What’s The Best Electric Plan Term Length Right Now?

img alt : Price uncertainty in MA's energy markets makes choosing the best electric plan term length tricky. We can help.

Choose Best Electric Plan Term Length

Choosing the best electric plan is hard. Given price uncertainty in energy markets, it's tougher than ever.
Given price uncertainty, it’s tougher than ever to figure what’s the best electric plan term length for your needs right now. Let us help you sort that all out.

Shopping for better electricity rates isn’t easy. Especially when you come across so many different plan term lengths. But with some easy predictions, you can choose the cheapest electric plans for you. Let’s talk about what the best electric plan term length is right now.

Why Consider Term Lengths?

Fixed-rate electricity plan term lengths come in two flavors: short-term and long-term.

Short-term plans last for less than 12 months and are best when avoiding shorter periods of higher utility basic service rates. They are also perfect for trying out electricity providers to see if you like their customer service and benefits.

Long-term rates last for 12 or longer. And they are best if they offer benefits that you can take advantage of, such as shopping and dining discounts, or year-end cash-back deals.

How To Shop Electric Plans

Next, you’ll want to consider rates when you shop for the best plans in MA. Start by checking out your local utility basic service rates. These rates change every six months, with winter rates usually being slightly higher. You can then use these prices and your average monthly electricity usage to estimate expected supply charges.

For instance, National Grid’s fixed-rates are set to rise to 33.891 cents per kilowatt-hour (kWh) from November 1 – April 30, 2023. Which is a 300% rise from current rates. Eversource basic service rates rose to 15.348 cents per kWh this past July.

According to this EIA monthly bill report, MA customers use an average of 602 kWh of electricity per month. Which means after July monthly supply charges rose to about $204 for National Grid customers and $92 for Eversource customers.

We don’t yet know what next year’s summer basic service rates will be. So right now, cheaper 6 month fixed-rate plans are the best option. In fact, there is an attractive option that’s worth checking out.

Best 6-Month Electric Plan

NRG Home is offering their 6-Month Electric Choice Plan. This plan charges 20.90 cents per kWh. This means an average monthly charge of about $125, which is about 38% better than National Grid’s upcoming rate. In addition, NRG Home customers can receive $50 cash-back after 2 months of service. Which is just in time for holiday shopping if you switch before October. Best of all, this plan has no termination fee, which means you can cancel or switch for better savings.

This is definitely going to save National Grid customers money. Eversource customers, on the other hand, may want to keep the utility’s basic service rates for the time being. In either case, keep an eye out for possible cheaper rates during the next few months.

Shop The Best Electric Plan

Shopping for the best electric plans isn’t always easy. But if you keep certain tips in mind, you can keep paying the cheapest prices available and save yourself some money. But for now, consider checking out NRG Home’s 6-month plans to save you money during this coming cold and pricey winter.

You can learn more about other ways of saving money and energy by comparing rates and plans at https://www.maenergyratings.com.

Leave a Reply

Your email address will not be published. Required fields are marked *