Everett grid ‘insurance’ cost $536m over first 13 months

Source: Commonwealth Magazine


NEW ENGLAND ELECTRICITY customers paid $536 million during the first year of a two-year contract to prop up a power plant and liquefied natural gas facility in Everett as a hedge against regional energy shortages, according to an analysis released by the region’s power grid operator.

The natural gas-fired Mystic power plant is shutting down for good next June, but the fate of the Everett Marine Terminal is unclear. Natural gas utilities in the area are in negotiations to keep the LNG facility running, which would mean the hefty cost could be passed along to a much smaller base of customers. That may also raise separate concerns for Gov. Maura Healey, whose administration is seeking to do away with fossil fuel infrastructure, particularly when it is located in environmental justice communities.

The Everett facility is at a unique junction on the road to a more climate friendly future. The owner of the power plant and the accompanying LNG facility announced in 2018 that it planned to shut down the Mystic power plant in 2022, which would have put the future of the LNG facility in doubt because Mystic is its largest customer.

Read more: Everett grid ‘insurance’ cost $536m over first 13 months