City Announces Community Choice Power Supply Program
12/12 Update: Public Information Meeting Thursday, 12/15 at 6pm at the Senior Center.
The City of Newburyport is pleased to announce its new Community Choice Power Supply Program which is expected to collectively save residents over $2,200,000 this winter. The City signed a split term, ten-month contract with Direct Energy Services, which will provide residents and businesses with cost relief in a market that is seeing historically high prices.
Beginning with the January 2023 meter reads, the Program’s Standard Plan rate will be $0.21760 per kWh which is 36% lower than National Grid’s winter Residential Basic Service price of $0.33891 per kWh. The rate will then drop to $0.13320 per kWh in May 2023 and will last until November 2023. The City will then negotiate new rates for November 2023.
The Newburyport Community Choice Power Supply Program is a municipal aggregation program which, according to Massachusetts law (M.G.L. c. 164, § 134), enables local government to combine the purchasing power of its residents and businesses so that it can provide them with an alternative electricity supply. Approximately 150 Massachusetts communities, to date, have chosen to develop community choice electricity programs to benefit their residents and small business owners.
Residents will not notice any change in their electricity service. The only discernible difference will be that Direct Energy Services of Houston, Texas, the selected electricity supplier for the Community Choice Power Supply Program, will be printed under “Supply Services” on National Grid’s monthly bills. Residents and small business owners will continue to receive one bill from National Grid and to send payments to National Grid for processing. There will be no interruption in billing, power, or customer service.
No action is required by ratepayers to participate in this cost-saving program. The Program will be operated on an opt-out basis, meaning that all Newburyport residential and business customers currently on National Grid’s Basic Service will be automatically enrolled into the Program unless they choose to opt-out. Residents will receive communication in mid-November directly from Colonial Power Group about the program and how to opt-out should they wish to do so.
There are no enrollment, early termination, or cancelation fees attached to the Newburyport electricity program. Residents who choose to opt-out can also opt-in at a later date if they so choose at no cost. However, anyone switching from a contract with a third-party supplier may be subject to penalties or early termination fees charged by that supplier. Ratepayers should verify terms before switching.
Basic Service rates change twice a year or more, depending on rate class. As a result, the aggregation rate may not always be lower than the Basic Service rate. The goal of the aggregation is to deliver savings over the life of the program against National Grid’s Basic Service. However, such savings and future savings cannot be guaranteed.
Residents or business owners with a supplier block on their account must contact their National Grid to request that the block be removed if they want to participate in Newburyport’s electricity program.
National Grid has several programs to help income-eligible families and customers needing special assistance meet their energy needs. To learn more visit nationalgridus.com/MA-Home/Bill-Help/Payment-Assistance-Programs.
Information sessions to answer any questions regarding Newburyport’s Community Choice Power Supply Program will be held by the City and representatives of Colonial Power Group as follows:
- November 21 at 6pm at the Plum Island Tax Payers Hall, 8 Plum Island Blvd, Newbury
- November 28 at 1pm in the City Hall Auditorium, 60 Pleasant Street, Newburyport
- December 15 at 6pm at the Senior Community Center, 331 High Street, Newburyport
Residents may also visit colonialpowergroup.com/newburyport or call (866) 485-5858 ext. 1 to learn more about Newburyport’s Community Choice Power Supply Program.
More information can be found through the City’s Energy Office here: https://www.cityofnewburyport.com/energy/city-of-newburyport-community-choice-power-supply-program