Chelsea Electricity Choice is a municipal electricity aggregation, which is a form of group electricity purchasing.
Typically, your electric utility, Eversource, provides two sets of services to you:
In Massachusetts, there are actually three ways to purchase your electricity:
Municipal electricity aggregation was enabled by the Massachusetts Restructuring Act of 1997 (Chapter 164, Section 134), which allows local municipal governments to aggregate the electricity supply loads of the electricity consumers within their geographic boundaries in order to negotiate more favorable terms with an electricity supplier.
Municipal aggregations are subject to oversight by the Massachusetts Department of Public Utilities, and Chelsea’s aggregation plan was subject to a regulatory review and approval process before the City was authorized to implement the program. (Learn more about Chelsea’s implementation process.)
More than 170 Massachusetts communities have approved electricity aggregations.
Chelsea Electricity Choice is a City alternative to Eversource’s Basic Service. It is also a transparent alternative to other electricity offers, but without the high pressure or fees of those other offers.
Through Chelsea Electricity Choice, the City hopes to provide residents and businesses with access to electricity prices that are more stable than Eversource’s Basic Service prices and that have the potential to provide some savings. Chelsea Electricity Choice prices will be stable until June 2026 and will not change seasonally, unlike Eversource’s Basic Service prices which change every 6 months or less. In addition, at launch, all Chelsea Electricity Choice prices are lower than Eversource’s current residential Basic Service price. However, Chelsea Electricity Choice cannot guarantee future savings. This is because Eversource’s prices change and their future prices are not known. Further, it is normal for aggregation programs like Chelsea Electricity Choice to have a price that is lower than Eversource’s at some times but higher at other times. The aim is to provide some savings when compared with the average of Eversource’s changing prices.
Chelsea Electricity Choice also makes it easy to buy more of your electricity from renewable sources like the sun and the wind. If you choose the Chelsea Standard option, 75% of your electricity will come from renewable sources. If you choose the Chelsea 100% Green option, 100% of your electricity will come from renewable sources.
Chelsea Electricity Choice provides three key benefits to participants:
No. Municipal electricity aggregation has been building momentum across Massachusetts. Chelsea is joining more than 170 other Massachusetts communities that already have approved aggregations.
You will see two changes on your electric bill as a result of participating in Chelsea Electricity Choice:
Additionally:
Otherwise, everything else will remain the same. You will continue to receive your electric bill from Eversource, you will continue to pay Eversource, and you will continue to call Eversource if your power goes out.
If you are eligible for any discounts from Eversource, such as a low-income discount or fuel assistance, those discounts will be unaffected by your participation in Chelsea Electricity Choice.
All communications about Chelsea Electricity Choice will include the Chelsea City Seal. If you do not see the City Seal, the communication is not from the City of Chelsea and is likely from an independent company.
Please note: Eversource, the City of Chelsea, and Chelsea Electricity Choice do NOT make sales calls or visits to your home. If you receive a call or a visit, the person does NOT represent Eversource, the City of Chelsea, or Chelsea Electricity Choice.
If you want to confirm whether you have received a legitimate City communication, you can contact customer support with Chelsea’s program consultants.
If you receive a call or a visit from someone who wants to discuss your electricity, keep these two things in mind:
If you feel a salesperson has fraudulently identified themselves as working for Eversource or the City, please report it to the Department of Public Utilities Consumer Division at 617-737-2836, or DPUConsumer.Complaints@mass.gov.
The City of Chelsea has signed a contract with Direct Energy to supply electricity to Chelsea Electricity Choice participants through June 2026. The City intends to sign a new electricity supply contract at that point, which would extend the program for the duration of that contract. However, if the City decides the program is not beneficial to the community, it is free to cancel the program at the end of the supply contract and return all participants to Eversource’s Basic Service. In either scenario, program participants will receive advance notification from the City, and the transition will be seamless.
Call Eversource if your power goes out, as always. Eversource will continue to deliver your electricity and maintain the poles and wires, and remains responsible for addressing power outages.
Yes. If you are participating in community solar or have solar panels on your property, you will continue to receive net metering credits, receive incentive payments, or make solar power purchase payments as a participant in Chelsea Electricity Choice.
Further, there will be no change in how they are calculated. Their calculation is not connected to your electricity supply price.
However, you could see a benefit. If your electricity Supply charge is lower because the Chelsea Electricity Choice price is lower than Eversource’s Basic Service price, the credits or incentive payments could go further in offsetting that charge.
Please note, however, that because Eversource’s Basic Service prices change and their future prices are not known, savings compared with Eversource can never be guaranteed.
Tax-exempt accounts that wish to maintain their tax-exempt status in Chelsea Electricity Choice must submit tax-exemption documentation to the program’s electricity supplier.
This means that tax-exemption documentation must be submitted each time the program’s electricity supplier changes.
The program’s electricity supplier is required by the State of Massachusetts to have valid tax-exemption documentation on hand for all tax-exempt accounts.
You may have submitted tax-exemption documentation to Eversource already, but Eversource does not share this documentation with the program’s electricity supplier. It is the customer’s responsibility to submit this documentation.
| Eversource’s Basic Service | Chelsea Electricity Choice | Other electricity supply offers | |
| On the bill you’ll see: | Basic Service Fixed | Chelsea Electricity Choice – Direct Energy | Anything else |
| Price change frequency: | Every 6 months for residential and small business. More frequently for large business. | Rarely. Chelsea signs long-term electricity supply contracts. Current prices are fixed through June 2026. | While some offer fixed prices, many offer a low introductory price followed by a sharp increase and monthly changes. |
| Exit fee? | No. Leave any time, no fee or penalty. | No. Leave any time, no fee or penalty. | Early termination fees often apply. |
| Renewable energy: | Just the minimum required by Massachusetts law. | Includes additional renewable energy from New England for both Chelsea Standard Green and Chelsea 100% Green. | If they offer renewable energy, it is often renewable energy from outside New England. |
Most electricity accounts in Chelsea will be automatically enrolled when the program launches in June.
Specifically, electricity accounts on Eversource’s Basic Service will be automatically enrolled, unless they opt out. The automatic enrollment model is state law for all programs like Chelsea Electricity Choice. If your account is eligible for automatic enrollment, you will receive a notice in the mail from the City.
If you have a private contract with an electricity supplier at the time the program launches or you opened your account very recently, your account will not be automatically enrolled, but you can request enrollment online or by contacting customer support with Chelsea’s program consultants. Please be aware that private electricity supply contracts may include early termination fees, so you should carefully review your current contract terms and conditions before making that decision.
All metered electricity customers within the geographic boundaries of Chelsea are eligible to participate. Chelsea electricity customers with Eversource’s Basic Service (meaning those who have not signed a private contract with an electricity supplier) are eligible for automatic enrollment. The automatic enrollment model is state law.
While the program has an automatic enrollment model in accordance with state law, participation is never required. There is no penalty for opting out. You may do so at any time.
If you opt out, the Supply portion of your Eversource electric bill will remain on Eversource’s Basic Service price.
Yes, however if you opt out of the program and want to re-enroll, there’s a possibility that you will be charged a market price instead of the program price. You’ll just want to ask at the time you re-enroll. If the program’s electricity supplier decides to charge market pricing, you will be notified before enrollment and can decide then whether to continue with enrollment or not.
Large commercial accounts may be eligible for higher market pricing instead of program pricing when they request initial enrollment in the program. If you are interested in submitting an enrollment request for your large commercial account, please contact customer support.
If you have signed an electricity supply contract with a competitive supplier, you are welcome to participate in Chelsea Electricity Choice, but you will not be automatically enrolled.
You may request enrollment online or by contacting customer support.
We recommend that you carefully check the terms and conditions of your supplier agreement. Your ability to terminate your agreement with your supplier may be restricted.
Important note: For any customer who previously opted out of or left the program and wishes to re-enroll, the program’s electricity supplier is entitled to charge a market price instead of the program price for the remainder of the current electricity supply contract. If the program’s electricity supplier decides to charge market pricing, you will be notified before enrollment and can decide then whether to continue with enrollment or not.
To choose the Chelsea Standard or Chelsea 100% Green option, complete the online form or contact customer support.
Chelsea Electricity Choice offers savings when compared with Eversource’s residential Basic Service price at launch. An average residential customer using 400 kWh each month will save almost $20/month by participating in the program.
However, Chelsea Electricity Choice cannot guarantee savings in the future because Eversource’s prices will change, and their future prices are not known.
The aim of Chelsea Electricity Choice is to provide some savings when compared with the average of Eversource’s changing prices, not to provide savings each season, and it is normal for electricity aggregation programs like Chelsea Electricity Choice to have a price that is lower than Eversource’s price at some times but higher at other times.
Program prices are available on the Options and Prices page.
Yes. If you are an Eversource Basic Service customer and eligible for automatic enrollment in Chelsea Electricity Choice, you will receive a notice in the mail with program information, including pricing, before you are enrolled.
Having a stable price for the Supply portion of your electric bill can protect you from the seasonal price increases that occur when you have Eversource’s Basic Service price. When you have Eversource’s Basic Service, the price that is used to calculate the Supply portion of your electric bill changes every 6 months for residential and small business accounts and every 3 months for large business accounts, often rising in the winter. Those seasonal changes will not occur with Chelsea’s long-term fixed prices.
Having a stable price for the Supply portion of your electric bill can also provide a predictable alternative to the variable prices of some electricity supply offers in the marketplace. Some electricity supply offers will provide a stable price for a few months, but then the price will vary monthly and will rise significantly. Chelsea Electricity Choice prices will not change until June 2026.
The Chelsea Electricity Choice price is a long-term, fixed price, while Eversource’s Basic Service price changes seasonally. It is normal in programs like Chelsea Electricity Choice to have a price that is lower than Eversource’s price at some times but higher at other times. Chelsea Electricity Choice cannot guarantee that it will beat Eversource’s Basic Service price at all times. The program aims to match or beat the average of the changing Eversource prices, although there is no guarantee that it will do so.
Remember that you are free to leave the program at any time and return to Eversource’s Basic Service without a penalty or fee.
No. Eversource will continue to bill you for your electricity. This is the only electric bill you will receive as a participant in Chelsea Electricity Choice. The program will be integrated into your existing electric bill. See where the program will appear on your Eversource bill.
You will see two changes on your electric bill as a result of participating in Chelsea Electricity Choice:
Yes. When you participate in Chelsea Electricity Choice, Eversource’s Budget Billing will apply only to the Delivery charge portion of your bill. It will no longer apply to the Supply charge portion of your bill.
If it is important to have Budget Billing apply to your whole bill, you should opt out of Chelsea Electricity Choice.
Yes. If you are eligible for any discount from Eversource or fuel assistance, you will continue to receive that benefit with no change as a participant in Chelsea Electricity Choice.
If you have signed an electricity supply contract with another supplier, you are welcome to participate in Chelsea Electricity Choice, but you will not be automatically enrolled.
You may request enrollment online or by calling customer support with Chelsea’s program consultants at 1-833-393-5675.
We recommend that you carefully check the terms and conditions of your supplier agreement. Your ability to terminate your agreement with your supplier may be restricted.
Important note: For any customer who previously opted out of or left the program and wishes to re-enroll, the program’s electricity supplier is entitled to charge a market price instead of the program price for the remainder of the current electricity supply contract. If the program’s electricity supplier decides to charge market pricing, you will be notified before enrollment and can decide then whether to continue with enrollment or not.
In Massachusetts, an electric utility like Eversource is fundamentally an electricity delivery company. Eversource does not generate electricity for you. They are responsible for delivering electricity to you, for maintaining the poles and wires, and for addressing power outages. They charge you for these services on the Delivery portion of your electric bill.
An electricity supplier is a company that buys electricity for you.
Electricity service has two parts: supply and delivery. Supply refers to the electricity itself. Delivery is the process of bringing that electricity to you over the wires.
With Basic Service, your electric utility (Eversource) is your electricity supplier and also delivers the electricity to you.
With Chelsea Electricity Choice, Eversource continues to deliver your electricity, but Chelsea chooses its own electricity supplier.
A competitive electricity supplier is not your electric utility. Electricity suppliers do not deliver your electricity. They buy it for you, and your electric utility delivers it.
A competitive electricity supplier is a company licensed by the Massachusetts Department of Public Utilities to purchase electricity and related services from the wholesale electricity markets for resale to retail electricity customers.
If you sign a private contract with an electricity supplier or you participate in a municipal program like Chelsea Electricity Choice, your electric utility (Eversource in Chelsea) will use your electricity supplier’s price to calculate the Supply charge on your electric bill instead of their own Basic Service price.
No. Eversource remains the electric utility for Chelsea and will continue to deliver your electricity, and your primary relationship for electricity will remain with Eversource.
Chelsea Electricity Choice changes the price that Eversource uses to calculate the Supply charge portion of your electric bill, and it changes your electricity supplier to Chelsea Electricity Choice – Direct Energy.
No. Eversource’s quality of service to you will be unaffected by your participation in Chelsea Electricity Choice. Eversource does not profit from the Supply charge on your electric bill. They make their profit from Delivery charges. As a result, they have no preference whether they choose your supplier or Chelsea does.
No. If you are eligible for a low-income discount or fuel assistance from Eversource, you will continue to receive that benefit with no change as a participant in Chelsea Electricity Choice.
Renewable electricity is generated by sources that can be renewed as opposed to sources that can be used only once, such as fossil fuels.
Under Massachusetts state law, a variety of resources qualify as renewable. The main sources of renewable electricity are solar, wind, and small hydroelectric projects, which do not emit greenhouse gases or pollution.
Using electricity generated from renewable sources is an important step you can take to fight climate change and increase your independence from fossil fuels like gas, coal, and oil.
Electricity generated from renewable sources does not cause air pollution and does not emit the gases that cause climate change.
No. The electricity that flows into your home or business comes from the grid, which contains electricity generated from a mix of sources, some traditional and some renewable. It is not possible to separate out the portion that is from renewable sources and direct it to your home or business.
By enrolling in Chelsea Standard or Chelsea 100% Green, more of the electricity that is put onto the grid on your behalf is generated from renewable sources.
The minimum amount increases every year. For 2024, Massachusetts state law requires that 62% of your electricity comes from renewable or clean sources. Of that total:
For more information, visit the Massachusetts Department of Energy Resources page on compliance information for the Renewable Portfolio Standard.
Yes. For example, in 2022, programs like Chelsea Electricity Choice, known as municipal electricity aggregations, purchased more than 776,000 MA Class I RECs voluntarily.
This equates to 776,000 MWh (or 776,000,000 kWh) of energy generated from renewable sources, which is the amount of energy generated by 600 MW of solar PV or 200 MW of wind in one year.
This equals almost 2% of the total electricity used in the state. It means an additional almost 2% of the electricity used in the state was from renewable sources in 2022 because of programs like Chelsea Electricity Choice.
Buying more electricity from renewable sources helps to drive the development of new renewable energy projects in our region by creating demand for the energy they produce.
