NASEO’s 2018 Northeast Regional

State Energy Officials Meeting

Policy Issues and Program Activities

April 11-12, 2018 Saratoga Springs, New York

Connecticut

Maine

Massachusetts

New Hampshire

New York

Rhode Island

Vermont

NASEO’s 2018 Northeast Regional

State Energy Officials Meeting

(April 11-12, 2018 – Saratoga Arms, Saratoga Springs, NY)

NYSERDA

New York’s State Energy Policy Issues

• Climate and Community Protection

• Integrating Public Policy task force (Carbon Pricing in Wholesale Markets)

• Divestiture of fossil fuel investments from Common Fund

State Energy Program Activities

• 2019 State Energy Plan

• New York Clean Energy Industry Report

• Energy Emergency and Preparedness/Fuel-NY Program

• Energy Storage Target Goal and Roadmap

• 100% Renewable Energy Analysis

Other (Non-SEP) Activities

• Energy Efficiency Goal

• Stretch Building Code

• Offshore Wind Policy Options; upcoming procurement

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NASEO’s 2018 Northeast Regional

State and Territory Energy Officials Meeting

April 11-12, 2018

Saratoga Springs, New York

Rhode Island Office of Energy Resources

Rhode Island’s Energy Policy Issues:

• Rhode Island continues to advance an aggressive clean energy agenda through its support

for least cost procurement and implementation of cost-effective energy efficiency

measures, as well as for increased development and deployment of renewable distributed

generation.

• In March 2017, Governor Gina Raimondo announced a goal of securing 1,000 MW of

new clean energy resources by the end of 2020 – a ten-fold increase in the state’s clean

energy portfolio. These and other clean energy initiatives are growing jobs, reducing

energy costs and exposure to energy price volatility, and shrinking carbon footprints

throughout the Ocean State.

• Rhode Island continues to show impressive job growth in the clean energy sector, as

detailed in the 2017 Rhode Island Clean Energy Jobs Report. Since 2014, clean energy

employment in the Ocean State has increased by an impressive 66 percent.

• Achievement of Rhode Island’s short-and long-term energy and environmental goals are

also intricately linked to its place within the New England region. Rhode Island is part of

a highly-integrated energy system with significant implications for state and regional

economic competitiveness, investment and job growth opportunities, wholesale- and

retail-level energy costs, and greenhouse gas reduction goals. The New England States

have a long history of fruitful collaboration and coordination on energy issues to achieve

shared policy goals, and OER continues to represent Rhode Island’s interests in that

regard.

State Energy Program Activities:

• Power Sector Transformation Initiative – OER, along with the state’s Division of Public

Utilities & Carriers and Public Utilities Commission, have released a comprehensive

blueprint to modernize the state’s electric grid. This plan will help control the long-term

costs of energy, foster customer participation and choice, and enable the efficient

integration of clean energy technologies. The report, Rhode Island Power Sector

Transformation, was submitted in response to Governor Raimondo’s call for innovative

strategies to advance a cleaner, more affordable and reliable energy system for the 21st

Century. It includes recommendations for action over the next year to provide more value

to customers through a new regulatory framework and strengthen grid flexibility and

resiliency.

• Efficient Buildings Fund (EBF) – Established under RIGL, Chapter 46-12.2-4.2, the EBF

is a revolving loan fund administered by the Rhode Island Infrastructure Bank to finance

energy efficiency and renewable energy projects for municipally owned buildings and

school facilities as well as quasi-governmental agency buildings. The program provides

financial assistance to local governmental units for deep energy savings projects where

the annual energy savings achieved by the project exceed the annual debt service. OER is

responsible for soliciting, scoring and ranking applications to create a Project Priority

List. Applications for Round 5 are due April 13th. To date, five municipalities and one

school district have borrowed funds for energy efficiency and renewable energy projects.

• Lead by Example: In December 2015, Governor Gina M. Raimondo signed Executive

Order 15-17: "State Agencies to Lead by Example in Energy Efficiency and Clean

Energy" establishing a "Lead by Example" program within the Office of Energy

Resources (OER) "to oversee and coordinate efforts at State agencies to make reduce

energy consumption and greenhouse gas emissions". Since announcing the goal to 1,000

megawatts of clean energy into the state’s energy portfolio last spring, RI has more than

doubled the amount of renewable power. Building on this progress, Governor Raimondo

directed her energy team to work with the state’s utilities to issue a procurement for up to

400 megawatts of affordable, clean energy by summer.

• Energy Metrics to Promote Residential Energy Scorecards in States (EMPRESS) Grant -

OER was awarded a competitive grant in the fall of 2016. The project objective is to

advance large-scale home energy labeling policies, and harmonize energy scoring

programs to support the market valuation of energy efficiency in homes. This will be

accomplished by defining and promoting common elements of an asset based, market-

facing home energy label, and coordinating across states to develop and share model

policies, examples of legislation, and governance frameworks. The team is in the process

of finalizing a Policy Guidance Document and actively working with Energy Scoring

providers to find a way to provide energy scoring in a similar manner.

• Rhode Island’s Stretch Codes – In February 2018, Rhode Island’s first voluntary Stretch

Codes were made available to private and public building construction and renovation

projects. The codes were developed with the assistance of subject matter experts and

were vetted through a public comment process. The stretch codes are meant to be used on

a voluntary basis to guide the construction and/or renovation of buildings that use less

energy, have less negative impact on the environment, and achieve higher levels of

occupant health and comfort. New building construction and large-scale renovation

projects are also encouraged to use the Stretch Codes to help maximize the financial

incentives available from National Grid’s Energy Efficiency Programs.

Other (Non-SEP) Activities:

• TCI – OER, together with the Rhode Island Department of Environmental Management

and Department of Transportation, continue to work with the other 11 Northeast and

Mid-Atlantic jurisdictions to develop the clean energy economy and reduce greenhouse

gas emissions in the transportation sector.

• Executive Climate Change Coordinating Council (EC4) – (established in 2014) sets

specific greenhouse gas reduction targets; establishes two advisory bodies, the EC4

Advisory Board and the EC4 Science and Technical Advisory Board, to assist the

Council; and incorporates consideration of climate change impacts into the powers and

duties of all state agencies. The legislation emphasizes the concept of resilience, building

on our collective strength to develop practical solutions that allow Rhode Island to

“weather the storm.” OER serves on 11-member Council that is chaired by RIDEM

Director Janet Coit.

• RGGI – Rhode Island is moving forward to incorporate the 2016 Program Review

changes into its regulations.

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NASEO’s 2018 Northeast Regional State Energy Officials Meeting

April 11-12, 2018 – Saratoga Arms, Saratoga Springs, NY

Vermont Department of Public Service

Vermont’s Energy Policy Issues:

• Integrating distributed generation – High growth in net metering systems and, some notable additions to wind, and larger (but still 5 MW or less) solar PV projects are contributing to curtailments of generation in constrained or congested areas of the distribution system;

• Rate design – Despite the addition of advanced metering infrastructure, Vermont utilities have been slow to explore or adopt more advanced forms time-varying pricing. Vermont’s utilities are also looking for innovative pathways to accelerate adoption of new electric loads such as EV’s and cold climate heat pumps, and heat pump water heaters with potential use of innovations in rate design.

• Advanced wood heating – Advanced wood heating systems are included in state energy objectives, but have been slow to move in the face of low fossil fuel prices.

• Electrification issues – Electric vehicle investigation to address the many issues that relate. Tier 3 requirements that cover electrification are including in utility resource portfolio requirements.

• Rethinking energy efficiency in a distributed energy future – Broad-based (statewide or utility-wide), static (passive) resources, provide benefits, but also adds to the challenges associated with accelerating growth distributed generation. More active solutions like storage, and flexible loads seem more relevant. The energy, integration, and environmental challenges of the future seem to be pointing toward greater need for more active, adaptive, or (at least) strategically placed demand-side solutions.

State Energy Program Activities:

• Drive electric Vermont – The PSD contributed funds toward a program designed to promote electric vehicles in Vermont.

• Energy code update – Have received three proposals and will hire a contractor soon. (Residential, Commercial, Residential Stretch, and Commercial Stretch Guidelines).

• Roadmap for reaching the net zero design by 2030.

• Clean Energy Finance Collaborative

• Climate Action Commission

Other (Non-SEP) Activities:

• Avoided Energy Supply Costs – We are undergoing an update and expect significant declines in the overall and certain categories (GHG, T&D, Capacity, and Energy)

• Town and Regional Energy Planning (Act 174) – Three regional plans and one town plan have been approved. One more is pending.

• Energy Storage – Report completed and strategic use of storage as a least cost path.

• Cold Climate Heat Pump Evaluation – Savings halved from projections.