The city has selected a new electricity supplier for the Arlington Community Electricity (ACE) program, with the 24-month contract term beginning in November. Renewable energy use is expected to increase, as well as rates.
The contract with NextEra Energy Services Massachusetts provides a flat rate for two years, while the price for the base Eversource service fluctuates every six months.
More than 16,000 residents and businesses enrolled in the program can expect to see a price change and a new supplier, on their December electric bill. This bill will reflect the November meter reading.
Under the new contract, the default percentage of additional renewable energy for a “domestic green” product will increase from 11 to 30 percent. Purchasing more renewable energy through this product allows customers to contribute to the further development of renewable energy in the Northeast region. It is estimated that this increase will generate an additional 16.6 million kWh of renewable energy use, enough to power 2,900 Arlington homes with fully renewable energy.
Described as “stable pricing”
“ACE continues to provide our residents with stable rates, which is especially important in today’s volatile economy, where everyone faces increasing energy costs,” City Manager Sandy Buller said in a press release on September 26. “ACE offers residents and businesses the flexibility to choose the amount of renewable energy and the price option that is best for them.”
The release says the ACE program has offered competitive pricing since its inception in August 2017, and they will remain under the new contract. The statement says the program has generated more than $4.6 million in cumulative savings for rate payers (future savings cannot be guaranteed).
The following chart includes pricing and renewable energy content for all ACE products compared to Eversource’s core services supply through December, when Eversource publishes its new pricing.
Eversource
|
Arlington Community Electricity (ACE) |
||||
|
Basic |
green local (+30%) (default program) |
Eco Friendly (+50%) |
Domestic green (+ 100%) |
||
|
price |
17.871 ¢/kWh |
16.090 ¢/kWh |
17.200 ¢/kWh |
17.940 ¢/kWh |
19.790 ¢/kWh |
|
Price difference compared to Eversource |
– |
– 1.781 ¢/kWh |
– 0.0671 ¢/kWh |
0.069 ¢/kWh |
1.919 ¢/kWh |
|
Period |
From 1 July to 31 December 2022 |
November 22 to November 24 |
|||
|
The release says that ACE cannot guarantee savings compared to Eversource basic for the duration of the pricing of the program because future basic service rates are unknown. Products marked “green” have additional renewable energy certifications, or RECs, above those required by state law. Additional RECs qualify to have a Class 1 Generation Diamond rating located within or delivered to New England. |
|||||
ACE vs. Eversource Core
In November and December, customers registered with ACE Local Green and ACE Basic will save money compared to Eversource’s residential basic service price (future savings cannot be guaranteed, since Eversource has not yet announced basic service prices last December), according to the release. . Resident customers with average usage who choose up to 100 percent renewable energy will pay $9.21 more per month than if they signed up for the Eversource Basic Service.
All customers registered with ACE can expect between $25 and $30 more in their monthly electric bills compared to their current ACE contract, depending on the ACE product they choose.
This increase is occurring across the electricity market, due to rising natural gas prices, the main driver of electricity prices in New England. These market conditions have also caused Eversource’s current base rates to increase.
Income-eligible customers registered with ACE will still receive discounts, and those who need fuel assistance during this challenging time can contact Community Teamwork Inc. , the designated community agency serving Arlington, at 978-459-0551.
ACE customers will automatically switch to the new NextEra supply contract with the same product they are now registered for (tiers shown in the table above); No action is required to remain in the program.
All customers will receive a letter from the city this week, which includes more information about the new contract. Customers can change between the four levels of the program at any time without penalty. Those who choose to opt out of the program can re-enroll in the program at any time.
Additional information about ACE can be found online at ace.arlingtonma.gov
About compilation of community choice
In 1997, Massachusetts enacted a public policy enabling cities and towns to accumulate the purchasing power of individual electricity customers. This process is referred to as community selection aggregation (CCA). Arlington officials say, through the “Green Shared Carbon Assessment,” the city can make a meaningful reduction in greenhouse gas emissions efficiently and affordably, and with the added benefit of public education to better understand electricity bills, energy options and renewable energy.
In August 2017, the town of Arlington joined 60 communities in Massachusetts and launched Arlington Community Electricity (ACE, formerly Arlington CCA). ACE uses bulk purchasing to offer consumers competitive electricity and price stability. The program offers three levels of renewable energy to consumers to reduce reliance on carbon-polluting fossil fuels.
September 2, 2020: Looking ahead: a new push for electricity
This news announcement was posted on Tuesday, September 27, 2022, based on a press release from Joan Roman, City of Arlington Public Information Officer, written by Bob Sprague.
from San Jose News Bulletin https://sjnewsbulletin.com/new-city-electricity-contract-signals-increased-use-of-renewable-energy-and-rates/
No comments:
Post a Comment