Key Policy Bodies and Organizations

Department of Public Utilities (DPU, formerly DTE)

The DPU drives electricity policy in the state. Through multiple divisions, the DPU controls pricing of transmission and distribution, develops policy for the deregulated market, monitors service quality, and is responsible for large-scale energy facility siting.

The divisions that relate most directly to renewable energy are the Electric Power Division and the Siting Division. The Electric Power Division is responsible for the planning, procurement, and performance of the electric generating units and conservation and load management programs that each company seeks to develop and operate or secure under contract. The division specifically ensures that electric companies provide reliable energy resources at the lowest possible cost.

The Siting Division assists other organizations in reviewing the long-range forecasts and capacity plans of utilities. It also reviews applications by both competitive suppliers and utilities to construct jurisdictional energy facilities. Specifically, it examines proposed construction sites of generating plants capable of producing 100 MW or more and of electric transmission lines operating at 69 kV or more that are more than 1 mile in length. The Siting Division also intervenes at the Federal Energy Regulatory Commission (FERC) on behalf of the state's Energy Facilities Siting Board (EFSB) to represent Massachusetts ' environmental interests, and it coordinates hydropower licensing reviews for the EFSB. The Siting Division is generally responsible for enforcing the administration and implementation of siting issues statutorily imposed on the DPU and EFSB.

Independent Systems Operator: New England (ISO-NE)

Formed in 1997, ISO-NE is a not-for-profit corporation responsible for maintaining the reliable operation of the bulk power generation and transmission systems in New England . Since 1999, ISO-NE has been responsible for overseeing the region's wholesale electricity markets after deregulation. It also plays a key role in the region's power system planning process.

ISO-NE is one of several regional ISOs created by FERC after the deregulation of portions of the electric utility industry. All ISOs are tasked with providing independent, open, and fair access to transmission systems by setting market-based wholesale electricity rates and ensuring the reliability and the effective management of their region's bulk power systems. ISO-NE works with the New England Power Pool to develop the rules, procedures, and tariffs governing New England 's electricity market.

The New England grid serves a population of about 14 million people. It includes more than 8,000 miles of high-voltage, higher-efficiency transmission lines and many times more miles of lower-voltage distribution lines. It also includes high-voltage interconnections with systems in the state of New York and the provinces of Quebec and New Brunswick . The grid connects more than 6.5 million consumers to several hundred power plants and other generating facilities.

ISO-NE considers clean energy projects in the same way it considers other generation facilities by approving the construction and interconnection of large-scale renewable projects as part of the regional bulk electrical system.

New England Power Pool (NEPOOL)

NEPOOL was formed in 1971 in response to the regional blackouts of 1965. It is structured as a voluntary association of the entities engaged in the New England electric power business. NEPOOL established a solid regional network, and it has coordinated, monitored, and directed the operations of almost all the major generation and transmission bulk power supply in the region. Recently, NEPOOL has joined with ISO-NE to increase the reliability and efficiency of New England 's power infrastructure and market operations.

The members of NEPOOL include participants in the wholesale electricity market. They may be grouped in five categories:

•  Generators: Generators own and operate power generation facilities.
•  Suppliers: Suppliers include marketers, traders, and brokers that serve as load-serving entities or that arrange for the purchase and sale of the output of generators to other suppliers or load-serving entities. The prices they charge are determined by the wholesale electricity market.
•  Transmission Providers: Transmission providers are investor-owned and regulated utilities that own and operate electricity transmission and distribution systems.
•  Municipally Owned Utilities: They generally own and operate power plants, engage in the power market, and serve retail customers.
•  End users: This group, primarily comprised of load-intensive industries, represents the consumer base of the wholesale electric market.

Department of Environmental Protection (DEP)

The DEP is the state agency responsible for protecting human health and the environment. It creates and enforces a regulatory framework that promotes clean air and water, the safe handling and disposal of hazardous waste, and the preservation of wetlands and coastal resources. The DEP's role, under Article 97 of the Massachusetts Constitution, is to be the guarantor of the people's right to "clean air and water" and "the natural scenic, historic and aesthetic qualities of the environment."

The DEP is responsible for monitoring air quality and regulating air emissions from power plants and other sources. Its main role in regulating renewables is to apply emissions regulations to landfill gas and biomass facilities. The DEP has little involvement in regulating emissions-free energy sources such as solar and wind power.

Division of Energy Resources (DOER)

The Massachusetts Division of Energy Resources is the state's energy agency. DOER implements energy policies that ensure an adequate supply of reliable, affordable, and clean energy for the businesses and residents of Massachusetts. The agency works to improve and streamline energy regulation, promote greater efficiency in all energy uses, reduce energy costs, and mobilize energy education. The DOER provides renewable energy information and project descriptions on its website. The DOER is responsible for implementing and tracking many of the measures related to the Massachusetts Climate Protection Plan and the Renewable Portfolio Standard.

Office for Commonwealth Development (OCD)

The Office for Commonwealth Development cares for the state's built and natural environments by promoting sustainable development through the integration of policies, programs, and regulations involving the state's energy, environment, housing, and transportation agencies. It administers the Massachusetts State Sustainability Program, which requires state agencies to incorporate environmentally sustainable practices within their daily operations. The Massachusetts Climate Protection Plan is one example of the coordinated and strategic approach being implemented by the OCD.

Massachusetts Technology Collaborative (MTC) and the Renewable Energy Trust (RET)

The Massachusetts Technology Collaborative is the state's development agency for renewable energy and the innovation economy. It administers the Renewable Energy Trust, which was created by the Legislature in 1997 as an essential component of electric utility industry restructuring.

The goal of the Renewable Energy Trust is to generate economic and environmental benefits for the Commonwealth's citizens by pioneering and promoting the successful commercialization of renewable energy technologies and by fostering the emergence of sustainable markets for power generated from renewable energy sources. It aims to position Massachusetts as a global leader in the development and application of renewable energy. It is funded through a small monthly charge on consumers' electric bills, averaging about 50 cents per month for residential customers.

The Policy Unit of the Renewable Energy Trust increases the availability, affordability and use of renewable energy by assessing market and regulatory challenges, assembling objective information, and helping MTC collaboratives (including the Massachusetts DG Collaborative) to develop consensus policy recommendations. The Policy Unit also provides policy analysis and program development support to other parts of the Trust in the areas of electricity and REC markets and the regulation of electric utilities.