Understanding deregulation in Massachusetts
Unlike traditional energy markets, residents can choose their electricity providers in deregulated areas. In Massachusetts, this program is called Energy Switch Massachusetts.
Two main players operate in deregulated markets: energy suppliers and utility companies. Knowing how these companies function is important to better understand your options.
Energy suppliers
Energy suppliers, also known as retail electric companies (RECs), purchase electricity from power generators and sell it to consumers in the form of energy plans. Suppliers compete for your business by offering cheap rates and various plan options. They also maintain your account, including usage, billing, and customer service.
Utility companies
Your utility company in Massachusetts is based on location, so you can’t choose it like you can your supplier. The local utility is responsible for responding to power outages, maintaining the power grid, and transmitting electricity to your home. Massachusetts has three major utilities: Eversource, National Grid, and Unitil. You can purchase electricity directly from your utility in Massachusetts or sign up for a plan from an energy provider.
Contact your Massachusetts utility company
If you experience a power outage or another interruption to your electricity, you should contact your local utility company, not your energy provider. Here’s how to contact your Massachusetts utility company:
- Call Eversource at 800-592-2000
- Call National Grid at 1-800-465-1212
- Call Unitil at 888-301-7700
Price to compare in Massachusetts
Utility companies set the baseline rate for electricity, called the price to compare (PTC). You can use this number to see if you can find a better rate from an electricity provider. If you choose not to select an electricity supplier, you will be automatically enrolled into a default energy plan from your local utility company. Here’s what the current PTC is for each major Massachusetts utility company.
Utility | Price to Compare | Effective through |
---|
Eversource | 13.241 ¢ per kWh | July 31, 2025 |
National Grid | 14.672 ¢ per kWh | July 31, 2025 |
Unitil | 14.206 ¢ per kWh | July 31, 2025 |
Types of energy plans in Massachusetts
When searching for energy plans in Massachusetts, you’ll find various plan features, rates, and term lengths. Let’s break down a few common plan types you may come across while shopping for energy.
Fixed-rate plans
A fixed-rate plan allows you to lock in your energy rate for the length of your contract, which usually ranges from 12 to 36 months. You’ll have more stability in your budget, but you might have to pay an early termination fee (ETF) if you cancel or switch plans before your contract is up. Your provider will waive this fee if you’re moving outside of its service area.
Variable-rate plans
A variable-rate plan changes according to market conditions. Your rate will fluctuate monthly based on the current energy demand, causing your energy bill to spike in certain months and decrease in others. Because there is no contract, you can switch energy providers anytime without paying an ETF.
No-deposit and prepaid energy plans
Depending on your credit score, you may have to pay a deposit when you sign up for an energy plan. You can avoid a deposit by shopping for a no-deposit plan. One popular type of no-deposit plan is a prepaid energy plan, which allows you to pay for your electricity in advance and refill your account as needed.
Green energy plans
Like many states, Massachusetts has invested heavily in green energy sources, including solar power, wind energy, and hydropower. As a result, Massachusetts residents can easily find competitive and affordable green energy plans. Enter your ZIP code and filter for green energy to compare your renewable options.
Business energy plans
Business owners in Massachusetts can also benefit from deregulation. If you own a business in Massachusetts, you can compare commercial electricity rates from suppliers and sign up for the best energy plan available.
Average electricity bill in Massachusetts
Your electricity bill consists of three main components: your electricity rate, the utility delivery charge, and taxes. Massachusetts’s current average residential electricity bill is about $168.14 per month, based on the average rate of 30.08 cents per kWh and the typical household usage of 559 kWh per month.
How to find the best electricity rates in Massachusetts
Electricity rates fluctuate throughout the year based on the season, energy demand, commodity prices, and other factors. With the SaveOnEnergy marketplace, you can compare today’s electricity rates in Massachusetts to find the best plan for your home or business. Here’s how to get started:
- Enter your ZIP code. You can browse energy plans near you and compare electric rates in Massachusetts from multiple providers.
- Choose the best plan for you. Sign up online in just a few minutes, or call the number on the screen to speak to an energy expert.
- Enjoy your new energy plan. Your new provider will take care of the service transfer. Once the setup is complete, you can relax and enjoy your energy plan.