Massachusetts Approves Revised Budget for Energy Efficiency Program, Mass Save

Massachusetts utility regulators have given the green light to a refined budget for the state’s energy efficiency initiative, Mass Save. Originally set at $5 billion, the budget has now been trimmed by $500 million. Despite this significant cut, the state’s Department of Public Utilities (DPU) assures residents that the program will still deliver billions in annual savings by backing enhancements to homes and businesses, such as energy-efficient heating systems and appliances, coupled with cost-effective weatherization efforts.

In the past 15 years, Mass Save has enabled customers to save a staggering 18 million megawatt-hours of electricity annually. However, due to the revised budget, residential programs for gas and electric consumers will see reductions of 25% and 15%, respectively. Still, when compared to the 2022-2024 budget of $3.95 billion, the newly approved 2025-2027 budget is an increase, as reported by Western Mass News.

DPU underscores that the budget contraction will affect each utility provider differently, as they must collaboratively pare down the overall Mass Save budget. Each utility formulates an individual budget for its programs, which is then consolidated into the total budget proposal. Participants in Mass Save include Eversource Energy, Berkshire Gas, Cape Light Compact, Liberty Utilities, National Grid, and Unitil.

Eversource commended the DPU for addressing affordability concerns and commended them for taking necessary steps. “This is the most immediate action the state can pursue to deliver long-term financial relief to customers while ensuring the energy transition in Massachusetts is both feasible and affordable,” stated Eversource. They reiterated their commitment to Mass Save, viewing it as crucial for Massachusetts to achieve its decarbonization targets. The state aims to reach net zero emissions by 2050.

Efficiency advocates, however, express worry that the DPU’s decision will result in a $1.5 billion loss in potential benefits and savings. “Reducing energy efficiency programs intended to cut energy use amid soaring utility bills is like shooting yourself in the foot,” remarked the Conservation Law Foundation, a member of the Beyond Gas coalition.