National Grid announces lower rate for May; Municipal Aggregation program stuck with a higher rate into December.

 

Photo by Amy Elting on Unsplash
  

National Grid announced their summer electric-supply rate yesterday, for the six months starting in May.  The supply rate for residential customers will drop to 14.2 cents/kWh. 

On the other hand, if you're a member of Lancaster's Municipal Aggregation program you'll pay 29.984 cents/kWh for supply through June.    After that, you'll pay a 14.781 cent/kWh supply rate into December.  

Boston Globe:  National Grid has Good News About Electricity Rates

Typically Municipal Aggregation programs are able to offer savings over the National Grid default supplier:  National Grid ostensibly doesn't make any profit on supply, but the state requires them to sign new contracts every six months.    Municipal Aggregation programs have the flexibility to sign much longer contracts:  from 2019-2021 Lancaster benefited from a three year contract at 9.978 cents/kWh cut bills a bit.

It's been tough sledding for the Municipal Aggregation program since that three-year contract ended in 2021.  Select Board members looked over a new contract in June of 2021 that would have offered a similar rate for three years with a higher percentage of renewables, but put off a decision.   Lancaster's Select Board was absolutely mired in disorder and chaos for  most of 2021,  and the renewal languished.    The contract renewal ultimated waited until the 11th hour in November, when rates had increased substantially.  The Aggregation Program rate was higher than the National Grid default supplier rate for most of 2022. 

4/10/22 "The Municipal Aggregation Program in Lancaster: Not a Good Deal at the Moment."

The aggregation program in Harvard renewed last year at the same time as us.   They also signed two six-month contracts for this year, but got a better rate than us for both contracts: from May until November they'll pay 13.010 cents/kWh.  (Link to their rate info)  That improved rate is especially admirable, considering that Harvard is committed to to using power from 100% renewable sources.  Their contracts are for 100% renewable energy, while Lancaster's contracts are for 59% from renewable sources (the state-required minimum.)

If you're looking for a better rate, this comparison site is a good place to start:
EnergySwitchMA.gov

The town's website for the Municipal Aggregation program is here:
https://www.ci.lancaster.ma.us/energy-commission/pages/municipal-aggregation-program

Colonial Power Group is the 3rd party who manages enrollment for the town's aggregation program.   You can browse the other communities they assist and see what rates they're enjoying.  If you want to "opt out" from Lancaster's aggregation program, there's an opt-out/opt-in form on the page for our town.
https://colonialpowergroup.com/our-communities/