Electricity meter

THE HEALEY ADMINISTRATION has vowed to deploy 1 million electric vehicles (EVs) on the road by 2030. Customer adoption, at-home charging, and affordable electric rates are critical to meeting this goal. 

Despite progress, Massachusetts has nearly 69,000 zero-emission passenger vehicles and 153,000 hybrid passenger vehicles registered and there remains significant ground to cover to realize state goals.

Fortunately, Massachusetts has a competitive energy market with many private market participants driving the state forward offering programs that compete with the utilities. Some state utilities and retail energy suppliers offer customers programs that include discounted electric rates for EV charging, complimentary charging equipment, and applications to track charging and take advantage of savings. These programs have each contributed to the increase of thousands of residents adopting an electric vehicle.

The difference between the utility and retail energy supplier programs is that ratepayers fund the utility programs, from technology to incentives, to promotional materials and overhead costs. The utility also does not have to pay to acquire or market to its customers as they have a captive audience and the ability to share program information and lure customers to enroll in these programs with their existing ratepayer lists. Since 2018, Massachusetts ratepayers have paid millions of dollars to their utilities to pilot and administer these programs.

In theory, this approach would be highly beneficial for market penetration if Massachusetts were a monopoly utility market. However, Massachusetts’ competitive landscape enables various companies to provide these products and services. Regrettably, the balance has tilted in favor of the utility, with ratepayers compelled to subsidize the cost of these programs, even if superior options exist elsewhere.

Clearview Energy advocates for a level playing field, not only to maintain competitiveness but also to offer Massachusetts consumers innovative products, such as our Clearcharge EV charging solution. Since 2017, Clearview has offered an energy product for EV drivers where off-peak charging is incentivized. Since launch, we have only expanded this offer. Recognizing the hurdle in EV adoption, Clearview currently partners with three of the largest home charging equipment companies (Chargepoint, JuiceBox, and Wallbox), representing over 95 percent of the market to provide free home electric charging at night and rebates on charging equipment.

Our partnership with Chargepoint, JuiceBox, and Wallbox not only advances Massachusetts’ clean energy goals but also exemplifies how private sector collaborations can drive positive environmental impacts without relying solely on taxpayer or ratepayer funds.

Unfortunately, we’re not only at a competitive disadvantage with the utility, but we’re fighting for the ability to continue operating in the market. Led by Sen. Michael Barrett of Lexington, members of the Massachusetts Senate recently voted to support legislation to close the residential retail energy market. The market closure language has also been included in the Senate version of the climate package even though this would have the opposite effect by negatively affecting the Commonwealth’s progress on carbon emission reductions.

Market closure will force the 408,000 customers that have chosen a retail energy supplier and thousands that enrolled with a supplier specifically for the EV program to use the utility ratepayer-funded EV program.

Programs like these time-of-use rates and demand response programs will be critical to Massachusetts’ success in reducing carbon emissions and supporting grid resiliency. Close the retail energy market and you limit consumer options.

We applaud legislators like Reps. Jeff Roy of Franklin and Tackey Chan of Quincy who have championed market reforms instead of market closure to ensure their constituents are protected and continue to have access to options for their energy needs.

To realize Massachusetts’ decarbonization goals, the state needs to level the playing field to attract more market participants and private investments. Closing the market leaves our energy future with a few utilities and ratepayers footing the bill.

Frank McGovern is the founder and president of Clearview Energy.