Organization educates customers on how to shop and compare electric suppliers
(BOSTON, MA) – Following the announcement of double-digit rate increases from two of the Commonwealth’s largest utilities, the Retail Energy Advancement League today released a guide to help Massachusetts customers shop for competitive electric suppliers and save money (view the guide in English or Spanish).
In September, National Grid and Unitil announced that customers can expect winter rates for basic service electric supply to increase significantly. National Grid’s new rate will increase to three times the current rate beginning November 1, 2022 and Unitil’s rate will almost double beginning December 1, 2022. In November, Eversource published the new rates for NStar and WMECo.
| Utility Supplier | Rate Term | Supply Rate | Rate Term | Supply Rate |
|---|---|---|---|---|
| NStar-Eversource | 7/1/22 – 12/31/22 | 17.9 ¢kWh | 1/1/23 – 6/30/23 | 25.6 ¢/kWh |
| WMECo-Eversource | 7/1/22 – 12/31/22 | 15.4 ¢kWh | 1/1/23 – 6/30/23 | 21.9 ¢/kWh |
| National Grid | 5/1/22 – 10/31/22 | 11.5 ¢kWh | 11/1/22 – 4/30/23 | 33.9 ¢/kWh |
| Unitil | 6/1/22 – 11/30/22 | 13.4 ¢kWh | 12/1/22 – 8/31/23 | 22.2 ¢/kWh |
(Source: Massachusetts Department of Public Utilities, “Basic Service Rates 9.29.2022” and EnergySwitchMA.gov)
In Massachusetts, customers have the ability to shop the competitive retail energy market to compare products and choose a retailer other than their default utility provider for the supply portion of their bill. The competitive retail electric market is regulated and overseen by the Department of Public Utilities, which also manages “Energy Switch Massachusetts,” an online platform where customers can make comparisons of competitors’ current electric rates, offers, and contract terms, review different sources of electricity and make a selection based on their household’s energy usage, preferences and needs.
As of Oct. 6, 2022, there are more than a dozen competitive energy suppliers on the Energy Switch MA website offering contracts ranging from 12 to 36 months where customers could lock in a fixed rate that will save them up to 45% off their basic service winter electric bill. Some of these products also provide 100% renewable energy.
“Price is not the only reason customers shop but given the historic rate increases Massachusetts customers on default service are facing, we wanted to equip them with tools specific to price shopping so they can make informed decisions and safeguard themselves against impending rate shock,” said Chris Ercoli, President and CEO of REAL.
To help customers shop based on price, the Retail Energy Advancement League developed a guide that explains contract terms, how to compare products and offers helpful shopping tips.
Almost half a million Massachusetts customers with energy choice shopped in the competitive market and chose a retail supplier other than their default utility in 2021. Customers cite cost savings, price predictability, renewable energy choices and special products as some of the reasons they shop. You can read quotes from Massachusetts customers about the benefits of shopping here.
ABOUT RETAIL ENERGY ADVANCEMENT LEAGUE (REAL): REAL is a national advocacy organization dedicated to the expansion and modernization of American retail electric markets. The organization was founded by a coalition of companies that believe consumers deserve control over their energy decisions. Founding member companies include Calpine, CleanChoice Energy, IGS Energy, NRG Energy, Shell Energy, and Vistra. To learn more, visit:www.retailenergychoice.org.
