Beatrice Lang
Nantucket's electricity is supplied by National Grid, which laid a 36MW transmission cable in 1996, connecting the island to Cape Cod's power grid. Due to increasing demand, a second 38MW cable was installed in 2006, with a backup generator system in place in case of peak loading or service interruptions. While National Grid is the primary electricity provider, Nantucket PowerChoice offers an alternative with long-term pricing. The Town of Nantucket has also demonstrated a commitment to energy efficiency and sustainability by establishing an Energy Office and pursuing initiatives to reduce energy consumption and promote renewable energy sources.
| Characteristics | Values |
|---|---|
| Electricity Supplier | First Point Power |
| Electricity Utility | National Grid |
| Electricity Bill | National Grid |
| Electricity Bill Payment | National Grid |
| Low-Income Discount or Fuel Assistance | National Grid |
| Bill Credits or Incentive Payments from Solar Panels | National Grid |
| Electricity Provider | National Grid |
| Electricity Territory | Nantucket Electric |
| Energy Sources | Steam Engines, Diesel Generators, Undersea Cables |
| Energy Office | Town of Nantucket Energy Office |
| Energy Sources | Liquid Fuels, Diesel, Gasoline, Propane, Aviation Fuel |
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What You'll Learn
Nantucket's electricity is supplied by undersea cables
Nantucket's electricity is supplied by two undersea cables, which were installed in 1996 and 2006, respectively. The first cable, installed by National Grid, runs from Nantucket to Harwich on Cape Cod and has a capacity of 36 megawatts. The second cable, also installed by National Grid, connects the island's substation on Candle Street to Kalmus Beach in Hyannis and has a capacity of 38 megawatts. These cables are owned and operated by National Grid, while the power supplied to them is provided by Eversource.
The demand for electricity on Nantucket has been growing, particularly during the peak tourism months of July and August, when usage peaks from 5-10 pm. In 2024, one of the two undersea cables providing electricity to Nantucket experienced an outage, highlighting the vulnerability of the island's electricity supply. While the remaining cable and the island's backup generator/battery storage system were sufficient to cover the electricity demand during the off-peak season, there were concerns about the upcoming surge in demand around Memorial Day Weekend.
National Grid, the electric utility company for Nantucket, offers seasonal pricing and initiatives to empower the community to reduce peak energy use. Nantucket PowerChoice, on the other hand, offers long-term pricing and is integrated into the existing National Grid electric bill without any additional charges. The Town of Nantucket has also taken steps towards energy efficiency and conservation by establishing an Energy Office and participating in the Massachusetts Green Community Designation and Grant Program.
The Town of Nantucket is committed to reducing its energy use and promoting renewable energy sources. It has implemented programs such as the Solar PV rebate program and explored options like the abandoned airport solar project. The town has also partnered with National Grid to offer recycling events and incentives for reducing electric use during periods of high demand. These efforts aim to address the challenges of supplying electricity to a remote island and promote environmentally responsible practices.
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Nantucket PowerChoice offers long-term prices
Nantucket, an island with a rich history in energy production, has faced challenges in meeting the growing electricity demands of its residents and tourists. In response, the Town of Nantucket sought innovative solutions, such as establishing the Nantucket Energy Office and introducing the Nantucket PowerChoice program.
Nantucket PowerChoice, the town's electricity aggregation program, offers long-term price stability and cost savings to the community. The program was unanimously approved at the 2016 Annual Town Meeting to address the issue of high electricity prices and protect residents from volatile seasonal price fluctuations. By selecting First Point Power as the electricity supplier, Nantucket PowerChoice has secured locked-in long-term pricing for electricity supply, providing budget predictability for Nantucket residents.
The current Nantucket PowerChoice contract ends in November 2024, with a new 24-month contract commencing. While prices will increase to account for shifts in market conditions and regulatory costs, they remain highly competitive and lower than National Grid's rates. As of October 2024, the PowerChoice Standard rate is set at 13.967 cents per kilowatt-hour, 13% lower than National Grid's residential price. The PowerChoice Green option, offering 100% renewable energy, is available at a fixed rate of 16.847 cents per kilowatt-hour until November 2026.
Nantucket PowerChoice is seamlessly integrated into residents' existing National Grid electric bills, with no additional charges or separate bills. National Grid continues to handle billing, power outages, and electricity delivery, ensuring uninterrupted service. The program also enhances the island's sustainability by investing in local renewable energy initiatives, such as the Nantucket Local SOLAR Rebate Program, which provides incentives for solar installations, and supporting clean energy projects like the Nantucket High School wind turbine.
In conclusion, Nantucket PowerChoice offers long-term price stability, cost savings, and a commitment to sustainability for the Nantucket community. By securing locked-in rates and investing in renewable energy, the program provides a reliable and environmentally conscious electricity solution for the town, contributing to its goal of energy efficiency and independence.
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National Grid is leading an initiative to reduce peak energy use
National Grid offers incentives to homeowners, renters, and small businesses through its ConnectedSolutions program. This program encourages the use of connected devices to reduce electric use during periods of high energy demand. By enrolling qualifying devices, participants can automate their energy use and make small, temporary adjustments during peak demand days, earning incentives and helping to reduce stress on the grid.
The company has also partnered with the Town of Nantucket to offer recycling events, providing pick-up and recycling services for old refrigerators, freezers, and dehumidifiers. These initiatives not only help to save energy and reduce costs but also protect the environment.
Additionally, National Grid has a broader commitment to net-zero goals, aiming to reduce energy consumption in its company facilities and increase energy efficiency. By 2030, they plan to reduce energy consumption in their company facilities by 20% from a 2019 baseline. They have also successfully reduced their Scope 1 and 2 greenhouse gas emissions by 67% from their 1990 baseline and are partnering with the Science Based Target initiative (SBTi) to set targets for addressing global climate change.
National Grid's initiatives demonstrate their efforts to lead the transition to a clean and sustainable energy future, ensuring energy equity and affordability for all their customers.
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Nantucket has some of the highest electricity prices in the US
Nantucket, a remote spit of sand resting dozens of miles out to sea, has some of the highest electricity prices in the US. The island's isolation has long shaped its history and energy usage. The town of Nantucket, the largest single consumer of energy on the island, spends nearly $3 million on liquid fuels and electricity.
The demand for electricity in Nantucket has been increasing, with a 12.5% increase between 2012 and 2013, and it continues to grow more than five times the Massachusetts state average. This has led to concerns about the need for additional infrastructure, such as a third undersea transmission cable, which could be costly for ratepayers. To address the growing demand, National Grid, the island's sole electric utility, offers long-term prices through Nantucket PowerChoice, while its own prices change seasonally.
The high electricity prices in Nantucket are attributed to several factors. Firstly, the island's isolation results in logistical challenges for supplying energy. All liquid fuels, such as diesel, gasoline, and propane, must be transported to the island via barges or tanker trucks, which incurs additional costs. Secondly, the frequent tourism on the island contributes to the high demand for electricity, particularly during peak tourism months.
To mitigate the impact of high electricity prices, the Town of Nantucket has implemented various initiatives. They offer recycling events and incentives for reducing energy use during periods of high demand. Additionally, the town established an Energy Office in 2011 to identify and implement energy efficiency, conservation, and renewable energy programs. Despite these efforts, Nantucket residents continue to face high electricity prices, paying around $0.18 per kWh, which is significantly higher than the national average.
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Nantucket's energy office works to implement energy efficiency
The Town of Nantucket Energy Office was established in 2011 with the help of a grant from reMain Nantucket, a local philanthropic organisation. The office was set up to assist the town in identifying and implementing energy efficiency, conservation, and renewable energy programs that are economically and environmentally sustainable, and socially beneficial.
The creation of the Energy Office was prompted by the town's strict hiring freeze since 2008, and the need to address energy issues. With funding from reMain Nantucket, the office hired two part-time consultants for fiscal years 2011-2014: Senior Technical Advisor George Aronson and Energy Project and Outreach Coordinator, Lauren Sinatra. In 2014, the office secured a grant from the Massachusetts Department of Energy Resources (DOER) Green Communities Division to fund a full-time Energy Coordinator for 2015 and 2016, ensuring the office's long-term future.
The Energy Office has produced an energy-efficiency brochure with over 100 tips to save energy in all areas of the home, from heating and cooling to lighting and cooking. The brochure also outlines ways to improve a home's comfort and convenience while protecting the environment through reduced energy consumption. The office also offers a home energy assessment service, helping residents to understand their baseline energy consumption, identify areas of waste, and set energy efficiency goals.
Additionally, the office has partnered with National Grid to offer recycling events for old refrigerators, freezers, and dehumidifiers, providing incentives to residents to save energy and money, and protect the environment. The office also works with National Grid on its "Non-Wires Alternative" project, aiming to reduce the island's summer peak load to defer future infrastructure investments, which have historically been paid for by Nantucket ratepayers.
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Frequently asked questions
National Grid supplies electricity to Nantucket.
No, Nantucket does not generate its own electricity. In 1996, National Grid laid a 36MW transmission cable, connecting Nantucket to the Cape Cod power grid. A second 38MW cable was laid in 2006 to meet the growing demand.
Yes, Nantucket PowerChoice is an alternative electricity supplier in Nantucket. It offers long-term prices and has selected First Point Power as its electricity supplier. However, National Grid remains Nantucket's electric utility for billing, power outages, and electricity delivery.
The downtime of one of the two undersea cables can lead to power outages on the island. In April 2024, one of the cables experienced an issue, resulting in a brief power outage. The remaining cable and the island's backup generator were sufficient to cover the electricity demand at the time, but there were concerns about the upcoming surge in demand.
