Opinion: Common Electricity Aggregation approved by DPU, launch expected in autumn

Locally and ecologically, May 2024

Urban electricity aggregation is the most impactful action cities can take to reduce greenhouse gas emissions. This is expected to happen in our Amherst Climate Action and Resilience Plan. We have been working on obtaining it for over six years and we finally have our approval! Hurrah!

Local officials, activists and residents are celebrating a milestone in the long-term implementation of Valley Green Energy (VGE), a shared municipal electric energy center between Amherst, Northampton and Pelham. On April 9, the Department of Public Utilities approved Valley Green Energy’s application. Work now begins – to be performed primarily by consultant/broker Mass Power Choice – to notify and educate residents of the three municipalities and provide electricity. The official launch of the program is scheduled for autumn 2024.

There are many benefits to participating in Valley Green Energy. It will provide cleaner electricity from local renewable energy projects. Participants will automatically receive more renewable electricity in the New England region. Your participation can support local jobs and increase demand for more renewable energy on our local energy grid, thereby minimizing greenhouse gas emissions.

VGE will also ensure a stable, competitive price for electricity supplies. Valley Green Energy offers long-term, fixed electricity prices that protect you from seasonal changes in utility prices. Additionally, the program is designed to provide prices that are competitive with those of Eversource’s core services. However, because Eversource prices fluctuate and future prices are unknown, savings cannot be guaranteed.

Unlike many of the current “green” offers that people receive in the mail, VGE will provide transparency and consumer protection.

Electricity aggregation is a type of group purchasing program for cities and towns to purchase electricity with no hidden fees or penalties… and in our case, it is administered by the City of Amherst, the City of Northampton, and the City of Pelham.

If Eversource is your supplier, your electricity account will automatically be registered with Valley Green Energy unless you choose not to participate. The automatic enrollment model complies with Massachusetts law.

If Eversource is not your supplier, you will need to subscribe to Valley Green Energy.

Valley Green Energy provides four energy options to choose from. If you take no action, your electricity bill will automatically be assigned to the “Standard Green” offer. With Standard Green, you will receive an additional percentage of your electricity from the highest quality renewable sources in the New England region, in addition to the minimum amount of renewable energy required by state law.

You can also request a “100% Green Option” to receive all your electricity from the highest quality renewable resources in the New England region (REC MA Class I), a “Local Option” to receive a certain percentage of your electricity from renewable energy projects in the territory Valley Green Energy, in addition to receiving the minimum amount of renewable energy required by state law or the “budget option” to enjoy price stability and consumer protection, but not receiving additional renewable energy beyond the minimum required by state law.

The three cities are currently working on a memorandum of understanding and aggregation plan. There is a Valley Green Energy Working Group, consisting of an employee from each community and non-voting community members. Mass Power Choice is staffing the project under a three-year contract and will assist with project implementation. By launching Valley Green Energy, Amherst, Northampton and Pelham will join more than 150 other cities and towns in Massachusetts with similar programs, many of which are also “green aggregations.”

The implementation of Valley Green Energy has the potential to be a game-changer for Amherst in meeting our climate action goals and stabilizing electricity prices for customers.

In the next column, I will provide more information about the origins of Valley Green Energy!

Darcy DuMont is a former city councilor and legislative sponsor creation of the Amherst Energy and Climate Action Committee. He is a founding member Zero Waste in Amherst, Local energy advocates from Western Massachusettsand Amherst Climate Justice Alliance and non-voting member Valley Green Energy Working Group. She can be contacted at [email protected].