New Hampshire is taking a closer look at what it would take to make microgrids easier to develop in a proceeding initiated by its Department of Energy on October 16.
The state will examine financing, regulatory barriers, cybersecurity and opportunities for pilot projects. The investigation follows passage of SB 589, which took effect June 19, and builds on an earlier state inquiry into microgrids launched in 2024.
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Among other things, the proceeding will consider regulatory “sandboxes” that could let new microgrid business models and technologies be tested under more flexible rules. The investigation will also examine financing options, including Commercial Property Assessed Clean Energy and Resiliency (C-PACER), a financing mechanism that allows commercial property owners to pay for energy efficiency, renewable energy and resilience improvements through assessments on their property tax bills.
Other issues to be taken up are:
- How to identify municipalities and industrial customers interested in microgrids
- Whether legislative or regulatory changes are needed to get pilot projects underway
- How pilot projects should be evaluated, potentially establishing criteria to guide future microgrid development
- Cybersecurity requirements for microgrids and other distributed energy resources.
The proceeding could help determine whether New Hampshire moves from studying microgrids to creating a practical path for deployment. Among the questions is whether existing regulations accommodate microgrid development or whether new legislation and regulatory relief are necessary.
The Department of Energy must report its findings and recommendations to lawmakers within one year. Participants will include the state’s utilities — Eversource, Unitil, and Liberty Utilities. The state also seeks input from microgrid technology companies, distributed generation developers, businesses with high electricity demand, and other interested parties.
The department will make non-confidential comments and other information submitted during the investigation publicly available on its website.
Interested parties can request to join the proceeding, INV 2026-002, by emailing [email protected] and including the proceeding number in the subject line.
