Community Choice Power Supply

Summary: This document describes Newburyport's efforts to reduce power supply cost.

Description

What is Aggregation?
Community Choice Power Supply, or aggregation, allows Newburyport to combine all our basic electric supply customers into one electric power purchasing pool.  With the help of our Aggregation Consultant, Colonial Power Group, energy supply companies bid on supplying our needs and our residents get low and stable pricing.

What Changes will I see?

To our residents, very few changes will be apparent:

National Grid still maintains the wires and poles. 

National Grid still does all the billing. 

Any problems with service or bills still go to National Grid. 

On your electric bill, you will see a line item stating the electricity supplier and rate.  The supplier will change periodically as we enter into new power supply contracts.

If you get low-income discounts through the utility, they will remain.

If you get net metering credits from any source, they will remain.

Important Points
All Basic Rate customers are automatically enrolled.

Participation is voluntary, you may join or leave at any time.  The change will take place at the next meter read after notifying Colonial Power Group

Households with competitive supplier contracts are eligible to join, but should review the terms of their contract.  If you have questions contact your supplier and Colonial Power Group

This Program will only affect the supply portion of your monthly bill. It will not affect the delivery portion.

Deep Dive

Why would we be able to negotiate a better deal for electricity than the utilities?
The utilities are required by law to purchase half their supply on two specific days every year.  This means there is a winter rate and summer rate which can change significantly.  They have no leeway on this.  Working with our aggregation consultant, we monitor energy prices all the time. We can choose when to lock in pricing.   More than half the communities and residents in the state of Massachusetts are using aggregation to get their electricity.  Utility purchases no longer represent the largest part of the electric market in the state.

Are we guaranteed to beat the utility basic service rate?
No, but the experience of aggregation communities is that they have done better than basic service more often than not because of the ability to contract power at any time.
Is our electricity green?

The electricity we purchase meets all the state requirements for renewable power.  As those standards change so will our power.

We can choose where our power comes from.  We will evaluate bids from green power sources when we go to the market for power.

Steps to Take

Nothing if you are a basic service customer!

• • A small number of basic service customers were not enrolled.  If you would like to enroll go to Colonial Power Group.
  • If you would like to leave the aggregation program you may do so at Colonial Power Group.
  • Any changes will take effect at the next meter read.