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Boston, Massachusetts Local News

Poll shows support for expanding retail energy

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BOSTON — Backers of retail energy suppliers are touting a new poll suggesting that the state’s consumers support the expansion of the competitive market and oppose efforts to shut down the industry.

The poll released by NRG Home, a retail energy supplier, found 62% of voters oppose eliminating the competitive supply market “when they learn the big utilities would be the only option for buying electricity” while 27% favor eliminating the market.

At least 82% of current and former customers gave “positive ratings” to their experience with retail electricity suppliers, pollsters said.

“Voters have been consistent on this issue,” said Chris Anderson, president of Beacon Research, Inc., which conducted the poll of 756 voters. “They clearly support maintaining competition in the electricity market, and those views only strengthen as they learn more about the issue.” 

Anderson said the poll results show that “voters want to ensure they maintain the ability to choose more affordable, innovative, or renewable options and prevent monopoly control by the utilities.”

The energy group also released a series of “testimonials” along with the poll results featuring Massachusetts consumers talking about the benefits of switching to the competitive market.

The survey comes amid increasing scrutiny of the competitive electric supply industry on Beacon Hill, where state lawmakers are considering a proposal that would effectively shut it down.

The Senate approved a bill last month that would ban retail energy suppliers from signing up new customers, among other proposed changes.

Critics say the companies use high-pressure tactics and deceptive door-to-door marketing to dupe largely poor and elderly consumers into switching to a new supplier, which ends up charging them more for electricity or natural gas.

Attorney General Andrea Campbell is among those pushing to ban or restrict the retail energy market, arguing that many of the companies are scamming consumers.

A recent report released by Campbell’s office said between 2015 and 2021 roughly 430,000 residential customers who purchased electricity from retail suppliers, other than regional or local utilities, paid an average of $231 more a year than they would have paid if they had kept their old service.

Industry groups have criticized the AG’s report, saying it fails to consider “value-added aspects” of retail energy plans, such as renewable energy, flat-rate bills, and free products with enrollment such as electric vehicle chargers and smart home thermostats.

Retail energy suppliers started popping up in the late 1990s after the state deregulated the electricity market.

Independent suppliers say deregulation gives consumers more choices in an energy market dominated by regional utilities like National Grid and Eversource, which have increased their rates in recent years.

Statewide, an estimated 500,000 residents buy electricity in the competitive market from an estimated 200 suppliers operating in the state, according to industry data.

Many other companies are seeking to enter the competitive retail electricity market with requests pending before state regulators.

Christian M. Wade covers the Massachusetts Statehouse for North of Boston Media Group’s newspapers and websites. Email him at cwade@cnhinews.com.

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By Christian M. Wade | Statehouse Reporter

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