How aggregation works

Municipal electricity aggregation is a kind of group electricity buying program for a city or town:

  • Dunstable buys electricity from an electricity supplier that it chooses and locks in long-term pricing.
  • You receive a new price for the electricity supply charge on your National Grid electric bill.
  • National Grid remains Dunstable’s electric utility and continues to deliver your electricity, address power outages, and handle all billing as it does now.

Aggregation is possible because in Massachusetts we can choose our electricity supplier, which is the company that puts electricity on the grid for us. But we have no choice in our electric delivery utility. If you live in Dunstable, National Grid is your electric delivery utility no matter what.

Municipal electricity aggregation was enabled by the Massachusetts Restructuring Act of 1997 (Chapter 164, Section 134), and it is regulated by the Massachusetts Department of Public Utilities.

Before aggregation

Before an aggregation launches, most customers have National Grid’s Basic Service. This means National Grid is supplying (buying) your electricity in addition to delivering it, and they use their Basic Service price to calculate the electricity supply charge on your bill. You are placed on National Grid’s Basic Service when you first open your account, and you can always go back to it.

National Grid’s Basic Service prices change every 6 months or less.

Diagram describing how supply and delivery works without Dunstable Community Power. Detailed description above after the header Before aggregation.

With an aggregation in place

With an aggregation, an electricity supplier chosen by the Town is supplying electricity, but National Grid continues to deliver it without interruption. National Grid uses the price provided by that electricity supplier to calculate the electricity supply charge on your bill instead of their Basic Service price.

Dunstable Community Power prices will be fixed for 12 months or more.

Diagram describing how supply and delivery works with Dunstable Community Power. Detailed description above after the header With an aggregation in place.

Will you save money?

Maybe! According to a report by UMass Amherst, the majority of communities with aggregation programs do see some savings compared with National Grid’s Basic Service price. However, Dunstable Community Power will offer long-term fixed prices, and National Grid’s prices change every 6 months or less. As a result, savings compared with National Grid can never be guaranteed. If you are not happy with Dunstable Community Power, you are always free to leave the program at any time with no fee or penalty.

Learn more about aggregation