Stan Rosenberg, D-Amherst, the president of the Massachusetts Senate, said lobbyists for utilities have had 'undue influence' over state energy policy.
NORTHAMPTON -- Energy will remain a top priority in the upcoming legislative session in Massachusetts, and any bill should "push the envelope" on climate change and push back against the influence of lobbyists, state Senate President Stan Rosenberg told a roomful of civic leaders gathered at a middle school cafeteria here.
"We should be focusing our efforts on a robust energy debate, as early in the new term as possible," Rosenberg said at a Dec. 3 Western Massachusetts Legislative Summit sponsored by the Hampshire Council of Governments.
As for climate change, "we can't afford to wait," he said. "I anticipate a robust discussion in the Legislature."
Rosenberg said the "hook" for assembling a comprehensive energy and climate bill would be the nearly immediate need to lift the cap on solar net metering.
"The solar net metering cap is going to be reached, and that will give us the opportunity we need to get everybody pushing harder for a much more aggressive approach," Rosenberg said.
The cap limits how much solar energy utilities must buy. Last April, with solar projects stalled across the state, the Legislature passed a compromise to lift the cap by 3 percent. Lawmakers acknowledged that the bill was a short-term solution, because the cap would be hit again in 2017.
"If you want to put solar on your roof, your business, your farm, you have to hook up to the utilities, and there's a formula that dictates how much the utilities have to accept at any one time," Rosenberg said. "They are not entirely happy with that idea. So we have to revisit it from time to time. So that would be the entree, the hook that we would use to rejoin the climate change debate in Massachusetts."
Many in the room, including local officials, had actively fought Northeast Energy Direct, a now-defunct natural gas pipeline plan that would have crossed dozens of rural towns in the region. The Texas-based Kinder Morgan withdrew plans for the pipeline in May, citing inadequate financial commitments.
At the Northampton conference, Rosenberg rebuffed a request from anti-fossil fuel activists to immediately head back to Boston and convene an emergency legislative session on climate change.
"There's literally only five weeks left in this two-year legislative term," he said. "It is impractical to think we'll call a special session of (the) Legislature in the middle of the holiday season and get anything productive done."
Rosenberg: Lobbyists had 'undue influence' over energy policy
However, in response to an audience question referencing "the undue influence of Associated Industries of Massachusetts" in shaping state energy policy, Rosenberg did not hold back.
"I think Associated Industries of Massachusetts is having an undue influence on the conversation around energy, in part because among their biggest supporters and members are the utilities," he said. Registered lobbyists represent the the trade group's interests on Beacon Hill.
Rosenberg said a number of clean energy provisions pushed by the Senate "were left on the cutting room floor" in a rush to forge a compromise with the House of Representatives and produce a bill on windpower and hydropower by the end of the term.
"We lost a lot with the conference process this year," said Rosenberg. "And we were a little disappointed. But we are patient, and we are persistent. And we'll have another opportunity this year to open the debate."
Utilities are struggling with the transition from centralized power plants to a distributed electrical grid based upon renewables, smart technology, storage and energy efficiency, Rosenberg said.
Reached by telephone, a spokesman for Associated Industries of Massachusetts rejected Rosenberg's characterization of their efforts to shape legislation.
"We represent the interests of 4,000 businesses across the state," said Christopher Geehern, AIM's vice president of marketing and communications. "They pay some of the highest electricity rates in the country. If advocating for small businesses constitutes 'undue influence,' then so be it."
Geehern noted that AIM supported the energy bill signed by Gov. Charlie Baker in August. "We think it was a good compromise," he said. "We didn't get everything we wanted, and neither did they. That's how democracy works."
The final bill, celebrated by environmentalists and panned by large power generators, requires utilities to procure 1,600 megawatts of offshore wind and 1,200 megawatts of hydropower and other renewables through contracts spanning 15 or 20 years.
In a telephone interview, Rosenberg told The Republican that AIM "worked hand-in-hand" with the state's utilities to "limit the scope and scale" of the more ambitious Senate energy bill passed in June.
The Senate bill would have beefed up clean energy benchmarks, incentivized energy storage technologies, backed a slew of new efficiency measures, studied grid modernization, rejected ratepayer financing for fossil fuel pipelines, looked at new ways to finance renewable energy projects and more.
The competing bill from the House of Representatives had drawn criticism from environmentalists, who called the measure "timid."
2016 energy bill 'a good start'
The bill signed by Gov. Charlie Baker in August jettisoned many items on the Senate wish list, yet still represented landmark support for large renewable energy projects, including the state's growing offshore wind industry.
The final bill, in addition to its procurement requirements, addressed the issue of natural gas leaks, included support for energy storage, gave a boost to small hydropower projects, created a panel to guide the decommissioning of Pilgrim nuclear power plant in Plymouth and offered tax incentives for energy upgrades at commercial and industrial properties.
Rosenberg last week called the 2016 energy bill "a good start," but said more needs to be done.
As for lobbyists who might try to fight clean energy and climate policy, Rosenberg said they "have their heads in the sand" and are not looking down the road.
"Yes, there are costs associated with transitioning to a clean energy future," he said. "But they're looking at short-term costs. If you think the short-term costs are going to hurt, wait until you see the long-term costs associated with not changing our energy mix. We have to deal with climate change, which means reducing our use of fossil fuels."
Rosenberg said Massachusetts' aggressive approach to energy efficiency has helped lower utility bills for businesses and homeowners alike. "We are number one in the country in our effort to reduce our carbon footprint and fight climate change," he said. "And energy efficiency makes sense economically."
The Senate president said he hopes the Legislature will lift the cap on solar net metering, significantly increase the state's clean energy procurement goals and review and revise MassSave, the 30-year-old conservation program run by utilities and funded by ratepayers.
In addition, Rosenberg said an innovative program for financing energy upgrades should be made available to homeowners, and not just businesses. The "property assessed clean energy" program, or PACE, allows such capital investments to be funded through a voluntary property tax assessment instead of through borrowing.
And finally, he said the state must increase its capacity for resiliency and adaptation in the face of climate change. "We're looking at a potential for significant sea rise," he said. "What will that mean for our coastal cities?"
Severe weather and flooding will impact interior regions of the state as well, he said. "Look at the destruction brought by Tropical Storm Irene," he said. "How are we going to adapt? How are we going to prepare? We need to look at infrastructure, and we need to look at policy."
The Western Massachusetts Legislative Summit highlighted issues relevant to the four western counties. Others on the wrap-up panel were Rep. Peter Kocot, D-Northampton, and Sen. Anne Gobi, D-Spencer.
The three fielded questions about education funding, agriculture, water quality and rural broadband in addition to comments about energy and climate change.
Rosenberg said he would prioritize education funding reform, criminal justice reform, transportation projects, and support a "kids first" initiative in the Senate. Gobi said that water quality issues would be at the top of her list, with various towns in her district facing drinking water problems.
Kocot agreed that energy should be a top priority. "There are no technical obstacles to having 100 percent clean energy by 2050," he said. "We can do this. But individuals need to make up their minds that this is a worthwhile cause."
The House and Senate reconvene at the State House in Boston on Jan. 4, when members-elect will be sworn in by Baker.
Mary Serreze can be reached at mserreze@gmail.com