Massachusetts

Sector: Regional Government

Carbon Footprint:

> 90,222,000 metric tonnes CO₂e (2001)

TARGETS

>Reduce CO₂e emissions to 1990 levels by 2010
>10% reduction in CO₂e emissions by 2020 against 1990 levels, and 75-85% below 1990 levels over the longer

Achievements

>Agenda for renewables expansion
>1,129,336 tonne reduction in CO₂e emissions through energy conservation projects to 2004

Benefits

>$152,314,094 in cost savings through energy conservation projects to 2004

Low Carbon Solutions

Background

In 2001, the Conference of New England Governors and Eastern Canadian Premiers (NEG/ECP) adopted a regional plan to address climate change. This plan has been widely cited as one of the most significant initiatives of its kind, laying out a comprehensive approach for responding to climate change in the region. As part of the NEG/ECP initiative, Massachusetts has been taking great strides towards greenhouse gas emissions reduction, introducing a range of goals and strategies. As well, in the spring of 2004 the state issued the Massachusetts Climate Protection Plan to accelerate progress even further.

Massachusetts has established the Renewable Energy Trust, funded by a small charge on rate-payers electricity bills. By 2003, it had raised $180 million for renewables R&D, to support solar power systems and to promote green school buildings. The Trust also works to generate jobs in renewables and energy efficiency, and to break down technical and regulatory barriers. Its ‘bottom line’ is to have 750-1000 MW of renewable power generation installed across New England by 2009. Trust chief executive Rob Pratt calls the goal, “aggressive, but achievable, and if we make it - that will say a huge amount about how the environment is beginning to change for renewables in the US.”

A further small charge on state electricity consumers raises roughly $145 million annually to subsidize energy efficiency. These funds are largely administered through utilities. Massachusetts spends more per capita on energy efficiency than any other state.

The Renewable Energy Trust is also promoting ‘community’ wind turbines on the model of a local initiative at Hull on Boston Harbour, where a 660 kW turbine installed in 2001 powers street lights. The town has cut power bills by 10% and plans to develop two more turbines. Some 50 communities want to follow Hull’s example. Meanwhile, a Boston entrepreneur is planning one of the world’s largest offshore wind farms off Cape Cod. Its average capacity of 170 MW would save 1.1 million tonnes of CO₂ emissions a year, roughly 1% of state emissions.

The Massachusetts Renewable Portfolio Standards (RPS) require generators to provide 1% of their electricity from new renewables by 2003, rising to 4% by 2009. If they do not generate renewable energy themselves, utilities can purchase renewables certificates, which are currently available from generators of renewable energy at $40/MWh.

Though the RPS effectively guarantee a market for renewables at premium prices, potential investors in renewables technology are still cautious, voicing fears that the technologies are unproven and that the price premium might not be maintained. To help kick-start the industry, the state has set aside $17 million to buy renewables for its own facilities over the next decade, and is considering requiring power distribution companies to place long-term contracts for renewables.

In 2001, anti-pollution regulations were passed in Massachusetts. These rules require the state’s six older and highest emitting power plants to either ‘clean up or shut down’. The rules will significantly reduce emissions of nitrous oxides, sulphur oxides, mercury and carbon dioxide. They cap CO₂ emissions and then require reductions averaging 10%. The standard can be met either by increased efficiency at the plant or by the purchase of credits from other CO₂ reduction programs. The state also requires new power plants to offset some of their future lifetime CO₂ emissions.

Looking at the bigger picture, The Massachusetts Climate Protection Plan calls for greenhouse gases in the state to be reduced to 1990 levels by 2010, 10% below 1990 levels by 2020 and 75-85% below 1990 levels over the longer term.

A central part of Massachusetts climate strategy is to minimise transport related climate impacts. For example, the state is launching planning efforts to centre population near public transit nodes. This will encourage dense town centres, reducing vehicle emissions and protecting wilderness and farmland from development.

Massachusetts has recently become the first state in the US to require transportation projects to report on expected CO₂ emissions impacts prior to funding. Meanwhile, it is ‘greening’ the state vehicle fleet by buying more fuel-efficient vehicles and increasing use of alternately-fuelled vehicles, such as hybrids. Any new sports utility vehicle (SUV) purchases will require direct approval from the Governor’s office.

The 660kW Hull wind turbine, installed in 2001, has enabled the town to cut power bills by 10%.