Mass Save has undoubtedly advanced energy efficiency in Massachusetts. Yet, lower-income households and renters—particularly in GCs and EJ municipalities—too often pay into a system that yields little or no benefit to them, while ultimately benefiting people with more resources. An inequitable distribution of incentives undermines Mass Save’s mission of broad-based participation—“empower[ing] residents, businesses, and communities to make energy efficient upgrades”—while also perpetuating economic disparities across the Commonwealth. To address these challenges, DLM proposes the following four core strategies.
1. Utility companies should not administer Mass Save.
To address persistent participation gaps—particularly among renters, EJ communities, and residents of GCs—this report recommends shifting Mass Save’s administration to an independent entity, whose mission is to implement energy‐efficiency measures and lower consumer bills without any financial stake in energy delivery or commodity sales.
2. The Legislature should consider oversight hearings.
With administrative costs averaging over $400 million per year (and total program costs exceeding $1.3 billion), Mass Save functions like one of the Commonwealth’s largest state government agencies; yet, it is neither structured nor overseen as a government body. This report urges the Legislature to consider using its oversight authority by holding hearings that examine Mass Save’s design, budgets, and equity outcomes. In particular, lawmakers may wish to scrutinize the program’s socioeconomic imbalances—where lower-income households and renters often subsidize upgrades they cannot access—and explore policy levers such as minimum investment floors for high renter municipalities to ensure that funds flow to communities with historically low participation.
3. Solve the issue of renter participation.
Renters participate in Mass Save at a rate much lower than homeowners. State government should examine incentives such as tax credits and direct allocation from Mass Save’s budget to support more equitable opportunities for energy-efficiency improvements at rental properties. Mass Save revenue should be more equitably reinvested into communities that pay into the program. Addressing renter participation is critical not only with respect to financial fairness, but also to bolster public confidence in Mass Save by ensuring that every ratepayer can fully benefit from the program that they are required to finance.
4. Increase transparency.
Utility bills currently obscure how much customers pay for a number of mandated charges. This report recommends requiring plain-language descriptions and mandating full itemization of all components (e.g., fees, surcharges, taxes, and credits) so that consumers can readily see what they are paying and why. This report also calls for more robust use of data, modernization of the Mass Save data portal, and other improvements to enhance accountability and trust.
Implementing necessary reforms demands close collaboration among state government entities, local authorities, and community-based organizations. Without decisive action, Mass Save risks exacerbating existing inequities and forfeiting the environmental and economic gains that come from truly inclusive energy programs. Mass Save needs significant reforms to meet the needs of all ratepayers, especially those historically overlooked, with respect to its mission to “empower residents, businesses, and communities to make energy efficient upgrades by offering a wide range of services, rebates, incentives, trainings, and information.”
| Date published: | September 29, 2025 |
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