For all the back and forth over whether Massachusetts needs to pare down its climate ambitions in the name of ratepayer relief, it’s another provision with virtually nothing to do with that debate that’s embedded in a sweeping energy package passed by the House last month that might make the biggest and most immediate difference in Beacon Hill’s quest to slash utility bills.
A yearslong push for Massachusetts to crack down on what state officials and consumer advocates contend is a shady industry that promises too-good-to-be-true electricity rates finally cleared an elusive hurdle when House Democrats passed the energy bill with stronger-than-expected guardrails on competitive electric suppliers.
These are third-party companies that purchase electricity through the wholesale market but sell it directly to consumers at rates different than those charged by a utility or municipal plan.
The overall energy legislation set off intense debate about controversial cuts to the state’s Mass Save energy efficiency program and the cost-benefit tradeoffs associated with such a move intended to lower utility bills.
Yet as officials wrestle with an affordability crisis gripping the state during a cold winter in an election year, it’s a policy choice around something far removed from Mass Save that may actually make the biggest difference for some Bay Staters. The House’s provisions to severely restrict the competitive electric supply market is a move that the chamber has resisted in recent years but is largely acknowledged as one that will deliver real savings for those customers.
“This is the most tangible piece of this bill,” said Larry Chretien, executive director of the Green Energy Consumers Alliance and longtime advocate for rooting out the competitive or third-party supply industry. “There’s no other provision that’s going to save a consumer this much money in one year.”
A concerted effort from Boston City Hall may have helped break the logjam.
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Published by MassINC