Vermont clean heat bill becomes law as Legislature overrides governor’s veto

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Vermont Gov. Phil Scott delivers his State of the State address remotely from the Pavilion office building, Jan. 5, 2022, in Montpelier, Vt. Vermont's Legislature struck down a veto from Scott, meaning a new law took effect Thursday, May 11, 2023, that will push people to stop using fossil fuels to heat their homes. (Glenn Russell/VTDigger via AP, Pool, File)

MONTPELIER, Vt. (AP) — Vermont’s Legislature struck down a veto from Republican Gov. Phil Scott, meaning a new law that will push people to stop using fossil fuels to heat their homes took effect Thursday.

Supporters say the Affordable Heat Act will lead to cleaner, cheaper ways to keep warm in the winter while also reducing greenhouse gas emissions, but critics warn it will drive up heating costs.

It establishes a clean heating standard, with utilities getting credits for energy efficient technologies — and having to pay if they don’t meet certain goals.

Thursday’s veto override ends a long-running dispute with the governor over how to cut greenhouse gasses and prevent the worst of climate change ’s future harms. The state House voted 107-to-42 to block the veto, two days after the Senate also voted to override.

Environmental groups offered praise.

“Governor Scott’s attempts to kill this legislation threatened to continue an irresponsible business-as-usual approach,” Elena Mihaly of the Conservation Law Foundation said in a written statement. She added that it’s no longer necessary to be “overly reliant on polluting, expensive fossil fuels.”

Scott vetoed the Affordable Heat Act last week. He has said while he supports the bill’s goal he thinks the legislation will give too much authority to the unelected Public Utilities Commission and could end up punishing Vermonters who are least able to afford to switch.

He vetoed a similar bill last year, and an override failed by one vote in the House.

Carrying out the provisions of the law will be overseen by the Public Utility Commission, which will develop and implement clean heat programs designed through a public process. The bill says the final rules to implement the program must be submitted to the Legislature by January 2025, and progress reports must be provided in February 2025 and on final submission.

The Affordable Heat Act grew out of legislation passed in 2020 that requires Vermont to reduce greenhouse gas pollution to 26% below 2005 levels by 2025. Emissions would need to be 40% below 1990 levels by 2030 and 80% below by 2050.