Massachusetts to Require Smart Meter Deployment Plans for Electric Utilities; Separate Proceedings to be Opened on Dynamic Pricing, EV Charging

The Massachusetts Department of Public Utilities (DPU) has issued an order that, according to the Governor's office, will require electric utilities to develop a grid modernization plan that includes investing in infrastructure for advanced metering functionality.

The DPU's order (D.P.U. 12-76-A) only requires the utilities' filing of the grid modernization plans with AMI as a component, and does not rule on specific deployment issues.

The DPU directed that as part of the plans, utilities shall develop a model tariff for customers who would like to opt out of advanced metering functionality.

The DPU said that it would address in separate, upcoming proceedings: (1) time varying rates; (2) cybersecurity, privacy, and access to meter data; and (3) Electric Vehicles, with the EV proceeding also opened yesterday.

The DPU said that its investigation of dynamic pricing will include: (1) whether electric distribution companies and/or competitive suppliers should offer dynamic pricing to some or all of their customers; (2) whether dynamic pricing should be implemented for the supply and/or delivery portion of the electric bill; and (3) whether dynamic pricing should be the sole offering for basic service customers, or just one of the offerings.

Regarding meter data, the DPU said, "While protecting customer data must be a high priority for electric distribution companies, electricity usage and consumption data must be available to customers, as well as to competitive suppliers and other service providers if authorized by customers, in order to fully realize the benefits of a modern grid."

The Governor's office said in the EV order, the DPU launched an investigation into initiatives that will encourage the expansion of electric vehicle use in the Commonwealth. The investigation will include the potential for electric vehicle batteries to back up intermittent sources of power, such as wind and solar.

As part of the EV proceeding (D.P.U. 13-182), the DPU will examine electric distribution company involvement in EV charging infrastructure. "While electric distribution companies could be effective owners and operators of charging infrastructure, they also could have an unfair advantage over competitors. The Department will investigate whether electric distribution companies may or should own and operate charging infrastructure and, if so, how this activity should be treated in their business operations," the DPU said.