Newbury's New Electric Rate Came Down to When the Town Signed

Newbury households in the town's Community Choice Power Supply Program will see their electricity supply rate go from $0.12810 to $0.16563 per kilowatt-hour on their November 2026 National Grid bills. Next door, Newburyport and Salisbury residents in their own town programs keep paying about 13 to 14 cents. The same utility serves all three towns. The difference is the date on each town's contract.

Newbury signed its new supply contract in 2026, after a winter that drove up the cost of power across the region. Newburyport's and Salisbury's current rate terms both began in 2025, and both run into 2028. That timing explains the bill.

What Changes on the Bill, and When

The town announced on September 3, 2026, that it had signed a thirteen-month contract with a new supplier, First Point Power. The new rates start with October 2026 meter reads, so the first bill to show them arrives in November. Participants don't need to do anything. Enrolled accounts stay on the product they already chose, and First Point Power will appear under "Supply Services" on the monthly bill.

You can read the town's full announcement on the Newbury News Flash page. It lists three products:

For a household on the standard product, the town puts the increase at about $23 a month on the supply side, assuming average use of 600 kWh. The math checks out: the 3.753-cent increase times 600 kWh comes to $22.52.

The new rate applies only to supply. National Grid still delivers the power, and town aggregation programs don't touch the delivery charges. Colonial Power Group's program page for Newburyport describes the same arrangement. Colonial Power Group also runs Newbury's program. Its Newbury program page lists the standard rate at $0.16563 for a term running from October 2026 to November 2027, with start and end dates tied to each meter-read cycle.

Three Neighboring Towns, Three Contract Dates

Here are the rates on each town's program page as listed by Colonial Power Group:

At 600 kWh a month, a Newbury household on the standard product pays about $16.90 more for supply each month than a Newburyport household in that city's program. Compared with Salisbury, the gap is about $19.40. Neither neighbor got a special deal. Salisbury's rate term began in January 2025 and Newburyport's in November 2025, and both run for multiple years. Newbury launched its program in April 2025, and its standard rate of $0.12810 expires with October 2026 meter reads.

The shorter term also means Newbury will be shopping again before either neighbor. Its new contract runs to November 2027. Newburyport's runs a year longer, and Salisbury's runs to January 2028.

The Winter That Came Between

Between the start of Newburyport's term and the signing of Newbury's new contract, New England had the cold winter of 2025 to 2026. In a March 2026 recap from ISO New England, the grid operator called it the region's coldest winter in 20 years, with the highest demand in 11 years. During the January cold outbreak, gas demand and limited pipeline capacity into New England pushed gas prices up, and power plants shifted toward oil. ISO New England said wholesale energy transactions for December 2025 through February 2026 came to about $6 billion, the highest winter total since the markets began in 2003.

None of the sources here say exactly how that winter affected the bids for Newbury's contract. What they do describe is how fixed-price suppliers think. In August 2026 Boston Globe coverage, Eversource spokesperson William Hinkle said suppliers "take on unknown volume and price volatility when they offer fixed prices," and that when gas supplies are tight, cold snaps raise the cost of running power plants. Suppliers set their prices months ahead, so they have to build those spikes in.

That article also reported on a Synapse analysis. It found that fixed six-month supply rates in New England ran consistently above real-time spot prices over the past decade, and that the premium has grown. NRG Energy disputed the findings and pointed to the state's renewable purchasing requirements as a cost driver. Whichever side is closer to right, any town going to market in 2026 was buying a fixed price in a market where suppliers saw more risk.

Where the New Rate Sits Against National Grid

The utility's own default rate moved the same way. The National Grid Massachusetts residential Basic Service schedule lists the fixed price at 15.372 cents per kWh for February through July 2026 and 17.185 cents for August 1, 2026, through January 31, 2027. Newbury says its new standard rate is 4 percent below that 17.185-cent figure and expects households to save about $4 a month against Basic Service from October 2026 through January 2027.

That comparison is against National Grid's fixed option. The Massachusetts Department of Public Utilities says residential customers go on the six-month fixed price by default. A monthly variable price is available if you contact the utility. National Grid has already published the variable prices for this fall and winter:

The variable price starts below the town's rate in October and November. It passes the town's rate in December, and by January it's about 3.5 cents higher. A flat rate gives the same price every month, so it costs the most in mild months compared with the variable option and the least in the coldest ones. Averaged across August 2026 through January 2027, the six monthly variable prices come to about 17.01 cents. National Grid's fixed price for those months is 17.185 cents.

The DPU explains how Basic Service is bought. Supply purchases are the largest cost. For residential and small commercial customers, the utilities run two competitive solicitations a year, each covering half of a twelve-month need, and the six-month fixed rate is a weighted average of the monthly prices. The utility passes these costs through with no profit, and the DPU reviews whether each solicitation was competitive. Basic Service and town aggregations are both buying in the same wholesale market. They just lock in prices on different schedules.

The Program's Own Ledger

The town says the program saved residents and small businesses more than $475,000 compared with National Grid Basic Service from its April 2025 launch through March 2026. The town is also clear about the limits. Basic Service rates change at least twice a year, so the aggregation rate won't always be lower, and future savings aren't guaranteed. The goal is to save money over the life of the program.

Here's how enrollment works, according to the town and Colonial Power Group:

• New accounts that get a notice letter are enrolled automatically unless they opt out. To opt out, return the card or use the online form within 30 days of receiving the letter.
• Participants can opt out at any time with no program charge. Switching back to National Grid Basic Service can take a couple of billing cycles.
• The program charges no enrollment, cancellation or early-termination fees. If you're joining from a separate third-party supplier contract, that supplier may charge its own early-termination fee.
• Opt-in and opt-out forms, current rates and rate history are on the Colonial Power Group Newbury page.

These rules cover how the program runs. Whether one product or option fits your household depends on your own usage, which the November bill will show in kilowatt-hours next to the new supply rate.

Monthly costs like this one become part of how a house in Newbury compares with one in Newburyport or Salisbury. That matters if you're thinking about selling, buying across the town line, or just tracking your running costs. If you'd like to see where your home's value stands alongside those numbers, Cheryl Grant can help. Get Your Instant Home Valuation, then let's talk through what your figures mean for you.

This article is general information, not legal, tax or financial advice. Consult a qualified professional about your situation.