Bill > S1766

This bill establishes the "Oil Heat Energy Efficiency Fund" to promote energy efficiency and reduce consumption for residential and commercial customers who use oil heat fuel for space or hot water heating. This fund will be financed by a systems benefit assessment of two and one-half cents per gallon on all gallons of oil heat fuel sold for residential or commercial use in Massachusetts, with certain exemptions for fuel used by vessels, railroads, utilities, farmers, and the military. The fund will be administered by the commissioner of energy resources, in coordination with the secretary of administration and finance, and overseen by the Energy Efficiency Advisory Council (EEAC), which will advise on all aspects of oil energy efficiency funds and programs. The collected funds will be used for cost-effective energy efficiency programs, including replacing or upgrading inefficient heating systems, insulation, air sealing, and research and development, with at least 20 percent dedicated to low-income programs. Program administrators will be selected through a competitive process and will develop investment plans every three years, subject to approval by the department and the EEAC, to ensure programs are cost-effective and coordinated with other energy efficiency initiatives.