State modeling shows renewable energy standard raises ratepayer costs while producing larger societal climate benefits

TJ Poor, director of Regulated Utility Planning at the Vermont Department of Public Service, told the House Energy & Digital Infrastructure Committee on Wednesday that modeling of the state's renewable energy standard (RES) shows appreciable rate impacts for Vermont ratepayers while producing larger monetized societal benefits when the social cost of carbon is included.

"In every scenario, the benefits were greater than the cost in the societal perspective when we look at it societally," Poor said, summarizing results from a stakeholder-vetted modeling effort the department contracted with Sustainable Energy Advantage.

Poor said distribution utilities reported RES program costs rising from roughly $5 million in 2017 (when requirements were low) to about $32 million in 2023. Department modeling asked the statutory question of RES costs through 2034 and produced a set of scenarios showing a 6'to'8% annual-average rate…