On March 20, 2020, Massachusetts’ Department of Energy Resource (DOER) filed its Clean Peak Standard regulations with the appropriate committees at the state legislature, beginning a 30-day review period.[1] The Clean Peak Standard, required by state legislation passed in 2018, creates credits for clean energy delivered during time windows classified as peak hours for a given season. Electricity retailers will be required to procure a minimum percentage of their annual electricity sales from renewable generation or energy storage during peak hours; starting in 2020, the minimum percentage will be 1.5% and will increase annually. Electricity retailers will satisfy these obligations by purchasing Clean Peak Energy Certificates (CPEC), . After short-term costs are considered, the state expects the Clean Peak Standard will save $400 million over the next decade. While other states like Arizona have discussed measures like the Clean Peak Standard, Massachusetts is the first state to put it into effect. The goal of the measure is to create a price signal to shift clean power to the hours it’s most beneficial. Because renewables are intermittent, the Clean Peak Standard may create an opportunity for more energy storage technologies.

[1] https://www.mass.gov/service-details/clean-peak-energy-standard