Current Average Electricity Supply Rate in Massachusetts
Massachusetts consistently ranks among the most expensive states for electricity. As of September 2025, the average residential price is about 30.41¢ per kWh. This reflects both high supply costs and substantial delivery charges within the ISO‑New England system.
Recent Rate Trends
- June 2025: 29.5¢/kWh
- July 2025: 29.8¢/kWh
- August 2025: 30.1¢/kWh
Projected Rate Trends
- October 2025: 30.7¢/kWh
- November 2025: 31.0¢/kWh
- December 2025: 31.3¢/kWh
Where Massachusetts rates are today
At over 30¢ per kWh, Massachusetts electricity prices are nearly double the U.S. average. High wholesale costs in New England and rising delivery charges mean customers pay some of the highest bills in the country. Even with competitive suppliers, default service rates remain elevated.
Why Massachusetts rates have been the way they are
- ISO‑NE constraints: Limited local generation and transmission congestion in New England drive up wholesale prices, especially during peak demand.
- Natural gas dependency: Massachusetts relies heavily on natural gas for generation; volatility in gas prices feeds directly into power costs.
- Policy costs: Aggressive renewable portfolio standards, offshore wind contracts and energy‑efficiency programs add surcharges to supply rates.
- Distribution expenses: Urban infrastructure upgrades and storm‑hardening investments raise delivery charges that are included in the all‑in price.
Where Massachusetts rates are going in the next 3 months
Looking forward to winter 2025‑26, Massachusetts electricity rates are expected to climb modestly—roughly 1‑3%. Upcoming default service resets and persistent wholesale price pressure will likely push supply offers higher. However, if winter weather is mild and natural gas prices retreat, increases may be smaller.
Key takeaway for businesses
In this high‑cost market, it’s essential for businesses and households to shop around. Compare fixed‑rate plans from multiple suppliers and consider locking in rates before winter, when wholesale volatility can cause sharp spikes in default service prices.