QUINCY − A new city program coming online in June could save residents more than 25% on their electricity rates.

Quincy will join about 170 Massachusetts communities that have already adopted the program known as municipal aggregation. The program allows cities and towns to purchase electricity in bulk on behalf of their residents and businesses, giving them greater leverage in negotiating rates.

The program changes the source of the electricity, not its delivery. National Grid will continue to deliver services and charge the delivery fee. National Grid will still respond to outages, according to the city.

A letter distributed to residents outlines Quincy's agreement with Dynegy, which provides customers with three options, each with a differing proportion of renewable energy.

The "basic" plan, which includes the state minimum 62% renewable energy, costs 13.394 cents per kilowatt-hour. The "standard" plan, which adds another 10% renewable, costs 13.804 cents per kilowatt-hour, and the "premium" plan, which is 100% renewable, costs 14.727 cents per kilowatt-hour.

National Grid, which provides most Quincy residents with their electricity, has a current rate of 18.213 cents per kilowatt-hour, about 26% more expensive than Quincy's "standard" option, and doesn't add any renewable energy over and above the state mandate.

According to rate tracker EnergyBot.com, Massachusetts households on average use 596 kilowatt hours per month. Based on that figure, Quincy residents enrolled in the "standard" program would save $26.28 every month and $315.60 every year.

However, the city's letter notes that savings through the program are not guaranteed. That's because Quincy locked in its rates with Dynegy for a period of 43 months, expiring in December 2027, whereas as National Grid's rates change every six months.

Though City Council approved the program in 2018, the state gave didn't give Quincy the green light until early 2024. Mayor Thomas Koch's chief-of-staff Chris Walker said that a backlog at the Department of Public Utilities, which reviews and approves plans by individual towns and cities, delayed the program's implementation.

Residents with National Grid will be automatically enrolled in the program's "standard" option, according to the city. However, the program is optional, and households will receive a letter in April explaining how to decline or choose between the three plans.

Residents who have a supplier other than National Grid will not be automatically enrolled, nor will they receive a letter in April, but they can sign up at any time by filling out a form at quincycea.com or calling 857-209-7741. Once enrolled, residents can opt out at any time without penalty.

The city urges these residents to check with their current suppliers about possible cancellation penalties should they switch to Quincy Community Eletric.  

To opt in or out, before or after the program begins, you may return the card enclosed in the mailing, call Quincy’s supplier, Dynegy, at 866-220-5696 or submitting the form at quincycea.com.  

A public meeting will be held on Tuesday, April 23, at 6 p.m. at the Kennedy Center on East Squantum Street.

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News Source : https://www.patriotledger.com/story/news/2024/04/19/electricity-price-municipal-aggregation-quincy-ma-national-grid-dynegy-save-money/73340135007/