Maine lawmakers weigh panel to rein in energy costs

(The Center Square) – Maine lawmakers are moving to create a new state commission that would be aimed at helping consumers reduce skyrocketing energy bills.

The proposal, which was approved Friday by the Legislature’s Energy, Utilities and Technology Committee, would create a ratepayer advisory council to review utility rates and come up with a plan to ensure that Mainers will be able to afford their energy bills as the state modernizes the electric grid and moves toward energy independence.

The bill’s primary sponsor, Sen. Eloise Vitelli, D-Arrowsic, said the goal of the new panel will be to “help more Mainers afford their energy bills” by addressing the “complex” problem of energy affordability.

“There is no silver bullet solution for the problem we’re facing,” Vitelli said. “This bill is part of a larger effort, and will give us the tools to plan for energy affordability.”

The legislation, which must still pass the House and Senate, is backed by Bill Harwood, the state’s public advocate, who said a panel would “allow for a more effective review and recommendation to target ratepayer and taxpayer funds in the most effective way possible.”

Some have questioned the need for the new panel, given that Democratic Gov. Janet Mills is seeking to address the impact of rising energy costs with several other regulatory programs.

Last month, the Mills administration unveiled a plan to provide a one-time, $90 credit for more than 90,000 low-income customers of Central Maine Power and Versant Power. Under the plan, the credits will be applied to utility bills over the next three months.

Maine already has some of the highest energy costs in the nation, but the price for natural gas and home heating oil has soared amid supply chain issues and rising inflation, putting a squeeze on energy consumers during the cold winter months.

Advocates say the spike in energy prices this winter has had a major impact on low-income households that already have trouble keeping up with bills.

Industry groups say energy costs are also being driven up by Russia’s war in Ukraine, which has caused rippling effects on global oil markets.

President Joe Biden pumped more than $3.37 billion into the federal Low-Income Home Energy Assistance Program this winter to help families struggling to pay utility bills, but members of Congress say more money is needed to offset the rising fuel costs.

Last month, Maine Sen. Angus King led a group of lawmakers in asking the Biden administration to reduce exports of liquefied natural gas to lower energy and heating costs.

“Despite the heavy burden rising natural gas prices has placed on American families, the U.S. is exporting record levels of natural gas to other countries, a trend that is only expected to continue,” the lawmakers wrote.

On Friday, Biden announced that the U.S. will increase exports of liquefied natural gas to Europe to help diminish their dependence on Russian fossil fuels. The European Union gets roughly 40% of its natural gas from Russia.

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