Massachusetts Electricity Deregulation: Complete 2026 Guide

Massachusetts electricity choice lets you pick who generates your power. Your utility still delivers it.

Massachusetts deregulated electricity back in 1997 with the Electric Restructuring Act^[1]. That's 27 years of choice, and most residents still ignore it. Eversource and National Grid still own the wires, fix outages when storms roll through, and read your meter every month. That part never changes.

What does change is who generates your electricity and what rate you pay. Basic Service is what you get if you don't pick anyone. Competitive suppliers offer alternatives that sometimes beat Basic Service, sometimes don't. The point is you get to decide instead of just accepting whatever Eversource or National Grid charges. After 27 years, most Massachusetts households still don't shop around. That's money left on the table.

Massachusetts splits your electric bill in two. You can only shop for half.

Supply covers electricity generation. This is the competitive part where you have choices. Accept Basic Service from your utility or find something better from a licensed supplier. Basic Service rates change every January and July based on wholesale markets, so you're riding market prices up and down.

Delivery covers infrastructure. Power lines, transformers, meter reading, storm crews responding at 2 AM. State-regulated rates that you can't negotiate. Same charge regardless of who supplies your power.

When you switch suppliers, nothing physical changes. Same wires bringing power to your house. Same utility truck showing up during outages. Same monthly bill format from Eversource or National Grid. Only the supply portion changes to show your new rate and supplier name.

The Massachusetts DPU licenses every electricity supplier in the state. No license? No legal sales. Pretty simple.

Getting licensed isn't easy. Companies go through financial background checks and operational reviews. Staying licensed means following marketing rules, providing clear contracts, and honoring consumer protections. The DPU posts a list of licensed suppliers on their website. Worth checking before you sign anything.

Here's the thing: the DPU investigates complaints. They can order refunds. They can revoke licenses. They've done both. They're not just for show.

Problems with a supplier? Call the DPU at 617-305-3500. Real people answer the phone. They'll walk you through filing a complaint if you need to.

Basic Service is what you get if you don't choose a supplier. Your utility buys power through auctions and passes the cost straight to you.

Basic Service rates reset every January and July^[4]. Summer rates and winter rates can swing pretty dramatically. No rate lock. No predictability. You're just riding the market wherever it goes.

Competitive suppliers offer different options. Fixed-rate plans lock your price for 12-36 months, so there's no sticker shock when heating season hits. Variable plans change monthly. Sometimes they're cheaper, sometimes not. Many suppliers also sell 100% renewable plans if that matters to you.

Massachusetts households average about 600 kWh monthly. Do the math: a 2-cent-per-kWh difference saves you roughly $144 per year. Not life-changing money, but not nothing either. The real question is whether a locked rate beats the risk of Basic Service swings over time.

Switching suppliers takes about five minutes. Your power never goes out.

Find your account number on your Eversource or National Grid bill. Compare offers through Mass.gov energy resources or ElectricRates.org. Pick a plan. Enroll online or by phone. You'll need your account number, address, and some form of ID.

Your new supplier notifies your utility automatically. The switch takes one or two billing cycles to complete. You keep getting one bill from your utility, but the supply line item shows your new rate and supplier name.

No one comes to your house. No service interruption. No installation appointments. Just a lower charge on your bill if you picked well.

Two main utilities serve Massachusetts. Where you live determines which one sends you bills.

Eversource covers eastern Massachusetts. That's Greater Boston, Cape Cod, the South Shore. They also serve parts of western Massachusetts around Springfield.

National Grid covers central Massachusetts. Worcester, much of the MetroWest area, and the southern suburbs.

Each utility sets its own Basic Service rate, changing every six months. Your utility also determines delivery rates and which suppliers serve your area. You can't pick your utility, but you can pick your supplier.

Important exception: municipal utilities like Holyoke Gas & Electric or Braintree Electric Light aren't deregulated. If you're served by a muni, you can't switch suppliers. Check your bill to confirm which utility serves you.

Massachusetts has strong renewable options. Some cost more than Basic Service. Many don't.

Competitive suppliers offer 100% renewable plans from wind, solar, and hydro sources. Community solar programs let you subscribe to a local solar farm and get credits on your bill. No panels on your roof. No installation appointments. Just bill credits showing up every month.

Here's what most people don't know: Massachusetts requires utilities to buy increasing amounts of renewable energy each year. This policy pushes down green energy costs over time. Some renewable plans now beat Basic Service rates.

When you're comparing green plans, check for Renewable Energy Certificates (RECs). These verify the environmental claims aren't just marketing. Also check whether power comes from local New England sources or distant projects. If supporting nearby clean energy matters to you, ask where the power comes from.

Massachusetts law protects electricity shoppers. You should know your rights.

Suppliers must give you a written contract with all rates, fees, and terms before you sign anything. Don't accept verbal promises. Get it on paper. Seriously.

You have 3 business days to cancel any new contract. No penalty. No explanation required. Just call and cancel if you change your mind.

Slamming (switching you without permission) and cramming (adding unauthorized charges) are both illegal. Report violations to the DPU. They take this stuff seriously.

Your utility can't disconnect power during a supplier dispute. The DPU investigates complaints and can order refunds if a supplier screwed up.

One thing to check first: if you receive fuel assistance or LIHEAP benefits, verify switching suppliers won't mess with your eligibility. Some assistance programs have specific rules about competitive suppliers.