[link removed]


** Mass. bill to curb utilities’ political spending would save Liberty customers hundreds of thousands of dollars ([link removed])
------------------------------------------------------------

By Itai Vardi on October 16, 2025

Legislation being considered in Massachusetts would spare customers of Liberty Utilities, which is currently seeking a significant rate hike, hundreds of thousands of dollars, an analysis by the Energy and Policy Institute has found.

Liberty Utilities, a gas utility with just over 60,000 customers in southeastern Massachusetts, is
asking ([link removed]) the state Department of Public Utilities to approve a 55.5% rate increase, on average, across all customers on a total bill basis. The proposed increase is far higher than typical rate hikes, and Liberty serves some of the most economically disadvantaged residents in Massachusetts. The company’s last rate case was in 2015.

Some customers in North Attleboro and Fall River would experience a monthly bill increase of approximately $78.86 (an approximate 37.0% increase in current rates) if the full rate hike is approved by regulators. Low-income residential customers in the area would be hit hard as well, experiencing a monthly bill increase of approximately $59.15 (a 37.0% increase), while low-income residential non-heating customers would experience a monthly bill increase of approximately $33.38, a staggering 80.9% increase.

Fall River has amongst the lowest median
income ([link removed]) per capita in the entire state at lessthan half the state average ([link removed]) .

Currently, more than 1 in every 6 of Liberty’s residential customers (17%) are behind ([link removed]) on paying their gas bills.


** Removing Political Costs
------------------------------------------------------------

Legislation introduced by State Senator Cynthia Creem ([link removed]) and Representatives Steven Owens and Jennifer Armini ([link removed]) this session would prohibit utilities from using ratepayer money for political, advocacy, and lavish expenses, which are unnecessary for the provision of safe and reliable service.

The bill prohibits utilities from charging their customers for lobbying; institutional or good will advertising, which is primarily designed to improve the image of the utility or the industry; litigation to influence, modify, or repeal existing federal, state or local regulations, legislation or ordinances; tax penalties or fines issued against a utility; travel, lodging, entertainment, gifts or food and beverage expenses for a utility’s board of directors and officers; aircraft for a utility’s board of directors; and investor relations.

The bill also prohibits utilities from using customer money to pay for attendance in contested proceedings conducted before the DPU, including rate case advocacy.

The legislation requires the state’s utilities to disclose those expenses annually and penalizes them for violations.

Portions of the legislation have been incorporated into Governor Maura Healey’s proposed
package ([link removed]) of utility affordability legislation.


** Significant Savings
------------------------------------------------------------

An analysis by EPI has found that in its current rate case, Liberty Utilities is seeking to recover from its customers some of the costs that would be prohibited by the utility accountability legislation. They include the following expenses:
* Rate case expenses ([link removed]) , which are the costs for the utility to submit its rate increase proposal to its regulator = $1,911,870 (to be recovered over the next 5 years, with a yearly recovery of $382,374). Over a third of those costs are for legal expenses.
* Payments to trade associations and business groups = $124,376 ($112,414 industry ([link removed]) + $11,962 non-industry ([link removed]) )
* Advertising ([link removed]) = $24,884 (EPI removed over $19,000 in costs from an original sum submitted by Liberty as the utility marked them as “Regulatory Only” ads)
* Investor Relations ([link removed]) = $59,926
* Board of Directors expenses ([link removed]) = $82,901 (which Liberty says consist of “fees, benefits, and meeting costs”)
Together, these expenses total $674,461, on an annual basis.
With a total customer base of 60,976 (as of January 1, 2025), that would amount to over $11.06 in savings per customer, on average, per year.
Reached for comment, a Liberty Utilities spokesperson said via email: “As a matter of Company policy, Liberty does not comment on issues pertaining to on-going litigation. The Company is generally aware of the ongoing legislation you reference but has no additional comment regarding that legislation at this time.”


** States Curbing Political Spending
------------------------------------------------------------

If Massachusetts passes the accountability legislation, it would join a growing number ([link removed]) of states who have taken similar action to rein in utility political cost recovery from customers. Most recently, California Governor Gavin Newsom signed such a bill ([link removed]) into law this week. California joins Connecticut, Maine, and Colorado as states that have prohibited utilities from recovering expenses similarly to what legislators have proposed in Massachusetts.

Other states have passed laws prohibiting the recovery of narrower political costs such as lobbying and trade association dues, including New Hampshire, New York, and Maryland.

In states that have had such laws on the books for a number of years, customers are already seeing significant savings. According to an analysis by EPI, Connecticut’s ratepayers have been spared from paying up to
$10 million ([link removed]) since the state passed its accountability law in 2023.


** Recent EPI articles and press:
------------------------------------------------------------
* Indianapolis Business Journal: As private equity pursues public utilities, reports say BlackRock subsidiary wants to buy AES ([link removed])
* Financial Times: Private equity bets big on utilities ([link removed])
* California passes bill curbing utilities use of ratepayer money for political spending ([link removed])

Get in touch. Do you have a question or want to provide information?
Contact us ([link removed])
[link removed]
[link removed]
[link removed]
[link removed]
[link removed]
[link removed]
mailto:[email protected]

View this email in your browser ([link removed])

Copyright (C) 2025 Energy and Policy Institute. All rights reserved.
You are receiving this email because you opted in at our website via our Contact Us page.
Our mailing address is:
Energy and Policy Institute
P.O. Box 337
El Verano, CA 95433
USA
Want to change how you receive these emails?

You can update your preferences ([link removed]) or unsubscribe ([link removed])