Best Electricity Rates in Massachusetts 2026: How to Shop and Save on Your Electric Bill

Massachusetts consistently ranks among the states with the highest residential electricity rates in the country — well above the national average. Yet Massachusetts has had an open electricity market since 1998, giving residents the right to choose their electricity supplier. If you’re on Eversource or National Grid’s basic service rate and haven’t shopped in the past year, you may be able to cut your supply costs by switching to a competitive supplier with a better rate or a guaranteed fixed price.

Understanding Massachusetts Electricity Deregulation

Massachusetts passed the Electric Restructuring Act in 1997, effective 1998, separating electricity generation from delivery. Your local utility — Eversource, National Grid, Unitil, or Cape Light Compact — still owns and maintains the power lines and delivers electricity to your home. What changed is that generation (the commodity itself) can now be purchased from a licensed third-party competitive supplier.

If you’ve never enrolled with a competitive supplier, you receive “Basic Service” from your utility. Basic Service rates in Massachusetts change every six months (January and July) and are set via competitive procurement by the utilities. These rates are market-based and have historically been volatile — spiking when natural gas prices rise, since gas-fired generation sets the marginal price in New England’s ISO-NE grid.

Massachusetts Utilities and Their Service Territories

Eversource Energy serves eastern Massachusetts including Boston, most of the North Shore, South Shore, and western Massachusetts (formerly WMECO). Eversource is the largest utility in the state with roughly 1.4 million electric customers.

National Grid serves central and western Massachusetts — Worcester, Springfield, and surrounding communities. National Grid’s Basic Service rate is separate from Eversource’s and changes independently.

Unitil serves smaller communities in Fitchburg, Leominster, and the New Hampshire border. Smaller customer base but still has access to competitive supplier options.

Cape Light Compact serves Cape Cod and Martha’s Vineyard — not a traditional utility but an aggregation program that buys power on behalf of member communities. Cape Light customers can also opt into competitive suppliers.

Massachusetts Electricity Rates in 2026

Massachusetts all-in residential rates (supply + delivery) have ranged from 22–30+ cents per kWh in recent years, depending on the utility and season. The Basic Service supply rate alone (the changeable portion) has been in the 12–18 cents per kWh range, with peak rates occurring during winter 2022–2023 when natural gas spiked.

In 2026, Eversource and National Grid’s Basic Service rates are re-set from the prior high levels, but remain elevated compared to other regions. Competitive suppliers offering 12-month fixed rates have been competitive in the 11–15 cents per kWh supply range for qualified customers. Shopping when Basic Service rates reset upward (January procurement) is often the best opportunity.

Municipal Aggregation: A Massachusetts-Specific Option

Massachusetts has a unique program called Municipal Aggregation (also called Community Choice Aggregation, or CCA). Towns can vote to opt their residents into a town-negotiated electricity contract, often at rates below Basic Service and with a green energy option. Over 170 Massachusetts municipalities participate.

If your town has municipal aggregation, you were likely automatically enrolled (with an opt-out letter). Check your bill to see if you’re on a CCA program. CCA rates are typically competitive — but you can still choose to leave a CCA program for an individual competitive supplier if you find a better rate.

Types of Massachusetts Electricity Plans

Fixed-rate plans lock your supply rate for 6–24 months, protecting against Basic Service spikes. Given New England’s price volatility driven by ISO-NE and natural gas dependence, fixed rates are especially popular in Massachusetts.

Variable-rate plans track wholesale market conditions monthly. In mild weather, variable rates can undercut fixed plans — but when winter demand spikes, variable rates in New England can be punishing. Proceed with caution.

Renewable energy plans are well-matched to the Massachusetts market — the state has an aggressive Renewable Portfolio Standard and Climate Act targets. Many licensed Massachusetts suppliers offer 100% renewable plans backed by RECs, sometimes at rates very close to fossil-fuel supply rates.

How to Switch Electricity Suppliers in Massachusetts

Step 1: Check your current supply rate. Find your Eversource or National Grid bill. Look for the “Basic Service” or “Supplier Service” charge — this is listed in cents per kWh and is the rate you’re trying to beat. The Massachusetts Department of Public Utilities also publishes current Basic Service rates.

Step 2: Check if your town has municipal aggregation. If you’re already on a CCA program, note the CCA rate before comparing. You can stay in the CCA or opt out to go with a competitive supplier.

Step 3: Compare supplier offers. Enter your ZIP code in a rate comparison tool. Filter by fixed rate, contract term, and renewable options. Focus on the supply rate in cents per kWh — not the “total bill savings” projections, which depend on usage estimates.

Step 4: Read the disclosure label. Massachusetts requires all competitive suppliers to provide a standard disclosure form before enrollment. Read it: look for the introductory vs. ongoing rate, any early termination fee, and auto-renewal terms.

Step 5: Enroll and verify. Enrollment takes 5–10 minutes. Your first post-switch bill should reflect the new supplier’s rate. If it doesn’t, contact the supplier immediately.

Massachusetts Electricity Consumer Protections

The Department of Public Utilities (DPU) licenses and regulates all retail electricity suppliers in Massachusetts. Protections include a mandatory 3-day cancellation right after enrollment, required disclosure of all rates and fees in plain language before you sign up, prohibition on switching you without consent (slamming), and an automatic return to Basic Service if your supplier exits the market or loses its license. The DPU also maintains a complaint process if you have issues with a supplier.

Common Questions About Massachusetts Electricity Shopping

Will I lose power during a supplier switch?

No. The switch is purely administrative — your utility continues to deliver electricity through the same lines. You won’t experience any service interruption when you switch suppliers.

How much can I realistically save in Massachusetts?

In years when Basic Service rates are elevated, Massachusetts customers on fixed competitive plans have saved $200–$600+ annually compared to Basic Service. In years when Basic Service rates are lower, savings are smaller. The key is to compare at the time of your decision against the current rate — not a historical average.

Is municipal aggregation better than a private competitive supplier?

Not always. CCA programs negotiate in bulk and often get competitive rates — but a private supplier shopping opportunity may yield a lower per-kWh rate, especially if you’re targeting a specific contract length. Compare both options: your town’s CCA rate vs. available supplier offers before deciding.

Can I get out of a competitive supplier contract in Massachusetts?

Yes, with 3 days of signing and no fee. After that, early termination fees (ETFs) may apply depending on your contract terms. ETFs typically range from $0 to $100. Plans without ETFs are available and worth seeking if you want flexibility.

What happens when my contract ends?

Most suppliers will auto-renew at either the same rate or a variable rate. Read your contract’s renewal terms and set a calendar reminder 30–45 days before expiration. Re-shopping at contract end ensures you keep getting a competitive rate.

Are green energy plans more expensive in Massachusetts?

Not necessarily. Massachusetts has strong REC markets and several suppliers offer 100% renewable plans at rates comparable to — sometimes below — non-renewable fixed plans. The state’s clean energy focus has made renewable supply increasingly cost-competitive.

Should Massachusetts Residents Shop for Electricity?

Given Massachusetts’ consistently high electricity rates and volatile Basic Service pricing, the answer is yes. The comparison process is simple, state-regulated, and free. Even modest per-kWh savings on Massachusetts’ above-average bills add up quickly. The main habit to build is checking your rate every 12 months — particularly when Basic Service resets in January or July — and comparing available offers against your current rate.