Decoupling order seeks energy efficiency, may cut electric bills

MASSACHUSETTS – The state’s Department of Public Utilities has moved to break the link between utility profits and electricity sales, a change that could help consumers reduce their energy use and the size of their electric bill.

In an order issued July 16 the department began the process of “decoupling” revenues from sales for all electric and natural gas utilities in the state.


The action, which has been in the works for about a year, removes a significant obstacle to energy efficiency and conservation programs, Robert Keough, spokesman for the state Executive Office of Energy and Environmental Affairs, said last week. “The utilities will not be harmed but their customers will benefit greatly,” he said.

The “benefit” to ratepayers comes in the form of programs utilities are required to implement under the Green Communities Act signed into law by Gov. Deval Patrick July 2.

“This is favorable when you look at it from the standpoint of energy efficiency,” said Kevin Galligan, Cape Light Compact energy efficiency program manager. “This, in fact, will certainly encourage the development of more research and investment to help people use less energy.”

Cape Cod Times