Carpenter introduces bond to lower energy costs in Aroostook County

Posted: October 19, 2020 | Senator Carpenter

Proposal would create energy facilities, connect county to ISO New England transmission lines

AUGUSTA — A bond proposal from Sen. Mike Carpenter, D-Houlton — “An Act To Authorize a General Fund Bond Issue To Create a Public/Private Partnership To Create Biomass Energy Facilities in Aroostook County and To Connect Aroostook County to ISO New England” — would aim to build energy facilities and lower costs for consumers in northern Maine.

“The high costs of energy in Aroostook County — including costs of heating oil in the brutal winter months — continues to make it harder for folks to make a living in our area of the state,” said Sen. Carpenter. “This proposal takes bold steps toward meaningful relief in energy costs for northern Maine consumers while creating jobs in the building of new energy facilities. I look forward to working on this proposal more in the coming months.”

ISO New England is a non-profit Regional Transmission Organization that serves Connecticut, Massachusetts, New Hampshire, Rhode Island, Vermont and southern parts of Maine. The northern and western regions of Maine are not connected to ISO New England. As a result, energy generation facilities and renewable energy projects must use the Canadian power grid before being sold on the New England grid. Those facilities then are charged costly fees — known as wheeling charges — to pay for the transportation of energy outside the electrical grid, making investment in northern and western Maine more costly and less feasible. 

This measure would leverage public and private investment in an array of generation facilities in Aroostook County and connect ISO New England Connect to the isolated northern Maine power grid. The connection would eliminate wheeling costs and allow consumers in those areas to have a greater share of cost picked up by consumers in New England states connected to the grid, as opposed to Maine ratepayers paying the full burden. The proposal would also aim to build state of the art biomass energy facilities in Aroostook County to create jobs and boost the forest products industry — providing loggers a market for chips and giving sawmills a nearby location to get rid of residual waste. 

The effort calls for the formation of a stakeholder group to develop a plan and to engage with ISO-NE about infrastructure needs and economic viability. Sen. Carpenter worked on the draft proposal with Senate President Troy Jackson, D-Allagash.

“Far too often, the people of northern Maine are left behind when it comes to energy costs, access to high-paying jobs and more,” said President Jackson. “This proposal is a win on several fronts: incentive for energy generation facilities in northern Maine, lower energy costs for consumers, job creation, and cost reduction for the forest products industry. It’s time to connect our region to the ISO New England grid and take a strong step forward for the future of Aroostook County.”

The bond proposal would be heard when the 130th Legislature convenes in January.