Massachusetts electric customers are staring down higher bills starting August 1, when the state’s largest utilities reset their six‑month basic‑service contracts. For many households, the supply charge will jump into the high teens, roughly 17–18¢ per kilowatt‑hour, which works out to about $10 more each month for a typical 600‑kWh household. The actual hit will depend on where you live and whether you are on municipal aggregation, a long‑term supplier contract or a month‑to‑month retail plan.
Who’s affected
National Grid, Eversource and Unitil are resetting the supply component for the six‑month term that begins August 1, moving many utility‑supplied rates from roughly 15–16¢/kWh up toward 17–18¢/kWh. As reported by the Boston Globe, the increases are not uniform. Some parts of western Massachusetts and pockets of National Grid territory are facing noticeably larger jumps than Boston‑area customers. Utilities and regulators say the changes stem from higher wholesale and ancillary market costs rather than any increase in delivery‑service charges.
Why prices are jumping
Behind the scenes, a major factor is a redesign of the New England wholesale power market that added a new day‑ahead ancillary services product. ISO‑New England’s Day‑Ahead Ancillary Services Initiative (DASI), implemented in March 2025, introduced new day‑ahead ancillary charges that can make day‑ahead settlements more variable and more costly during strained periods, according to ISO‑New England. Local municipal notices say those costs are now flowing through to supplier and aggregation offers; a Franklin municipal release, for example, explains how DASI pass‑throughs forced adjustment of aggregation pricing earlier this year (Franklin press release).
What it means for you
For an average household that uses about 600 kWh a month, the supply reset could add roughly $10 to monthly bills, the Boston Globe reports. The Globe also notes that about a quarter of Massachusetts customers buy power from third‑party retail suppliers, a market state officials have repeatedly flagged for deceptive marketing and steep price hikes once introductory deals expire.
Municipal aggregation can cushion the blow
Many cities and towns try to blunt these kinds of increases by buying power in bulk for residents through municipal aggregation programs, which often undercut utility basic service. The City of Boston’s Community Choice Electricity program lists a basic rate near 13.6¢/kWh and says enrolled households have averaged about $200 in annual savings, according to Boston.gov. Consumers who are not sure who supplies their electricity should check their bill for the supplier name and plan details, and be wary of high early‑termination fees that can show up in some retail offers.
What lawmakers are considering
On Beacon Hill, lawmakers are weighing whether to crack down on competitive suppliers or effectively show them the door for residential customers. Attorney General Andrea Campbell and Governor Maura Healey have criticized certain supplier practices, and as WBUR reported, a Senate bill to curb residential enrollments has gained traction while competing reform bills would instead toughen oversight without banning the market. Any legislative changes are expected to be negotiated in the coming weeks and could reshape consumer options next year.
