Cheaper and Greener Energy – Coming Soon

by Russ Vernon-Jones, Darcy DuMont, Denise Lello and Tony Rogers

The following column also appeared in the Amherst Bulletin.

Local and Green

Those of us who live in Northampton, Amherst, or Pelham will soon experience the benefits of community bulk purchasing of electricity. More than 150 other municipalities in Massachusetts are already participating in the type of “community choice aggregation” that we will soon have. Our electric rates will be modestly lower than current utility rates and our percentage of green electricity in the standard option will be 10% greater than what Eversource and National Grid provide.  (Because utility prices change, future savings compared with utility prices cannot be guaranteed.)

Valley Green Energy
The utilities will still deliver our electricity, handle the customer service, and do the billing. But our electricity will be supplied through our own new community aggregation, “Valley Green Energy” (VGE),  which has contracted with “First Point Power.” VGE is a new entity created by the three municipalities just for this purpose. Climate activists have been researching, advocating, and planning for this for 7 years. Many will have received a postcard from Valley Green Energy this week alerting you to this news.

Three Municipalities Have Agreed
The new arrangements have been approved by the City Council and Mayor in Northampton, the Town Council and Town Manager in Amherst, and Town Meeting in Pelham. Valley Green Energy joint municipal aggregation has been approved by the DPU (Department of Public Utilities) of Massachusetts that approves and regulates these programs.

After years of preparation, the move to Valley Green Energy will lower the carbon footprints of the residents of the three municipalities with a single stroke. This is a significant victory in our collective efforts to address climate change. This gets each community closer to our emission reduction goals.

No Action Necessary for Most
One of the beauties of this new arrangement is that most of us will need to do nothing to gain its benefits. If National Grid or Eversource is currently your electricity supplier, you will automatically be transferred to Valley Green Energy (VGE), see your electric rate go down, be getting a greater percentage of green electricity, and notice no other change. (You can opt out of VGE if you want to, but why would you want to?)

If You Don’t Receive Notification in the Mail
If you are currently getting your electricity supplied by some other provider than Eversource or National Grid you will probably not receive a postcard or letter about all this.  You will not be automatically enrolled, and will need to opt in to Valley Green Energy.  Simply request enrollment at the Valley Green Energy website at ValleyGreenEnergy.org. We strongly recommend that you opt in.

We recommend that you opt in partly because the additional green electricity provided by VGE will be from new renewable sources in the New England region and will accelerate the conversion of the grid to fossil-free sources. (Many other suppliers, including some that advertise 100% green, are simply purchasing inexpensive renewable energy certificates from other areas such as Texas wind farms that do not stimulate greater renewable energy production.)

Reduced Rates
The option that customers currently being supplied by National Grid and Eversource will automatically be enrolled in will cost 13.994 cents/kwh (compared to the current National Grid residential rate of 16.055 cents/kwh and the Eversource residential rate of 14.023 cents/kwh.)  The rate is guaranteed for two years, providing more stability than the utilities’ rates which are readjusted periodically. This option is called “Standard Green” and includes an additional 10% from renewable sources.

VGE 100% Green Option
You can opt up to “VGE 100% Green” and get 100% green electricity for 16.474 cents /kwh. The additional green electricity provided by Valley Green Energy will be from new renewable energy projects in the New England region. This is an option that requires opting in (via the form utility customers will get in the mail soon and others can access on the VGE website). This is more expensive than the default option, but is a very effective way to combat climate change for those of us who can afford the slightly higher cost.  All four of us plan to opt in to 100% green and we invite you to join us.

Another option is to opt down to “VGE Basic” which has no more green electricity than the utilities provide and costs 13.594 cents/kwh. One other option is to opt out of Valley Green Energy altogether and pay the higher rates that National Grid and Eversource are charging. All of these options will remain available to all customers at any time. You will always be able to opt up, opt down, or opt out.

This new aggregation gives our communities more control over our options for electricity, and possibilities for more locally generated power and greater community resilience.

Eligible customers will continue to receive low income discounts or fuel assistance, and bill credits and incentive payments from solar panels and community solar will continue as well. If you have other questions, there’s lots of good information available on the Valley Green Energy website at ValleyGreenEnergy.org.

An official VGE letter explaining the details of the program will be mailed out on August 30 and information sessions will be provided by the three municipalities in September.

Three cheers for our communities taking this important step to reduce emissions, increase community control, reduce our electricity costs, and address climate change.

Russ Vernon- Jones, Amherst, Local Energy Advocates
Darcy DuMont, Amherst, Local Energy Advocates
Denise Lello, Northampton, Local Energy Advocates
Tony Rogers, Pelham, Pelham Energy Committee

Local Energy Advocates of Western Mass was created in 2021 to provide community support for our electricity aggregation and includes early promoters.