Dive Brief:

• The governors of six New England states have vowed to collaborate on a solution for high energy prices in the natural gas-strapped region, using individual state authority to push for the development of more pipelines.
• The region is reliant on natural gas, and the expected retirement of coal plants along with a lack of pipeline capacity has pushed electricity prices higher, causing outcry from residents. 
• Electricity prices in the region have increased over the last two winters and are among the highest in the country. Of the ten states with the highest electricity prices, seven are in the Northeast.

Dive Insight:

The governors of six New England states are focused on developing more natural gas infrastructure, and want to use their individual authority to push for pipeline developments, Argus reports.

The strategy is a shift from a plan hatched two years ago, the report points out, which aimed to coordinate the development of New England gas infrastructure. That initiative collapsed amid threats of legal action regarding how it would be funded.

In a joint statement on regional cooperation, the governors last week reiterated the need for pipelines and pointed out ways in which their states had been addressing infrastructure issues.

"This problem is greater than any one state can solve alone," they said in a statement on regional energy cooperation. "For this reason, we renew our commitment to coordinated action to address our regional energy challenge."

Earlier this year the New England ISO said a lack of pipeline infrastructure and the expected loss of non-gas power plants are threatening system reliability, and as a result the region is now relying on
greater use of fuel oil to maintain reliability.

"Such a trend is to our detriment, as fuel oil has a higher cost, a higher emissions profile and its increased use will reverse progress on New England’s environmental objectives," the governors said in their statement. "Cost-effective investment in new natural gas infrastructure and the continued integration of clean energy resources are important to resolving these challenges."

The governor's noted that three states — Connecticut, Massachusetts, and Rhode Island — have jointly supported requesting proposals from private developers of clean energy and transmission. Maine, New Hampshire and Vermont were also involved in developing the statement on collaboration.