Program implementation process
Implementing a municipal electricity aggregation program like Ludlow Power Choice is a regulated process that is overseen by the Massachusetts Department of Public Utilities (DPU). The implementation process can take as long as a year to complete, because the regulatory review and approval process typically requires many months. The list below includes key milestones in the program implementation process.
1. Public vote |
Ludlow had to vote publicly to pursue aggregation.
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2. Public review and comment |
To obtain the necessary regulatory approval to launch Ludlow Power Choice, the Town must first create an Aggregation Plan and make it available for public review and comment. The Aggregation Plan is a high-level authorization document that lays out the program structure and demonstrates how Ludlow will meet regulatory requirements.
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3. Regulatory review and approval |
Ludlow must submit its Aggregation Plan to the Massachusetts Department of Energy Resources (DOER) for review and then to the Massachusetts Department of Public Utilities (DPU) for approval before the program can launch. This regulatory review process typically takes many months and can take as long as a year to complete. |
4. Choosing an electricity supplier and signing an electricity supply contract |
Once the regulatory review process is complete and Ludlow’s Aggregation Plan has received approval from the DPU, Ludlow will implement a public procurement process to select and sign a contract with an electricity supplier. During this process, program details will be finalized, including the amount of renewable energy in any program options and the price for each option. |
5. Public notification and education |
After the electricity supply contract is signed, Ludlow will conduct a public education effort to inform the community about program details like price and renewable energy. This effort will include public information sessions. In addition, a formal notification letter will be sent from the Town to each electricity account holder who is eligible for automatic enrollment in the program. The letter will include information about program options and prices and how to opt out if you do not want to participate. |
6. Program launch |
At the conclusion of the public education effort, Ludlow Power Choice will launch. Any account on Eversource’s Basic Service will be automatically enrolled in the program, unless they choose to opt out. (Automatic enrollment is state law.) Any electricity customer who has a private electricity supply contract at this time will not be automatically enrolled but will be able to enroll quickly and easily if they wish. Ludlow is targeting 2024 for program launch, depending on the duration of the state regulatory review and approval process. |