Municipal Aggregation

Despite its nondescript name, municipal aggregation is a simple concept that provides real results. The city, typically with the help of a consultant, and under the guidance of the Department of Energy Resources and the Department of Public Utilities, purchases electricity from an electric supplier at a favorable rate under a contract of 1-3 years. All residents and businesses within the city receive that rate automatically, but they have the option to opt out at any time by filling out a form. Electric delivery remains the same, so there is no change to infrastructure, and in fact, your monthly bill will still come from National Grid.

About 70% of all communities in Massachusetts have adopted municipal aggregation, and according to data put out in 2023 by the Department of Energy Resources, the annual savings for a residence is $580, and for a business, it’s over $2,200. (Note: An additional 14% of communities have municipal light plans and do not require municipal aggregation.)

Source: https://www.mass.gov/info-details/municipal-aggregation-0#municipal-aggregation-manual (visual charts are interactive)

For those who wish to take a deep dive into how it works, here is the DOER Municipal Aggregation Manual & Best Practices Guide: https://www.mass.gov/doc/municipal-aggregation-manual-best-practices-guide/download