Understanding deregulation in Massachusetts
The Massachusetts energy market became deregulated in 1997 with the Electric Industry Restructuring Act. In a deregulated market, energy companies in Massachusetts can compete for consumers’ business, and customers can choose from a pool of providers and rate and plan options. If you shop around and buy at the right time, you can secure big savings on your energy rates.
The delivery of electricity still falls to local utility companies. However, the idea behind deregulation is that increased competition will lead to lower energy rates. The Federal Energy Regulatory Commission (FERC) still regulates the supply of electricity at a federal level. Local commissions such as the Massachusetts Department of Public Utilities handle customer complaints to ensure utility companies and providers are held accountable.