Swanzey reviews Community Power contract renewal, green default and proposed customer fee

Emily Nance, a representative of Swanzey Community Power, updated the town board on the program’s performance and options for renewing the town’s supply contract.

The update covered participation, recent and projected pricing, a proposed green default that would raise the program’s minimum renewable content from the state level (25.2%) to 35.2% for the town’s default product, and a possible small per-kilowatt-hour fee to create a local fund for weatherization and bill-assistance programs.

Nance said Swanzey Community Power serves about 7,600 customer accounts and delivers roughly 18,500,000 kilowatt-hours of electricity annually, of which about 6,500,000 kilowatt-hours are from renewable sources under the program’s current mix. She said roughly 91% of customers are on the program’s default product. The town’s current contract runs through December; organizers are preparing now to solicit renewal pricing in spring because market prices often improve in that season.

“We have a few housekeeping details to do before we go back in the pricing,” Nance said. She told the board the program’s fixed-price product runs for 30 months and has insulated customers from price spikes; she cited prior six‑month swings in the default supply price from as low as 2¢ per kilowatt-hour to highs above 20¢ in the last two years.

Nance described recent supplier offers that landed at about 8.86¢ per kilowatt-hour for short-term launches and renewal estimates that previously ranged from about 10.5¢ to 11.5¢ per kilowatt-hour. She said the program would typically set a short decision timeline once pricing is available; in past renewals pricing meetings and actionable pricing occurred over a week or two.

The energy commission and board discussed how new move-in customers are enrolled. Nance said Eversource provides reports that identify new accounts; the town can then send opt-out letters and sweep eligible meters into the community program. Participation slipped after the initial launch to about 2,600 active participants but organizers expect a sweep of new accounts and ongoing outreach to return the program toward the roughly 3,000 participants the town initially enrolled.

The board asked about the proposed local fee that would fund home weatherization and bill assistance. Nance said the energy commission recommended a modest user fee in the range discussed during meetings (the commission discussed roughly “0.07¢ to 0.125¢” per kilowatt-hour in its deliberations, as reported at the meeting) and that funds would be kept in a town-managed bucket with locally defined distribution policies. She said other nearby communities are considering similar arrangements and that the town would need to adopt policy and administrative steps if it approves the fee.

Nance also said the town can file a plan change with the state Public Utility Commission if it wants to adopt the green default or the fee; the PUC has a review window (the presenter noted a 60-day statutory window for the commission’s review, with approvals sometimes acting more quickly). If the commission approves a tariff change, that can affect timing for market activity in April or May.

Board members asked about alternatives, including participation in regional or county programs. Nance said Cheshire County and a regional coalition offer different schedules and products; some county-style programs update pricing every six months. Town officials noted tradeoffs: a longer fixed contract provides stability while county or coalition products may change more frequently.

The energy commission planned to meet and produce a recommendation for the town board; Nance said suppliers and market conditions would determine the final bid prices and the administrator would need authority to sign if the board elects to proceed under a tight market schedule.

The board did not take a formal vote during the discussion; members instructed staff and the energy commission to continue work on pricing and policy recommendations so a decision can be made in the coming weeks.

Looking ahead, the board and commission expect to review pricing in spring and aim to finalize a recommendation before the current contract expires in December. If the town adopts a green default or user fee, staff would prepare the PUC filing and local policy language before market solicitation.