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LDCs will report April climate-compliance sections on Everett Marine Terminal reliance; advisory board approves outline
Summary
Investor-owned gas utilities will file climate compliance plans April 1 that include a section on their reliance on the Everett (Evergreen) marine LNG terminal; the advisory body reviewed an outline for that section, voted it consistent with DPU directives and created a work stream to assess alternatives.
The advisory board’s focus area group on fuel-supply transitions reviewed the role of the Everett (Evergreen) marine liquefied natural gas (LNG) terminal in meeting seasonal peak gas demand and agreed that investor-owned local distribution companies (LDCs) will include a dedicated section in their April climate-compliance plans describing efforts to reduce or eliminate reliance on the terminal.
Background: the DPU order approving six-year contracts between Constellation LNG and three Massachusetts LDCs (National Grid, Eversource and Unitil) directs each LDC to report on efforts to reduce or eliminate reliance on the Everett Marine Terminal (EMT) as part of their climate compliance filings. The working group emphasized that EMT provides locational value and, on a design cold day, can supply a substantial portion of regional peak gas needs. A presenter noted that at full peak capability the terminal could provide up to one-third of the state’s peak-day gas demand; current use is significantly below that peak on ordinary days.
Work plan and alternatives: the working group launched a dedicated alternatives assessment work stream to inventory and evaluate options for each LDC. The inventory will include demand-side measures (demand response, electrification, efficiency), supply alternatives (other LNG or CNG options), distribution-system upgrades, and transmission or pipeline options. The subgroup will define EMT-reliance zones, develop assessment criteria (operational fit, reliability, cost, greenhouse‑gas impact, feasibility and timing), and consult with LDCs as they perform their alternative assessments. LDCs will launch formal assessments in May; the focus-area working group will review results and provide feedback before LDC filings are finalized for advisory-board review later in the year.
Advisory-board action: the three investor-owned LDCs presented a coordinated outline for the EMT section of their climate compliance plans. The advisory board held a vote on whether the outline addressed the topics required by the DPU order and sufficiently reflected the working group’s effort to date. The motion to approve that outline passed; one participant on the virtual line recorded an abstention (identified in the transcript as Eli). The board also approved formation of the alternatives assessment work stream and its timeline.
Why this matters: EMT is a regional supply asset with locational value for eastern Massachusetts when interstate pipeline capacity into the region is constrained. State climate goals and projected declines in gas demand for heating make understanding and planning off-ramps for LDC reliance on LNG supply an immediate policy task. The LDCs’ climate compliance plans (due April 1) will include the EMT section and subsequent annual reporting on progress.
Ending: The subgroup will prepare an assessment framework in coming weeks and will work with LDCs and stakeholders through May and beyond to evaluate concrete off-ramp options. The advisory board will receive results and feedback on the LDCs’ assessments in subsequent meetings.
