In Massachusetts, navigating utility bills, buying used cars and dealing with home heating oil tanks can sometimes feel like working without a safety net. Companies are not always required to protect consumers, and buyers are left to exercise caution and discretion on their own.
But recently, the Massachusetts state Senate passed a trio of bills aiming to offer consumers more support.
GBH’s State House reporter Katie Lannan joined Morning Edition co-host Jeremy Siegel to walk through the proposed protections.
Third-party electricity providers
When you get your monthly electric bill, the odds are it comes from one of two utilities: Eversource or National Grid. But there are also third-party providers, which promise cost savings.
“Under a 1990s law, Massachusetts actually lets consumers shop for who provides their electricity,” Lannan said. “It's still delivered by your utility either way, but you have a choice of whether your electricity itself comes from that utility or from a competitive supplier licensed by the state.”
Some state officials say these suppliers are predatory, preying on low income people, immigrants and older residents. They say it can cost more than getting the same services directly from utilities.
The state Senate recently pushed forward a bill that would severely limit those third-party providers, barring them from enrolling new residential customers.
“Attorney General Andrea Campbell has been really pushing for a crackdown here, saying that the industry doesn't consistently deliver savings and that it can particularly harm low income people in communities of color,” Lannan said. “Her office has found that consumers that use these suppliers did have savings last year, but she says that's not enough to offset the losses they've experienced financially in previous years.”
The retail energy industry itself, of course, is opposed to the bill, saying it would effectively give utilities a monopoly, Lannan said.
“It's mostly Democrats in the Senate, but the four Republican senators voted against this bill,” Lannan said. “They're calling it draconian to eliminate consumer choice, saying that wouldn't be okay with any other industry.”
The bill must next pass the Massachusetts State House, where its path is uncertain, Lannan said.
“The House's top point person on energy issues, Representative Jeff Roy, said he prefers a different approach that would reform the market, add new oversight, but not end competitive electric supply from enrolling new consumers,” Lannan said. “It'll be interesting to see what kind of agreement maybe the House and Senate can reach, if they do both decide to pursue reforms here.”
Lemon Law updates
Senate lawmakers are also pushing an update to the state’s Lemon Law, which lets car buyers return their purchase if the vehicle they purchased immediately fails inspection.
Right now, consumers have seven days from the time of purchase to use the Lemon Law. But car buyers don’t always get their new vehicles immediately, and some won’t get the keys in hand until after their Lemon Law period expires.
If the Senate bill becomes law, they would have seven days from the date their vehicle is delivered to them to use the law’s protections, Lannan said.
“There's also a car sales bill that would increase the warranty level for used cars under state law,” Lannan said. “If you buy a car, it would be covered for up to 150,000 miles at the time of purchase.”
Heating oil leaks
When a residential heating oil tank springs a leak, it can leave homeowners with cleanups that are expensive and complicated — but environmentally necessary.
“Cleanup costs, when you get into soil, groundwater contamination can end up easily in the hundreds of thousands of dollars for people,” Lannan said.
State law requires that insurance companies make coverage of heating oil spills available, but not every homeowner knows about or takes advantage of those options, Lannan said.
“The senators say that's not something a lot of people know about and take advantage of. So they want to mandate that coverage,” she said.
It’s not guaranteed that the bill will make it through the session, Lannan said, but there are some signs of movement on it.
“The House just this week actually started moving its own home heating oil bill there to cover those spills,” she said. “That is a big sign of momentum, but it doesn't guarantee it's going to get done.”
