A bulk-purchase approach to electricity is under consideration in Montague as town leaders look for a way to make power costs less volatile for households and businesses.
According to WWLP, officials are assembling a municipal aggregation program that would use the community's combined buying power to pursue longer-term electricity supply pricing.
Here's what to know
If the program, called Montague Power Choice, wins approval, participating customers would have the supply charge on their Eversource bills based on a rate secured by the town through the aggregation program instead of the current rate.
Town officials have said the point is to seek more predictable pricing, not to promise a rate below Eversource's Basic Service, as the station reported.
Only the supply portion of the bill would be changed under the plan. Delivery service and billing would continue through the utility without interruption, WWLP noted.
Before the program can move forward, Montague has to submit an Aggregation Plan to state regulators, and officials are accepting public comments on the draft through Sept. 16, according to the station.
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More background
Municipal aggregation programs have become an increasingly common tool for towns and cities looking to reduce the volatility that can come with utility default supply rates. In practice, they allow local governments to shop for electricity on behalf of residents and businesses that do not opt out.
Even when electricity use remains the same, the supply charge can rise or fall with broader energy market trends. While a longer-term contract may not always deliver the lowest rate at every point, it can help limit some of the sharper swings that make budgeting more difficult.
The proposal is less about changing who serves customers and more about changing how the price is set. The utility relationship would remain in place, while the town would take on the role of procuring supply for participants.
The public review process gives residents and business owners a chance to weigh in before the plan is finalized.
What's being done?
Residents and business owners can look over the draft Aggregation Plan and related materials and send in feedback. WWLP said the documents are available at montague-ma.gov, and printed copies can be found at Town Hall, 1 Avenue A in Turners Falls.
The station added that comments may be sent by email to ferns@montague-ma.gov or by mail to the Selectboard Office, One Avenue A, Turners Falls, MA 01376. Any mailed submission must arrive by Sept. 16.
Town officials are also set to present an overview of the proposal at a remote Montague Selectboard meeting on Aug. 31 at 6:30 p.m. Participation details are posted on the town's online calendar, WWLP also reported.
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