Low 2024 National Grid Electric Rates in Massachusetts
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Compare the Lowest National Grid Electric Rates in Massachusetts
Like any competitive market, the prices offered by Massachusetts electricity companies are constantly changing. ElectricRate.com is an electricity price comparison site that stays on top of the best rates and offers in National Grid.
About Massachusetts Electricity Choice
Massachusetts consumers are getting more acquainted with competitive electricity suppliers who are now offering low electric rates to replace high utility supply default rates.
Residential customers who receive their power from National Grid, Massachusetts largest electric utility, experienced large rate increases on their electricity supply default price over the last few years, mainly starting in 2022. These rate increases imposed by Massachusetts National Grid do not affect consumers who are purchasing their power supply from a competitive electricity company.
Electricity choice is still a relatively new concept for many consumers. Going back 10 years, prior to 2014, few residential customers of Massachusetts National Grid were aware of energy choice and their ability to shop around for lower electric rates. However, after sharp increases that have affected consumer’s electric bills to increase, more and more people are taking the time to find a low National Grid electric rate in Massachusetts in order to avoid paying the higher default rate.
National Grid Basic Service Rate in 2024 in MA
At the end of 2023 the National Grid Basic Service Rate in Massachusetts swelled to 18.213¢ up from 14.114¢ representing a massive 29% increase in the price for electricity. The new 18.213¢ rate will remain in effect until July 31, 2024.
As of now we do not know what the rate will be after July 2024, but given that competitive Massachusetts rates are currently as much as 39% lower than the default rate and lower than 12¢, it is probably a good idea to lock in a low fixed rate as soon as possible.
Massachusetts Electricity Shopping in 2024
Despite the incredibly high National Grid Basic Service Rates and the much lower competitive Massachusetts electricity rate plans available, there are still a high percentage of National Grid customers on the default rate.
Based on the last released data by the state, a whopping 45% of National Grid’s 1.2 million Massachusetts residential electricity customers are on the default Basic Service Rate. This represents around 540,000 customers who have the ability to lower their monthly National Grid electric bills by 39%, but likely have not done so because they are unfamiliar with the electricity shopping procedures in the state.
What to know about Massachusetts Electricity Rate Plans
We recommend locking in a low fixed rate as there will be no surprises on the monthly electric bill. When you lock in a fixed rate, the competitive MA electricity supplier is purchasing the power for you in advance for the term of the contract, and then selling it back to you with a small retail adder. They are in effect acting as an energy bank for your home.
Locking in a low fixed electric rate that is lower than the National Grid price to compare default rate will guarantee that you save money.
These are often associated with teaser rates or special offers to entice new customers to join an electricity supplier. While the teaser variable rates can be attractive at first, you are putting yourself at risk to experiencing a doubling, tripling, or more on your electric bill in any given month.
Many electricity suppliers have gone out of business having too many of their customers on variable pricing when an event such as a hurricane, snow storm, or threat of imminent war caused wholesale energy prices to surge, forcing the company to pass along the higher electricity prices to their variable paying customers.
You don’t want this to happen to you.
Green Energy, or renewable energy, refers to electricity that is derived from sources that are deemed to be environmentally friendly. In the world of competitive electricity rate plans this usually means wind power and solar energy farms.
As long as these plans are tied to a fixed pricing structure they are safe. Some green energy plans might be priced at a premium as many consumers are willing to pay a little extra in order to reduce their carbon foot print.
Role of Massachusetts DPU in Competitive Electricity
Though Massachusetts electricity choice allows for outside companies to offer competitive power prices to consumers, all companies offering rates must be licensed by the Massachusetts Department of Public Utilities.
The Massachusetts Department of Public Utilities provides guidelines for competitive electricity suppliers in order to avoid bad marketing practices and help consumers understand energy choice in the clearest possible way. Due to volatile and increasing utility default rates, energy choice awareness in Massachusetts is becoming more and more important for consumers in order to manage their energy expenses now and into the future.
The DPU is also responsible for overseeing the regulated distribution rates charged by the local utilities such as National Grid. In addition, they oversee the auction process that determines the utility’s default price to compare rate that is charged to customers who do not shop for competitive rates; however if you’ve made it this far in the article hopefully that isn’t an issue for you and you have selected or are in the process of selecting a low fixed Massachusetts electricity rate plan.
From November 1, 2023 to July 31, 2024 the National Grid Basic Service Rate – the price National Grid charges to their Massachusetts residential customers who do not choose a competitive supplier – has been set to 18.213¢ per kWh.
In 2024, with the National Grid default electric rate being so high, the easiest way to lower your electric bill is to find a fixed competitive electricity price that is lower than the default Basic Service Rate.
In 2024 their are competitive rates that are as much as 39% lower than the National Grid default rate, making this an easy way to lower the power supply portion of the electric bill by 39%
With rates plans and offers constantly changing, the easiest way to find the lowest electricity supplier in Massachusetts at any given time is to use the ElectricRate.com energy price search engine.
Just go to electricrate.com and type in your zip code for a list of the lowest electricity rate plans.
If your National Grid electric bill in Massachusetts has gone up a lot recently, it is likely a result of your default rate (Basic Service Rate) going up.
The National Grid default rate is derived from an auction process held by the utility and the prices obtained are based on the energy wholesale market at the time of the auction.
Todd Yasbin
Todd Yasbin is the current COO and founder of ElectricRate.com. He has been involved with electricity deregulated markets since 2003.
