on mitigating the impacts of extreme heat and other
climate-driven
disasters,
to
federally
recognized
and
state
acknowledged tribes in the commonwealth, certified minority-owned
and women-owned small business enterprises, other businesses or
communities underrepresented in the clean energy workforce or clean
energy industry and community-based organizations and organizations
serving environmental justice and low-income communities; (iv)
identify barriers to the creation of clean energy employment
opportunities for federally recognized and state acknowledged tribes
in the commonwealth and certified minority-owned and women-
owned small business enterprises; (v) document shortcomings,
including relevant statistical benchmarks and indicators, in past and
current efforts to diversify workforces employed on projects and in
positions in the various clean energy sectors; (vi) identify near-term
employment opportunity and workforce diversification goals
consistent with the state’s clean energy and climate change
requirements; (vii) focus on developing skills, training and
employment opportunities for minority-owned businesses; (viii) make
recommendations to the general court for policies to promote
employment growth, workforce diversity and access to jobs in the
clean energy industry; and (ix) identify opportunities for collaboration
and mentorship between grant recipients and vocational schools
receiving grants.
(b) There shall be a program coordinator to administer the
program established in subsection (a). In addition to administering the
program set forth in subsection (a), the program coordinator shall
prepare guidance on best practices to promote diversity, equity and
inclusion opportunities in the clean energy industry. Offshore wind
developers, as defined in section 83B of chapter 169 of the acts of
2008, as amended, may consult the program coordinator in the
development of diversity, equity and inclusion opportunity provisions
within their proposals pursuant to clause (v) of paragraph (1) of
subsection (e) of section 83C of said chapter 169, and the program
coordinator shall provide feedback and recommendations. The
program coordinator shall produce an annual report detailing: (i) the
activities of the clean energy equity workforce and market
development program; (ii) the progress on workforce diversity plans
and supplier diversity program plans submitted by offshore wind
developers pursuant to said subclause (K) of clause (v) of paragraph
(1) of subsection (e) of said section 83C of said chapter 169; and (iii)
plans for continued programming by the center to achieve the
commonwealth’s diversity, equity and inclusion goals.
(c) The department of public utilities shall annually direct the
electric and gas distribution companies and municipal aggregators
with certified energy plans to jointly transfer funds collected pursuant
to section 19 of chapter 25 to the center for the purposes of
implementing the clean energy equity workforce and market
development program; provided, that the electric and gas distribution
companies and municipal aggregators with certified energy plans shall
transfer not less than $12,000,000 no later than December 31 each
year. Such transfer shall not reduce the amount expended on low-
income programs pursuant to subsection (c) of said section 19 of said
chapter 25.
SECTION 20. Section 14 of said chapter 23J, inserted by section
11 of chapter 24 of the acts of 2021, is hereby repealed.
SECTION 21. Said chapter 23J is hereby further amended by
adding the following section:-
Section 15. (a) There shall be established and placed within the
center a separate fund to be known as the Clean Energy Investment
Fund to be administered by the center. The fund shall be credited with:
(i) revenue from appropriations or other money authorized by the
general court and specifically designated to be credited to the fund;
(ii) interest earned on such revenue; and (iii) funds from public and
private sources and other gifts, grants and donations to support the
clean energy industry. All amounts credited to the fund shall be used
solely for activities and expenditures consistent with the public
purposes of the fund as set forth in subsection (b), including the
ordinary and necessary expenses of administration and operation
associated with the fund. Amounts credited to the fund shall not be
subject to further appropriation, and any money remaining in the fund
at the end of a fiscal year shall not revert to the General Fund.
(b) The center may make expenditures from the fund solely for
the purposes of:
(i) advancing clean energy research and technology by assisting
commonwealth-based investors, entrepreneurs and institutions,
inclusive of federally recognized and state acknowledged tribes within
the commonwealth, involved in the clean energy industry;
(ii) deploying clean energy technologies to advance compliance
with the statewide greenhouse gas emission limits and sublimits
established pursuant to chapter 21N;
(iii) providing clean energy industry-related workforce development
and technical training programs for public higher education and
vocational-technical education institutions;
(iv) developing a regional strategy, inclusive of federally
recognized and state acknowledged tribes within the commonwealth,
for regional employment boards to support the development of the
clean energy industry; provided, however, that the regional
employment boards shall publish their findings as an addendum to
their workforce development blueprints;
(v) supporting infrastructure including, but not limited to, port
and canal infrastructure development related to supporting the clean
energy industry in the commonwealth, including on tribal lands;
(vi) matching funds to secure future federal funding to support the
clean
energy
industry
and
clean
energy
research
in
the
commonwealth, including on tribal lands;
(vii) supporting research and development in the clean energy
industry including, but not limited to, the interrelationship between
clean energy infrastructure and existing natural habitats, ecosystems
and dependent species;
(viii) supporting improved outcomes from the development of clean
energy resources;
(ix) supporting the long-term coexistence and sustainability of the
fishing and clean energy industries; and
(x) providing for the necessary and reasonable administrative and
personnel costs of the center or of the executive office of energy and
environmental affairs related to administering the fund.
(c) In furtherance of the public purposes set forth in subsection
(b), the center may expend monies from the fund to: (i) make grants,
contracts, loans, equity investments, energy production credits, bill
credits or rebates available to customers; (ii) provide financial or debt
service obligation assistance; or (iii) take any other action, in such
forms, under such terms and conditions and under such selection
procedures as the center deems appropriate and otherwise in a manner
consistent with good business practices; provided, that the center shall
conduct, when practicable, competitive procurements; provided
further, that the center shall endeavor to leverage the full range of
resources, expertise and participation of other state and federal
agencies and instrumentalities in the design and implementation of
programs conducted pursuant to this section; and provided further,
that the board shall determine and incorporate into the minutes of its
proceedings a finding that any such action is calculated to advance the
public purpose and public interests set forth in this section. Qualified
investment transactions undertaken by the center pursuant to this
section shall not be subject to chapter 175 and shall not constitute a
debt or pledge of the faith and credit of the commonwealth, the center
or any subdivision of the commonwealth and shall be payable solely
from the Clean Energy Investment Fund. The fund’s activity shall be
included in the annual report required by the second paragraph of
section 5.
SECTION 22. Section 1 of chapter 23M of the General Laws, as
appearing in the 2020 Official Edition, is hereby amended by striking
out the definition of “Commercial energy improvements” and
inserting in place thereof the following definition:-
“Commercial energy improvements”, any new construction,
renovation or retrofitting of a qualifying commercial or industrial
property to reduce energy consumption or installation of renewable
energy systems to serve qualifying commercial or industrial property;
provided, however, that such new construction, renovation, retrofit or
installation is permanently fixed to such qualifying commercial or
industrial property.
SECTION 23. Section 21 of chapter 25 of the General Laws is
hereby amended by striking out, in lines 9 and 91, as so appearing, the
words “April 30” and inserting in place thereof, in each instance, the
following words:- March 31.
SECTION 24. Said section 21 of said chapter 25 is hereby further
amended by inserting after the word “technologies”, in line 58, as so
appearing, the following words:- including, but not limited to,
programs that combine efficiency and electrification with renewable
generation and storage.
SECTION 25. Said section 21 of said chapter 25 is hereby further
amended by striking out the word “and”, inserted by section 24 of
chapter 8 of the acts of 2021, the last time it appears.
SECTION 26. The first sentence of paragraph (2) of subsection
(b) of said section 21 of said chapter 25, as most recently amended by
said section 24 of said chapter 8, is hereby further amended by adding
the following 4 clauses:- ; (xi) no spending on incentives, programs or
support for systems, equipment, workforce development or training as
they relate to new fossil fuel equipment unless such spending is for
low-income households, emergency facilities, hospitals, a backup
thermal energy source for a heat pump, or hard to electrify uses, such
as industrial processes; (xii) consideration of historic and present
program participation by low and moderate-income households,
including households that rent; (xiii) strategies and investments that
the programs will undertake to achieve equitable access and reduce or
eliminate any disparities in program uptake; and (xiv) a method for
capturing the following data to assess the plan’s services to low-
income ratepayers: (A) the total number of ratepayers per municipality
served; (B) the total energy efficiency surcharge dollars paid by
ratepayers as part of their utility bills per municipality served; and (C)
the total incentives provided by the program administrators by
municipality served, delineated by utility and sector, including
residential, residential low-income, commercial and industrial.
SECTION 27. Said section 21 of said chapter 25 is hereby further
amended by inserting after the word “bodies,”, in line 75, as appearing
in the 2020 Official Edition, the following words:- maximizing net
climate, environmental and equity impacts.
SECTION 28. Said section 21 of said chapter 25 is hereby further
amended by striking out, in line 121, as so appearing, the figure “90”
and inserting in place thereof the following figure:- 120.
SECTION 29. Said section 21 of said chapter 25 is hereby further
amended by inserting after the word “section”, in line 124, the
following words:- and considered climate, environmental and equity
benefits,
SECTION 30. Said section 21 of said chapter 25, as most recently
amended by section 28 of chapter 8 of the acts of 2021, is hereby
further amended by adding the following subsection:-
(f) The need for a program administrator to prepare for meetings
with the council during the department’s 120-day review period after
submission of a plan shall not constitute good cause in a motion for an
extension of time to respond to discovery or in a motion for an
extension of time to respond to a record request.
SECTION 31. Section 22 of said chapter 25 is hereby amended
by striking out subsection (d), as amended by sections 29 and 30 of
said chapter 8, and inserting in place thereof the following
subsection:-
(d) The electric and natural gas distribution companies and
municipal aggregators shall provide quarterly reports to the council on
the implementation of their respective plans. The reports shall include:
(i) a description of the program administrator’s progress in
implementing the plan; (ii) a summary of the savings secured to date;
(iii) a quantification of the degree to which the activities undertaken
pursuant to each plan contribute to meeting all greenhouse gas
emission limits and sublimits imposed by law or regulation; and (iv)
such other information as the council shall determine. Annually, as
part of a quarterly report, the electric and natural gas distribution
companies and municipal aggregators, in order to assess the plan’s
services to low-income ratepayers, shall provide, consistent with the
method approved by the department: (i) the total number of ratepayers
per municipality served; (ii) the total energy efficiency surcharge
dollars paid by ratepayers as part of their utility bills per municipality
served; and (iii) the total incentives provided by the program
administrators by municipality served, delineated by utility and sector,
including residential, residential low-income, commercial and
industrial. The council shall provide an annual report to the
department and the joint committee on telecommunications, utilities
and energy on the implementation of the plan. The annual report shall
include descriptions of the programs, expenditures, cost-effectiveness
and savings and other benefits during the previous year and a
quantification of the degree to which the activities undertaken
pursuant to each plan contribute to meeting all greenhouse gas
emission limits and sublimits imposed by law or regulation. The
quarterly and annual reports shall be made available to the public.
SECTION 32. Clause 13 of section 6 of chapter 25A of the
General Laws, as appearing in section 31 of said chapter 8, is hereby
amended by striking out the words “exceed the costs of such
improvements” and inserting in place thereof the following words:-
exceed required energy code requirements at the time of project
permitting or the project meets another nationally-recognized building
standard for energy performance as deemed appropriate by the
department
of
energy
resources
in
coordination
with
the
Massachusetts Development Finance Agency.
SECTION 33. Section 11F of chapter 25A of the General Laws is
hereby amended by striking out, in line 40, 81 and 82 and 114, as
appearing in the 2020 Official Edition, the word “biomass”.
SECTION 34. Said section 11F of said chapter 25A is hereby
further amended by striking out, in lines 41, 82 and 115, as so
appearing, the word “wood, by-products” and inserting in place
thereof, in each instance, the following word:- by-products.
SECTION 35. Subsection (b) of said section 11F of said chapter
25A, as so appearing, is hereby amended by striking out the second
sentence.
SECTION 36. Said section 11F of said chapter 25A is hereby
further amended by inserting after the word “gas”, in line 145, as so
appearing, the following words:- , woody biomass.
SECTION 37. Section 14 of said chapter 25A, as so appearing, is
hereby amended by striking out subsection (a) and inserting in place
thereof the following subsection:-
(a) A state agency, building authority, local governmental body or
the judiciary may contract for energy conservation projects that have a
total project cost of $300,000 or less, directly and without further
solicitation, with electric and gas utilities, their subcontractors and
other providers of such energy conservation projects authorized under
sections 19 and 21 of chapter 25 and section 11G. For the purposes of
this section, “energy conservation projects” shall mean projects to
promote energy conservation including, but not limited to: (i) energy
conserving modification to windows and doors; (ii) caulking and
weatherstripping; (iii) insulation; (iv) automatic energy control
systems; (v) hot water systems; (vi) equipment required to operate
variable steam, hydraulic and ventilating systems; (vii) plant and
distribution system modifications; (viii) devices for modifying fuel
openings; (ix) electrical or mechanical furnace ignition systems; (x)
utility plant system conversions; (xi) replacement or modification of
lighting fixtures; (xii) energy recovery systems; (xiii) on-site electrical
generation equipment using new renewable energy generating sources
as defined in section 11F; (xiv) decarbonization activities; and (xv)
cogeneration systems.
SECTION 38. Section 16 of said chapter 25A, as so appearing, is
hereby amended by inserting after the word “section”, in line 1, the
following words:- and section 19,
SECTION 39. Subsection (a) of said section 16 of said chapter
25A, as so appearing, is hereby amended by adding the following 2
definitions:-
“Qualifying zero-emission vehicle”, a new or used motor vehicle:
(i) that is a zero-emission vehicle; (ii) that has been manufactured
primarily for use on public streets, roads and highways; (iii) that is
registered within the commonwealth; (iv) whose purchaser’s or
lessee’s primary residence or business location is within the
commonwealth; and (v) whose purchaser or lessee files proof of
primary residency and each qualifying vehicle’s registration within the
commonwealth not later than 90 days after purchase.
“Zero-emission vehicle”, a motor vehicle that produces no engine
exhaust carbon emissions.
SECTION 40. Section 17 of said chapter 25A, as so appearing, is
hereby amended by adding the following subsection:-
(e) Anaerobic digestion biogas-to-energy and landfill gas-to-
energy facilities, referred to in this subsection as “anaerobic digestion
facilities”,) that are in located in the commonwealth and are both
operational and qualified as Class I renewable energy generating
sources under section 11F prior to November 7, 2018shall be eligible
to participate in the Clean Peak Standard incentive program via a 1-
time procurement for Class I renewable energy certificates which are
generated by existing anaerobic digestion facilities. The department
shall determine eligibility criteria for existing anaerobic digestion
facilities to participate in the 1-time procurement, with the total
megawatt-hours being procured equal to the combined capacity of all
eligible facilities for up to a 10-year term beginning January 1, 2023.
The megawatt-hour quantities shall be bid on a unit contingent basis.
The 1-time procurement shall include a floor price sufficient to
stimulate the development of anaerobic digestion facilities.
SECTION 41. Said chapter 25A is hereby further amended by
adding the following 2 sections:-
Section 19. (a) There shall be an Electric Vehicle Adoption
Incentive Trust Fund to be expended, without further appropriation, by
the department of energy resources for funding electric vehicle
incentive programs consistent with this section. The fund shall be
credited with: (i) money from public and private sources, including
gifts, grants and donations; (ii) interest earned on such money; (iii)
any other money authorized by the general court and specifically
designated to be credited to the fund; and (iv) any funds provided
from other sources. No expenditure from the fund shall cause the fund
to be deficient at the close of a fiscal year. Revenues deposited in the
fund that are unexpended at the end of a fiscal year shall not revert to
the General Fund and shall be available for expenditure in the
following fiscal year.
(b)(1) The department shall establish a program of rebates and
other financial incentives to parties, including federally recognized
and state acknowledged tribes in the commonwealth, that purchase or
lease a new or used qualifying zero-emission vehicle in the
commonwealth. The program shall apply to individual and corporate
fleet purchases and leases of passenger cars and light duty, medium
duty and heavy duty trucks, buses and vans; provided, however, that
no rebate or other financial incentive shall be made available under
this section for a used zero-emission vehicle that was bought new or
used within the previous 24 months, a zero-emission vehicle that is a
passenger car or light duty truck with a sales price that exceeds
$55,000 or for a zero-emission vehicle that is leased for a period of
less than 36 months. The department shall set a maximum sales price
for medium duty or heavy duty trucks, buses and vans.
(2) The program may include a point-of-sale rebate model for
individual purchases that offers consumers savings at the point of
purchase or lease.
(3) The department shall offer a program to provide low-income
individuals with a $1,500 rebate which shall be in addition to the
rebate provided for in subsection (c); provided, however, that the
department shall establish income guidelines and other requirements
for said low-income program.
(c) The department shall provide a rebate of not less than $3,500
and not more than $5,000 for a qualifying zero-emission vehicle that
is a passenger car or a light duty truck and meets the requirements
under subsection (b).
(d) The department shall provide a rebate, to be set by the
department, which shall not be less than $4,500, for the purchase or
lease of: (i) a qualifying zero-emission vehicle that is a medium duty
or heavy duty truck, bus or van; or (ii) a qualifying zero-emission
vehicle under said subsection (b) if an individual is purchasing or
leasing the vehicle and trading in a vehicle with market value that has
an internal combustion engine that is not an electric vehicle as defined
in section 16; provided, however, that the vehicle with an internal
combustion engine has been continuously registered for the previous 2
years: (A) in the commonwealth; and (B) to the consumer or the
consumer’s immediate family; provided further, that within a fiscal
year, the total dollar value of rebates provided pursuant to this
subsection shall not exceed a percentage, which shall be established
by the department, of the total dollar value of rebates projected to be
provided pursuant to this section within said fiscal year; provided
further, that the department shall make reasonable efforts to achieve
accuracy in making said projection.
(e) The department shall publish and regularly update cumulative
data regarding usage of the programs established pursuant to this
section including, but not limited to, the number and dollar value per
calendar year of rebates and incentives provided, sortable by: (i) zip
code, municipality, make, model, dealership and whether ownership is
personal or corporate; (ii) vehicle type; and (iii) vehicle weight. Such
information shall be published annually, not later than September 30,
on a website maintained or provided for by the department. Annually,
the department shall compile the data required to be collected under
this subsection in a report to be filed not later than September 30 for
the previous calendar year with the senate and house committees on
ways and means, the joint committee on transportation and the joint
committee on telecommunications, utilities and energy. The report
shall include an analysis of the programs established in this section
including, but not limited to, by examining historic and present
participation of low-income and moderate-income households,
examining participation among demographic groups, including data
by race and ethnicity, and recommending strategies and investments to
reduce or eliminate any disparities in program participation ; provided,
however, that, every 3 years, the report shall also examine the cost-
effectiveness of the programs in reducing greenhouse gas emissions,
using recent multi-year data. Annually, not later than June 30, the
department shall provide the underlying disaggregated dataset used to
populate the database including, but not limited to, vehicle-level data,
to the Massachusetts Department of Transportation.
(f) The department shall establish a linguistically diverse and
culturally competent outreach campaign, which shall be print
accessible and accessible to English language learners, to inform
dealers, vehicle salespeople, consumers and businesses in underserved
communities, communities with high percentages of low-income
households and communities with high proportions of high emissions
vehicles about the programs and incentives established pursuant to
this section. The department may expend not more than 5 per cent of
money in the fund for said outreach campaign.
(g) The department may promulgate regulations to implement this
section.
Section 20. (a) For purposes of this section, the following words
shall have the following meanings, unless the context clearly requires
otherwise:-
“Building”, a building or multiple buildings on a parcel, or any
grouping of buildings designated by the department as an appropriate
reporting unit for the purposes of this section.
“Energy”, electricity, natural gas, steam, hot or chilled water,
heating oil, propane or other products designated by the department
that are used for heating, cooling, lighting, industrial and
manufacturing processes, water heating, cooking, clothes drying or
other purposes.
“Gross floor area”, the total floor area contained within a building
measured to the external face of the external walls.
“Large building”, a building with at least 20,000 square feet of
gross floor area; provided, however, that the department may establish
by regulation a lower threshold for a building to be considered a large
building under this section.
“Owner”, the owner of record of a building or a designated agent
thereof including, but not limited to, an association or organization of
unit owners responsible for management of a condominium, the board
of directors of a cooperative apartment corporation or the net lessee of
a building subject to a net lease with a term of not less than 30 years,
inclusive of all renewal options.
(b) Annually, not later than March 30, the department shall
publish on its website a list of buildings that qualify as large buildings
for the purpose of this section.
(c) Annually, not later than June 30, each electric, gas and steam
distribution company shall report to the department the total amounts
of electricity, natural gas and steam used during the previous calendar
year by each large building in the commonwealth that has an account
with the distribution company.
(d) Annually, not later than June 30, owners of large buildings
shall report to the department any energy used during the previous
calendar year that is not covered by subsection (b); provided,
however, that an owner shall not be required to report energy ordered,
delivered and charged directly to a tenant if the owner sends a written
request for energy use information to the tenant not later than April 30
of the same year, does not receive a response from the tenant by June
25 of the same year and provides evidence of the request to the
department.
(e) The department shall establish a deadline extension and
alternative compliance pathway process for owners who, in the
judgment of the department, demonstrate cause for such a deadline
extension and alternative compliance pathway.
(f) Annually, not later than October 31, the department shall make
available on its website energy use information for the previous
calendar year for each large building on a building-specific basis. The
department shall use appropriate practices to prevent the public
disclosure of personally identifying information regarding owners and
tenants. The information shall be published in database format, fully
text-searchable and readily sortable by municipality, zip code and all
the data elements in the database. The department shall also prepare
an annual comprehensive report on large building energy performance
utilizing the information and data collected under this subsection. The
database and each annual report shall be public records.
(g) The department shall ensure that electric and gas distribution
companies provide owners of buildings subject to this section with up-
to-date information about energy efficiency opportunities, including
incentives in utility-administered or other energy efficiency programs.
(h) The department may establish civil penalties for failure to
comply with the requirements of this section; provided, however, that
no such penalty shall be assessed on or passed through to a lessee of a
unit within a large building that comprises less than 5 per cent of the
total gross floor area of the large building; and provided further, that
civil penalties under this subsection shall not exceed $150 per day.
(i) Nothing in this section shall prohibit the enforcement of large
building reporting requirements previously established by the city of
Boston or the city of Cambridge and further amendments or
improvement thereto that exceed those reporting requirements
established pursuant to this section.
SECTION 42. Section 2A of chapter 61A of the General Laws is
hereby amended by striking out subsections (b) and (c), as appearing
in the 2020 Official Edition, and inserting in place thereof the
following 3 subsections:-
(b) In addition to the use provided for in subsection (a), land used
primarily and directly for agricultural purposes pursuant to section 1
or land used primarily and directly for horticultural use pursuant to
section 2 may, in addition to being used primarily and directly for
agriculture or horticulture, be used to site a renewable energy
generating source as defined in subsection (b) of section 11F of
chapter 25A that qualifies in accordance with a solar incentive
program for agriculture or horticulture sectors developed by the
department of energy resources, if such renewable energy generating
source does not impede the continued use of the land for agricultural
or horticultural purposes pursuant to this chapter.
(c) Land used primarily and directly for agricultural purposes
pursuant to section 1 or land used primarily and directly for
horticultural purposes pursuant to section 2 shall be deemed to be in
agricultural or horticultural use pursuant to this chapter if used to
simultaneously site a renewable energy generating source pursuant to
subsection (a) or subsection (b).
(d) Renewable energy generating sources located on land used
primarily and directly for agricultural purposes pursuant to section 1
or land used primarily and directly for horticultural purposes pursuant
to section 2 shall be subject to the provisions afforded to land used for
agriculture under section 3 of chapter 40A.
SECTION 43. Section 13 of said chapter 61A, as so appearing, is
hereby amended by inserting after the word “years”, in line 35, the
following words:- , or 10 years where the land has been used to
simultaneously site a renewable energy generating source pursuant to
section 2A,.
SECTION 44. Section 6 of chapter 62 of the General Laws, as so
appearing, is hereby amended by adding the following 2 subsections:-
(aa)(1) A taxpayer, to the extent authorized by the offshore wind
tax incentive program established in subsection (d) of section 8A of
chapter 23J, may be allowed a refundable jobs credit against the tax
liability imposed under this chapter in an amount determined by the
Massachusetts clean energy technology center established in section 2
of chapter 23J, in consultation with the department.
(2) A taxpayer taking a credit under this subsection shall commit
to the creation of a minimum of 50 net new permanent full-time
employees in the commonwealth.
(3) A credit allowed under this subsection shall reduce the
liability of the taxpayer under this chapter for the taxable year. If a
credit claimed under this subsection by a taxpayer exceeds the
taxpayer’s liability as otherwise determined under this chapter for the
taxable year, 90 per cent of such excess credit, to the extent authorized
by the offshore wind tax incentive program, shall be refundable to the
taxpayer. Excess credit amounts shall not be carried forward to other
taxable years.
(4) The department shall issue the refundable portion of the jobs
credit without further appropriation and in accordance with the
cumulative amount, including the current year costs of incentives
allowed in previous years, which shall not exceed $35,000,000
annually as set forth in subsection (d) of section 8A of chapter 23J.
(bb)(1) As used in this subsection, the following words shall,
unless the context clearly requires otherwise, have the following
meanings:
“Capital investment”, expenses incurred for the site preparation
and construction, repair, renovation, improvement, or equipping of a
building, structure, facility, or other improvements to real property,
including, but not limited to, site-related utility and transportation
infrastructure improvements.
“Center”, the Massachusetts clean energy technology center
established in section 2 of chapter 23J.
“Certified offshore wind company”, as defined in section 1 of
chapter 23J.
“Offshore wind facility”, any building, complex of buildings, or
structural
components
of
buildings,
including
water
access
infrastructure, and all machinery and equipment used in the
manufacturing,
assembly,
development
or
administration
of
component parts that are primarily used to support the offshore wind
industry.
“Owner”, a taxpayer subject to tax under this chapter that: (i)
holds title to an offshore wind facility; or (ii) ground leases the land
underlying the facility for at least 50 years.
“Tenant”, a taxpayer subject to tax under this chapter that is a
lessee in an offshore wind facility.
(2) An owner or tenant, to the extent authorized by the offshore
wind tax incentive program established in section 8A of chapter 23J,
may take a refundable credit against the taxes imposed by this chapter
in an amount, as determined by the center, of up to 50 per cent of its
total capital investment in an offshore wind facility. The total amount
of tax credit awarded pursuant to this subsection shall be distributed in
equal parts over the 5 taxable years that correspond to the period in
which the owner or tenant is certified pursuant to said section 8A of
said chapter 23J.
(3) An owner shall be eligible for a tax credit authorized under
this subsection if the owner demonstrates to the department that: (i)
the owner is a certified offshore wind company; (ii) the owner’s total
capital investment in the offshore wind facility equals not less than
$35,000,000; and (iii) the offshore wind facility will employ not less
than 200 new full-time employees by the fifth year of the owner’s
certification period under section 8A of chapter 23J.
(4) A tenant shall be eligible for a tax credit authorized pursuant
to this subsection if the tenant demonstrates to the department that: (i)
the tenant is a certified offshore wind company; (ii) the owner has
made a total capital investment in the facility that equals not less than
$35,000,000; (iii) the tenant occupies a leased area of the offshore
wind facility that represents not less than 25 per cent of the owner’s
capital investment in the facility; and (iv) the tenant will employ, in
the aggregate with other tenants at the offshore wind facility, not less
than 200 full-time employees by the fifth year of the tenant’s
certification period pursuant to section 8A of chapter 23J. The amount
of tax credits awarded to a tenant under this subsection for a taxable
year shall not exceed the tenant’s total lease payments for occupancy
of the offshore wind facility for the taxable year.
(5) An owner or tenant taking a credit authorized in this
subsection shall not take the credits authorized in subsection (g) or
(aa) in the same taxable year.
(6) The department shall issue the refundable portion of the credit
without further appropriation and in accordance with the cumulative
amount, including the current year costs of incentives allowed in
previous years, which shall not exceed $35,000,000 annually as set
forth in subsection (d) of section 8A of chapter 23J.
(7) The department shall promulgate such rules and regulations as
are necessary to administer the credit established in this subsection.
SECTION 45. Chapter 63 of the General Laws is hereby
amended by inserting after section 38JJ the following 2 sections:-
Section 38KK. (a)(1) A corporation subject to tax under this
chapter, to the extent authorized by the offshore wind tax incentive
program established in subsection (d) of section 8A of chapter 23J,
may be allowed a refundable jobs credit against the tax liability
imposed under this chapter in an amount determined by the
Massachusetts clean energy technology center established in section 2
of chapter 23J, in consultation with the department.
(2) A corporation taking a credit under this section shall commit
to the creation of a minimum of 50 net new permanent full-time
employees in the commonwealth.
(3) A credit allowed under this section shall reduce the liability of
the corporation under this chapter for the taxable year. If a credit
claimed under this section by a corporation exceeds the corporation’s
liability as otherwise determined under this chapter for the taxable
year, 90 per cent of such excess credit, to the extent authorized by the
offshore wind tax incentive program, shall be refundable to the
corporation. Excess credit amounts shall not be carried forward to
other taxable years.
(4) The department shall issue the refundable portion of the jobs
credit without further appropriation and in accordance with the
cumulative amount, including the current year costs of incentives
allowed in previous years, which shall not exceed $35,000,000
annually as set forth in subsection (d) of section 8A of chapter 23J.
Section 38LL. (a) As used in this section, the following words
shall, unless the context clearly requires otherwise, have the following
meanings:-
“Capital investment”, expenses incurred for the site preparation
and construction, repair, renovation, improvement, or equipping of a
building, structure, facility, or other improvements to real property,
including, but not limited to, site-related utility and transportation
infrastructure improvements.
“Center”, the Massachusetts clean energy technology center
established in section 2 of chapter 23J.
“Certified offshore wind company”, as defined in section 1 of
chapter 23J.
“Offshore wind facility”, any building, complex of buildings, or
structural
components
of
buildings,
including
water
access
infrastructure, and all machinery and equipment used in the
manufacturing,
assembly,
development
or
administration
of
component parts that are primarily used to support the offshore wind
industry.
“Owner”, a taxpayer subject to tax under this chapter that: (i) is a
corporation that holds title to an offshore wind facility; or (ii) ground
leases the land underlying an offshore wind facility for at least 50
years.
“Tenant”, a taxpayer subject to tax under this chapter that is a
lessee in an offshore wind facility.
(b) An owner or tenant, to the extent authorized by the offshore
wind tax incentive program established in section 8A of chapter 23J,
may take a refundable credit against the tax imposed by this chapter in
an amount, as determined by the center, of up to 50 per cent of its total
capital investment in an offshore wind facility. The total amount of tax
credit awarded pursuant to this section shall be distributed in equal
parts over the 5 taxable years that correspond to the period in which
the owner or tenant is certified pursuant to said section 8A of said
chapter 23J.
(c) An owner shall be eligible for a tax credit authorized under
this section if the owner demonstrates to the department that: (i) the
owner is a certified offshore wind company; (ii) the owner’s total
capital investment in the offshore wind facility equals not less than
$35,000,000; and (iii) the offshore wind facility will employ not less
than 200 new full-time employees by the fifth year of the owner’s
certification period under section 8A of chapter 23J.
(d) A tenant shall be eligible for a tax credit authorized pursuant
to this section if the tenant demonstrates to the department that: (i) the
tenant is a certified offshore wind company; (ii) the owner of the
offshore wind facility has made a total capital investment in the
facility that equals not less than $35,000,000; (iii) the tenant occupies
a leased area of the offshore wind facility that represents not less than
25 per cent of the owner’s capital investment in the facility; and (iv)
the tenant will employ, in the aggregate with other tenants at the
offshore wind facility, not less than 200 full-time employees by the
fifth year of the tenant’s certification period under section 8A of
chapter 23J. The amount of tax credits awarded under this section to a
tenant for a taxable year shall not exceed the tenant’s total lease
payments for occupancy of the offshore wind facility for the taxable
year.
(e) An owner or tenant taking a credit authorized in this section
shall not take the credits authorized in section 38N or 38KK in the
same taxable year.
(f) The department shall issue the refundable portion of the credit
without further appropriation and in accordance with the cumulative
amount, including the current year costs of incentives allowed in
previous years, which shall not exceed $35,000,000 annually as set
forth in subsection (d) of section 8A of chapter 23J.
(g) The department shall promulgate such rules and regulations as
are necessary to administer the credit established in this section.
SECTION 46. Subsection (d) of section 4 of chapter 93B of the
General Laws, as appearing in the 2020 Official Edition, is hereby
amended by adding the following paragraph:-
(4) to sell in-state any new vehicle that is not a zero-emission
vehicle. For the purposes of this paragraph, “vehicle” shall mean a
passenger car or light duty truck and “zero-emission vehicle” shall
have the same meaning as defined in section 16 of chapter 25A.
SECTION 47. Chapter 159A½ of the General Laws is hereby
amended by adding the following section:-
Section 12. (a) The division shall establish a program to reduce
greenhouse gas emissions from transportation network vehicles. To
the extent permitted under federal law, the program shall establish
requirements for transportation network companies including, but not
limited to, vehicle electrification and greenhouse gas emissions
requirements. Such requirements shall include, but not be limited to, a
requirement for said companies to submit biennial plans to gradually
increase zero-emission transportation network vehicles and reduce
greenhouse gas emissions to meet goals set by the executive office of
energy and environmental affairs. If the division determines that
vehicle electrification requirements alone would be sufficient to
achieve the greenhouse gas emissions goals set by the executive office
of energy and environmental affairs, then it may establish
requirements for vehicle electrification without establishing separate
requirements for greenhouse gas emissions. The division shall, to the
extent practicable, minimize any negative impacts of the program on
drivers from neighborhoods and municipalities that have an annual
median household income of not more than 65 per cent of the
statewide annual median household income.
(b) The division shall establish regulations to implement the
program established in this section.
SECTION 48. Section 5 of chapter 161A of the General Laws, as
appearing in the 2020 Official Edition, is hereby amended by inserting
after the word “standards”, in line 105, the following words:- , climate
and the reduction of greenhouse gas emissions, environmental
resiliency.
SECTION 49. Said section 5 of said chapter 161A, as so
appearing, is hereby further amended by inserting after the word
“act,”, in line 111, the following words:- capital investments that
result in reductions of greenhouse gas emissions.
SECTION 50. Said section 5 of said chapter 161A, as so
appearing, is hereby further amended by inserting after the word
“maintenance,”, in line 116, the following words:- address climate
change-related vulnerabilities.
SECTION 51. The fourth paragraph of subsection (g) of said
section 5 of said chapter 161A, as so appearing, is hereby amended by
inserting after the first sentence the following 3 sentences:- The
program shall include a clear, comprehensive and specific plan to
implement the requirements under section 6A of chapter 448 of the
acts of 2016, which shall include, but not be limited to, alterations,
updates, land acquisitions and new construction of bus garages,
maintenance facilities and charging and fueling equipment, as may be
necessary to meet the requirements. The plan shall prioritize the
deployment of zero-emission buses on routes that serve underserved
communities and communities with a high percentage of low-income
households. Each rolling 5-year plan shall report on the progress in
meeting the requirements under said section 6A of said chapter 448
including, but not limited to, the number of zero-emission passenger
buses operated, the number of non-zero emission passenger buses
operated, barriers to increased numbers of zero-emission passenger
buses, if any, and recommended legislative or regulatory action
needed to address barriers or otherwise promote compliance.
SECTION 52. Section 1 of chapter 164 of the General Laws, as
so appearing, is hereby amended by inserting after the definition of
“Department” the following definition:-
“Distributed energy resources”, small-scale power generation or
storage technology, not greater than 20 megawatts, including, but not
limited to, resources that are in front of or behind the customer meter,
electric storage resources, intermittent generation, distributed
generation, demand response, energy efficiency, thermal storage and
electric vehicles and their supply equipment that may provide an
alternative to, or an enhancement of, the traditional electric power
system and are located on an electric utility’s distribution system or on
a subsystem of the utility’s distribution system.
SECTION 53. Said chapter 164 is hereby further amended by
inserting after section 92A the following 2 sections:-
Section 92B. (a) The department shall direct each electric
company to develop an electric-sector modernization plan to
proactively upgrade the distribution and, where applicable,
transmission systems to: (i) improve grid reliability, communications
and resiliency; (ii) enable increased, timely adoption of renewable
energy and distributed energy resources; (iii) promote energy storage
and electrification technologies necessary to decarbonize the
environment and economy; (iv) prepare for future climate-driven
impacts on the transmission and distribution systems; (v)
accommodate increased transportation electrification, increased
building electrification and other potential future demands on
distribution and, where applicable, transmission systems; and (vi)
minimize or mitigate impacts on the ratepayers of the commonwealth,
thereby helping the commonwealth realize its statewide greenhouse
gas emissions limits and sublimits under chapter 21N.
(b) An electric-sector modernization plan developed pursuant to
subsection (a) shall describe in detail each of the following elements:
(i) improvements to the electric distribution system to increase
reliability and strengthen system resiliency to address potential
weather-related and disaster-related risks; (ii) the availability and
suitability of new technologies including, but not limited to, smart
inverters, advanced metering and telemetry and energy storage
technology for meeting forecasted reliability and resiliency needs, as
applicable; (iii) patterns and forecasts of distributed energy resource
adoption in the company’s territory and upgrades that might facilitate
or inhibit increased adoption of such technologies; (iv) improvements
to the distribution system that will enable customers to express
preferences for access to renewable energy resources; (v)
improvements to the distribution system that will facilitate
transportation or building electrification; (vi) improvements to the
transmission or distribution system to facilitate achievement of the
statewide greenhouse gas emissions limits under chapter 21N; (vii)
opportunities to deploy energy storage technologies to improve
renewable energy utilization and avoid curtailment; (viii) alternatives
to proposed investments, including changes in rate design, load
management and other methods for reducing demand, enabling
flexible demand and supporting dispatchable demand response; and
(ix) alternative approaches to financing proposed investments,
including, but not limited to, cost allocation arrangements between
developers and ratepayers and, with respect to any proposed
investments in transmission systems, cost allocation arrangements and
methods that allow for the equitable allocation of costs to, and the
equitable sharing of costs with, other states and populations and
interests within other states that are likely to benefit from said
investments. For all proposed investments and alternative approaches,
each electric company shall identify customer benefits associated with
the investments and alternatives including, but not limited to, safety,
grid reliability and resiliency, facilitation of the electrification of
buildings and transportation, integration of distributed energy
resources, avoided renewable energy curtailment, reduced greenhouse
gas emissions and air pollutants, avoided land use impacts and
minimization or mitigation of impacts on the ratepayers of the
commonwealth.
(c) In developing a plan pursuant to subsection (a), an electric
company shall:
(i) prepare and use 3 planning horizons for electric demand,
including a 5-year forecast, a 10-year forecast and a demand
assessment through 2050 to account for future trends, including, but
not limited to, future trends in the adoption of renewable energy,
distributed energy resources and energy storage and electrification
technologies necessary to achieve the statewide greenhouse gas
emission limits and sublimits under chapter 21N;
(ii) consider and include a summary of all proposed and related
investments, alternatives to these investments and alternative
approaches to financing these investments that have been reviewed,
are under consideration or have been approved by the department
previously; and
(iii) solicit input, such as planning scenarios and modeling, from the
Grid Modernization Advisory Council established in section 92C,
respond to information and document requests from said council and
conduct technical conferences and a minimum of 2 stakeholder
meetings to inform the public, appropriate state and federal agencies
and companies engaged in the development and installation of
distributed generation, energy storage, vehicle electrification systems
and building electrification systems.
(d) An electric company shall submit its first plan for review,
input and recommendations to the Grid Modernization Advisory
Council established in section 92C by September 1, 2023, and
thereafter once every 5 years in accordance with a schedule
determined by the department; provided, however, that the plan shall
be submitted to the Grid Modernization Advisory Council not later
than 150 days before the electric company files the plan with the
department; and provided further, that the Grid Modernization
Advisory Council shall return the plan to the company with
recommendations not later than 70 days before the company files the
plan with the department.
An electric company shall submit its electric-sector modernization
plan, together with a demonstration of the Grid Modernization
Advisory Council’s review, input and recommendations, including,
but not limited to, a list of each individual recommendation, the status
of each recommendation and an explanation of whether and why each
recommendation was adopted, adopted as modified or rejected, along
with a statement of any unresolved issues, to the department in
accordance with a schedule determined by the department. The
electric company shall be permitted to include in base electric
distribution rates all prudently incurred plant additions that are used
and are useful. The department shall promptly consider the plan and
shall provide an opportunity for interested parties to be heard in a
public hearing. The department shall approve, approve with
modifications or reject the plan within 7 months of submittal. In order
to be approved, a plan shall provide net benefits for customers and
meet the criteria enumerated in clauses (i) to (vi), inclusive, of
subsection (a).
(e) An electric-sector modernization plan developed by an electric
company pursuant to subsection (a) shall propose discrete, specific,
enumerated investments to the distribution and, where applicable,
transmission systems, alternatives to such investments and alternative
approaches to financing such investments, that facilitate grid
modernization, greater reliability, communications and resiliency,
increased enablement of distributed energy resources, increased
transportation electrification, increased building electrification and the
minimization or mitigation of ratepayer impacts, in order to meet the
statewide greenhouse gas emissions limits and sublimits under chapter
21N. An electric company shall submit 2 reports per year to the
department and the joint committee on telecommunications, utilities
and energy on the deployment of approved investments in accordance
with any performance metrics included in the approved plans.
Section 92C. (a) There shall be a Grid Modernization Advisory
Council to consist of the commissioner of energy resources, or a
designee, who shall serve as chair; the attorney general, or a designee;
the executive director of the Massachusetts clean energy technology
center, or a designee; 13 members to be appointed by the governor, 1
of whom shall be a representative of middle-income and low-income
residential consumers, 1 of whom shall be a representative from a
local agency administering the low-income weatherization assistance
program, 1 of whom shall be a representative of the environmental
advocacy community, 1 of whom shall be a representative of an
environmental justice community organization, 1 of whom shall be a
representative of the transmission scale renewable energy industry
with expertise in projects of greater than 20 megawatts, 1 of whom
shall be a representative of the distributed generation scale renewable
energy industry with expertise in projects of less than 5 megawatts, 1
of whom shall be a representative of the energy storage industry, 1 of
whom shall be a representative of the electric vehicle industry, 1 of
whom shall be a representative of the building electrification industry,
1 of whom shall be a representative of municipal or regional interests,
1 of whom shall have technical and engineering expertise in
interconnecting clean energy, 1 of whom shall be a representative of
businesses, including large commercial and industrial end-use
customers and 1 member from each electric company operating in the
commonwealth who shall serve as non-voting members. Members
shall serve for terms of 5 years and may be reappointed.
(b) The council shall seek to encourage least-cost investments in
the electric distribution systems, alternatives to the investments or
alternative approaches to financing investments that will facilitate the
achievement of the statewide greenhouse gas emission limits and
sublimits under chapter 21N and increase transparency and
stakeholder engagement in the grid planning process. The council
shall review and provide recommendations on electric-sector
modernization plans developed pursuant to subsection (a) of section
92B that maximize net customer benefits and demonstrate cost-
effective investments in the distribution grid, including investments to
enable interconnection of, and communication with, distributed energy
resources and transmission-scale renewable energy resources,
facilitate electrification of buildings, transportation and other sectors,
improve grid reliability and resiliency, minimize or mitigate impacts
on ratepayers throughout the commonwealth and reduce impacts on
and provide benefits to low-income ratepayers throughout the
commonwealth. The council shall cooperate and coordinate with the
clean energy transmission working group.
(c) The council shall annually submit to the department a
proposal regarding the level of funding required for the retention of
expert consultants and reasonable administrative costs. The proposal
shall be approved by the department either as submitted or as
modified by the department. The department shall allocate funds
sufficient for these purposes from the natural gas and electric
efficiency funding authorized under section 19 of chapter 25;
provided, however, that such allocation shall not exceed 1 per cent of
such funding on an annual basis. The consultants used under this
section shall be experts in energy distribution and transmission,
energy efficiency or energy finance, and shall be independent.
SECTION 54. Section 139 of said chapter 164 of the General
Laws, as amended by chapter 8 of the acts of 2021, is hereby amended
by striking out subsection (i) and inserting in place thereof the
following subsection:-
(i) A Class I net metering facility shall be exempt from
subsections (b1/2) and (k) and from the aggregate net metering
capacity of facilities that are not net metering facilities of a
municipality or other governmental entity under subsection (f) and
may net meter and accrue Class I net metering credits if it is
generating renewable energy and the nameplate capacity of the facility
is equal to or less than 25 kilowatts. A Class I net metering facility
with a capacity greater than 25 kilowatts, Class II net metering facility
or Class III net metering facility with an executed interconnection
agreement with a distribution company on or after January 1, 2021
shall be exempt from the aggregate net metering capacity of facilities
that are not net metering facilities of a municipality or other
governmental entity under subsection (f) and may net meter and
accrue Class I, Class II, or Class III market net metering credits if it is
generating renewable energy and serves on-site load other than
parasitic or station load; provided, that any credits accrued in excess
of its annual electricity consumption for the period running from April
through the following March shall be credited or paid out for such
excess credits at the utility’s avoided cost rate.
SECTION 55. Said section 139 of said chapter 164, as so
amended, is hereby further amended by adding the following
subsection:-
(l) A Class I, Class II or Class III solar net metering facility shall
be eligible to, or shall continue to, receive net metering credits as
otherwise provided by this section if such facility is on the same
parcel as any number of other such solar net metering facilities and if:
(i) the net metering facilities are placed on a government-owned
parcel; provided, however, that all facilities on the single parcel do not
exceed an aggregate limit of 10 megawatts; (ii) the net metering
facilities are placed on a single parcel of land where all buildings on
that parcel comprise low or moderate income housing as defined in
section 20 of chapter 40B; provided, however, that all facilities on the
single parcel do not exceed an aggregate limit of 10 megawatts; (iii)
each net metering facility is placed on a separate and distinct rooftop
where no 2 systems occupy the same rooftop; provided, however, that
all facilities on the single parcel do not exceed an aggregate limit of 2
megawatts; (iv) each net metering facility installed on the same
rooftop is interconnected behind a meter of a separate customer;
provided, however, that all the facilities on the single parcel do not
exceed an aggregate limit of 10 megawatts; or (v) the additional net
metering facilities are installed not less than 1 year after any
previously installed facility was placed into service; provided,
however, that all facilities on the single parcel do not exceed an
aggregate limit of 2 megawatts. If all the net metering facilities
located on a single parcel are net metering facilities of a municipality,
the aggregate limit shall be 10 megawatts per single parcel. For
purposes of this subsection, a solar net metering facility installed as a
canopy over a parking area shall be considered to be installed on a
rooftop.
SECTION 56. Section 141 of said chapter 164, as appearing in
the 2020 Official Edition, is hereby amended by striking out the first
sentence and inserting in place thereof the following sentence:- In all
decisions or actions regarding rate designs, the department shall
consider the impacts of such actions on: (i) on-site generation; (ii) the
replacement of gas infrastructure with utility-scale non-emitting
renewable thermal energy infrastructure; (iii) the reduction of
greenhouse gases as mandated by chapter 21N to reduce energy use;
(iv) efforts to increase efficiency and encourage non-emitting
renewable sources of energy; (v) the findings of utility-scale
renewable thermal energy pilots approved by the department of public
utilities pursuant to section 99 of chapter 8 of the acts of 2021; (vi)
data collected related to the design and operation of networked
geothermal demonstration projects approved by the department of
public utilities pursuant to chapter 102 of the acts of 2021, including
data on any reduction of lost and unaccounted for gas as defined in
section 147; and (vii) the use of new financial incentives to support
energy efficiency efforts.
SECTION 57. Section 142 of said chapter 164, as so appearing, is
hereby amended by inserting after the word “power”, in line 3, the
following words:- and utility-scale non-emitting renewable thermal
energy.
SECTION 58. Section 145 of chapter 164, as so appearing, is
hereby amended by striking out the definition of “'Eligible
infrastructure replacement” and inserting in place thereof the
following definition:-
“'Eligible infrastructure replacement”, a replacement or an
improvement of existing infrastructure of a gas company that: (i) is
made on or after January 1, 2015; (ii) is designed to improve public
safety or infrastructure reliability; (iii) does not increase the revenue
of a gas company by connecting an improvement for a principal
purpose of serving new customers; (iv) reduces, or has the potential to
reduce, lost and unaccounted for natural gas through a reduction in
natural gas system leaks; (v) is not included in the current rate base of
the gas company as determined in the gas company's most recent rate
proceeding; (vi) may include use of advanced leak repair technology
approved by the department to repair an existing leak-prone gas pipe
to extend the useful life of the such gas pipe by no less than 10 years;
and (vii) may include replacing gas infrastructure with utility-scale
non-emitting renewable thermal energy infrastructure.
SECTION 59. Said chapter 164 of the General Laws is hereby
further amended by inserting after section 147, the following section:-
Section 147A. For the purposes of this section, the following term
shall have the following meaning:-
“Non-emitting renewable thermal infrastructure project,” a utility-
scale project that replaces natural gas distribution infrastructure with
distribution infrastructure that supplies heating, or heating and
cooling, from fuel sources whose combustion does not emit
greenhouse gases, as defined by section 1 of chapter 21N; provided,
however, that a “non-emitting renewable thermal infrastructure
project” may include, but shall not be limited to, a networked
geothermal system.
SECTION 60. Section 83B of chapter 169 of the acts of 2008, as
inserted by section 12 of chapter 188 of the acts of 2016, is hereby
amended by striking out the definitions of “Firm service hydroelectric
generation” and “Long-term contract” and inserting in place thereof
the following 5 definitions:-
“Firm energy delivery”, dispatchable non-emitting energy
provided in a long-term contract with guaranteed continuous
availability at rated power for 1 or more discrete multi-day periods of
extreme heat and cold weather, low non-dispatchable power
production, or other grid contingencies, as designated by the
department of energy resources, to ensure electric reliability and
security in a zero-carbon electric system; provided, however, that
“firm energy delivery” may include, but shall not be limited to, energy
from multiple non-emitting energy generation resources and energy
storage systems managed in a coordinated manner, in addition to other
market services.
“Firm service hydroelectric generation”, hydroelectric generation
provided without interruption, for 1 or more discrete periods
designated in a long-term contract, including, but not limited to,
multiple hydroelectric run-of-the-river generation units managed in a
portfolio that creates firm service through the diversity of multiple
units.
“Long-duration energy storage system”, an energy storage system,
as defined in section 1 of chapter 164 of the General Laws, that is
capable of dispatching energy at its full rated capacity for a period
greater than 10 hours.
“Long-term contract”, a contract for a period of 15 to 20 years for
offshore wind energy generation pursuant to section 83C or for clean
energy generation pursuant to section 83D; provided, however, that a
contract for offshore wind energy generation pursuant to said section
83C may include terms and conditions for renewable energy credits
associated with the offshore wind energy generation that exceed the
term of generation under the contract.
“Mid-duration energy storage system”, an energy storage system,
as defined in section 1 of chapter 164 of the General Laws, that is
capable of dispatching energy at its full rated capacity for a period
greater than 4 hours and up to 10 hours.
SECTION 61. Section 83C of said chapter 169, inserted by said
section 12 of said chapter 188, is hereby amended by striking out
subsections (a) to (e), inclusive, as most recently amended by section
69 of chapter 24 of the acts of 2021 and inserting in place thereof the
following 6 subsections:-
(a) To facilitate the financing of offshore wind energy generation
resources in the commonwealth, every distribution company shall, in
coordination with the department of energy resources, jointly and
competitively solicit proposals for offshore wind energy generation;
and provided, that reasonable proposals have been received, shall
enter into cost-effective long-term contracts.
(b) The timetable and method for solicitations of long-term
contracts shall be proposed by the department of energy resources in
coordination with the distribution companies using a competitive
bidding process and shall be subject to review and approval by the
department of public utilities. The department of energy resources
shall consult with the distribution companies and the attorney general
regarding the choice of solicitation methods. A solicitation may be
coordinated and issued jointly with other New England states or
entities designated by those states. The distribution companies, in
coordination with the department of energy resources, may conduct 1
or more competitive solicitations through a staggered procurement
schedule developed by the department of energy resources; provided,
however, that the schedule shall ensure that the distribution companies
enter into cost-effective long-term contracts for offshore wind energy
generation equal to approximately 5,600 megawatts of aggregate
nameplate capacity not later than June 30, 2027, including capacity
authorized pursuant to section 21 of chapter 227 of the acts of 2018;
provided further, that individual solicitations shall seek proposals for
not less than 400 megawatts of aggregate nameplate capacity of
offshore
wind
energy
generation
resources.
The
staggered
procurement schedule shall be developed by the department of energy
resources and shall specify that any subsequent solicitation shall occur
within 24 months of a previous solicitation. Proposals received
pursuant to a solicitation under this section shall be subject to review
by the department of energy resources and the executive office of
housing and economic development in consultation with the
independent evaluator and the electric distribution companies shall
offer technical advice. As part of the evaluation process, the
department of energy resources shall produce a numeric score for each
bid’s economic development commitments and for plans for financial
and technical assistance to support wildlife and habitat monitoring.
(c) The department of energy resources may condition the
determination of any winning bid upon a bidder’s inclusion of
regional or project-specific transmission costs or, alternatively, upon
the bidder’s agreement to utilize transmission procured in a separate
solicitation conducted by the department. The department shall give
preference to proposals that demonstrate benefits from: (i) direct and
reasonably certain commitments made on or after July 1, 2022 to
capital investments in the manufacture, fabrication and assembly
within the commonwealth of domestic supply chain components of
the offshore wind industry; (ii) mitigation, minimization and
avoidance of detrimental environmental and socioeconomic impacts,
including
through
meaningful
consultation
with
impacted
environmental and socioeconomic stakeholders, including federally
recognized and state acknowledged tribes and commercial and
recreational fishing; (iii) support for workforce harmony and
community benefits through workforce agreements with appropriate
labor organizations for construction, renovation, reconstruction,
alteration, installation, demolition, expansion, maintenance and repair;
(iv) employment opportunities for members of federally recognized
and state acknowledged tribes in the commonwealth, workers from
low-income communities and certified minority-owned and women-
owned small business enterprises in the commonwealth; (v) the
maximization, to the extent feasible, of economic development and
employment contributions to the commonwealth; (vi) additional
benefits to low-income communities and low-income ratepayers in the
commonwealth, including opportunities for diversity, equity and
inclusion; (vii) minimization and mitigation, to the extent feasible, of
ratepayer impacts; (viii) commitments to enter into long-term
contracts to purchase offshore wind energy with businesses, nonprofit
organizations, a municipality or group of municipalities with an
approved municipal load aggregation plan pursuant to section 134 of
chapter 164 of the General Laws or other government entities directly
or through an aggregation pursuant to section 137 of said chapter 164;
(ix) energy storage, including new and existing mid-duration and
long-duration energy storage systems; and (x) resources able to
guarantee firm energy delivery. The department of energy resources
shall, in consultation with the independent evaluator), issue a final,
binding determination of the winning bid; provided, however, that the
final contract executed shall be subject to review by the department of
public utilities, and the department of public utilities may allow
contractual adjustments for project cost differentials attributable to the
utilization or non-utilization of separate transmission procured by the
commonwealth. The department of energy resources may require
additional solicitations to fulfill the requirements of this section. If the
department of energy resources, in consultation with the independent
evaluator, determines that reasonable proposals were not received
pursuant to a solicitation, the department may terminate the
solicitation and may require additional solicitations to fulfill the
requirements of this section.
(d) In developing proposed long-term contracts, the distribution
companies shall consider long-term contracts for renewable energy
certificates, for energy and for a combination of both renewable
energy certificates and energy. A distribution company may decline to
pursue a contract if the contract’s terms and conditions would require
the contract obligation to place an unreasonable burden on the
distribution company’s balance sheet after consultation with the
department of energy resources; provided, however, that the
distribution company shall take all reasonable actions to structure the
contracts, pricing or administration of the products purchased under
this section to prevent or mitigate an impact on the balance sheet or
income statement of the distribution company or its parent company,
subject to the approval of the department of public utilities; and
provided further, that mitigation shall not increase costs to ratepayers.
If a distribution company deems all contracts to be unreasonable, the
distribution company shall consult with the department of energy
resources and, within 20 days of the date of its decision, submit a
filing to the department of public utilities. The filing shall include, in
the form and detail prescribed by the department of public utilities,
documentation supporting the distribution company’s decision to
decline the contract. Following a distribution company’s filing, and
within 4 months of the date of filing, the department of public utilities
shall approve or reject the distribution company’s decision and may
order the distribution company to reconsider any contract. The
department of public utilities shall take into consideration the
department of energy resources’ recommendations on the distribution
company’s decision. The department of energy resources may require
additional solicitations to fulfill the requirements of this section.
(e)(1) The department of public utilities shall promulgate
regulations consistent with this section. The regulations shall: (i) allow
developers of offshore wind energy generation to submit proposals for
long-term contracts consistent with this section; (ii) require that a
proposed long-term contract executed by the distribution companies
under a proposal be filed with, and approved by, the department of
public utilities before becoming effective; (iii) provide for an annual
remuneration for the contracting distribution company equal to 2.25
per cent of the annual payments under the contract to compensate the
company for accepting the financial obligation of the long-term
contract; provided, however, that such provision shall be acted upon
by the department of public utilities at the time of contract approval;
(iv) require associated transmission costs to be incorporated into a
proposal; provided, however, that, to the extent there are regional or
project-specific transmission costs included in a bid, the department of
public utilities may, if it finds such recovery to be in the public
interest, authorize or require the contracting parties to seek recovery
of such transmission costs from other states or from benefitted entities
or populations in other states through federal transmission rates,
consistent with policies and tariffs of the Federal Energy Regulatory
Commission; and (v) require that proposals meet the following
criteria: (A) where feasible, create and foster economic development
and quality, high-demand jobs in the commonwealth; (B) provide
enhanced electricity reliability, system safety and energy security; (C)
contribute to reducing winter electricity price spikes; (D) be cost
effective and beneficial to electric ratepayers in the commonwealth
over the term of the contract, taking into consideration potential costs
and benefits to the ratepayers, including potential economic and
environmental benefits and opportunities to equitably allocate costs to,
and equitably share costs with, other states and populations within
other states that may benefit from offshore wind generation procured
by the commonwealth; (E) avoid line loss and mitigate transmission
costs to the extent possible and ensure that transmission cost overruns,
if any, are not borne by ratepayers; (F) adequately demonstrate project
viability in a commercially reasonable timeframe; (G) allow offshore
wind energy generation resources to be paired with energy storage
systems, including new and existing mid-duration and long-duration
energy storage systems; (H) include an initial environmental and
fisheries mitigation plan for the construction and operation of such
offshore wind facilities, including consideration of commercial,
recreational and indigenous fishing rights; (I) mitigate impacts to the
marine environment by providing financial and technical assistance to
support robust monitoring of wildlife and habitat through
contributions to regional and tribal research efforts; (J) include
benefits to environmental justice populations and low-income
ratepayers in the commonwealth; and (K) include opportunities for
diversity, equity and inclusion, including, at a minimum, a workforce
diversity plan and a supplier diversity program plan.
(2) A proposed long-term contract shall be subject to the review
and approval of the department of public utilities and shall be
apportioned among the distribution companies. As part of its approval
process,
the
department
of
public
utilities
shall
consider
recommendations by the attorney general, which shall be submitted to
the department within 45 days following the filing of a proposed long-
term contract with the department. The department of public utilities
shall take into consideration the department of energy resources’
recommendations on the potential costs and benefits to the rate payers,
including economic and environmental benefits and opportunities to
equitably allocate costs to, and equitably share costs with, other states
and populations within other states that may benefit from offshore
wind generation procured by the commonwealth, and the requirements
of chapter 298 of the acts of 2008 and chapter 21N of the General
Laws. The department of public utilities shall consider the potential
costs and benefits of the proposed long-term contract and shall
approve a proposed long-term contract if the department finds that the
proposed contract is in the public interest and is a cost-effective
mechanism for procuring beneficial, reliable renewable energy on a
long-term basis, taking into account the factors outlined in this
section. A distribution company shall be entitled to cost recovery of
payments made under a long-term contract approved under this
section.
SECTION 62. Said section 83C of said chapter 169, as so
amended, is hereby further amended by striking out subsection (m)
and inserting in place thereof the following subsection:-
(m) The plan required in subclause (H) of clause (v) of paragraph
(1) subsection (e) shall include, but shall not be limited to, a detailed
description of the best management practices and any on-site or off-
site mitigation the applicant shall employ, informed by the latest
science at the time the plan is made, that will avoid, minimize and
mitigate impacts to wildlife, including, but not limited to: threatened
or endangered species such as North Atlantic right whales, coastal and
marine habitats; natural resources; ecosystems; and traditional or
existing water-dependent uses, including, but not limited to,
commercial and recreational fishing. The plan shall include pre-
construction and post-construction monitoring to understand the
effects of facilities on marine and avian species.
SECTION 63. Chapter 75 of the acts of 2016 is hereby amended
by inserting after section 11 the following new section:-
Section 11A. The department of energy resources shall
promulgate regulations to include in the solar incentive program
established in section 11 and in any successor solar incentive program
requirements for pollinator-friendly solar installations for ground
mounted solar installations that remove vegetation as part of such
installations. The department of energy resources shall develop
criteria for such installations and require that pollinator-friendly solar
installations be certified by a recognized pollinator-friendly solar
photovoltaic certification program at a higher education institution in
the commonwealth or that have obtained another equivalent
certification as determined by said department.
The department of energy resources shall offer a rebate for
reasonable certification program costs to comply with pollinator-
friendly requirements. Said rebate shall be approved by the
department of public utilities and recoverable from distribution
company ratepayers. Eligibility for such rebates shall include, but not
be limited to, solar tariff generation units that, as of December 30,
2021, had received from the department of energy resources a
preliminary statement of qualification or were on hold for such
statement of qualification pending expansion of the capacity of the
department’s solar incentive program and are now otherwise eligible
for said rebates.
SECTION 64. Section 3 of chapter 448 of the acts of 2016 is
hereby amended by striking out the words “may include requirements
for electric vehicle charging for residential and appropriate
commercial buildings as amendments to the state building and electric
code” and inserting in place thereof the following words:- shall
include requirements for electric vehicle charging for residential and
commercial buildings as amendments to the state building code and
the state electric code.
SECTION 65. Said chapter 448 is hereby further amended by
inserting after section 6 the following section:-
Section 6A. (a) Not later than December 31, 2030, each purchase
or lease of a passenger bus by the Massachusetts Bay Transportation
Authority shall be a zero-emission vehicle.
(b) Not later than December 31, 2040, all passenger buses
operated by the Massachusetts Bay Transportation Authority shall be
exclusively zero-emission passenger buses.
SECTION 66. Section 99 of chapter 8 of the acts of 2021 is
hereby amended by striking the fifth sentence.
SECTION 67. Said section 99 of said chapter 8 is hereby further
amended by adding the following 3 paragraphs:-
The department shall ensure the accuracy and transparency of the
data, findings and outcomes of the pilot projects authorized pursuant
to this section by requiring each gas company taking part in a pilot
project to report to the department on the status of said project on a
semi-annual basis, until completion of each such pilot project as
determined by the department. The report shall include, but not be
limited to, the: (i) stage and progress of each pilot project in which the
company is participating; (ii) barriers encountered by each project to
developing and providing service to end users; (iii) number of
customers served by each project; (iv) costs of each project; (v)
number of jobs retained or created by each project; and (vi) any other
data, findings and information the department deems to be in the
public interest. The department shall post and make publicly available
each such report on its website. Following the completion, as
determined by the department, of the pilot project or projects
undertaken by the gas company, the department may require each gas
company taking part in 1 or more pilot projects to report to the
department: (A) a roadmap and plan to abandon existing gas
infrastructure that is not cost effective and to transition to non-
emitting renewable energy sources, including but not limited to
renewable thermal infrastructure projects; (B) a roadmap and plan to
evolve existing gas infrastructure that is cost effective to transition to
non-emitting renewable energy sources, including but not limited to
thermal infrastructure projects; (C) a roadmap and plan to: (1)
maintain existing gas infrastructure that provides service to a use or
location for which, at the time that the report is prepared, there is no
cost-effective technical option to transition to non-emitting renewable
energy sources, including but not limited to thermal infrastructure
projects; and (2) reduce greenhouse gas emissions from existing gas
infrastructure that the gas company plans to maintain; and (D) such
other information as the department may require.
Within 9 months of the completion, as determined by the
department, of the pilot project or projects undertaken by each gas
company, the department shall publish a third-party evaluation of the
data, findings and outcomes of each said pilot or pilots; provided,
however, that that a credible and reliable third-party evaluation of said
pilot that meets the requirements of this section is not already
underway or in the process of being published by another entity. After
taking said report or reports into consideration, the department shall
determine whether to recommend to the general court that gas
companies be authorized to generate and sell, or distribute and sell,
renewable thermal energy within the commonwealth; provided,
however, that the department may delay any such determination until
sufficient data as determined by the department is provided by such
pilots. In making said determination, the department shall consider
potential benefits and potential costs. Potential benefits shall include,
but not be limited to, replacing natural gas with a clean energy
resource, advancing building electrification, improving the public
health of areas with disproportionate environmental or public health
burdens and contributing to achieving the greenhouse gas emissions
limits and sublimits set forth in chapter 21N of the General Laws. In
estimating potential benefits, the department shall calculate the social
value of greenhouse gas emissions reductions. Potential costs shall
include but not be limited to the projected expense of generation and
distribution, the impact on the energy budgets of both participating
and non-participating customers within the commonwealth and the
implications for the emergence of a competitive market to generate,
distribute and sell renewable thermal energy resources in the
commonwealth.
The department may promulgate rules or regulations to implement
this section.
SECTION 68. The department of public utilities shall convene a
stakeholder working group to develop recommendations for
regulatory and legislative changes that may be necessary to align gas
system enhancement plans developed pursuant to section 145 of
chapter 164 of the General Laws with the applicable statewide
greenhouse gas emission limits and sublimits established pursuant to
chapter 21N and the commonwealth’s emissions strategies. The
working group shall be convened not later than 30 days after the
effective date of this act and shall include: the attorney general, or a
designee; the commissioner of energy resources, or a designee; the
chairman of the department of public utilities, or a designee; the
commissioner of environmental protection, or a designee; the chairs of
the joint committee on telecommunications, utilities and energy, or
their designees; 1 representative of each natural gas local distribution
company; and 8 members appointed by the secretary of energy and
environmental affairs, 1 of whom shall be an advocate for low-income
residents of the commonwealth, 1 of whom shall be an advocate for
middle-income residents of the commonwealth, 1 of whom shall be a
representative of municipalities or groups of municipalities, 1 of
whom shall be a representative of a labor union representing gas
distribution workers, 1 of whom shall be a representative of a
nonprofit organization with expertise in energy supply and demand, 1
of whom shall be a representative of a nonprofit organization with
expertise in the transition to clean thermal energy, 1 of whom shall be
a representative of a nonprofit organization with expertise in public
health and 1 of whom shall be a representative of a nonprofit
environmental organization. The working group shall consider the gas
system enhancement plans’ impacts on, and implications for, public
health, safety, equity, affordability, reliability, reductions in
greenhouse gas emissions and cost recovery for repair and
replacement of pipeline infrastructure including, but not limited to,
embedded costs, potential stranded assets and opportunity costs and
benefits; provided, however, that said working group shall evaluate
opportunities to advance utility-scale renewable thermal energy under
said section 145 of said chapter 164; and provided further, that any
change recommended shall enable natural gas local distribution
companies to maintain a safe and reliable gas distribution system
during the commonwealth’s transition to net zero emissions. The
working group shall submit its report to the department of public
utilities, the joint committee on telecommunications, utilities and
energy, the senate and house committees on global warming and
climate change and the clerks of the senate and house of
representatives not later than July 31, 2023.
SECTION 69. Notwithstanding any other special or general law
to the contrary there shall be a commission established to investigate
and make recommendations to remove barriers to the further
development of agrivoltaic projects. For the purposes of this section,
agrivoltaic shall refer to the dual operation of a solar photovoltaic
facility and agriculture on a single piece of land.
The commission shall include: the secretary of energy and
environmental affairs or designee; the commissioner of energy
resources or designee: the commissioner of agricultural resources or
designee; the chairs of the joint committee on telecommunications,
utilities and energy or their designees; the chairs of the joint
committee on the environment, natural resources and agriculture or
their designees; the president of the Cranberry Growers Association,
Inc. or designee; the president of Massachusetts Audubon Society, Inc.
or designee; and 3 members appointed by the speaker of the house of
representatives, 1 of whom shall be a representative from the solar
industry who shall have developed an agrivoltaic project currently in
operation in the commonwealth and who shall be appointed from a list
jointly created and provided by the 2 clean energy member
organizations with the largest number of Massachusetts-based solar
members, 1 of whom shall be a representative from a farmer member
organization based in the commonwealth, and 1 of whom shall be a
representative from a land conservation or open space non-profit
headquartered in the commonwealth; and 3 members appointed by the
senate president, 1 of whom shall be a representative from the solar
industry from a list jointly created and provided by the 2 clean energy
member organizations with the largest number of Massachusetts-based
solar members, 1 of whom shall be a representative from a farm land
non-profit organization with an office in the commonwealth and 1 of
whom shall be a representative from a regional planning agency. The
commission shall have 3 chairs, drawn from its membership, 1 of
whom shall be appointed by the governor, 1 of whom shall be
appointed by the house chair of the joint committee on
telecommunications, utilities and energy and 1 of whom shall be
appointed by the senate chair of the joint committee on
telecommunications, utilities and energy.
The commission shall review available research and data on the
effects of dual operation of solar photovoltaic facilities and agriculture
on single pieces of land, solicit and consider relevant stakeholder
comments and develop recommendations for legislative and
regulatory changes to facilitate the installation of agrivoltaic projects
in the commonwealth with due consideration given to land use
impacts and categorizations, water quality, soil health and food
production. The commission shall review best practices for third party
certification, including, but not limited to: consistent standards,
streamlined review and quality control and verification. The
commission shall review best practices on carbon accounting and
other methods for quantifying the greenhouse gas emissions
sequestered with respect to agricultural land and shall make
recommendations on the use of such practices. The commission shall
work with the executive office of energy and environmental affairs to
gather information and data to quantify how agrivoltaic projects may
contribute to meeting the greenhouse gas emission reductions
requirements of chapter 21N of the General Laws.
The commission shall conduct not fewer than three public
hearings in conveniently accessible locations throughout the
commonwealth. The executive office of energy and environmental
affairs shall provide administrative support for the operations of the
commission.
The
commission
shall
submit
a
report
and
recommendations, together with any drafts of legislation that may be
useful in carrying out its recommendations and otherwise putting them
into effect, by filing the same with the clerks of the house of
representatives and the senate not later than November 1, 2023.
SECTION 70. (a) Notwithstanding any general or special law to
the contrary, the department of energy resources may competitively
solicit and procure proposals for offshore wind energy transmission;
provided, that offshore wind developers as defined in section 83B of
chapter 169 of the acts of 2008 as amended by chapter 188 of the acts
of 2016 shall be permitted to submit proposals pursuant to this
section; provided further, that such transmission service shall be made
available for use by more than 1 wind energy generation project. The
department may coordinate with the department of public utilities,
electric distribution companies, other New England states or entities
designated by those states and ISO New England Inc. or a successor
organization, in the solicitation and procurement of proposals for
offshore wind energy transmission. The department shall be permitted
to select 1 proposal, multiple proposals or no proposals; provided,
however, that the department may select proposals that include federal
funding in the form of a match, grant or loan, or through ownership
and operation by the United States government, cost sharing among
states or recovery of transmission costs through federal transmission
rates, consistent with policies and tariffs of the Federal Energy
Regulatory Commission.
(b) In conducting the procurement for offshore wind energy
transmission, the department of energy resources shall take into
consideration the total amount of transmission needed to maintain
electric system reliability, avoid unnecessary upgrade costs to the
existing transmission grid, achieve the commonwealth’s offshore wind
and decarbonization goals and obtain demonstrable benefits to the
consumer and environment. The department may consider proposals
that include, but shall not be limited to, upgrading the existing grid,
extending the grid closer to offshore wind locations, determining or
upgrading optimal landfall approaches, or interconnecting between
offshore substations. The department may modify a procurement,
prior to selecting a proposal, in order to satisfy federal eligibility
criteria.
(c) If no solicitation has been undertaken per this section by
September 30, 2023, the department of energy resources shall submit
a statement of determination to the clerks of the house of
representatives and the senate and the chairs of the joint committee on
telecommunications,
utilities
and
energy,
that
provides
a
comprehensive explanation of their decision.
(d) Nothing in this section shall prevent the procurement of new
offshore wind energy generation in accordance with the solicitation
schedule prescribed in subsection (b) of section 83C of chapter 169 of
the acts of 2008.
SECTION 71. (a) Notwithstanding any general or special law or
regulation to the contrary, there shall be an Clean Energy
Transmission Working Group for the purposes of providing a
comprehensive cost analysis of major transmission infrastructure
upgrades that may be needed to deliver clean energy generation
procured pursuant to the laws of the commonwealth for the use of
residents of the commonwealth and the region. Such comprehensive
analysis shall give special attention to the need to equitably allocate
costs to, and share costs with, benefitted populations outside the
commonwealth, and shall include policy recommendations that may
be needed to equitably recover such costs.
(b) The working group shall consist of 17 members or their
designees: 1 of whom shall be the chair of the department of public
utilities, who shall serve as co-chair; 1 of whom shall be the
commissioner of energy resources, who shall serve as co-chair; 1 of
whom shall be the attorney general; 2 of whom shall be the co-chairs
of the joint committee on telecommunications, utilities, and energy; 6
of whom shall be appointed by the governor from a list of persons
submitted by the following organizations and associations: the
American Society of Civil Engineers, the Associated Industries of
Massachusetts, Inc., the Massachusetts Taxpayers Foundation, Inc.,
the National Consumer Law Center, Inc., the Acadia Center, and the
Northeast Clean Energy Council, Inc.; and 6 persons to be appointed
by the governor, 1 of whom shall be a representative of or consultant
to the offshore wind industry, 1 of whom shall be a representative of
or consultant to the solar energy industry, 1 of whom shall be an
economist with knowledge of electricity transmission, distribution,
generation and power supply, 1 of whom shall be a representative of
municipal interests or a regional public entity, and 2 of whom shall be
representatives of investor-owned utilities in the commonwealth. A
vacancy on the working group shall be filled in the manner in which
the original appointment was made. Members of the working group
shall receive no compensation for their services. The working group
may request from all state agencies such information and assistance as
the task force may require.
(c) The working group shall assess and report to the general court
on any necessary transmission upgrades that may be required to
support the deployment of clean energy projects that may interconnect
into the commonwealth for the benefit of residents of the
commonwealth and the region, including but not limited to offshore
wind projects. This assessment shall consider both in-state
transmission upgrades as well as any regional transmission upgrades
that may be necessary to accommodate the commonwealth’s clean
energy requirements and shall provide recommendations on any
actions or initiatives that may be undertaken by ISO New England
Inc., the Federal Energy Regulatory Commission, and other regional
and state-level entities that may be helpful or necessary to funding,
securing or approving such upgrades. The assessment shall include a
cost-benefit analysis to identify regulatory and legal challenges
associated with obtaining and streamlining tariff approvals to
accommodate increased clean energy penetration across New
England. The working group shall also assess and review cost-
allocation measures adopted in other jurisdictions that aim to spread
transmission upgrade costs equitably among ratepayers and
developers across the states and regions. The working group shall
meet periodically and shall solicit technical assistance from
transmission engineering experts, cost allocation experts, additional
electric companies, consumer organizations, and other regional energy
market participants, including the New England States Committee on
Electricity LLC managers.
(d) The working group shall convene its first meeting not later
than April 1, 2023 and shall submit a report, along with any
recommendations for legislative and regulatory actions at the state,
regional, and federal level, not later than December 31, 2023 to the
clerks of the house of representatives and the senate and the chairs of
the joint committee on telecommunications, utilities and energy.
SECTION 72. Notwithstanding any general or special law to the
contrary, each distribution company, as defined in section 1 of chapter
164 of the General Laws, shall, not later than October 31, 2023, file
with the department of public utilities: (i) at least 1 electric rate tariff,
which addresses operational parameters, to apply to energy storage
systems interconnected to their distribution network; and (ii) notice of
its intent to promptly file with the Federal Energy Regulatory
Commission a wholesale distribution service rate schedule to apply to
standalone energy storage systems that are interconnected to their
distribution network but are transacting in New England’s wholesale
electricity markets. The distribution companies shall identify the costs
to the distribution network not recouped through project sponsor-
funded interconnection upgrades or otherwise paid directly by the
project sponsor and design rates to recoup the distribution company’s
net costs in a manner similar to how they are incurred by the
distribution company, without unduly impeding the participation of
energy storage systems in power markets and other uses of such
systems that provide benefits to the electric grid.
SECTION 73. Notwithstanding any general or special law to the
contrary, any funds not expended prior to the effective date of this act
in the Offshore Wind Energy Career Training Trust Fund established
in section 14 of chapter 23J of the General Laws shall be transferred
by the comptroller from said fund to the Massachusetts Offshore Wind
Industry Investment Trust Fund established in section 9A of said
chapter 23J.
SECTION 74. (a) Notwithstanding any general or special law to
the contrary, the department of elementary and secondary education,
in consultation with the executive office of labor and workforce
development, shall develop and implement a pilot program for the
purpose of helping students acquire academic and technical skills that
will prepare them for high-demand jobs in the commonwealth in the
offshore wind industry identified pursuant to section 26 of chapter 23
of the General Laws, as inserted by section 2 of this act; provided,
however, that programming shall include jobs in the offshore wind
supply chain, including, but not limited to, manufacturing,
construction, assembly, shipping and operations and maintenance, and
any additional credentialed programming in support of the offshore
wind industry.
(b) The department shall reimburse each school district at a rate
of: (i) $750 for each student in the district who earns an offshore wind
industry-recognized certification for an occupation that has a high
employment value or relevant industry-recognized certification that is
recognized by any public institution of higher learning in the
commonwealth as a basis for academic credit at such institution, and
(ii) $600 for each student in the district who earns an industry-
recognized certification in the offshore wind industry that does not
meet the criteria of clause (i) but addresses regional demands
identified by the local MassHire Workforce Board. Any school district
receiving a certification award for the offshore wind industry pilot
credentialing program shall allocate at least 80 per cent of any
certification award to the school whose students obtained the
qualifying certification; provided, that the allocation may not be used
to supplant funds otherwise provided for the basic operation of the
school; and provided further, that any school receiving a certification
award shall use the award to support or maintain the program,
including the payment of stipends for instructors and the subsidization
of fees for low-income students to obtain the certification. The
department shall develop the criteria necessary to carry out the
offshore wind industry pilot credentialing program and may
promulgate any regulations necessary to operate the pilot program.
(c) Not later than February 1, 2023, and annually for the duration
of the pilot program, the department of elementary and secondary
education shall submit an annual report on the progress of the pilot
program established pursuant to subsection (a), including, but not
limited to: (i) the number of public school students participating in the
pilot seeking certifications for high-demand occupations in the
offshore wind industry; (ii) the number of such students participating
in the pilot who are low-income, English language learners and
students with disabilities; (iii) the specific types of certifications
earned by students, including the number of each such certification
earned; and (iv) recommendations on how to bring high-skill, high-
demand credentialing programs to scale statewide, including any
necessary funding considerations.
(d) Notwithstanding any general or special law to the contrary,
the Massachusetts clean energy technology center may transfer not
more than $3,000,000 from the Massachusetts Offshore Wind Industry
Investment Trust Fund established under section 9A of chapter 23J of
the General Laws to the department of elementary and secondary
education; provided, that said funds shall also be expended by the
department to reimburse school districts for initial costs incurred as a
result of participation in the pilot program, including, but not limited
to, the acquisition of required materials and equipment and the hiring
of qualified teachers.
SECTION 75. Notwithstanding any general or special law to the
contrary, the department of public utilities shall implement the
requirements in subsection (a) of section 92B of chapter 164 of the
General Laws within 30 days of the effective date of this act.
SECTION 76. Notwithstanding any general or special law to the
contrary, the governor shall make appointments to the Grid
Modernization Advisory Council established in section 92C of chapter
164 of the General Laws within 30 days of the effective date of this
act.
SECTION 77. Notwithstanding any general or special law or rule,
regulation or order to the contrary, the department of public utilities
shall not approve any company-specific plan filed pursuant to the
DPU Docket No. 20-80, Investigation by the Department of Public
Utilities on its own Motion into the Role of Gas Local Distribution
Companies as the Commonwealth Achieves its Target 2050 Climate
Goals, prior to conducting an adjudicatory proceeding with respect to
such plan.
SECTION 78. Notwithstanding any special or general law to the
contrary, the Massachusetts Department of Transportation shall
provide each regional transit authority established under chapter 161B
of the General Laws with assistance to create an electric bus rollout
plan that includes: (i) a goal to transition to zero-emission buses;
provided, however, that the goal shall not require an internal
combustion engine bus to be unnecessarily retired before the end of its
useful life; (ii) identification of the types of zero-emission bus
technologies a regional transit agency may deploy; (iii) a schedule for
construction of facilities and related infrastructure modifications or
upgrades required to deploy and maintain a zero-emission bus fleet
including, but not limited to, charging, fueling and maintenance
facilities; provided, however, that the schedule shall identify potential
sites for each facility; (iv) a schedule for zero-emission and
conventional internal combustion engine bus purchases and lease
options identifying: (A) the bus and fuel type; (B) the number of zero-
emission buses being purchased; and (C) the number of internal
combustion engine buses being retired; (v) prioritization of the
deployment of zero-emission buses on routes in underserved
communities and communities with a high percentage of low-income
households; (vi) a training plan for zero-emission bus operators and
maintenance and repair staff; and (vii) identification of potential
funding sources.
SECTION 79. Notwithstanding any general or special law to the
contrary, there shall be a commercial fisheries commission to develop
and recommend strategies, methods and tools to promote the
sustainability of the commonwealth's commercial fishing industry
including, but not limited to, harvesting, processing and production
and sales and distribution. The commission shall address subjects
including the responsible development of offshore energy projects,
mitigation and support strategies to ensure the long-term sustainability
of fisheries in the commonwealth, the creation of a comprehensive
infrastructure to enable effective dialogue between fishing industry
stakeholders and those involved in the development of marine-based
energy generation and transmission projects including, but not limited
to, the offshore generation and transmission. The commission shall
consist of: the director of marine fisheries and the director of coastal
zone management, who shall serve as co-chairs; the secretary of
energy and environmental affairs or the secretary’s designee; and 16
members appointed by the governor, 1 of whom shall be from the
Massachusetts Seafood Collaborative from a list of 3 nominees
submitted by its board of directors, 1 of whom shall be from the
Massachusetts Fishing Partnership from a list of 3 nominees submitted
by its board of directors, 1 of whom shall be from the Stellwagen
Bank Charter Boat Association from a list of 3 nominees submitted by
its board of directors, 1 of whom shall be from the Responsible
Offshore Development Alliance from a list of 3 nominees submitted
by its board of directors, 1 of whom shall be from the Fisheries
Survival Fund from a list of 3 nominees submitted by its board of
directors, 1 of whom shall be from the Northeast Seafood Coalition
from a list of 3 nominees submitted by its board of directors, 1 of
whom shall be from the Gloucester Fishermen's Wives from a list of 3
nominees submitted by its board of directors, 1 of whom shall be from
the Offshore Mariners Wives Association from a list of 3 nominees
submitted by its board of directors, 1 of whom shall be from the
Massachusetts Lobstermen's Association from a list of 3 nominees
submitted by its board of directors, 1 of whom shall be from the
Gloucester Fishing Community Preservation Fund from a list of 3
nominees submitted by its board of directors, 1 of whom shall be from
the New Bedford Fishing Heritage Center from a list of 3 nominees
submitted by its board of directors, 1 of whom shall be from the Cape
Cod Commercial Fishermen's Alliance from a list of 3 nominees
submitted by its board of directors, 1 of whom shall be from the
Center for Sustainable Fisheries, Inc from a list of 3 nominees
submitted by its board of directors, 1 of whom shall be from the
Gloucester Fisheries Commission from a list of 3 nominees submitted
by its board of directors, 1 of whom shall be from the School for
Marine Science and Technology at the University of Massachusetts
Dartmouth and 1 of whom shall be from the Harbor Development
Commission doing business as the New Bedford Port Authority from
a list of 3 nominees submitted by the commissioners.
The commission shall meet not less than 4 times each year and
shall produce a report annually that shall be published electronically
by the executive office of energy and environmental affairs. The
executive office shall provide administrative support for the
operations of the commission and file its report with the clerks of the
senate and house of representatives. This section shall expire 8 years
after the effective date of this act.
SECTION 80. (a) The department of energy resources, in
consultation with the Massachusetts clean energy technology center,
shall conduct a study (i) how to optimize the cost-effective
deployment and utilization of both new and existing mid-duration and
long-duration energy storage systems, as defined in section 83B of
chapter 169 of the acts of 2008, inserted by section 12 of chapter 188
of the acts of 2016, in the commonwealth and investigate the
necessity, costs and benefits of requiring distribution companies, as
defined in section 1 of chapter 164 of the General Laws, to jointly and
competitively conduct energy storage systems solicitations and
procurements of up to 4,800 gigawatt hours of stored energy from
renewable generation delivered to periods of high demand each year;
(ii) other methods to help increase the utilization of energy storage
systems; (iii) the state of energy storage systems currently in
development; (iv) the cost effectiveness of providing tax incentives
under section 5 of chapter 59 of the General Laws or section 6 of
chapter 64H of the General Laws for energy storage systems; (v) the
cost effectiveness of financing mechanisms and incentives, including
the use of alternative compliance payments and the use of energy
efficiency funds provided pursuant to section 19 of chapter 25 of the
General Laws to assist in funding energy storage systems installed at
customer’s premises; (vi) the location patterns of energy storage
systems currently in use; and (vii) opportunities for future expansion
in energy storage. The study shall consider the performance of said
systems under frequent deployment, barriers to deployment or
utilization and incentives and programs that could facilitate their
deployment or utilization.
(b) Based on its study, the department shall, not later than
December 31, 2023, submit a report and recommendations to the
clerks of the senate and house of representatives and to the chairs of
the joint committee on telecommunications, utilities, and energy. The
report shall include, but not be limited to, the extent to which the
storage systems: (i) contribute to compliance with the statewide
greenhouse gas emissions limits and sublimits under chapter 21N of
the General Laws, including, but not limited to, the sublimit of electric
power, pursuant to section 3A of said chapter 21N; (ii) promote the
integration of offshore wind energy and other renewable sources; (iii)
enable firm energy delivery from renewable energy resources during
periods of low energy demand to periods of high energy demand; (iv)
enhance the reliable delivery and security of electricity to consumers;
(v) minimize ratepayer costs; (vi) contribute to the decarbonization
and operational resilience of critical emergency infrastructure
including, but not limited to, cooling centers designed to provide relief
for vulnerable urban residents from extreme heat that are co-located in
schools, senior centers, libraries and health centers; and (vii)
contribute to the decarbonization of healthcare institutions including,
but not limited to, hospitals and other healthcare providers. The
department of energy resources shall provide recommendations to the
secretary of energy and environmental affairs not later than 9 months
after the effective date of this act, including numerical deployment
targets for both new and existing mid-duration and long-duration
energy storage systems, which the secretary shall incorporate into the
setting of numerical benchmarks for energy storage capacity pursuant
to clause (xi) of section 5 of said chapter 21N.
(c) If the study finds it beneficial to the commonwealth, the
department of energy resources shall require solicitations and
procurements in accordance with the study recommendations;
provided, that the procurements shall: (i) contribute to compliance
with statewide greenhouse gas emissions limits and sublimits under
said chapter 21N; (ii) promote the integration of offshore wind energy
and other renewable sources; (iii) transport energy from periods of
low energy demand to periods of high energy demand; provided, that
such transportation is coordinated with the renewable generation
produced in lower demand periods under solicitations performed
pursuant to subsection (b) of section 83C of chapter 169 of the acts of
2008 or other renewable sources; (iv) enhance the reliable delivery of
electricity to Massachusetts consumers; and (v) minimize ratepayer
costs.
(d) The department of energy resources may promulgate
regulations to implement this section consistent with the study
recommendations, including, but not limited to, the methodology by
which distribution companies shall develop solicitations, if applicable,
pursuant to this section.
SECTION 81. (a) There shall be within the executive office of
energy and environmental affairs, but not subject to the control of the
office, an intergovernmental coordinating council to implement an
electric vehicle charging infrastructure deployment plan. The council
shall consist of the following 11 members: the secretary of energy and
environmental affairs or designee, who shall designate the chair of the
council; the commissioner of environmental protection or designee;
the commissioner of energy resources or designee; the secretary of the
Massachusetts Department of Transportation or designee; the general
manager of the Massachusetts Bay Transportation Authority or
designee; the secretary of housing and economic development or
designee; the secretary of administration and finance or designee; the
executive director of a regional planning agency or designee, who
shall be appointed by the governor; the commissioner of public
utilities or designee; and the chairs of the joint committee on
telecommunications, utilities and energy or their designees, who shall
serve as non-voting members with respect to any spending matter. The
council shall assess and report on strategies and plans necessary to
deploy electric vehicle charging infrastructure to establish an
equitable, interconnected, accessible and reliable electric vehicle
charging network. The deployment plan shall facilitate: (i) compliance
with the greenhouse gas emissions limits and sublimits set pursuant to
sections 3 and 3A of chapter 21N of the General Laws, with emphasis
on compliance with the emissions limits and sublimits set for 2025
and 2030; (ii) attainment of the numerical benchmarks for electric
vehicles and electric vehicle charging stations set pursuant to section 5
of said chapter 21N; (iii) cessation, by December 31, 2035, of in-state
sales of non-zero-emission vehicles; and (iv) advancement of access
to, and affordability of, electric vehicle charging and fueling.
The assessment shall include, but not be limited to: (i) the present
condition of, and future needs for, road and highway electrification;
(ii) estimates of the number and type of electric vehicle charging
stations needed in public and private sector settings including, but not
limited to, parking lots for public transit stations, commercial and
industrial settings and single occupancy, double occupancy and
multiple-occupancy residential structures; (iii) suggestions for optimal
locations for electric vehicle charging stations in urban, suburban and
rural areas including, but not limited to, low-income and moderate-
income communities; (iv) discussion of distribution, transmission and
storage infrastructure and technology needed; (v) discussion of present
and projected future costs and methods of financing those costs; (vi)
discussion of technological advances in charging stations and related
infrastructure, equipment and technology including, but not limited to,
advances that may aid in collecting data, connecting via remote
communications, providing mobile charging, assisting in grid
management and assisting in the integration of renewable energy
resources; (vii) discussion of strategies to maintain electric vehicle
charging stations in full and continuous working order; (viii)
recommendations to assist governmental and private sector officials in
installing charging stations and related infrastructure, equipment and
technology, including within proximity of on-street parking; and ( ix)
identification and discussion of current policies and recommendations
for policies, laws and regulatory actions that may facilitate the
provision of charging stations and related infrastructure, equipment
and technology including, but not limited to, cybersecurity
requirements and best practices.
(b) The council shall regularly seek data and input related to
electric vehicle charging stations, fueling stations and related
infrastructure, equipment, equipment maintenance and technology,
from stakeholders, which stakeholders shall include, but not be limited
to, investor-owned and publicly-owned electric utilities, state and
local transportation agencies, companies involved in products,
services, technologies and data collection related to clean energy
charging and fueling, automobile manufacturers, groups representing
environmental, energy and climate perspectives, and groups
representing consumers including, but not limited to, low-income
consumers.
(c) The executive office of energy and environmental affairs shall
provide administrative support to the council. In conducting and
updating the assessment under this section, the council shall hold at
least 3 public hearings in geographically diverse areas of the
commonwealth.
(d) The council shall issue an initial assessment to the senate and
house committees on ways and means and the joint committee on
telecommunications, utilities and energy not later than 12 months after
the effective date of this act and shall reconsider and revise its
assessment at least once every 2 years. The council shall make its
assessments publicly available on the website of each secretariat with
a member serving on the council.
(e) There is hereby established and set up on the books of the
commonwealth a separate fund to be known as the Charging
Infrastructure Deployment Fund for the purpose of ensuring a holistic,
coordinated and comprehensive deployment of electric vehicle
charging infrastructure. The fund shall be credited with: (i) revenue
from appropriations or other money authorized by the general court
and specifically designated to be credited to the fund; (ii) interest
earned on such revenue; and (iii) funds from public and private
sources and other gifts, grants and donations. All amounts credited to
the fund shall be expended solely for activities and expenditures
consistent with the purposes of this section, including the ordinary and
necessary expenses of administration and operation of the fund;
provided, however, that no expenditure made from the fund shall
cause the fund to become deficient at any point during the fiscal year.
Any money remaining in the fund at the end of a fiscal year shall not
revert to the General Fund.
SECTION 82. The department of energy resources may
coordinate with one or more New England states undertaking
competitive solicitations to consider projects for long-term clean
energy generation, transmission or capacity for the benefit of residents
of the commonwealth and the region. If the department of energy
resources, in consultation with the Attorney General, determines, not
later than December 31, 2022, that a project would satisfy all of the
benefits listed below, the electric distribution companies shall enter
into cost-effective long-term contracts. In its determination, the
department of energy resources shall determine if any proposals (i)
provide cost-effective clean energy generation to electric ratepayers in
the commonwealth and the region over the term of the contract; (ii)
provide the benefits of clean energy and associated transmission
towards meeting the commonwealth’s decarbonization goals; (iii)
where possible, avoid, minimize, or mitigate, to the maximum extent
practicable, environmental impacts, impacts on commercial and
recreational
fishing
industries,
and
impacts
to
low-income
populations; (iv) reduce ratepayer costs in winter months and improve
energy security during winter months; (v) demonstrate progress
toward obtaining required permit approvals and interconnection, and
(vi) have credible project schedule and construction plans, including
plans for financing and stakeholder engagement. For purposes of this
section, a long-term contract shall be a contract with a term of 10 to
20 years. Eligible clean energy generation resources must (i) have a
commercial operation date on or after January 1, 2022; and (ii) be
qualified by the department of energy resources as eligible to
participate in the renewable energy portfolio standard program under
section 11F of chapter 25A of the General Laws. Associated
transmission costs must be incorporated into a proposal. All proposed
contracts shall be subject to the review and approval of the department
of public utilities. The department of public utilities shall consider
both potential costs and benefits of such contracts and shall only
approve a contract upon a finding that it is cost-effective, taking into
account the factors outlined in this section.
SECTION 83. (a) The Massachusetts School Building Authority
shall conduct an assessment of elementary and secondary school
buildings relative to energy efficiency, building conditions, safety, and
public health. The assessment shall include cataloging the age and
condition of any building systems relying on the on-site combustion of
fossil fuels. The assessment shall be conducted in coordination with
ongoing assessments or surveys of the authority. The authority shall
determine the means of conducting the assessment which may include
a representative sample of schools. In planning said assessment, the
authority shall consult with the department of public health, the
department of elementary and secondary education and the department
of energy resources.
Following completion of the assessment, the department of public
health, in consultation with the Massachusetts School Building
Authority, the department of elementary and secondary education, and
the department of energy resources, shall develop, and report on,
methods, best practices, and standards for achieving green and healthy
schools strategies to for the students of the commonwealth. Methods,
best practices, and standards may involve, but shall not be limited to:
(i) increasing energy efficiency, increasing electrification, and shifting
to fossil-free fuels; (ii) efficiently using resources, including, but not
limited to, low flow water fixtures; (iii) improving water and air
quality, ventilation, and air circulation systems; (iv) maintaining
thermal comfort, humidity, and temperature controls; and (v) taking
other actions the department may determine.
The department of public health shall issue a report on the
methods,
best
practices
and
standards
and
may
include
recommendations to prioritize schools with the greatest needs,
consider the unique environmental differences of schools located in
urban, industrial, rural and other areas facing site challenges, and
consider the need to address historic patterns of inequity in education
and schools including, but not limited to, patterns of inequity
involving students in special education programs. The report shall
include
a
projected
cost
estimates
for
implementing
its
recommendations in a cost-effective manner.
(b) The report shall be published on the website of the department
of public health and submitted to the house and senate committees on
ways and means, the joint committee on telecommunications, utilities
and energy, the joint committee on public health, and the joint
committee on education not later than December 31, 2024.
(c) Any findings or recommendations may be used to guide the
department
of
elementary
and
secondary
education
in
its
implementation of item 1599-2055 of section 2A of chapter 102 of the
acts of 2021.
SECTION 84. (a) For the purposes of this section, the following
terms shall have the following meanings unless the context clearly
requires otherwise:
“Fossil fuel-free”, as defined by a city or town to include, but not
be limited to, an entire building or entire condominium unit that does
not, in support of its operation after construction, utilize coal, oil,
natural gas, other fuel hydrocarbons, including synthetic equivalents,
or other fossil fuels.
“Local approval”, by a majority vote of the: (i) city council with
the approval of the mayor in the case of a city with a mayor elected to
serve as the chief executive officer of the city; (ii) city council in
every other city; (iii) annual town meeting or a special town meeting
called for that purpose in the case of a municipality with a town
meeting form of government; or (iv) town council in the case of a
municipality with a town council form of government.
(b) The department of energy resources shall establish a
demonstration project in which cities and towns may, notwithstanding
chapter 40A of the General Laws, section 13 of chapter 142 of the
General Laws and chapter 164 of the General Laws or any other
general or special law to the contrary, adopt and amend general or
zoning ordinances or by-laws that require new building construction
or major renovation projects to be fossil fuel-free, and enforce
restrictions and prohibitions on new building construction and major
renovation projects that are not fossil fuel-free, including through the
withholding or conditioning of building permits; provided, that said
restrictions and prohibitions shall not apply to research laboratories
for scientific or medical research, or to hospitals or medical offices
regulated by the department of public health as a health care facility.
(c) The department shall approve not more than 10 applications
for participation in the demonstration project under this section. No
city or town shall apply for acceptance into the demonstration project
until it has received local approval and has submitted a home rule
petition to the general court on the subject matter of this section;
provided, that the department shall issue approvals under this section
to not more than 10 applications in the order in which cities and towns
have submitted or submit home rule petitions to the general court;
provided further, that the department shall, in the interest of increasing
housing production in the commonwealth, withhold approval of an
application by a city or town applying to participate in the
demonstration project until such time as said city or town has: (i) met
the 10 per cent housing affordability threshold set under chapter 40B
of the General Laws or has been granted safe harbor status through an
approved Housing Production Plan by the department of housing and
community development; or (ii) has approved a zoning ordinance or
by-law that provides for at least 1 district of reasonable size in which
multi-family housing is permitted as of right; provided, that such
multi-family housing shall be without age restrictions and shall be
suitable for families with children; provided further, that a city or
town that met the 10 per cent affordability threshold as of December
21, 2020, shall be deemed to have satisfied the requirements of this
paragraph. For the purposes of this section, multi-family housing shall
be a building with 3 or more residential dwelling units or 2 or more
buildings on the same lot with more than 1 residential dwelling unit in
each building and a district of reasonable size shall have a minimum
gross density of 15 units per acre, subject to any further limitations
imposed by section 40 of chapter 131 of the General Laws and title 5
of the state environmental code established pursuant to section 13 of
chapter 21A of the General Laws. If said city or town fails to: (i) meet
the 10 per cent housing affordability threshold or receive safe harbor
status within 18 months of the effective date of this act; or (ii) approve
such a multifamily zoning ordinance or by-law within 18 months of
the effective date of this act, said application shall expire and be
deemed void, at which time the department shall, in lieu of approving
said application, approve a substitute application from a city or town
that has met the 10 per cent housing affordability threshold or received
safe harbor status or has a zoning ordinance or by-law that complies
with this section; provided, that the department may act on substitute
applications without respect to the order of submission of home rule
petitions to the general court; provided further, that the total number
of communities approved for participation in the demonstration
project shall at no point exceed 10.
(d) Nothing in this section shall inhibit or interfere with the
department’s obligation to promulgate a municipal opt-in specialized
stretch energy code that includes, but shall not be limited to, net-zero
building performance standards and a definition of net-zero building
under section 31 of chapter 8 of the acts of 2021 nor shall anything in
this section limit the ability for any community to opt in to such
specialized code following its promulgation; provided, however, that
nothing in this section shall interfere with the department’s authority
to set restrictions or limitations on fossil fuel construction necessary to
meet the department’s obligation to promulgate the specialized stretch
energy code’s net-zero building performance standards and definition
of net-zero building designed to achieve compliance with the
commonwealth’s statewide greenhouse gas emission limits and
sublimits established pursuant to chapter 21N of the General Laws.
(e) The department shall collect data from cities and towns
approved under this section to monitor impacts of the ordinances and
by-laws authorized by this section on emissions, building costs,
operating costs, the number of building permits issued and other
criteria as set by the department in consultation with participating
cities and towns and the secretary of housing and economic
development. Not later than September 30, 2024, and every year
thereafter, the electric and gas distribution companies shall collect and
annually report to the department, in a form approved by the
department, the anonymized monthly totals of electricity and gas
consumed, and corresponding electricity and gas bill amount, for each
consumer: (i) residing in a newly constructed building or major
renovation project subject to the demonstration in each municipality
participating in the demonstration; and (ii) residing in a newly
constructed building or major renovation project in a number of
comparable municipalities, as selected by the department, not
participating in the demonstration. The department shall make said
data available in an anonymized and aggregated manner that protects
against potential unmasking of customer data on its website in a
machine-readable format and shall annually update the data for the
duration of the demonstration. Not later than September 30, 2025, and
every 2 years thereafter, the department shall compile a report to be
filed not later than September 30 for the 2 previous calendar years
with the senate and house committees on ways and means, the joint
committee
on
housing
and
the
joint
committee
on
telecommunications, utilities and energy. The report shall summarize
the data required to be collected under this paragraph and shall
include, but not be limited to, an analysis of the net reduction in
emissions: (i) for each newly constructed building or major renovation
project subject to the demonstration in each municipality participating
in the demonstration; and (ii) for each comparable newly constructed
building or major renovation project in a number of comparable
municipalities, as selected by the department, not participating in the
demonstration. The report shall also analyze impacts on: housing
production, if any; housing affordability, if any, including electric
bills, heating bills and other operating costs; housing affordability for
persons of low and moderate income, if any, including electric bills,
heating bills and other operating costs; and any other matters set forth
by the department after consultation with municipalities and with
individuals, organizations and institutions knowledgeable about issues
of housing and emissions reductions. The report shall also include
recommendations for the continuation or termination of the
demonstration project.
(f) The department of energy resources, in consultation with the
executive office of energy and environmental affairs and the executive
office of housing and economic development, may promulgate
regulations to implement this section. If regulations are promulgated,
said regulations shall be promulgated no later than July 1, 2023.
SECTION 85. (a) The secretary of the executive office of energy
and environmental affairs, in consultation with the department of
energy resources and the department of public utilities, shall
investigate the advantages and disadvantages of using or participating
in regional or multi-state competitive market-based mechanisms,
structures, systems or competitive solicitations in order to facilitate the
development of clean energy generation resources, including but not
limited to offshore wind energy generation, to meet the
commonwealth’s clean energy needs and comply with the statewide
greenhouse gas emission limits and sublimits established pursuant to
chapter 21N of the General Laws, while providing benefits for the
commonwealth. Such mechanisms, structures, systems or competitive
solicitations may include long-term contracts, ISO New England Inc.
administered markets or any other exchanges, banking, credits,
charges, exactions or electricity transactions consistent with rules and
protocols established by state regulation designed to achieve the
statewide greenhouse gas emissions limits and sub-limits required by
said chapter 21N.
(b) Not later than March 1, 2023, the secretary shall submit to the
clerks of the senate and house of representatives a report on the
executive office’s investigation of the advantages and disadvantages
of using or participating in regional or multi-state market-based
mechanisms, structures, systems or competitive solicitations to
facilitate the development of clean energy generation resources. The
report shall include recommendations by the secretary on regional or
multi-state
mechanisms,
structures,
systems
or
competitive
solicitations to facilitate the development of clean energy generation
resources. If the secretary finds that use of such a market-based
mechanism, structure, system or competitive solicitation would be
beneficial to the commonwealth, the secretary may act pursuant to
subsection (c).
(c) Pursuant to subsections (a) and (b), the secretary and the
department of energy resources may adopt regulations establishing or
governing such market-based mechanisms, structures, systems, or
competitive solicitations which may include long-term contracts, ISO
New England Inc. administered markets or any other exchanges,
banking, credits, charges, exactions, or electricity transactions
consistent with rules and protocols established by state regulation,
including in cooperation with other states in the ISO New England
Inc. service area, in order to reduce greenhouse gas emissions from
sources or categories of sources and comply with the statewide
greenhouse gas emission limits and sublimits established pursuant to
chapter 21N of the General Laws.
SECTION 86. The Massachusetts clean energy technology center
shall develop a guide and website to provide information about the
costs and availability of electric vehicles and shall develop an annual
projection of the availability of such vehicles in the next year. The
projection shall be posted electronically and filed with the clerks of
the senate and house of representatives.
SECTION 87. (a) For purposes of this section, “zero-emission
school bus” shall mean a school bus that produces no engine exhaust
carbon emissions.
(b) The department of transportation, in consultation with the
department of energy resources and the department of elementary and
secondary education, shall prepare a report that analyzes: (i) the
number of fossil fuel-powered school buses in use in the
commonwealth, delineated by school district; (ii) the number of zero-
emission school buses in use in the commonwealth, delineated by
school district; (iii) the annual cost of operating fossil fuel-powered
school buses including, but not limited to, the cost of purchasing or
contracting to use fossil fuel-powered buses and purchasing fossil
fuels; (iv) the annual cost of operating zero-emission school buses
including, but not limited to, the cost of purchasing or contracting to
use zero-emission buses and the cost of purchasing or contracting to
use charging stations and related charging infrastructure; (v) the
projected cost differential between the sale or contracted use of fossil
fuel-powered and zero-emission school buses; (vi) the estimated cost
to replace fossil fuel-powered school buses with zero-emission school
buses; (vii) the estimated environmental benefits of replacing fossil
fuel-powered school buses with zero-emission school buses including,
but not limited to, carbon reductions and related health benefits; (viii)
the number of school districts that own their school bus fleets and the
number of school districts that rent, lease or contract for school bus
services; (ix) recommendations on how to structure a state incentive
program to replace or support the replacement of all fossil fuel-
powered school buses with zero-emission school buses; and (x)
additional information relevant to informing a statewide plan to
replace or support the conversion of all school buses from fossil fuel-
powered school buses to zero-emission school buses.
(c) The department shall file the report with the clerks of the
senate and house of representatives, the house and senate committees
on ways and means, the joint committee on education, the joint
committee on telecommunications, utilities and energy and the joint
committee on transportation not later than June 15, 2023.
SECTION 87A. (a) Notwithstanding any general or special law to
the contrary, not later than July 1, 2023, any electric distribution
company or municipal aggregator with a certified efficiency plan may
submit proposed low- and moderate-income whole building
efficiency, electrification and greenhouse gas emission reduction
offerings to a limited number of participants within the low- and
moderate-income customer groups to the department of public utilities
for review. The offerings shall: (i) promote the adoption of whole
building energy efficiency measures, including weatherization; (ii)
require full displacement of fossil fuel heating and cooling equipment
and fossil fuel cooking appliances, excluding outdoor grills; and (iii)
promote adoption and installation of onsite renewable energy
generation and energy storage. A renewable energy facility funded by
the offerings made under this section shall be designated as a
“qualifying facility” as defined in 220 CMR 8.02. The offerings shall
be designed to encourage customers to lower energy consumption,
reduce demand, improve customer resiliency and reduce use of the
distribution system.
(b) Costs incurred under this section may be recovered through the
funding sources authorized in subsection (a) of section 19 of chapter
25 of the General Laws.
(c) Not later than August 1, 2026, the department shall file a
report detailing the results of the offerings under this section,
including: (i) an analysis of costs, benefits and scalability of the
offerings; (ii) an analysis of the burdens to ratepayers of adding solar,
storage or other clean energy technologies into the energy efficiency
programs; and (iii) recommendations for legislative changes to any
energy efficiency and renewable energy generation incentive
programs. The report shall be filed with the clerks of the senate and
the
house
of
representatives,
the
joint
committee
on
telecommunications, utilities and energy and the house and senate
committees on ways and means.
SECTION 88. Sections 33 to 36, inclusive, shall take effect upon
their passage and shall not apply to any biomass facility qualified by
the department of energy resources as a renewable energy generating
source pursuant to section 11F of chapter 25A of the General Laws as
of January 1, 2022.
SECTION 89. (a) Not later than 180 days after the effective date
of this act, the Massachusetts Department of Transportation, in
consultation with the Massachusetts Bay Transportation Authority,
shall issue a comprehensive analysis of any problems and challenges
that may have existed concerning the operation of electric vehicle
charging stations at service plazas located on the Massachusetts
Turnpike, in parking lots at commuter rail stations and in parking lots
of subway stations for the time period between July 1, 2021, and June
30, 2022, including but not limited to: a comprehensive record of
charging station service outages identified by location; copies of any
contracts or contractual provisions regarding the servicing,
maintenance and repair of said charging stations; copies of
correspondence between the department and other parties regarding
efforts to service, maintain and repair said charging stations; estimates
of downtime by individual charging station; identification of any
software or hardware malfunctions or any shortages of labor or parts
that may have contributed significantly to excessive equipment
downtime or to said problems and challenges; identification of any
software or hardware malfunctions or any shortages of labor or parts
that pose a significant risk of contributing to equipment downtime or
to said problems and challenges in the future; recommendations on
addressing any such malfunctions, shortages, excessive downtime,
problems and challenges and avoiding their recurrence; and
comprehensive comments and recommendations regarding lessons to
be learned with respect to the effective future deployment of electric
vehicle charging infrastructure within the commonwealth.
(b) Not later than July 1, 2024 the Massachusetts Department of
Transportation, working in cooperation with the Massachusetts Bay
Transportation Authority and regional transit authorities, shall make
provision for installing and maintaining in good working order electric
vehicle charging stations for public use at: (i) all service plazas located
on the Massachusetts Turnpike; (ii) parking lots of at least 5 commuter
rail stations; (iii) parking lots of at least 5 subway stations; and (iv) a
parking lot of at least 1 ferry terminal. Charging stations should be of
a quantity and type appropriate to the pattern of utilization expected at
each site.
SECTION 90. (a) For the purposes of this section, “time-of-use
rate” shall mean a rate designed to reflect the cost of providing
electricity to a consumer charging an electric vehicle at an electric
vehicle charging station at different times of the day.
(b) Not later than 12 months after the effective date of this act,
distribution companies as defined in section 1 of chapter 164 of the
General Laws, shall submit proposals to the department for approval
to offer a time-of-use rate. The proposals shall not include additional
demand charges. The proposals shall include a separate opt-in
residential time-of-use rate for electric vehicle owners or lessees. In
evaluating proposals for approval, the department shall consider the
effect of the proposal on: (i) energy conservation; (ii) optimal and
efficient use of a distribution company’s facilities and resources; (iii)
benefits to transmission and distribution systems; (iv) equitable rates
for electric consumers; and (v) greenhouse gas emissions reductions.
The proposals shall ensure equitable participation by all electric
vehicle owners and lessees. Not later than October 31, 2025 the
department shall issue at least 1 order that responds to distribution
company proposals to offer a time-of-use rate.
SECTION 91. Not later than 6 months after the effective date of
this section, the Massachusetts Department of Transportation, in
consultation with the regional transit authorities, shall develop and
issue recommendations for a comprehensive program of incentives for
the authorities to develop and maintain buses and other vehicles that
produce zero emissions. The recommendations shall be submitted to
the clerks of the senate and house of representatives.
SECTION 92. The division established in section 23 of chapter
25 of the General Laws shall promulgate the regulations pursuant to
section 12 of chapter 159A½ of the General Laws not later than
October 1, 2023 and shall implement the vehicle electrification and
greenhouse gas emissions requirements for transportation network
companies pursuant to said section 12 of said chapter 159A½ not later
than April 1, 2024.
SECTION 93. The department of energy resources shall
promulgate regulations to implement section 20 of chapter 25A of the
General Laws within 1 year of the effective date of said section 20 of
said chapter 25A.
SECTION 94. Sections 23 to 31, inclusive, shall take effect upon
its passage and shall apply to energy efficiency plans beginning with
the 2025 to 2027 plan.
SECTION 95. Section 20 of chapter 25A of the General Laws,
inserted by section 41, shall take effect on July 1, 2024.
SECTION 96. Section 46 shall take effect upon the secretary of
energy and environmental affairs’ certification in writing to the state
secretary that a similar requirement regarding the sale of zero-
emission vehicles has taken effect in the state of California; provided,
however, that said section 46 shall not take effect prior to January 1,
2035 unless otherwise authorized by section 142k of chapter 111 of
the General Laws.
SECTION 97. Sections 4, 44 and 45 of this act are hereby
repealed.
SECTION 98. Sections 5 and 15 shall take effect on July 31,
2032.
SECTION 99. Subsection (d) of section 8A of chapter 23J, as
inserted by section 14 of this act, is hereby repealed.
SECTION 100. Sections 97 and 99 shall take effect on July 31,
2032.
Approved, August 11, 2022.