The 2024 Annual Report submitted by the Department of Public Utilities evaluates the impact of self-generation installations, including cogeneration, fuel cells, and renewable energy systems, on electricity sales and transition cost recovery for electric distribution companies (EDCs) in Massachusetts. The report highlights that a total of 24,535 self-generation facilities were installed in 2024, with the majority being small photovoltaic systems. The estimated reduction in electricity sales due to these installations was approximately 2.4 million megawatt-hours, representing a 5.07 percent decrease in total EDC sales for the year. Cumulatively, since 1998, self-generation has led to a reduction of about 116.9 million megawatt-hours in electricity sales.

The report also addresses the financial implications of self-generation on transition charges, which are costs that EDCs recover from customers. It notes that EDCs have largely recovered their transition costs, with the cumulative impact of self-generation on these costs being minimal—less than 1.5 percent for each company. The Department concludes that self-generation did not significantly affect transition cost recovery for EDCs in 2024, and the overall reductions in electricity sales attributed to self-generation are relatively small. The report emphasizes the need for ongoing monitoring of self-generation's effects on the electricity market and consumer costs.