Advocates of renewable energy are fond of saying that the billions of dollars siphoned from ratepayers for mandated green programs actually save money in the long run.
The facts tell a different story.
Analysis performed by Energy Tariff Experts, LLC, has found that the cost of state-mandated renewable energy programs has increased by a whopping 320 percent since 2010 for a typical large commercial customer in National Grid territory. These programs include solar energy subsidies, energy efficiency and carbon-reduction taxes.
Similar results occurred in Eversource territory.
It’s even worse for residential customers – the increase in costs for these same programs is more than 400 percent in five years.
And the increases are just beginning. Solar energy subsidies alone are on a trajectory that will add billions of dollars to the cost of electricity over the next decade.
Massachusetts in January 2010 had the third highest commercial and second highest industrial rates in the continental United States. Nearly six years later, after all the renewable energy initiatives, Massachusetts still suffers from the third highest commercial rates and now has the dubious distinction of having the highest industrial rates in the continental US.
Where are the economic benefits claimed by advocates? If they exist, they are clearly not flowing back to ratepayers.
AIM supports the development of renewable energy, but believes that renewable initiatives funded by ratepayers must provide maximum benefit and efficiency for minimum cost.
To understand how much of your monthly electric bill goes to pay for mandated renewable energy programs, download the AIM energy calculator. I also invite you to share your thoughts with me at email@example.com.