Municipal aggregation is allowed under Massachusetts General Laws Chapter 164 Section 134. More than 140 cities and towns in Massachusetts, including Brookline, Cambridge, Somerville, New Bedford, and Winchester, already have active municipal aggregation programs, and other nearby communities are actively pursuing similar programs.
By default, customers in Stoneham receive basic service electricity supply from Eversource. Under a municipal aggregation program, all customers receiving basic service are automatically transitioned to the aggregation’s chosen default supply product, in this case, Stoneham Local Green. However, before the aggregation program begins, all customers receive a letter with an option to stay with basic service. This is known as opting out.
In Month Year, Town Meeting authorized the creation of a community choice electricity aggregation program in Stoneham. The Town then selected consultant Good Energy, L.P. to develop and administer all aspects of program implementation. The Town developed a draft aggregation plan and solicited public comment. As required by law, the plan was reviewed with the MA Department of Energy Resources and then sent to the Department of Public Utilities (DPU) for review. The DPU approved the plan in Month Year.
The Town conducted a competitive bid for electricity supply and secured its first supply contract to start in March 2019 and continue through November 2020. This fixed price contract is with supplier NextEra Energy Services and adds 5% more MA Class I renewable energy on top of the State’s minimum requirements. The terms for this contract provided for two optional products – one with 100% extra renewable energy, the other with no extra renewable energy.
The town of Stoneham conducted another competitive bid to secure a successor contract, beginning November 2020 and lasting through December 2023. In this next contract, Stoneham Community Electricity Aggregation will add a 50% renewable energy option for those who want to increase their support for renewable energy and decrease their consumption of fossil fuels.