RICHARD K. SULLIVAN
BOSTON — Massachusetts utility customers face more than $1 billion in higher electricity bills over the next two decades under a plan to dramatically expand solar power, state officials and utilities say.
Those increases would not likely affect residents of Westfield, said Secretary of Energy and Environmental Affairs Richard K. Sullivan, Jr.
“Westfield has a municipal utility, which is different than the investor-owned utilities,” Sullivan said.
Other local communities, such as Southwick that rely on Western Massachusetts Electric Company, a division of Northeast Utilities, would feel the increase.
The average residential customer would pay $1 to $1.50 more per month under the plan pushed by Gov. Deval Patrick, said Mark Sylvia, commissioner of the Massachusetts Department of Energy Resources.
In a filing with state regulators, Northeast Utilities System contended Patrick’s plan to quadruple the amount of solar power in use in Massachusetts would lead to consumers paying “excess costs” of more than $1 billion because of how they would be forced to buy the electricity.
The trade-off, Sylvia told The Boston Globe is cleaner air, a more diverse source of electricity, and a burgeoning solar energy industry that will provide economic benefits.
“We’re building upon success,” said Sylvia, noting that in 2013 Massachusetts exceeded its previous goal of 400 megawatts of solar power several years earlier than expected.
Utilities say they are concerned with how the governor’s plan would require them to obtain power from a mix of large and small producers, resulting in higher prices for solar power.
Instead, utilities want to be able to shop bids for solar power from a few larger producers, on the assumption they would be able to negotiate better prices.
“We believe competitive bidding from large private developers leads to lower prices,” Northeast spokesman Michael Durand said.
National Grid argued it could buy solar power for 20 percent less if it doesn’t have to spread its purchases among hundreds of small, medium, and large suppliers.
Carrie Cullen Hitt, senior vice president for state affairs at the Solar Energy Industry Association, predicted Massachusetts will have “plenty of competition” from solar producers that will keep prices down.
Sullivan said despite the increase to rate payers over two decades years, it is a good plan.
“There are some increased costs over the 20 years but there are other benefits as well, such as clean energy and jobs,” Sullivan said. “When you factor that in, it is still cost effective.”
Massachusetts ranks 4th in nation with 6,400 jobs in the solar industry according to a national Solar Jobs Census released yesterday by The Solar Foundation. The number of people employed manufacturing and installing solar energy grew by 1,900 in 2013 – a 42 percent increase. This job growth coincided with a doubling of the Commonwealth’s solar capacity in 2013 to 425 megawatts. The administration’s goal is 1,600 megawatts by 2020.
“The sun is an unlimited energy source that could provide all of our energy without the air, water and climate-altering pollution associated with fossil fuels,” said Ben Hellerstein, field associate with Environment Massachusetts. “This report shows that the solar industry is putting people to work to meet a growing percentage of our energy needs with pollution-free energy that has no fuel costs.”
