For Immediate Release: 8-12-22
Contact: Peter Jasinski | email@example.com
Legislation includes four amendments filed by Sen. Keenan
BOSTON – Massachusetts has passed comprehensive climate legislation to reach net-zero greenhouse gas emissions by 2050. The bill, approved by the House and Senate leadership on July 21 and signed by Governor Charlie Baker on August 11, includes four amendments filed by Senator John F. Keenan making electric vehicle use in Massachusetts more accessible for Massachusetts drivers.
An Act driving clean energy and offshore wind includes a wide slate of policy changes and new programs intended to cut carbon emissions in Massachusetts through greener transportation, energy-efficient buildings, and clean power generation.
“We have reached a point where we must choose between a changing climate or a changing society. Thanks to this legislation, we can change for the better,” said Sen. Keenan. “For many of us, our involvement in a greener future starts in the driveway. That is why I worked to ensure this legislation makes electric vehicles a realistic and accessible option for Massachusetts drivers.”
The first of Sen. Keenan’s two EV-specific amendments stipulates that the Commonwealth shall install 11 charging stations at transportation hubs including commuter rail, subway, and ferry stations across Massachusetts. The second is intended to prevent abuse of the Commonwealth’s new EV rebate program by prohibiting buyers of used EVs from getting rebates unless the original owner kept the car for at least a year.
Sen. Keenan also filed an amendment, which is included in the new law, making municipally-owned higher education institutions eligible for grants through the Commonwealth’s Green Jobs Initiative, which funds public college and universities looking to facilitate clean energy workforce development efforts. The inclusion of this provision will particularly benefit Quincy College students, who otherwise could not have participated in the initiative.
The fourth amendment filed by Sen. Keenan included in the final bill that the Senate adopted adds a representative with public-health expertise to the Commonwealth’s Stakeholder Working Group to Align Gas System Enhancement Plans.
“Overall, this new law changes the sources of our energy and the way in which we will use that energy, both resulting in timely and significant positive impacts on our climate, while also making Massachusetts a leader in the business of clean energy,” said Sen. Keenan.
To incentivize the development of the offshore wind industry in Massachusetts, this legislation establishes a Massachusetts Offshore Wind Industry Investment Program, administered by the Massachusetts Clean Energy Center (MassCEC), consisting of annual tax incentives, grants, loans, and other investments through the fund, and assistance from MassCEC in accessing other state or federal economic investment programs. The legislation also creates the Massachusetts Offshore Wind Industry Investment Trust Fund to promote the manufacture, fabrication, and assembly of domestic supply chain components of the offshore wind industry; stimulates increased financing for permanent manufacturing facilities; advances clean energy research, technology, and innovation; and, prepares individuals for offshore wind careers by supporting workforce training at a range of educational institutions and through regional employment boards.
With the goal of making the Massachusetts offshore wind bidding process more competitive, the legislation modifies the price cap to set clear criteria to allow for offshore wind project proposals that are cost-effective and promote economic development in the Commonwealth. Under this legislation, the price cap will be removed if three or more offshore wind developers submit bids, and if less than three companies bid a modified price cap would remain in place. Preference will be given to bids that invest in local manufacturing, provide employment opportunities for underrepresented populations, and mitigate environmental impacts. Ultimately, a contract would only be approved if deemed cost-effective and beneficial to ratepayers.
The legislation also establishes a commercial fisheries commission to provide input on best practices for avoiding, minimizing, and mitigating impacts to wildlife related to offshore energy generation and transmission.
To support the advancement of solar power, the bill permits agricultural and horticultural land to be used to site solar panels as long as they do not impede the continued use of the land for agricultural or horticultural use, eliminates the so-called ‘donut hole’ for on-site solar energy net metering to promote residential solar, and loosens the so-called single parcel rule to help expand solar on sites where it already exists.
In addition to wind and solar power, the bill addresses other innovative sources of clean energy such as fusion energy and geothermal power. Acknowledging the harmful health and environmental impacts of utility-scale biomass power plant facilities, this legislation removes biomass from the list of energy-generating sources that are allowed to receive certain state incentives for generating clean electricity. To ensure that the Commonwealth has adequate storage systems to accommodate increasing amounts of clean energy that Massachusetts will be adding to its energy portfolio, this bill directs a study of how to optimize the deployment of long-term energy storage systems.
The legislation also modernizes Massachusetts’ electrical grid and energy storage infrastructure by requiring utility companies to upgrade the transmission and distribution grid to improve reliability and resilience and accommodate the anticipated significant shift to renewable energy.
As the transportation sector is the largest source of fuel emissions in Massachusetts, the bill encourages the use of electric vehicles, including expanding and codifying the Commonwealth’s MOR-EV electric vehicle incentive program into statute, which provides rebates to individuals who purchase electric vehicles.
Under the bill, the rebate amount will increase by $1,000, to $3,500 for passenger cars and light-duty trucks. Moreover, electric vehicle purchasers who trade in their emission-producing vehicles will be eligible for an additional incentive of $1,000. The program may include a point-of-sale rebate model for individual purchases that offers consumers savings at the point of purchase or lease. The bill also makes used vehicles eligible for rebates. Further, the bill directs the Department of Energy Resources (DOER) to conduct an outreach campaign to promote awareness about the MOR-EV program among consumers and businesses in underserved and low-income communities, as well as in communities with high proportions of high-emission vehicles.
To expand access to electric vehicle charging stations, this bill convenes an interagency coordinating council to develop and implement a charging infrastructure deployment plan in an equitable and comprehensive manner.
The Department of Public Utilities (DPU) would be required to set vehicle electrification and greenhouse gas emission requirements for electric vehicles for transportation network companies. In addition, to ensure that zero-emission vehicle charging remains affordable for consumers, the bill requires all electricity companies to submit proposals to DPU for how they will offer reduced electricity rates for consumers who charge their zero-emission vehicles at off-peak times.
Finally, the bill takes historic steps to address emissions that come from MBTA bus fleets. Starting in 2030, this bill requires every passenger bus that is purchased or leased by the MBTA to be a zero-emission vehicle. By the end of 2040, the MBTA will be required to operate exclusively zero-emission vehicles. Underserved and low-income communities would be prioritized for the equitable deployment of these zero-emission buses.
To tackle the difficult issue of emissions from the building sector, the bill creates a 10-municipality demonstration project allowing all-electric building construction by local option. Participating municipalities must receive local approval before applying into the demonstration project. The measure has two important provisos: first, each community must first meet certain affordable housing or multifamily development thresholds; and second, each must exempt life sciences labs and health care facilities from the all-electric requirement.
The bill makes targeted enhancements to the Mass Save program, which provides rebates and incentives for owners and renters related to efficient appliances and other home energy improvements. Under the bill, priority for Mass Save projects will be given to those that maximize net climate, environmental, and equity impacts. Beginning in 2025, Mass Save funds will also be limited in most instances from going to any fossil fuel equipment.
This bill requires DPU to conduct an adjudicatory proceeding prior to approving any company-specific plan under the DPU’s future of heat proceedings. In addition, the bill requires DPU to convene a stakeholder working group to develop regulatory and legislative recommendations for how Massachusetts can best align the Commonwealth’s gas system enhancement program with the state’s 2050 net-zero goal. The working group must submit its final recommendations to the Legislature by July 31, 2023.