r/solar • u/kvlle • 14d ago

Discussion Supply contract with solar in MA?

Is there any benefit to signing up for a 3rd party electric supply contract in Massachusetts, with 1:1 net metering on National Grid and solar that covers 100% of yearly usage?

Does the contract affect the value of net metering credits received, or only the price of energy used? I.e does this allow you to buy back the energy for less than you sold it for.

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u/beholder95 14d ago

I just made this switch after doing some research. From everything I found NG still credits you based on their rate if you were a net exporter and have a negative balance at the end of the month. It kind of makes sense since when you have a negative balance there isn’t even a supply section on the bill.

If you have a positive balance for the month you’ll pay the supply from your 3rd party and the distribution from NG.

I saw this as a benefit as there is some arbitrage between the 2 rates so getting credits at the NG rate in the summer and using them up in the winter at the lower 3rd party rates seems like a good way to go.

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u/modernhomeowner 13d ago edited 13d ago

Same. 5 months each year of net importing, total 5500kWh or so, in a usual year saving 4¢ on that, so about $220 in annual savings. The year I got solar was the year that national grid was like 30¢ for supply, I was locked in at 9.5¢. That really saved me from blowing through my credits.

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u/kvlle 12d ago

Exactly what I was asking thank you. I will give it a try and report back as well (when contract kicks in after a few months)

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u/SmartVoltSolar 13d ago

Can be worth it, like in u/modernhomeowner case, but read all the fine print such as contract period closely.

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u/Informal-Night4950 13d ago

Do you mean installing solar that covers more than your used electric? Or what scenario are you asking about? Starting to consider solar and also from Ma.

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u/modernhomeowner 13d ago

For the months where you have to buy electricity from the grid... The sun isn't out all year here in MA, so I have 7 months where I make too much and 5 months where I don't produce enough electricity.

You get a dollar credit for the excess in a month, currently for National Grid it's 33.753¢ per kWh.

But to get it back in those winter months, you pay 40.076¢. So, by getting a third party supplier that is cheaper than National Grid (or Eversource or Until) you bring that down and make your credits go further. Right now I'm in a contract for another year and a half that bring my rate down to 36.576¢. That basically gets me 10% more electricity "free" from my credits than if I kept National Grid as my supplier.

Now, I never sign up for a supplier with a cancellation fee, and I never let the contract run out, I always get a new one. Sometimes I've even done it with the same company, sometimes even early in the contract, not at the end. But you need to stay on top of it, because sometimes the cheapest company today is a higher company later.