Lawmakers in Massachusetts are implementing new regulations to encourage the development of new solar projects in the state.
The state is revitalizing the Solar Massachusetts Renewable Target program, also known as SMART, so solar incentives are more responsive to market conditions and solar projects remain viable, as reported by Canary Media.
The new regulations also aim to make the benefits of solar energy available to more low-income residents, protect valuable open spaces from development, and encourage the placement of solar panels on rooftops and in parking lots.
The SMART program originally began in 2018, paying solar project owners a fixed rate per kilowatt of energy produced.
The system successfully helped more than double the number of solar installations in the state until 2021, when the COVID-19 pandemic limited supply chains and led to a rise in inflation. Compensation rates for SMART also declined around this time, as planned in the original legislation. Now, the program will reevaluate and reset compensation rates annually.
The new system comes just as President Donald Trump has signed an executive order to end federal subsidies for solar and wind energy projects. This could result in hundreds of thousands of jobs being lost nationwide and potentially higher energy costs for all Americans.
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Right now, many states are working to replace federal funding that's now on the chopping block or has an uncertain future — and many already had programs in place. Oregon recently announced neighbors can get $2,000 in rebates if they replace their old heat pump with an energy-efficient one. Last year, Virginia enacted incentives for solar energy generation.
As for Massachusetts, an emergency regulations process put the new rules into effect immediately, but to keep them in place, the state must still hold three hearings within 90 days to gather public feedback and obtain final approval from utility regulators. Even so, state lawmakers say they're confident in the new structure.
"There are quite a few projects that have been waiting for this to come out," Elizabeth Mahony, commissioner of the Massachusetts Department of Energy Resources, told Canary Media. "We believe this is one of the best ways we have to build energy generation in the next few years."
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