Massachusetts shifts clean energy funds to help heat homes this winter

Massachusetts Gov. Maura Healey has declared an energy emergency and ordered the state to steer money toward helping households heat their homes this winter, as heating oil prices have jumped. Home heating oil in Massachusetts recently averaged $6.12 a gallon, up nearly 75 percent from a year ago. The funding comes from alternative compliance payments, fees that electricity suppliers pay when they miss clean energy targets, and will supplement the federal Home Energy Assistance Program (HEAP) for low-income households. The order also creates a one-time benefit for middle-income households that heat with oil but don't qualify for HEAP.

The order makes two other changes that affect utility bills. It temporarily cuts by half the ratepayer charge tied to the state's Alternative Portfolio Standard, a move expected to save ratepayers $20 million, with plans to wind the program down further. It also temporarily shifts the "distributed solar charge" — the line item on bills that funds the state's solar incentive program — so it's covered by the compliance-payment funds instead of ratepayers.

Separately, state agencies have been told to review how "net metering" works — the credit homeowners with solar panels get for power they send back to the grid — looking at costs and whether other states' approaches could control spending while still growing solar. The order states this review won't undo the state's existing goal of doubling solar capacity by 2035. If you have oil heat or solar panels in Massachusetts, these changes could show up on upcoming bills or in available assistance, though specific application details weren't part of this announcement.