Important National Grid Information
**This notification is sent to Municipal Officials within Central & Western Massachusetts.**
October 28, 2022
Reminder: New Winter Rates effective November 1, 2022
Last month, National Grid issued a press release (attached) outlining the winter supply cost increases our customers will see on their electric bills effective November 1. Ongoing global conflicts, inflation and high demand for natural gas have combined to put significant upward pressure on natural gas and electricity prices throughout the country, with New England more acutely impacted. More than half the electricity in New England is generated by natural gas-fired electricity plants, with many homes and businesses relying on natural gas for heating in the winter. Natural gas prices this July were 135% higher than during the same period in 2021.
As a reminder, National Grid purchases the supply portion of the electric bill on behalf of those customers who have not yet chosen a supplier or who do not participate in a municipal electricity aggregation program. For those communities who are participating in a municipal aggregation program, your residents may not see these increases, depending on the terms of your contract.
National Grid buys electricity from the competitive market for its customers under rules approved by the state in 2003.
These rules determine when the company can buy electricity from the competitive market, how much electricity it can buy, and the duration for which it buys that electricity.
National Grid adjusts its electric and gas rates twice per year for the summer and winter season – in May and November – after review by the Department of Public Utilities.
National Grid passes the cost of this supply through to customers, with no mark-up or profit, so customers pay what National Grid pays.
Delivery rates are the portion of the bill that supports our infrastructure investments to keep the system running safely and reliably.
Differentiating between supply and delivery charges on the electric bill can be confusing to our customers, with the average consumer not always understanding the difference. We are asking our municipalities to share with your residents the aggregate option, if available, and how to participate. While most residents are automatically enrolled, there are instances where customers have opted out or have been enrolled with another supplier.
Please help us by sharing the attached documents. Information on rates, Basic Service, and Supplier choice can be found on the National Grid website. Sharing these links on your municipal website can also prove helpful to your residents:
National Grid Supply Costs
National Grid Energy Choice
As mentioned in the press release, National Grid is focusing efforts to assist our customers through this difficult winter season. With the help of the Winter Customer Savings Initiative, we hope to enable customers to reduce energy use, manage energy bills and secure energy assistance where available. As part of this initiative, National Grid is hosting a series of in-person Customer Energy Savings events. The North Adams and Worcester events allowed us to help hundreds of families, with more dates scheduled for Eastern MA. The dates and locations of the remaining events can be found here: Customer Energy Savings Events | National Grid (nationalgridus.com).
Additionally, National Grid has partnered with the United Way and the Massachusetts Good Neighbor Energy Fund to distribute $1M in winter bill relief to residential customers, with another $16M to follow across MA and NY.
We understand the impact of this news. Your Community & Customer Manager is available to address any questions or concerns you may have.
Central/West Community & Customer Team
Joanne DeRose, Adrian Hubley, Carl Hartwick, Pam Hill, Brandie LongFollow us on Twitter: @nationalgridus
Thank you for your attention to this important message and please stay safe.
Adrian Hubley – for the City of Worcester m: (508) 713-2904
Carl Hartwick – for towns in South Central MA m: (774) 813-5196
Pam Hill – for towns in Western MA and the greater Monson area m: (781) 823-9264
Brandie Long – for towns in North Central MA m: (508) 736-7915