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July 7, 2015

AG to lead study of state's energy outlook

With Gov. Charlie Baker and industry interests pushing for more natural gas capacity in the region, Attorney General Maura Healey on Monday announced she'll lead a study that will look at whether more gas is needed and if so, how much.

In connection with her announcement, Healey asked the Massachusetts Department of Public Utilities to reconsider its recent denial of her motion to stay approval of local gas companies' proposed contracts to purchase gas capacity on the proposed Kinder Morgan pipeline.

With support from the Barr Foundation, the Boston consulting firm Analysis Group plans to complete its study for Healey's office by October. Raab Associates will also provide assistance in creating an advisory group of individuals with a stake in the natural gas debate.

The effort will examine electricity reliability needs through 2030 and look at all energy options, including natural gas, oil, hydro imports, energy efficiency, demand response and renewables. The study will assess costs and benefits, including price impacts, of each option.

In a DPU filing on Monday, the Conservation Law Foundation challenged the idea of allowing Massachusetts electric companies to buy natural gas pipeline capacity, with cost recovery from the ratepayers, disputing the assumption that additional capacity is needed to address winter pricing, alleging additional capacity is "squarely at odds" with the Global Warming Solutions Act, and arguing incentives already exist to expand natural gas pipelines in New England.

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