Summer Energy Symposium Keep the Lights on and Lower the Costs Take Action Now: What You Can Do...

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Summer Energy Symposium Keep the Lights on and Lower the Costs Take Action Now: What You Can Do Smith, Segel & Ruddock June 28, 2011

Transcript of Summer Energy Symposium Keep the Lights on and Lower the Costs Take Action Now: What You Can Do...

Page 1: Summer Energy Symposium Keep the Lights on and Lower the Costs Take Action Now: What You Can Do Smith, Segel & Ruddock June 28, 2011.

Summer Energy SymposiumKeep the Lights on and Lower the Costs

Take Action Now:What You Can Do

Smith, Segel & Ruddock June 28, 2011

Page 2: Summer Energy Symposium Keep the Lights on and Lower the Costs Take Action Now: What You Can Do Smith, Segel & Ruddock June 28, 2011.

S. 1679 – An Act Relative to Competitively Priced Electricity in the Commonwealth

Situation

• Massachusetts: Highest or near the highest cost of electricity in the United States.

• High prices are contributing to the high cost of doing business in Massachusetts.

• Passage of the Green Communities Act added costs to ratepayer bills.

• Rate cases before the Department of Public Utilities have resulted in enormous and unexpected rate increases.

Smith, Segel & Ruddock June 28, 2011

Page 3: Summer Energy Symposium Keep the Lights on and Lower the Costs Take Action Now: What You Can Do Smith, Segel & Ruddock June 28, 2011.

S. 1679 – An Act Relative to Competitively Priced Electricity in the Commonwealth

Solutions

• Municipal light companies get funding for energy efficiency from RGGI.

• Prohibits utilities from passing to ratepayers costs of fuel for certain renewable power plants owned by utilities.

• Changes Section 83 of the GCA, long-term contracts for renewable power – cost recovery.

• Allows out of state renewable generators to compete equally with instate generators for long-term contracts with utilities.

Smith, Segel & Ruddock June 28, 2011

Page 4: Summer Energy Symposium Keep the Lights on and Lower the Costs Take Action Now: What You Can Do Smith, Segel & Ruddock June 28, 2011.

S. 1679 – An Act Relative to Competitively Priced Electricity in the Commonwealth

Solutions, continued

• Requires utilities to provide accurate and timely itemized information to businesses – reasons and impact of increases.

• Mandatory phase-in period for any increase over 10% of a current distribution rate approved by the DPU.

• Discretionary phase-in period upon request for non-residential ratepayers with greater than a 15% increase distribution costs approved by the DPU.

• Allows utilities to recover revenue for loss of consumption (decoupling) only when the loss of revenue is due only to energy efficiency programs.Smith, Segel & Ruddock June 28, 2011

Page 5: Summer Energy Symposium Keep the Lights on and Lower the Costs Take Action Now: What You Can Do Smith, Segel & Ruddock June 28, 2011.

S. 1680 - Energy Efficiency Amendment

Situation

• Each utility in Massachusetts has energy efficiency programs funded by all ratepayers.

• Individual ratepayers can access this funding by applying to the utility for monies under various programs.

• This necessarily means that some funding is absorbed by administrative costs which costs ratepayers the use of the entire funding they are contributing.

Smith, Segel & Ruddock June 28, 2011

Page 6: Summer Energy Symposium Keep the Lights on and Lower the Costs Take Action Now: What You Can Do Smith, Segel & Ruddock June 28, 2011.

S. 1680 - Energy Efficiency Amendment

Solution

• On a pilot basis allow certain ratepayers to keep the money they would otherwise pay the utility.

• Require those ratepayer to commit to absolutely spending the retained monies for energy efficiency programs or demand management

• Eliminates middleman costs, empowers ratepayers to make investment they need for reducing energy use

• Guarantees the monies are spend and targeted to investments unique/effective for the specific ratepayer.

Smith, Segel & Ruddock June 28, 2011

Page 7: Summer Energy Symposium Keep the Lights on and Lower the Costs Take Action Now: What You Can Do Smith, Segel & Ruddock June 28, 2011.

Call/Write for More Information:

Robert RuddockSmith, Segel & Ruddock

50 Congress Street, Suite 500Boston, MA 02109

(617) [email protected]