Recently passed legislation creates opportunities to meet CT’s changing energy needs - by Klein and Feinn

 

 

For decades, New England has had a summer-peaking power system, where the greatest energy use occurs on the hottest and most humid days, due to widespread use of air conditioning. But by the mid-2030s, electrification of the heating sector likely will result in a winter peak that’s higher than the summer peak.

Currently, most housing and businesses in the region use natural gas or oil heating systems. ISO New England anticipates that in the next 25 yrs, by 2050, heating will be electrified – particularly heat pumps – driven by decarbonization goals. ISO’s recent Transmission Study forecast a possible winter peak of 57,000 MW in 2050 – almost triple today’s winter peak.

With coal, oil and diesel power generation coming offline, there will need to be a significant increase in wind and solar generation, as well as battery storage and imports from neighboring power systems. Through multiple pieces of legislation that passed at this year’s session, the state has now opened channels to generate or obtain the necessary energy – creating potential opportunities for developers.

DEEP has been authorized under “An Act Concerning Energy Procurements, Certain Energy Sources and Programs of PURA” to issue a coordinated solicitation for zero-carbon electricity generating resources from an eligible nuclear power generating facility. The requirements are that the facility be in New England and licensed to operate through at least January 1, 2030, which applies to Millstone and probably Seabrook. DEEP is also authorized to solicit up to 20 megawatts of new run-of-river hydropower.

Under “An Act Concerning Solar Projects Throughout The State,” The Non-Residential Energy Solutions (NRES) and Shared Clean Energy Facility (SCEF) programs have been extended to 2027. PURA has been authorized to exceed caps associated with these programs under certain conditions as well. The act also requires PURA to study renewable energy tariffs and investigate whether to extend existing renewable energy tariff programs beyond their current caps and authorized timeframes.

Green energy developers will become very familiar with these acts as they look to secure their place in Connecticut’s future power generation landscape. And developers of all types will benefit long-term from making project and design decisions with an awareness of forthcoming changes in how Connecticut uses and generates energy.

Frederic Klein and Liana Feinn are attorneys in the energy and utilities practice at the law firm Pullman & Comley, LLC with offices in Hartford, Bridgeport and Westport, CT; White Plains, NY; Springfield, MA, and Wakefield, RI.