Momentum Q2 | 2025

Illinois

People’s Gas System Modernization program 

In 2023, The ICC paused the SMP to investigate the underperforming and over-budget pipeline replacement program. The investigation found that Peoples Gas did not adequately prioritize high-risk pipeline and over-spent on less essential pipeline replacement. The final order issued on February 20, 2025 in Docket No. 24-0081 rejected each of the company’s proposed pathways and instead directed them to target the retirement (and replacement) of the remaining high-risk 1,112 miles cast iron and ductile iron pipes by 2035 (or approx. 111/miles a year–a pace more than double what the utility has been achieving in recent years). No expenditures were approved or denied as a part of the investigation. 

Q2:

• Peoples Gas held a stakeholder workshop regarding its new safety risk methodology for evaluating pipeline replacements. Consumer advocates were not satisfied with the transparency or opportunities for feedback in that session (see IL PIRG’s comments here suggesting additional workshops and feedback). 
• Replies to stakeholder comments from Peoples Gas were due June 20th, and a report to the ICC on the workshop is due next quarter (July 20th). 

Washington, DC: Washington Gas and Light’s ProjectPIPES Program

Formal Case No. 1154: In the Matter of the Application of Washington Gas Light Company for Approval of PROJECTpipes 2 Plan

Formal Case No. 1179: In the Matter of the Investigation Into Washington Gas Light Company’s Strategically Targeted Pipe Replacement Program

On December 22, 2022, WGL filed its PIPES 3 proposal, a five-year program that was estimated to cost $671.8 million. In June 2024, the DC PSC dismissed the plan and directed WGL to submit a revised plan that better aligned with the District’s climate objectives and focused on high-risk pipe replacements. WGL resubmitted their plan, now called the “Strategic Accelerated Facility Enhancement” or SAFE Plan in September 2024. The new plan proposed spending $215 million over three years to replace 12.4 miles of main and 3,608 services. The OPC and other advocates urged the Commission to reject the proposal given that it did not adhere to the requirements of the recent Order, such as exploring NPAs like electrification and addressing what to do about stranded assets. The Commission did not dismiss or approve WGL’s new plan, but instead extended the current ProjectPIPES2 surcharge through the end of 2025 with a $34M spending cap. 

Q2:

• Procedural Updates for PIPES 2 & PIPES 3 (the latter of which is now called “SAFE”): 
  • The Commission denied Sierra Club and the District of Columbia Government’s (DCG) request to reconsider the extension of PIPES 2 through the end of 2025. 
  • The DCG was granted permission to issue discovery and file comments on the updated project list submitted by WGL for the remainder of 2025, and a discovery conference was held in April. 
  • On May 28th, DCG filed its objections to WGL’s updated project list, arguing that the projects were not in the public interest and were neither cost-effective or appropriately prioritized according to risk. In fact, “DCG was shocked to find that hundreds of pipes prioritized for replacement on the Updated Project List had been installed in the last 25 years” and that “less than 50% of all the targeted pipes are made of the two riskiest materials.” (May 28, 2025 filing by DCG). 

• New report on projected SAFE program:
  • In June, the DCG filed an illuminating report (prepared by Synapse) through D.C.’s “Future of Gas” docket (FC 1167)  on the proposed adjustments to the underperforming pipeline replacement program. 
  • The report states that at the pace proposed by the new “SAFE” pipeline replacement proposal, which aims to replace “12.4 miles of leak-prone main and 3,608 services over three years…it would take over 150 years to retire all mains installed before 1970, and it would cost $6.2 billion to retire the mains and services installed before 1970, which is nearly five times the total amount invested by WGL in today’s gas system” (“Alternative Approaches,” 1). In modeling alternatives, the report found that neighborhood-scale decarbonization (including electrification and thermal energy networks, the latter of which WGL is required to pilot in MD under the 2024 WARMTH Act) is a less costly approach than both BAU pipeline replacement and scattered house-by-house electrification. They estimate that a neighborhood-scale decarbonization approach saves “$244 million over the next decade compared to the WGL BAU case” and that “even with incremental leak repair and advanced leak detection costs of $113 million in operation and maintenance costs over the same time period, there are still net cost savings of $130 million over the next 10 years” (Ibid, 3-4). 

Maryland: Strategic Infrastructure Development and Enhancement Plan (STRIDE)

The 2013 Strategic Infrastructure Development and Enhancement Plan (STRIDE) sanctions a ratepayer surcharge to fund accelerated gas pipeline replacements. Advocates argue that STRIDE has shifted the risks of utility overspending to customers and increased customer rates significantly since gas utilities have implemented gas pipeline replacement programs, many of which have not achieved what they promised to at the outset. The Office of Peoples’ Counsel (OPC) estimates that gas utilities have spent more than two billion dollars on new gas infrastructure through this program and will spend close to 10 billion if the program proceeds to completion. 

Q2:

• Provisions from the 2025 STRIDE reform bill, Ratepayer Protection Act (HB0419), were folded into the Next Generation Energy Act (HB 1035), which was signed into law by Governor Moore. 
• With regard to STRIDE, this law raises the bar for what is considered an “eligible” gas infrastructure replacement project.
  • Under this new standard, utilities must demonstrate that gas pipeline replacements are necessary for public safety or reliability of the system and show that alternatives to replacement were evaluated (leak repair and other NPAs) and deemed inappropriate for the planned project. 
  • Utilities will be required to provide detailed infrastructure replacement plans for approval by the Commission in order to recover costs via the STRIDE surcharge. These plans will include estimated costs; customer benefits; analysis of NPAs compared to pipeline replacement and other details. 

Massachusetts

Gas Safety Enhancement Plan (GSEP)

Docket # 24-GSEP-01-06

The Gas System Enhancement Plan (GSEP) was initiated through the 2014 Gas Leaks Act to replace leak-prone gas pipe (LPP) with new gas pipe, which was enabled through accelerated cost recovery that takes the form of surcharges on customer bills. Advocates have pointed to the inefficiency and ineffectiveness of the program for many years–esentially claiming that it has been used as a blunt instrument to facilitate widespread gas system upgrades rather than a scalpel to remove and replace urgently problematic areas. Amendments have been made to the policy in the past decade, most recently through 2024 Climate Act to require the consideration of NPAs when evaluating gas pipeline replacements. 

Q2: 

• In late March 2025, the Attorney General’s Office (AGO) submitted an initial brief in response to the LDC’s 2025 GSEP plans, which together totaled $879.6 M and would increase their collective revenue requirement by $93.8M. The brief requested the DPU to align these gas system investments with the state’s climate goals and to reduce unnecessary gas system investments.
• On April 30, 2025, the Massachusetts Department of Public Utilities (DPU) issued an order to reform the state’s much critiqued pipeline replacement program, following many of the recommendations outlined by the AGO and other advocates. 
  • In their reasoning for why these changes should be implemented, the Commission cited underperformance and excessive costs: “Since the program’s inception a decade ago, the utilities’ spending on the program has increased markedly—doubling between 2015 and 2023—with greater increases projected in 2024 and 2025. At the same time, the benefits from the program, in the form of miles of main and services replaced, have not increased similarly” (pg. 1). 

The changes to the GSEP program include: 

• Lowering the revenue cap for GSEP spending from 3% to 2.5% and indicating it may return to 1.5% (where it had been prior to 2019 as defined via the initial statute).
• More stringent requirements for evaluation of NPAs compared to new gas system investments, which included directing the LDC’s to address the shortcomings of their 2025 NPA analyses through their upcoming 2026 proposals (pg. 73).
• The establishment of a GSEP Risk Assessment Working Group, which among other objectives will “Establish an improved and systematic process for reviewing and approving LDC plans for capital and non-capital  investments that remediate the riskiest segments of the gas system, including pipeline replacement, NPAs, and decarbonization demonstration projects” (pg. 57). 
• Raising the cap for NPA spending to 3%
• Requires utilities to file new depreciation studies to review in future rate cases 

State / Rule or Regulation

Recent Activity

Category

California, South Coast Air Quality Management District 

Following several months of revision and opposition, the South Coast AQMD board rejected staff amendments on Rules 1111 and 1121 which would have required 90% sales of zero emission water heaters and furnace replacements by 2036. 

Although it was rejected at the hearing, the board voted to send the rules back to the Stationary Sources Committee for further revision where it will likely be heard at the end of this year or early next year. 

zero-emissions appliances, air regulation

California, Rulemaking Regarding Building Decarbonization (R. 19-01-011)

The Building Decarbonization Rulemaking was opened in 2019 following the passage of SB 1477, which provided funding via the GHG emissions cap-and-trade program for two building electrification pilot programs: the Building Initiative for Low-Emissions Development (BUILD) Program and the Technology and Equipment for Clean Heating (TECH) Initiative. 

Q2: 

Stakeholders submitted comments responding to the Commission’s proposed decision regarding Phase 4 Track A (read our summary here). In initial comments, clean energy and environmental advocates proposed several revisions to the proposed decision, including: 

• Revising the cost treatment for service upsizing triggered by building electrification (including: expand overall budget cap; remove individual cost cap for under-resourced customers)
• Eliminate or substantially limit the 2-year extension for energizing service lines for mixed-fuel developments
• Changes to AB 157 implementation, including TECH’s adoption of the equity definition from AB 157

Comments from the state’s IOUs largely coalesced around the following  recommendations: 

• The electric utilities largely agree on the need to expand the evaluation of Meter Socket Adapter (MSA) devices, while opposing the public disclosure of their evaluation reports. They also share concerns about the program details of the proposed cost treatment for service line upsizing triggered by electrification. The utilities differed in their support and objection to the proposed 36-month extension for energizing service lines to mixed-fuel developments. PG&E argues they should maintain the previously communicated July 1, 2025 deadline for project deadlines while SDG&E supports an extension.

line extension allowances, rebates and incentives

California, 

OIR to Investigate and Design Clean Energy Financing Options for Electricity and Natural Gas Customers 

(R. 20-08-022)

Rulemaking 20-08-022 was instituted in 2020 to evaluate the potential efficiencies of offering financing strategies that allow for larger or broader investments in multiple types of clean energy improvements. In 2023, the CPUC directed utilities to propose expanded tariff-on-bill (TOB) financing programs, sometimes called Inclusive Utility Investment (IUI), which essentially allow a ratepayer to incrementally pay the utility back for a new piece of equipment (like a heat pump) via their monthly bill rather than having to advance the entire cost up-front. The mechanism is designed to have the high efficiency of the equipment offset the incremental costs on each monthly utility bill. TOB programs typically seek to make clean energy retrofits more accessible to lower-income households, though the concept of paying for a new appliance through a utility bill charge has been around for more than a century. The Investor-Owned Utilities (IOUs) submitted a joint TOB proposal in 2024, which was evaluated by a third party. 

Q2:

• Additional comments on the IOU’s TOB proposal were requested by May 14, 2025 with reply comments due by May 30, 2025. Advocates supported the implementation of TOB pilots in order to address several barriers to electrification, such as: high up-front costs; the exclusionary financing ecosystem; and landlord-tenant “split incentives” issues. 
• Other features of the proposal include: “bill neutrality” (i.e., the added cost of the TOB charge is less than the estimated energy savings provided by the new appliance); an expansive definition of eligible measures and equipment (including distributed energy resources), and a focus on groups that are typically excluded from clean energy upgrades (multifamily residents, CARE customers, and renters).

Possible as soon as Q3, the Commission will decide whether to authorize the pilots. 

inclusive utility investment, tariff-on-bill, clean energy financing, equity

Colorado, Black Hills Clean Heat Plan (23A-0633G)

A January 2025 Decision by Colorado’s Public Utility Commission marked the first time a gas-only utility has been directed to help customers electrify their homes and businesses, including pre-electrification weatherization and energy efficiency measures. The decision is the result of the state’s 2021 Clean Heat Plans (SB21-264), a law that directs gas utilities to develop plans to reduce the greenhouse gas emissions.

Q2: 

• A decision regarding an application for rehearing was granted and denied in part, filed on April 8, 2025. 
• On May 20, 2025, the Commission adopted a procedural schedule, which includes deadlines for motions and a remote en banc evidentiary hearing set for October 27-29, 2025. The commission intends to use this hearing to examine technical, policy, and legal issues related to the plan, emphasizing beneficial electrification and modeling approaches. 

clean heat standards, electrification

Colorado,

Community-Initiated Neighborhood Scale Pilots (25D-0183G)

The Public Service Company of Colorado and the Colorado Energy Office submitted a petition to the Commission seeking approval of neighborhoods selected for participation in the  community-initiated Neighborhood-Scale Decarbonization (NSD) pilots, which was established by House Bill 24-1370. 

Q2: 

• The Commission decided to move forward with five communities for the NSD pilots: Denver, Boulder, Breckenridge, Winter Park, and Golden will all move forward to the next stage of design.
• Following the Commission’s decision, Partnership Agreements are to be filed by October 1, 2025 and Initial project proposals are due by June 1, 2026. Final project approvals/reports due by June 1, 2027.

neighborhood scale, thermal energy networks, electrification

Massachusetts

Seasonal Heat Pump Rate Inquiry (D.P.U. 25-08)

On March, 21, 2025, the Massachusetts Dept. of Public Utilities (DPU) issued an order opening an inquiry into seasonal heat-pump rates following a petition from the Department of Energy Resources (DOER), which, in collaboration with other state agencies, formed an Interagency Rates Working Group (IRWG) to study challenges and opportunities for electric rates. While two major utility companies, Unitil and National Grid, already have newly-approved seasonal heat-pump rates, which will be implemented for the first time in the 2025-26 heating season, the DPU is now requiring Eversource Energy to propose a similar rate structure in time for the 2025-26 heating season. The DPU will further examine the IRWG’s recommendations for a more comprehensive heat-pump rate design to be implemented after the 2025-2026 heating season, inviting comments from all interested parties.

Q2:

• On April 17, 2025, Eversource filed a proposed revenue-neutral heat pump rate for the 2025-26 heating season in docket 25-55. 
• The proposed rate “proposes to maintain the current customer charge for Rate R-1 (residential) and Rate R-2 (low-income residential) at $10.00 per month [and]…adjusting the current kilowatt-per-hour distribution and transmission rates for Rate R-1 and Rate R-2, resulting in lower rates in the winter months (i.e., October through May, as proposed) to account for higher electric usage during that period related to heat pump use….[and] slightly higher rates in the summer months (i.e., June through September, as proposed) to account for lower electric use associated with customers using a heat pump rather than central air conditioning” (25-55 Notice of Public Hearing)
• On June 12, 2025, a public hearing was held on the rate proposal
• Stakeholders submitted comments responding to the opening order through June 2, 2025. 
• The DPU intends to complete the inquiry in time for the start of the 2026-27 heating season.

rates, heat pumps

Maryland, Clean Heat Standard

Maryland is developing a Clean Heat Standard (CHS) that will require that the thermal sector reduces emissions from heating delivery services and transitions to clean heating services and technologies, including installing zero-emission heating equipment (e.g. heat pumps), weatherizing buildings, and delivering cleaner fuels. 

Q2: 

• The Maryland Department of the Environment (MDE) held a feedback session on the Heating Fuel Provider Reporting Program on May 15, gathering stakeholder input for future regulatory programs. 
• The Air Quality Control Advisory Council met on June 16 to present quarterly reporting requirements for heating fuel providers and unanimously voted to advance the Clean Heat Standard (CHS) reporting rule. 

clean heat standards, electrification

Maryland, Zero Emission Heating Equipment Standards (ZEHES)

Following Gov. Moore’s 2024 Executive Order, the Maryland Dept. of Environment accepted stakeholder comments through early January on the proposed rule to address harmful NOx and GHG emissions through the phaseout of fossil fuel heating equipment. 

Q2: 

• The Maryland Department of the Environment (MDE) continues to hold sessions on the draft rules and has indicated that its proposed ZEHES rules will come next year. 

zero-emissions appliances, NOx and GHG standards

New York, 

Energy Efficiency and Building Electrification proceedings 

14-M-0094: Proceeding on Motion of the Commission to Consider a Clean Energy Fund

18-M-0084:  In the Matter of a Comprehensive Energy Efficiency Initiative

25-M-0248: In the Matter of the 2026-2030 non-Low- to Moderate-Income Energy Efficiency and Building Electrification Portfolio

25-M-0249: In the Matter of the 2026-2030 Low- to Moderate-Income Energy Efficiency and Building Electrification Portfolio

The Energy Efficiency and Building Electrification proceeding formerly referred to as “New Efficiency: New York (NE:NY)” is the $5 billion program of ratepayer funded energy efficiency and electrification incentive programs. These program offerings were under regulatory review by the NYS Public Service Commission with the goal of improving the programs and spending for these programs.

Q2:

On May 15th, the New York Public Service Commission issued two orders and established two new proceedings (one specific to Low and Moderate-Income programs and the other for market rate programs) authorizing approximately $1 billion / year over the 2026 – 2030 periods for increased energy efficiency and clean energy solutions, including building electrification. Administered by the state’s large investor-owned electric and gas utilities and the New York State Energy Research and Development Authority (NYSERDA), nearly a third of this program funding ($1.57 billion) will be dedicated exclusively to low and moderate-income (LMI) programs.

Details of the initiative include:

• Ending most incentive funding for gas equipment
• Providing incentives for building weatherization and for electrification
• increasing funding and support for workforce development across the state
• increased stakeholder engagement, including more in-person stakeholder meetings and collaboration
• streamlining and scaling incentive offerings to reduce administrative burdens and ease access for customers and contractors
• and addressing barriers to electrification
• A new regional residential weatherization program to accelerate electrification readiness at scale

A joint statement from BDC and coalition partners on the EE/BE orders can be found here.

energy efficiency, electrification, LMI programs

New York, Utility Thermal Energy Network and Jobs Act (UTENJA) 22-M-0429

Since being directed by the 2022 UTENJA law, New York utilities have been exploring how they can use thermal energy networks to decarbonize entire neighborhoods in different communities across the state. There are currently 11 proposed pilot projects being considered by the Public Service Commission (PSC).  

Q2:

• Utilities continued to file their monthly Progress and Expenditures Reports and work on their final engineering and customer protection plans. 
• Final engineering plans for most projects will be due this summer, with the exception of Central Hudson and National Fuel Gas, which will likely be due by the end of the year. Most filings are expected in July 2025. 

thermal energy networks, workforce, neighborhood scale

State / Bill

Description

Categories

California, The Heat Pump Access Act (SB 282)

🔴 Held

Would have standardized permitting for heat pumps across the state, capped permit fees, and required a maximum of one permit for heat pump installations.

permitting, electrification

California, Local Electrification Planning Act (AB 39)

🟡 In Progress

Requires local jurisdictions to adopt an electrification plan with climate strategies and goals to meet their communities’ energy needs.

electrification; long-term planning

Colorado, Building Decarbonization Measures (HB 25-1269)

🟢 Passed

Reduces building emissions by expanding electrification and energy efficiency standards.

energy efficiency; electrification codes

Colorado, Utility On-Bill Repayment Program Financing (HB25-1268)

🔴 Held

Would have required investor-owned utilities that serve more than 500,000 customers to establish or expand on-bill repayment programs to expand affordable access to efficient electric appliances and measures.

ratepayer protections; affordability; financing

Connecticut, An Act Concerning Energy Affordability, Access And Accountability (SB 4)

🟢 Passed

Establishes a thermal energy network grant and loan program to support the development of TENs projects developed by utilities, local governments, tribes, academic institutions, and other entities. Implementation of the program is dependent on the appropriation of funds.

thermal energy networks

Illinois, Thermal Energy Networks and Jobs Act (HB 3609)

🔴 Held

Would have allowed investor-owned utilities to pilot up to three thermal energy network demonstration projects in their territories; including at least one in an environmental justice community.

In Q2 some of the bill language was included in an omnibus energy bill, which was also held.

thermal energy networks; workforce; ratepayer protections

🟢 Passed

Creates a 13-member commission to evaluate whether Maine should develop TENs as part of its energy infrastructure. The commission will include 4 legislators, 6 appointed members of the public (including a labor representative, a member of an environmental organization, an expert in workforce development and construction, and others), and representatives from state agencies. The commission must assess technical feasibility, grid impact benefits, and funding opportunities, among other criteria. A final report is due December 3, 2025.

thermal energy networks, study

Maryland, Better Buildings Act 2025 (HB973/ SB804)

🔴 Held

This bill would have required all newly constructed buildings to meet space and water heating needs without fossil fuels (A version of this bill was introduced last year and was also held).

electrification; codes & ordinances

Maryland, Next Generation Energy Act (HB 1035/SB937)

🟢 Passed

One of two major energy bills signed into law this session, this aims to increase grid resiliency through battery storage, reduce data center cost shifting, and rein in utility bills by limiting gas system spending previously authorized through the 2013 law called the Strategic Infrastructure Development and Enhancement Plan (STRIDE), which sanctioned a ratepayer surcharge to fund accelerated gas pipeline replacements. Advocates have long argued that STRIDE has shifted the risks of utility overspending to customers and increased customer rates significantly since gas utilities have implemented gas pipeline replacement programs, many of which have not achieved what they promised to at the outset. The bill seeks to narrow this overly broad scope to focus on high-risk pipe while also requiring the evaluation of non-gas-pipeline alternatives.

The following provisions of the Next Generation Energy Act will help reduce unnecessary gas system spending and redirect investments to non-gas-pipeline alternatives:

1. Requires gas pipeline spending under STRIDE and in multi-year rate plans prioritize safety and be cost effective (adopting provisions from the Ratepayer Protection Act (SB998/HB0419).

2. Directs the Maryland Public Service Commission (PSC) to reject multi-year rate hikes if they do not demonstrate “the customer benefit of the investment,” and prohibits utilities from seeking surcharges for overspending that have functioned as a profit guarantee.

3. Stops utilities from charging ratepayers for some trade association memberships (e.g. American Gas Association) and luxury perks like private jets (Adopting provisions from the Ratepayer Freedom Act (HB960).

While the bill introduces much needed reform on the distribution side of the gas system, many advocates were disappointed to see that the bill also included provisions to fast-track the build out of gas plants on the generation side of the equation.

Massachusetts, An Act Relative to a Tactical Transition to Affordable, Clean Thermal Energy (SD.2249)

🟡 In Progress

Builds on the state’s Future of Gas Docket (20-80) and last session’s climate law by redirecting gas pipeline replacement funds to non-gas-pipeline alternatives to new gas pipelines; removing ratepayer funded gas pipeline subsidies for new customers; and requiring gas and electric utilities sharing the same territory to develop joint tactical thermal transition plans.

neighborhood scale; line extension allowances; integrated system planning; regulation

Massachusetts, The Energy Affordability, Independence & Innovation Act (H.4144)

🟡 In Progress

Filed by Governor Healey, the administration estimates that this bill will save Massachusetts customers approximately $10 billion over 10 years, on top of the $6 billion in savings estimated from her Energy Affordability Agenda announced in March. The bill’s reforms include reducing customer energy bills and ensuring utilities aren’t passing unnecessary costs onto ratepayers, in addition to other measures.

affordability, ratepayer protections

Minnesota, Data Center Bill (HF 16)

🟢 Passed

While preserving the data center tax credit, the bill adds additional restrictions and water permit reviews for qualified large scale centers, protects strides towards 100% by 2040 and the RES, protects customers from shouldering infrastructure costs of new data centers but creating a separate customer class for them and other large energy users, and creates an avenue for a generous amount of weatherization and electrification funding for the state via annual fees on data centers relative to their scale.

data center, ratepayer protections

New Jersey, An Act Concerning State Energy Programs (A5516)

🟡 In Progress

Directs BPU to establish incentive program for geothermal energy systems and grant program to support government energy aggregation program; increases annual target for new community solar projects.

thermal energy networks, funding

New York, Funding in State Budget for Thermal Energy Networks & Equitable Access to Clean Energy

🟢 Approved

The FY 2026 New York State budget includes:

A historic investment of $200 million for Thermal Energy Networks (TENs) at State University of New York and City University of New York campuses, as well as municipally-owned projects, which is the largest state investment in TENs in the nation. Added to the funding already allocated through the Bond Act ($150) and last year’s budget allocation of $30M for SUNY Albany’s campus-wide decarbonization project, this raises the state’s two-year investment in TEN infrastructure to $380M.

A $50 million investment in the EmPower+ program, which will help more New Yorkers—especially low- and moderate-income households—access the benefits of clean energy and energy efficiency upgrades.

thermal energy networks, neighborhood scale, funding, energy equity

New York, NY HEAT Act* (S 4158/A4870A)

*A core element of NY HEAT was passed through the stand-alone bill: An act to repeal the 100-foot rule line extension subsidy (S.8417/A.8888)

🟢 Passed

Late in the NY legislative session, a central tenant of NY HEAT was introduced via a new bill that was solely focused on ending fossil fuel subsidies. The bill, which passed a day before the session ended, removes gas line extensions allowances (LEAs), a policy that adds new customers to the gas system for free while charging existing customers for this new infrastructure. A recent study by Synapse and NRDC found that these LEAs cost gas ratepayers $400M between 2022-2023. Combined with the existing All Electric Building Act, this law effectively puts an end to residential gas expansion in New York State.

New York is unique in that the practice of providing “100 feet” of free line extensions for the gas system was dictated in the state’s public service law–not merely within individual utility tarriffs–making its removal much more difficult by requiring a legislative amendment. S.8417/A.8888 therefore amends section 31 of the NY public service law to specify that customers requesting new gas lines will be required “to pay material and installation costs relating to the pipe or other facilities to be installed to enable service to the applicant.”

line extension allowances

Oregon, Fair Energy Act (HB 3179)

🟢 Passed

According to Oregon CUB, “HB 3179 empowers state regulators to help families avoid big increases in energy bills. This legislation limits how often utilities can ask for bill increases to every three years and eliminates winter rate hikes. Regulators also have more flexibility to consider economic impacts on customers.”

affordability, ratepayer protections, rates

Oregon, Relating to thermal energy networks; prescribing an effective date (SB 1143)

🔴 Failed

Would have established a thermal energy network pilot program for utilities.

thermal energy networks

Texas, Relating to the projects that may be undertaken by a public improvement district, municipal utility district (HB 4370)

🟢 Passed

Amends the Texas Local Government Code to designate geothermal infrastructure, including neighborhood-scale thermal energy networks, as Public Improvement Projects, which allows utility and non-utility entities (e.g. municipalities, water districts, and others) to own and operate geothermal infrastructure and to finance them through public bonds.

thermal energy networks, local government

Washington, Encouraging the Deployment of Low Carbon Thermal Energy Networks (HB 1514)

🟢 Passed

Regulates Thermal Energy Companies (non-public utilities) greater than 5 customers / 250 residential end users.

thermal energy networks; regulation