SECTION 1. Chapter 25 of the General Laws is hereby amended by inserting after section 22 the following section:
Section 23. The energy efficiency advisory council established under Section 22 of this chapter shall develop recommendations for steam energy efficiency programs, including, but not limited to, demand side management programs funded by a mandatory charge for all consumers. The council shall examine and recommend other funding sources, including, but not limited to,
(1) any amounts generated by steam distribution companies under the Forward Capacity Market program administered by ISO-NE, as defined in section 1 of chapter 164; and (2) cap and trade pollution control programs, including, but not limited to, and subject to section 22 of chapter 21A, not less than 80 per cent of amounts generated by the carbon dioxide allowance trading mechanism established under the Regional Greenhouse Gas Initiative Memorandum of Understanding, as defined in subsection (a) of section 22 of chapter 21A, and the NOx Allowance Trading Program; and (3) other funding as approved by the department after consideration of: (i) the effect of any rate increases on residential and commercial consumers; and (ii) the availability of other private or public funds, utility administered or otherwise, that may be available for energy efficiency or demand resources. The council shall ensure that programs regulated by the department are delivered in a cost-effective manner capturing all available efficiency opportunities, minimizing administrative costs to the fullest extent practicable and utilizing competitive procurement processes to the fullest extent practicable. Energy efficiency activities eligible for
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