Electric Rates In Boston: Understanding The Costs

what is the electric rate in boston

The average electricity rate in Boston, Massachusetts, is 28.18–33 cents per kilowatt-hour (kWh), with commercial rates typically cheaper than residential rates. Boston's electricity rates are higher than the national average, and rates vary depending on the season, time of day, and electricity provider. Boston's Community Choice Electricity (BCCE) program offers residents and businesses access to affordable, clean energy, with rates that are often lower than those of other suppliers.

Characteristics Values
Average electricity rate 33 ¢/kWh (or 34 ¢/kWh according to some sources)
Average electricity rate range 11.57 ¢/kWh–98.84 ¢/kWh
Average monthly consumption 544 kWh–951 kWh
Average monthly bill $153.34–$311
Average yearly consumption 11,412 kWh
Average yearly bill $2,475–$3,732
Cost over 25 years $216,400
Boston's Community Choice Electricity (BCCE) default rate 39% renewable energy
BCCE Standard rate $0.17251/kWh
Eversource Basic Service Residential rate $0.17251/kWh
Eversource Small Business rate $0.17587/kWh

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Boston's electricity rates compared to the rest of Massachusetts

The average electricity rate in Boston, Massachusetts, is 28.18 cents per kilowatt-hour (kWh) as of May 2025. This is an increase from December 2024, when the average rate was 30.5 cents per kWh, and December 2023, when it was 28.5 cents per kWh. Boston's electricity rates vary, ranging from 11.57 cents to 98.84 cents per kWh.

When compared to the rest of Massachusetts, Boston's electricity rates are slightly higher. The average electricity rate in Massachusetts is 32.32 cents per kWh, about 1% higher than Boston's average. Boston's rates are also higher than the national average, which is around 20 cents per kWh.

Boston's electricity market is deregulated, allowing residents to choose their electricity supplier. The city has 31 electricity providers, giving residents the flexibility to shop around for the best rates and plans. The city's Community Choice Electricity (BCCE) program offers competitive rates and has helped residents save money while supporting the city's carbon neutrality goals.

Commercial rates in Boston are typically cheaper than residential rates because businesses consume more energy and receive volume discounts. The average business in Boston pays 21.64 cents per kWh, while the average residential rate is 33 cents per kWh. However, electricity rates in Boston can vary depending on home size and usage.

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Boston's electricity rates compared to the national average

Boston's electricity rates are higher than the national average. In May 2025, the average Boston electricity rate was 28.18 cents per kilowatt-hour (kWh), while the national average was around 20 cents per kWh. This represents a 66% increase over the national average.

Electricity rates in Boston have historically been higher than the national average. For instance, in December 2023, electricity costs in Boston were 28.5 cents per kWh, 68.6% above the national average of 16.9 cents. Over the past five years, Boston area electricity prices in December have exceeded the national average by at least 59%.

The Boston-Cambridge-Newton, MA-NH Core Based Statistical Area covered in this release comprises Essex, Middlesex, Norfolk, Plymouth, and Suffolk Counties in Massachusetts and Rockingham and Strafford Counties in New Hampshire.

Boston's electricity rates are also higher than the average rate in Massachusetts. The average residential electricity rate in Boston, MA, is 33 ¢/kWh, which is 1% higher than the Massachusetts average of 32.32 ¢/kWh.

Boston's Community Choice Electricity (BCCE) program has helped residents and business owners access affordable, clean energy while supporting the city's carbon neutrality goals. The BCCE Standard (default) product includes 39% renewable energy content, which is 15% more than the state's required renewable portfolio standard. The BCCE program offers three options for electricity supply: Optional Basic, Standard (default), and Optional Green 100, with renewable energy content ranging from 24% to 100%.

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Boston's Community Choice Electricity (BCCE) program

The BCCE program offers three options for electricity supply: Optional Basic, Standard (default), and Optional Green 100. These plans include between 24% and 100% local, renewable energy, and customers can choose the option that best suits their needs. The city has also committed to increasing the renewable energy content in the BCCE Standard (default) product by 15% beyond the state's required renewable portfolio standard, resulting in a total renewable energy content of 39% in the default product.

The BCCE program has been successful in helping Boston residents and business owners access affordable, clean energy while supporting the city's carbon neutrality goals. In the first six months of 2023, Boston residents on BCCE saved nearly $60 million, with an average household savings of $340 compared to Eversource Basic Service. The BCCE Standard rates have consistently been lower than Eversource Basic Rates since the program's inception in 2021.

The BCCE program also provides greater control to Bostonians over the electricity that powers their lives. Eversource continues to handle electricity delivery, customer billing and service, meter reads, and power outages for BCCE customers. The program is designed to protect residents against energy scams and provide access to clean, renewable energy for all.

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How to save money on electricity in Boston

The City of Boston has several resources to help residents and small businesses save money on their electricity bills. Here are some ways to reduce your electricity expenses:

Boston Community Choice Electricity (BCCE)

The BCCE is a City-run program that offers residents and small business owners three options for electricity pricing and renewable energy: Optional Basic, Standard (default), and Optional Green 100. These plans include between 24% and 100% local renewable energy, and customers can choose the option that best suits their needs. The BCCE rates are often lower than those of Eversource, a utility company. For example, in 2023, Boston residents on BCCE saved an average of $340 compared to Eversource Basic Service. Additionally, BCCE's default and Green100 rates offer more renewable energy at a lower cost than Eversource's Basic Service Rate.

Mass Save

Once you've switched your electricity supply to BCCE, you can sign up for a free Mass Save energy assessment for your home or business. Mass Save provides no-cost and discounted options to help you reduce your energy consumption and ensure you're getting the most value from the energy you pay for.

Seniors Save

If you're over 60, you can apply for the Boston Home Center's Seniors Save program, which assists seniors in replacing failing heating systems to prepare for winter. The City offers both financial assistance and contractor help.

Eversource Assistance Programs and Repayment Plans

If you're an Eversource customer, you may be eligible for their assistance programs and repayment plans. These include Budget Billing, which allows you to divide your yearly cost into 12 equal monthly payments, and a Discount Rate for income-eligible and benefit-receiving residents.

National Grid Assistance Programs and Repayment Plans

National Grid, another utility company, also offers assistance and repayment plans. Similarly, they provide Budget Billing, and they have a Payment Plan option if you're unable to pay your bill on time.

By taking advantage of these programs and making informed choices about your electricity supply, you can significantly reduce your electricity expenses in Boston.

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Commercial electricity rates in Boston

The average commercial electricity rate in Boston is 13.84¢/kWh, which is 37.17% greater than the national average rate of 10.09¢/kWh. Commercial electricity consumption in Boston averages 3,794 kWh/month, which is 39.18% less than the national average. The average monthly commercial electricity bill in Boston is $525, which is 16.53% less than the national average of $629.

The City of Boston has announced new electricity rates through its Community Choice Electricity (BCCE) program, which offers more renewable energy at a lower cost than Eversource's Basic Service Rate. The BCCE program includes three options for electricity supply: Optional Basic, Standard (default), and Optional Green 100. These plans include between 24% and 100% local, renewable energy, and customers can choose the rate and renewable energy portfolio that best suits their needs. The BCCE Standard rates have always been lower than Eversource Basic Rates, and the city has committed to increasing the renewable energy content in the BCCE's Standard (default) product by an additional 15% beyond the state's required renewable portfolio standard.

Since its inception in 2021, the BCCE program has helped Boston residents and business owners access affordable, clean energy while supporting the city's carbon neutrality goals. In the first six months of 2023, Boston residents on BCCE saved nearly $60 million, with an average household savings of $340 compared to Eversource Basic Service. The average resident using 600 kilowatt-hours of electricity per month on the BCCE Standard option is expected to save nearly $15 per month compared to the Eversource Basic Service Residential rate ($0.17251/kWh). Eversource has also filed its proposed Small Business rate ($0.17587/kWh) with the Massachusetts Department of Public Utilities, which will be effective from January 1, 2024, to July 31, 2024.

It is worth noting that some Boston businesses are enrolled in contracts with third-party suppliers, whose rates can be significantly higher than BCCE. Commercial electricity rates in the US range from 6.86¢/kWh to 34.88¢/kWh, and rates can vary depending on the region, the type of power plants providing electricity, and the time of day or year.

Frequently asked questions

The average electric rate in Boston, Massachusetts, is 33 cents per kilowatt-hour (kWh) or 28.18 cents per kWh. The average electric bill for residential customers is $311/month, calculated by multiplying the average monthly consumption of 951 kWh by the average rate of 33 ¢/kWh.

The residential electricity rate in Boston is 66% higher than the national average of 20 ¢/kWh. It is also 1% higher than the average electricity rate in Massachusetts of 32.32 ¢/kWh.

Boston has a deregulated electricity market, which means that residents can shop around for a cheaper electricity bill. The best plan for you will depend on how much power you use and when you use it. Eversource and Direct Energy are two popular electricity suppliers in Boston.

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