⚠️ The Most Expensive Electricity in the Continental U.S.
MA residential rate: 31.5¢/kWh — national average: 18.05¢ (EIA, Nov 2025)
Your electric bill includes hidden costs: $1.36B RGGI carbon tax, RPS compliance, offshore wind contracts
Vineyard Wind turbine blade failure (July 2024) — debris across Nantucket beaches, $10.5M settlement
Plymouth turbine blade collapse (November 2025) — 100-ft blade in cranberry bog
Gov. Healey boasted about blocking two gas pipelines, then claimed she never stopped them
Ratepayers GUARANTEE foreign developers profit via "full cost recovery" written into state law
The Policy-to-Price Pipeline
MA Residential Rate
31.5¢
Per kWh (EIA Nov 2025)
National Average
18.05¢
Per kWh
NH Rate
27.4¢
Per kWh — still high but 13% less
FL Rate
15.8¢
Per kWh — half of MA
TX Rate
16.2¢
Per kWh — half of MA
Residential Electricity Rates — MA vs. Selected States (¢/kWh)
Source: EIA Electric Power Monthly, November 2025
MA Rate Premium Over National Average — Historical
Source: EIA, annual residential average rates 2015–2025
📋 Why Is Massachusetts Electricity So Expensive?
Massachusetts electricity costs are driven by a combination of policy decisions: (1) the Renewable Portfolio Standard (RPS) mandating 35%+ renewable sources by 2030, (2) RGGI — a cap-and-trade carbon tax that has extracted $1.36 billion from MA ratepayers since 2008 ($200M in 2025 alone), (3) legally guaranteed "full cost recovery" for offshore wind contracts meaning ratepayers absorb all costs, (4) blocking natural gas pipeline capacity (constraining supply), and (5) building electrification mandates that increase demand while constraining supply. Each of these adds layers of cost that appear as line items on your electric bill — but few consumers know what they are or who voted for them.
Electricity Rate Deep Dive
⚠️ What's Actually On Your Bill
Supply charge: The actual cost of generating electricity — only ~40% of your bill
Distribution charge: Eversource/National Grid delivery — includes infrastructure costs
Transition charge: Paying off old utility contracts from deregulation
Renewable energy charge: RPS compliance costs passed to you
Energy efficiency charge: Programs you may never use, but always pay for
RGGI costs: $1.36B in carbon auction costs since 2008 — $200M in 2025 alone — passed to ratepayers
MA Electricity Bill Breakdown (Typical Residential)
Source: Eversource/National Grid rate schedules; DPU filings
MA vs. National Rate Gap Over Time
Source: EIA Electric Power Monthly, 2015–2025
New England Electricity Rates — All Among the Highest (Nov 2025)
| State | Rate (¢/kWh) | vs. National | Annual Cost (750 kWh/mo) | Extra vs. US Avg |
|---|
| Massachusetts | 31.5 | +75% | $2,835 | +$1,214 |
| Rhode Island | 31.3 | +73% | $2,817 | +$1,196 |
| Connecticut | 27.8 | +54% | $2,502 | +$881 |
| New Hampshire | 27.4 | +52% | $2,466 | +$845 |
| Maine | 25.1 | +39% | $2,259 | +$638 |
| Vermont | 22.5 | +25% | $2,025 | +$404 |
| US Average | 18.05 | — | $1,625 | — |
Source: EIA Electric Power Monthly, Table 5.6.A, November 2025
Offshore Wind — Billions in Costs, Foreign Profits
Vineyard Wind Settlement
$10.5M
Nantucket blade failure
Plymouth Turbine
Collapsed
Nov 2025 — blade in cranberry bog
Contract Structure
Full Cost Recovery
Ratepayers absorb ALL costs
Developer Origins
🇪🇸 🇩🇰 🇳🇱
Spain, Denmark, Netherlands
⚠️ The Offshore Wind Failure Timeline
July 2024: Vineyard Wind turbine blade fails — debris across Nantucket beaches, environmental cleanup
October 2024: GE Vernova reaches $10.5M settlement with Nantucket over blade failure
November 2025: Plymouth wind turbine — 100-foot blade collapses into cranberry bog
2023–2024: Multiple offshore wind contracts cancelled or renegotiated at higher prices nationwide
Rebecca Tepper (Sept 2024): "By going big now with projects, we're going to lead the nation" — one month after Vineyard Wind failure
Massachusetts law guarantees developers "full cost recovery" — ratepayers bear 100% of the risk
Offshore Wind Projects — Who Gets Paid
| Project | Developer | Parent Company | Country | Status |
|---|
| Vineyard Wind 1 | Avangrid / CIP | Iberdrola 🇪🇸 / CIP 🇩🇰 | Spain / Denmark | Blade failure, operating |
| New England Wind 1 | Avangrid | Iberdrola 🇪🇸 | Spain | Development |
| New England Wind 2 | Avangrid | Iberdrola 🇪🇸 | Spain | Development |
| SouthCoast Wind | Shell / Ocean Winds | Shell 🇳🇱 / EDPR 🇫🇷 | Netherlands / France | Renegotiated at higher price |
Source: BOEM filings; developer public disclosures; state procurement records
📋 "Full Cost Recovery" — What It Means for You
Under Massachusetts law, offshore wind power purchase agreements include "full cost recovery" provisions, meaning utilities can pass 100% of contract costs to ratepayers. The developers — foreign companies like Spain's Iberdrola and Denmark's Copenhagen Infrastructure Partners — are guaranteed revenue. If construction costs increase, if turbines fail, if contracts need renegotiation at higher prices — ratepayers absorb every dollar. The utility companies (Eversource, National Grid) simply pass costs through and collect their guaranteed margin. The risk sits entirely with Massachusetts households.
The Mandate Stack — Policy Decisions Driving Your Bill
⚠️ Every Mandate Adds Cost
Renewable Portfolio Standard (RPS): 35% renewable by 2030, increasing annually — compliance costs on your bill
RGGI (Cap-and-Trade): $1.36 billion extracted from MA ratepayers since 2008 — $200M/year and rising
Net-Zero 2050: State law requires economy-wide carbon neutrality — massive infrastructure costs ahead
Building Electrification: New construction mandates push heating from gas to electric — increasing demand
Gas Pipeline Opposition: Healey boasted about blocking pipelines, constraining supply, then denied it
Energy Storage Mandate: 5,000 MW by 2035 — who builds it and who pays?
Massachusetts Energy Mandates & Their Cost Impact
| Mandate | Requirement | Cost Mechanism | Who Pays |
|---|
| Renewable Portfolio Standard | 35%+ by 2030 | RPS compliance charges on bill | Ratepayers |
| RGGI Carbon Tax | $1.36B total ($200M/yr) | Auction costs passed through | Ratepayers |
| Clean Energy Standard | 80% by 2050 | Additional procurement costs | Ratepayers |
| Offshore Wind Procurement | 5,600 MW by 2035 | Full cost recovery PPAs | Ratepayers |
| Energy Storage | 5,000 MW by 2035 | Utility rate base / incentives | Ratepayers |
| Building Electrification | No new gas in new construction | Higher electric demand | Ratepayers + Homeowners |
| EV Mandate | 100% ZEV by 2035 | Grid upgrades, demand increase | Ratepayers + Consumers |
| Net-Zero 2050 | Economy-wide carbon neutrality | Trillions in infrastructure | Everyone |
Source: MA DOER; DPU filings; Climate Act (2021); Clean Energy and Climate Plan (2022)
RGGI Total (2008–2025)
$1.36B
Carbon tax collected from MA
2025 Alone
$200.4M
Up from $28M in 2008
Recent 5-Year Avg
$149.6M/yr
2021–2025 average
Direct Bill Relief
~15%
Of RGGI proceeds returned to ratepayers
RGGI Carbon Tax — MA Auction Proceeds by Year ($M)
Source: RGGI Inc., MA Proceeds by Auction (2008–2025). Total: $1.36 billion
RPS Requirement Escalation
Source: MA DOER Renewable Portfolio Standard schedule
RGGI Auction Proceeds — Massachusetts (2008–2025)
| Year | Allowances Sold | Auction Proceeds | Change |
|---|
| 2008 | 8,735,068 | $28,176,794 | — |
| 2009 | 18,777,657 | $50,918,303 | +81% |
| 2010 | 22,915,581 | $44,134,380 | -13% |
| 2011 | 14,371,272 | $27,161,704 | -38% |
| 2012 | 14,782,694 | $28,530,599 | +5% |
| 2013 | 25,327,192 | $73,955,401 | +159% |
| 2014 | 13,446,058 | $63,611,112 | -14% |
| 2015 | 12,180,735 | $74,252,615 | +17% |
| 2016 | 10,218,385 | $45,650,634 | -39% |
| 2017 | 10,062,297 | $34,413,056 | -25% |
| 2018 | 9,520,767 | $41,857,508 | +22% |
| 2019 | 8,539,575 | $46,327,194 | +11% |
| 2020 | 8,661,014 | $55,495,446 | +20% |
| 2021 | 10,158,674 | $97,527,616 | +76% |
| 2022 | 9,368,871 | $126,105,004 | +29% |
| 2023 | 9,468,624 | $128,503,571 | +2% |
| 2024 | 9,688,938 | $195,522,045 | +52% |
| 2025 | 9,183,743 | $200,443,522 | +3% |
Source: RGGI Inc., MA Proceeds by Auction spreadsheet. Allowance costs are passed through to ratepayers by utilities.
⚠️ The Hidden Carbon Tax — $1.36 Billion and Counting
RGGI is a cap-and-trade carbon tax — power plants must buy \"allowances\" at quarterly auctions to emit CO₂
MA's RGGI costs surged 615% in 7 years: from $28M (2008) to $200M (2025)
Utilities pass 100% of auction costs to ratepayers — it's a hidden line item on your electric bill
Only ~15% of proceeds go to direct bill assistance. 64% goes to \"energy efficiency\" programs and bureaucracy
MA received $967M through 2023. Another $177M was committed to future spending. The remaining $200M+ went to state coffers
RGGI investments are managed by DOER — the same agency pushing the mandates that raise your bills
How RGGI Proceeds Are Spent (All RGGI States, 2023)
Source: RGGI Proceeds Report 2023. MA invests in Mass Save, Green Communities, electrification.
Capacity Costs: You Pay for Two Systems
Source: ISO-NE Forward Capacity Auction results
📋 The Double-System Problem
Renewable energy is intermittent — wind doesn't always blow, sun doesn't always shine. Massachusetts ratepayers pay for the renewable generators AND for conventional backup plants that must stand ready to fill in during calm or cloudy periods. This "capacity cost" is hidden in your bill but adds billions annually. You're essentially paying for two parallel power systems — one that works sometimes, and one that must always be ready. No other industry works this way.
Follow the Money — Who Benefits
⚠️ The Lobbying Loop
Eversource + National Grid spent $439,000+ lobbying in the first half of 2022 alone (Boston Globe)
Rep. Jeff Roy (lead energy negotiator) received $10,000 from utility executives during conference committee
Rep. Jim O'Day received $3,500+ from Eversource, Berkshire Gas, Dominion lobbyists during bill negotiations
60% of Rep. Jeffrey Cusack's campaign collections during S.2967 debate came from industry donations
"Clean energy" advocacy groups funded by Barr Foundation, Bloomberg, Energy Foundation — pushing mandates that raise your rates
The legislature writes "full cost recovery" into law — utilities pass costs through, developers get paid, ratepayers get the bill
The Funding Chain — Who Pushes the Mandates
| Entity | Type | Funding Sources | What They Push |
|---|
| Acadia Center | Advocacy Group | Barr Foundation, Energy Foundation | RPS increases, RGGI ($1.36B), building electrification |
| Environmental League of MA | Advocacy Group | Barr Foundation, Bloomberg | Net-zero mandates, offshore wind |
| Barr Foundation | Private Foundation | Amos & Barbara Hostetter (Cablevision) | $30M+/yr in climate grants |
| Energy Foundation | Pass-through Foundation | Hewlett, Packard, Bloomberg | State-level clean energy policy |
| Avangrid/Iberdrola | Developer 🇪🇸 | Spanish utility giant | Offshore wind contracts |
| Copenhagen Infra Partners | Developer 🇩🇰 | Danish pension funds | Offshore wind contracts |
Source: ProPublica Nonprofit Explorer (Form 990); OCPF; MA Secretary of State Lobbying Database; Boston Globe (Dec 2025)
📋 The Loop
Private foundations (Barr, Bloomberg, Energy Foundation) fund advocacy groups (Acadia Center, Environmental League). Those groups lobby Beacon Hill for mandates (RPS, RGGI, offshore wind procurement). Legislators pass laws with "full cost recovery" for developers. Foreign developers (Iberdrola, CIP, Shell) get guaranteed contracts. RGGI auctions extract $200M/year from ratepayers — $1.36B and counting. Utilities pass all costs to ratepayers. Utility lobbyists donate to legislators. Legislators pass more mandates. Massachusetts households pay the highest electricity rates in the continental U.S. Everyone in the loop gets paid except you.