Recent Actions
- The Massachusetts Interagency Rates Working Group (IRWG) announced the release of the Long-Term Ratemaking Study and the Long-Term Ratemaking Recommendations on March 7, 2025.The IRWG greatly appreciates the stakeholder engagement and feedback throughout the year.
- Consistent with the IRWG's Long-Term Ratemaking Recommendations, the Department of Energy Resources (DOER) will convene a Massachusetts Electric Rate Task Force (Task Force) to facilitate further discussion on rate designs and regulatory and ratemaking mechanisms essential to advance affordability and decarbonization. DOER invites stakeholders to complete the Task Force Interest Form by March 21, 2025 to gauge interest in participation.
- The IRWG released the Near-Term Rate Strategy Report and the Near-Term Rate Strategy Recommendations on December 20, 2024.
- Stay up to date on IRWG news and future stakeholder sessions - join our subscription list!
Near-Term Rate Strategy Report
On December 20, 2024, the Interagency Rates Working Group (IRWG) released the Near-Term Rate Strategy Report and the Near-Term Rate Strategy Recommendations.
- Near-Term Rate Strategy Recommendations, prepared by the IRWG
- Near-Term Rate Strategy Report, prepared by Energy & Environmental Economics, Inc.
The IRWG sought public comment on the draft report by September 6, 2024 to give sufficient time for consideration and parties were notified that public comments may be made available publicly. The public comments can be viewed here: IRWG Near-Term Rate Strategy Public Comment
To facilitate a better understanding of recent electric rates, E3 prepared the Massachusetts Electricity Rates Database and DOER, in coordination with the IRWG, prepared the following informational sheet: What is in an Electric Rate and What Does it Do?
The IRWG hosted a presentation, led by Dr. Destenie Nock of Peoples Energy Analytics, on November 19, 2024 to discuss her recommendations to ensure that the Near-Term Rate Strategy addresses energy affordability. A recording of the presentation is available here.
Long-Term Ratemaking Study
On March 7, 2025, the Interagency Rates Working Group (IRWG) released the Long-Term Ratemaking Study and the Long-Term Ratemaking Recommendations. The Long-Term Ratemaking Study and Recommendations present a vision for advancing ratemaking mechanisms and rates for a decarbonized energy system.
- Long-Term Ratemaking Recommendations, prepared by the IRWG
- Long-Term Ratemaking Study, prepared by Energy & Environmental Economics, Inc.
The IRWG sought public comment on the study scope by October 11, 2024 (Long-Term Ratemaking Study Scope Public Comments) and on the draft study by November 15, 2024 (Long-Term Ratemaking Study Public Comments). The IRWG accepted public comment submitted to Rates.WG@mass.gov and are made public below.
Outreach and Engagement Opportunities
Public outreach and engagement are critical to the development of a comprehensive study and effective recommendations. The Working Group requested input through technical sessions, focus groups, and public listening sessions. Stakeholders were also invited to send written comments to Rates.WG@mass.gov. All written comments will be considered public and may be posted on the IRWG website.
The Working Group hosted presentations, stakeholder sessions, and workshops with different stakeholder groups throughout the year. Each series below was designed to provide an opportunity to first attend a presentation of materials (first bolded session), followed by a series of opportunities for comment & dialogue (sub-bullets to bolded sessions). Each series also includes a final workshop. The IRWG also hosted a presentation, led by Dr. Destenie Nock of Peoples Energy Analytics, on November 19, 2024 to discuss her recommendations to ensure that the Near-Term Rate Strategy addresses energy affordability. A recording of the presentation is available here.
- Presentation: Purpose and Scope of Study - May 6, 2024 (Recording) (Presentation)
- Comment & Dialogue: Consumer and Advocacy Organizations: June 12, 3-4pm
- Comment & Dialogue: Electric Distribution Companies, Municipal Light Plants, and Suppliers: June 13, 9-10am
- Comment & Dialogue: Distributed Energy Resources/Distributed Generation: June 18, 1-2pm
- Presentation: Near-Term Rate Strategy Draft Report - August 12, 11-12:30pm (Recording) (Draft Report) (Executive Summary)
- Comment & Dialogue: Electric Distribution Companies, Municipal Light Plants, and Suppliers: August 19, 11-12pm (Presentation)
- Comment & Dialogue: Consumer and Advocacy Organizations: August 22, 2-3pm (Presentation)
- Comment & Dialogue: Distributed Energy Resources/Distributed Generation: August 23, 1-2pm (Presentation)
- Synthesis Workshop: September 4, 1-2PM (Presentation)
- Presentation: Long-Term Ratemaking Study Kick-Off - September 19, 2-3:00pm (Presentation)
- Comments on any or all questions included in the presentation above were accepted by October 11, 2024
- Presentation: Long-Term Ratemaking Draft Study – October 28, 11-12:30pm (Recording) (Presentation) (Spanish) (Portuguese) (Haitian Creole) (Vietnamese) (Chinese Simplified) (Chinese Traditional)
- Comment & Dialogue: Distributed Energy Resources/Distributed Generation: November 1, 2-3pm (Presentation)
- Comment & Dialogue: Electric Distribution Companies, Municipal Light Plants, and Suppliers: November 5, 2-3pm (Presentation)
- Comment & Dialogue: Consumer and Advocacy Organizations: November 7, 3-4pm (Presentation)
- Synthesis Workshop: November 13, 11-12PM (Presentation)
Please check back for more information regarding stakeholder meetings and other opportunities to participate or join our subscription list to stay up to date on IRWG news and events.
Goals and Objectives
The Interagency Rates Working Group, with the support of its consultant Energy & Environmental Economics (E3) and stakeholder input, will develop three primary products to support a Final Report on the Working Group’s recommendations. The three primary products include:
- Electric Rates Assessment to define the current state of electric rates in Massachusetts, describe the policy and regulatory landscape that shape rates, and compare Massachusetts against other states’ electric utilities.
- Near-Term Rates Strategy to address barriers to near-term electrification through rate design offerings available before electric consumers receive advanced metering infrastructure (AMI) meters.
- Long-Term Ratemaking Study to present a vision and recommendations for advancing ratemaking mechanisms and rates for a decarbonized energy system and the associated technologies and capabilities available.
Electric ratemaking and rate design must prioritize the reduction of energy burden and incentivize transportation and building electrification to facilitate the transition to a distributed grid.
Background
The Massachusetts Clean Energy and Climate Plan (CECP) for 2050 identifies electrification as a core strategy to reduce greenhouse gas (GHG) emissions in the building and transportation sectors. The Commonwealth has identified existing electricity rates as a barrier to widespread electrification and achieving the Commonwealth’s decarbonization goals. The Massachusetts Commission on Clean Heat Final Report recommended evaluating rate designs, the way in which consumers are charged for electric service, that can help consumers lower energy costs for efficient electric heating. Building and transportation decarbonization will require higher electricity usage; however, the Commonwealth will continue to prioritize policies and programs that minimize electric distribution system expansion by ensuring efficient infrastructure investments, deploying energy efficiency, and implementing load management.
The Interagency Rates Working Group was formed to advance near- and long-term electric rate designs that align with the Commonwealth’s decarbonization goals. The Working Group includes representatives from the Executive Office of Energy & Environmental Affairs (EEA), the Department of Energy Resources (DOER), the Massachusetts Clean Energy Center (MassCEC), and the Attorney General’s Office (AGO). The Working Group has also met with the Department of Public Utilities (DPU), which is the agency that regulates electric and gas rates in the Commonwealth, to discuss the group’s scope and goals. The Working Group will meet regularly and will be assisted by a consultant to conduct a study of electric rates and recommend near- and long-term rate designs that align with the Commonwealth’s decarbonization goals.
| Last updated: | August 12, 2024 |
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