Massachusetts Residents Oppose the Reinstatement of Utility Monopolies

Customers ask lawmakers to protect the competitive electric market and their energy choice

BOSTON, July 11, 2022 /PRNewswire/ -- A petition signed by more than 1,000 Bay State residents was shared with lawmakers today urging the protection of the competitive electric market in Massachusetts. Signers of the petition, distributed by Retail Energy Advancement League (REAL), oppose language in S. 2842 that would close the market and force almost half a million Bay State households who have chosen a different energy supplier to use one of the three default utilities operating in Massachusetts.

Petition signers expressed concern that the legislation would take away their ability to shop for energy plans that fit their needs, including options to buy 100 percent clean energy and free charging hours for electric vehicles. Many worried about the overall effect on the market if the default utilities no longer need to compete on price, offerings and service.

"I've used 100% clean energy for years, and, since it's totally optional for customers, I don't understand why you would shut off this important option to consumers. If there are issues with some energy providers being bad actors, it's best to regulate or deal with them and not totally close down the options to choose clean energy," said James F. in Waltham, Massachusetts. 

In Massachusetts, the competitive electric market is regulated and overseen by the Department of Public Utilities, which also manages "Energy Switch Massachusetts," an online platform where customers can make comparisons of competitors' current electric rates, offers, and contract terms, review different sources of electricity and make a selection based on their household's energy usage, preferences and needs.

"With such a wide range of kw charges, Massachusetts consumers should have a choice. People on fixed incomes and with low incomes need to be able to select their provider.  In fact, I think the Commonwealth should make it easier to access rate information," said Linda W. in Boston Massachusetts. 

The number of Massachusetts customers who shop has grown every year. According to the Massachusetts Department of Energy Resources, almost 500,000 residents chose a different supplier other than their default utility provider in 2021.

"I have used alternative electricity sources under this program for 4 years. Pricing and service have always been quite competitive. Why would the Legislature want to end such a successful program and return Massachusetts to the age of monopolistic energy supply?" said David B. of  Dover, Massachusetts. 

Competitive retail suppliers provide terms that range from six to 36 months, enabling the customer to shop for a low-cost rate and potentially lock in a lower price for an extended period, something default utility suppliers do not offer.

"Low income families need to have a choice on whom their energy providers should be. When you have a fixed income, you need stability and be able to predict your monthly bills. Without choice, energy customers will have constant fluctuation making bill planning and financial clarity extremely difficult," said Erin K. in Rochdale, Massachusetts. 

More than three quarters of the competitive electric supply available to residents right now is a 100% renewable product and almost 20% of renewable generation purchased by residential customers will be removed from the market if this language is included in the final bill.

"This small paragraph with huge repercussions is buried in a comprehensive plan to address the climate crisis, while thwarting Massachusetts from benefiting from the evolution of our modern electric grid, which now offers a range of renewable and affordable energy sources because of the diversity of competitive suppliers and products," said Chris Ercoli, President, and CEO of the Retail Energy Advancement League. "Now is the time to expand choice, not to shut down a market that is saving ratepayers money while enabling a transition to a clean energy future." 

The petition signers are not alone in wanting to continue to be able to shop the market and choose renewable energy options. A 2021 poll by SurveyUSA found 83 percent of Massachusetts residents want the freedom to choose clean energy for their homes.

Additional statements from Massachusetts residents that exercise their electric choice and oppose the proposed market closure. For a full list of quotes and signatures, click here. 

• "I want the choice to choose my electricity provider. I'm smart enough to figure out what's a good deal and what isn't, and I don't feel that any legislature should interfere with my choice, even if it's "for my own good." I have been exercising this choice for years and I don't think you could cook up a good reason to cause me to, inevitably, pay more." - Eric C., Boston
• "For those of us who are committed to buying 100% renewable energy, closing the electricity supplier market would be a HUGE step backwards for Massachusetts," said Daniel J. in Beverly, Massachusetts. 
• "Having the ability to choose has let me keep my electric bills at home and work lower rather than being crushed during cold winter months. This should not be banned! KEEP OPEN COMPETITION!" - Tim G., Sturbridge
• "Price shopping is good to keep costs down! .13 kw versus .18 kw does add up!" - Olivia M., Agawam
• "By taking away our choice to choose electric companies, you remove the option to buy greener energy and less expensive energy." - Michele S., West Roxbury
• "I already choose an energy provider that is not my local utility so that I can buy 100% renewable energy at a reasonable price. Please don't limit this competition." - Adam M., Needham
• "Please remove the electric choice ban in S.2842.  Having a choice has allowed me to save money on my electric bill which is over $1000/ mo for 3.5 months during winter." - Elaine H., Chestnut Hill
• "How is this anti-competitive practice considered progress? Energy choice allows me to ensure my energy use is generated in sustainable ways. With this legislation I would lose control over this, which is very important to me." - Aaron S., Roslindale
• "There are retail electric supplier offers which are more expensive than the default utility supply offer in this market but I would rather you make the information easily readable and comparable. It took me a lot of time to find a less expensive provider BUT we did and save significantly.  Please keep the market open and give the consumer the way to fight unscrupulous suppliers.  What is outrageous is delivery where it is impossible to fairly determine what I am paying and where I am being overcharged." -  Michael K., Boston

ABOUT RETAIL ENERGY ADVANCEMENT LEAGUE (REAL): REAL is a national advocacy organization dedicated to the expansion and modernization of American retail electric markets. The organization was founded by a coalition of companies that believe consumers deserve control over their energy decisions. Founding member companies include Calpine, CleanChoice Energy, IGS Energy, NRG Energy, Shell Energy, and Vistra.

To learn more, visit: https://www.retailenergychoice.org/ 

SOURCE Retail Energy Advancement League