The Northeast Clean Energy Council (NECEC) and the Solar Energy Industries Association (SEIA) issued the following statements expressing strong disappointment and serious concern with the Massachusetts Department of Public Utilities’ (DPU) recent decision to approve rate changes for Eversource Energy. Both organizations believe these changes will present obstacles to customers seeking to make clean energy choices, including the installation of solar, adoption of storage, energy efficiency and potentially electric vehicles.
The new Monthly Minimum Reliability Contribution (MMRC) charge approved in the order will apply to new net metering customers as of Dec. 31, 2018. It includes a higher customer charge and imposes demand charges on all net metering customers, including residential. This makes Massachusetts the first state commission to approve mandatory demand charges for residential customers.
Additionally, and in contrast with states around the country that have offered customers “time-of-use” rates that signal to customers when it costs more to use electricity, the order eliminates optional residential time-of-use rates. It also closes a time-of-use rate available to commercial and industrial customers as of Feb. 1, 2018, which is less than a month’s notice.
“This approval from the DPU is precedent-setting in all the wrong ways,” said Sean Gallagher, SEIA’s vice president of state affairs. “With a sweep of a pen, DPU has made it harder for customers to be properly informed on how to manage their electricity use. This is a step in the wrong direction for solar in the Commonwealth and will undoubtedly make it tough for Massachusetts to reach its goal of installing another 1,600 MW of solar.”
NECEC and SEIA were pleased with the DPU’s decision not to consolidate commercial and industrial (“C&I”) rates at this time, which would have significantly harmed municipal and other solar projects already in operation or development, as well as the decision to address extra charges related to interconnection upgrades in a new proceeding in 2018.