Mass. Gen. Laws ch. 164 § 134
A municipality or group of municipalities which aggregates its electrical load and operates pursuant to the provisions of this section shall not be considered a utility engaging in the wholesale purchase and resale of electric power. Providing electric power or energy services to aggregated customers within a municipality or group of municipalities shall not be considered a wholesale utility transaction. The provision of aggregated electric power and energy services as authorized by this section shall be regulated by any applicable laws or regulations which govern aggregated electric power and energy services in competitive markets.
A town may initiate a process to aggregate electrical load upon authorization by a majority vote of town meeting or town council. A city may initiate a process to authorize aggregation by a majority vote of the city council, with the approval of the mayor, or the city manager in a Plan D or Plan E city. Two or more municipalities may as a group initiate a process jointly to authorize aggregation by a majority vote of each particular municipality as herein required.
Upon an affirmative vote to initiate said process, a municipality or group of municipalities establishing load aggregation pursuant to this section shall, in consultation with the department of energy resources, pursuant to section 6 of chapter 25A, develop a plan, for review by its citizens, detailing the process and consequences of aggregation. Any municipal load aggregation plan established pursuant to this section shall provide for universal access, reliability, and equitable treatment of all classes of customers and shall meet any requirements established by law or the department concerning aggregated service. Said plan shall be filed with the department, for its final review and approval, and shall include, without limitation, an organizational structure of the program, its operations, and its funding; rate setting and other costs to participants; the methods for entering and terminating agreements with other entities; the rights and responsibilities of program participants; and termination of the program.
The department shall approve any plan submitted that complies with and is consistent with this subsection. Prior to the department's decision, the department shall conduct a public hearing. Failure to make a decision on a plan submitted under this section within 180 days of its submission date shall constitute approval of the plan. Such constructive approval shall not exempt the municipality or group of municipalities from complying with all laws and rules governing municipal aggregations and the provision of competitive energy supply services regardless of the language contained in the plan.
If after review, the department chooses to reject a plan, the department shall send to the municipality or group of municipalities a denial order containing the reason for the rejection. The municipality or group of municipalities may revise the plan to address such reasons and, if such revised plan is submitted not more than 30 days after the department's denial order is issued, the department shall waive the requirement that the municipality or group of municipalities consult with the department of energy resources regarding the revised plan and shall submit the revised plan for public review. The department shall review and approve, subject to modification, or reject any such revised plan not more than 30 days after receipt of the revised plan.
The department shall not direct or otherwise require revisions to an approved plan without first providing the municipality or group of municipalities with notice and opportunity for a full and fair hearing. The municipality or group of municipalities shall submit to the department for approval any revision to an approved plan; provided, however, that the department shall review and approve any such revisions to the approved plan not more than 30 days after the receipt of the proposed revision. The competitive supplier providing generation service to retail customers of an aggregation may request an exemption from the quarterly information disclosure requirements set forth in 220 CMR 11.06(4)(c) or any successor regulation. The department may grant such exemption if the competitive supplier demonstrates that it will, through sufficient alternative means, provide retail customers participating in the aggregation with the same information regarding the fuel mix, emissions and labor characteristics of the competitive supplier's energy supply.
After obtaining approval of its plan, the aggregated entity shall mail information and educational materials regarding its plan to each ratepayer within the municipality; provided, however, that the department may revoke the aggregated entity's plan if the marketing materials are inconsistent with any law or regulation governing the marketing of energy supply. To enable such mailing, the electric distribution company shall provide to such municipality a current list of the names, mailing addresses and service addresses of all electric customers taking distribution service within the municipality; provided, however, that any customer may request that their name, mailing address and account number not be shared with the municipality.
Participation by any retail customer in a municipal or group aggregation program shall be voluntary. If such aggregated entity is not fully operational on the retail access date, any ratepayer to be automatically enrolled therein shall receive basic service unless affirmatively electing not to do so. Within 30 days of the date the aggregated entity is fully operational, such ratepayers shall be transferred to the aggregated entity according to an opt-out provision herein. Following adoption of aggregation through the votes specified above, such program shall allow any retail customer to opt-out and choose any supplier or provider such retail customer wishes. Once enrolled in the aggregated entity, any ratepayer choosing to opt-out within 180 days shall do so without penalty and shall be entitled to receive basic service as if he was originally enrolled therein. Nothing in this section shall be construed as authorizing any city or town or any municipal retail load aggregator to restrict the ability of retail electric customers to obtain or receive service from any authorized provider thereof. After the initial automatic enrollment of customers upon the establishment of a load aggregation program in accordance with this subsection, the subsequent enrollment of new customers or accounts in the service territory of the aggregator shall be governed by the terms for enrollment set forth in the aggregator's plan; provided, however, that the terms are consistent with the requirements established by the department.
It shall be the duty of the aggregated entity to fully inform participating ratepayers in advance of automatic enrollment that they are to be automatically enrolled and that they have the right to opt-out of the aggregated entity without penalty. In addition, such disclosure shall prominently state all charges to be made and shall include full disclosure of the basic service rate, how to access it, and the fact that it is available to them without penalty. The department of energy resources shall furnish, without charge, to any citizen a list of all other supply options available to them in a meaningful format that shall enable comparison of price and product. To facilitate the automatic enrollment and ratepayer notification, the electric distribution company shall provide to each municipality the name and mailing addresses of all electric accounts within the municipality that are not otherwise receiving generation service from a competitive supplier; provided, however, that any customer may request that their name, mailing address and account number not be shared with the municipality.
The municipality or group of municipalities shall not be prohibited from proposing for certification an energy plan which is more specific, detailed, or comprehensive or which covers additional subject areas than any such state-wide conservation goals. This subsection shall not prohibit a municipality or group of municipalities from considering, adopting, enforcing, or in any other way administering an energy plan which does not comply with any such state-wide conservation goals so long as it does not violate the laws of the commonwealth.
The municipality or group of municipalities shall, within two years of approval of its plan or such further time as the department may allow, provide written notice to the department that its plan is implemented. The department may revoke certification of the energy plan if the municipality or group of municipalities fails to substantially implement the plan or if it is determined by independent audit that the funds were misspent within the time allowed under this subsection.
Mass. Gen. Laws ch. 164, § 134