Massachusetts Regulators Crack Down on Electric Supply Scams

Massachusetts regulators are calling for a major overhaul of the state’s competitive electricity market after years of deceptive marketing, skyrocketing prices, and financial losses—particularly for low-income residents. The Department of Public Utilities (DPU) has launched multiple investigations over the past decade, culminating in a new push for a "market reset" to better protect consumers.

Key Findings:

  • The Attorney General’s latest report reveals that residential customers have overpaid by $651 million in the past nine years due to misleading sales tactics and inflated rates.

  • Predatory marketing, especially telemarketing and door-to-door sales, has disproportionately harmed vulnerable communities.

  • Automatic renewals and variable pricing structures have led to unchecked price increases, leaving consumers with unexpectedly high bills.

Proposed Market Reset:

  1. All enrollments must go through the state-run Energy Switch website to ensure transparency and informed decision-making.

  2. Eliminate automatic renewals, requiring consumers to actively re-enroll to avoid hidden rate hikes.

  3. Require monthly reauthorization for variable-rate plans, limiting them to customers who fully understand the risks.

  4. Tighter controls on renewable energy claims to prevent “greenwashing” by suppliers.

Read the full presentation here.

ND For All Energy