You might be thinking, “We already have retail choice and consumer protections when it comes to electricity in Connecticut. Why do we need something else?”
Yes, individuals can choose that their electricity supply comes from the utility or, alternatively, from one of the retail suppliers that can be found at Energize CT. And yes, our legislature and regulators have worked to ensure we have consumer protections in place in an effort to prevent predatory behaviors by electricity retail providers that other states are experiencing. But this is just the bare minimum we should expect.
There’s another model available, and ten other states, including Massachusetts, New York and New Hampshire, already have implemented it: Community Choice Aggregation (CCA).
CCA brings the power of choice in one of the most critical components of an individual’s financial decisions —their utility bills. Following an extended public process, it allows a municipality to become the default electricity supplier for all residents and small businesses, except those who choose to opt-out. The introduction of local energy choice in the form of CCA is an innovative approach to electricity procurement that empowers local communities, fosters competition, and delivers tangible benefits to consumers and communities alike.
This model, CCA, (called Municipal Electric Aggregation in draft legislation) has been proposed in a bill currently in front of the Connecticut Energy and Technology Committee for a vote. The proposed legislation, House Bill 6928, “An Act Concerning Municipal Electric Aggregation Programs” takes nothing away from consumers and only provides additional options and benefits.
Local control and consumer protection
CCAs represent a triumph of local governance, putting the power of energy choice decisions into the hands of communities—specifically the groups most impacted by pricing: residential and small businesses, who cannot negotiate with large suppliers on their own.
By aggregating this purchasing power, municipalities, with the help of energy professionals, can negotiate better rates and select energy sources that reflect local values and priorities. This shift from centralized utility control or powerful retail suppliers to community-driven decision-making embodies the essence of grassroots democracy, enhancing transparency and accountability by placing decision-making under local control, with oversight by local officials and community members through open public processes. This approach allows for direct community input and responsiveness to citizens’ needs.
Competitive rates, stable prices
The financial benefits of CCAs are clear, compelling, and immediate for their customers. By leveraging collective buying power, these programs have consistently delivered cost savings to consumers, with some communities seeing reductions of up to 10-25% compared to traditional utility rates for the supply portion of an electric bill. Moreover, CCAs often provide price stability through longer-term contracts, shielding residents from the volatile swings of the energy market.
Economic growth and job creation
The economic impact of CCAs extends beyond individual savings. These programs create local jobs and keep energy dollars circulating within the community. By reinvesting revenues in local initiatives and energy projects, CCAs become catalysts for economic development and community resilience.
Advancing clean energy without mandates
For communities seeking to reduce their environmental impact, CCAs offer a simple, opt-out solution that has been extremely successful across the nation. Many CCAs provide electricity with a higher renewable content than traditional utilities, accelerating the transition to clean energy without resorting to heavy-handed government mandates. This allows municipalities to make meaningful progress on sustainability goals while respecting individual choice. In fact, CCAs were responsible for the majority of the voluntary green power market customers in the U.S. according to the Department of Energy’s National Renewable Energy Laboratory.
Building a safe and competitive energy market for the future
Community Choice Aggregation represents a market-based approach to energy policy that emphasizes local control, market competition, and fiscal responsibility. As we navigate the challenges of our energy future, CCAs offer a path forward that respects community values, drives innovation, and delivers tangible benefits to consumers.
By embracing Community Choice Aggregation, we can unlock economic opportunities, enhance consumer protections, and bring economic stability to our communities —all while staying true to the values of local control, fiscal responsibility, and free-market competition. But we must act now. Call your legislators and urge them to pass HB 6928—our communities cannot afford to wait.
A critical moment: the time to act is now
Connecticut municipalities are eager to explore the opportunities that the current bill offers. Seven have passed resolutions in support of Community Choice Aggregation including New Haven, Middletown, Simsbury, Pomfret, Windham, Mansfield and most recently, Fairfield. Many more will follow if enabling legislation is enacted.
The opportunity to bring CCA to Connecticut is here, but it requires immediate action. The draft legislation enabling Community Choice Aggregation is set to be voted on by the Energy and Technology Committee of the state legislature sometime before a March 20 deadline. This legislation could provide the relief that consumers desperately need, offering lower electricity costs and stronger consumer protections. However, without public support, this critical bill may not move forward.
We urge every Connecticut resident to contact their state legislators today and voice their support for CCA. By advocating for this legislation, we can ensure our communities gain the ability to choose affordable and clean energy options while further protecting residents —especially seniors and low-income families— from predatory energy pricing.
Peter Millman is a Vice President for People’s Action for Clean Energy. Cody Hooven is the Interim Director of LEAN Energy, a nonprofit organization that provide information, data, and education on Community Choice Aggregation. She is also Co-founder and Principal of Evolution Affairs.