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Rowley utility delays BESS spending amid regulatory uncertainty; Q1 2026 guidance expected
Summary
RMLP reported delays on its battery energy storage project after staff cited industry uncertainty and recent tariff changes; staff said they will limit further development spending until more definitive regulatory guidance expected in Q1 2026, and Citizen Energy has offered a six-month price-hold for shared-savings arrangements.
The Rowley Municipal Lighting Plant received an update that its planned battery energy storage system (BESS) work is on hold pending regulatory guidance and tax-credit clarity.
General Manager Matthew Brown read an email from Steve Berns explaining that industry-wide uncertainties — including recent tariffs and changes affecting tax credits — have introduced project viability risks. The message said, “We are expecting more definitive guidance in Q1 2026 that should help clarify project viability and compliance pathways. Until that information is available, we are limiting further development spending to avoid advancing work that may not be usable under the final rules.”
Brown and GML representative Scott Edwards said Littleton Municipal Light has completed permitting, a site survey and negotiated three agreements that still require signatures, but the new tariff and tax-credit limits put a hold on some projects. Brown said Citizen Energy has signed a letter with Littleton agreeing to hold shared-savings pricing for six months covering Q1 and Q2 projected work, giving a limited window for decision-making while regulators finalize guidance.
Commissioners were informed that Scott Edwards has been collaborating with other municipal utilities on similar projects and that RMLP will await clearer federal or state guidance before committing additional development funds. No formal action or new spending authorization occurred at the meeting.
