Community Choice Aggregation: A New Pathway for Flexible Energy Procurement

On March 10, Associate Policy Director Karrington Anderson testified before the Environment and Transportation in support of HB 1442 – Community Choice Aggregation Pilot Program – Definition, Application, and Workgroup – Modifications. 

This bill authorizes counties to form a community choice aggregator program, providing a new local option to procure electric generation services on behalf of residential and small commercial customers.

As energy markets evolve and communities look for ways to manage costs and advance local energy priorities, some states have turned to community choice aggregation as a policy tool.

Under this model, the local electric utility would continue to handle transmission, distribution, and billing, while counties could explore competitive supply options that align with local goals. This proposal creates a voluntary framework that offers counties greater flexibility to pursue cost savings, rate stability, or cleaner energy portfolios while maintaining consumer protections and regulatory oversight.

From MACo Testimony: 

Community choice aggregation is a tool that allows counties to seek more competitive rates on behalf of residents, pursue cleaner energy portfolios if locally desired, or design supply strategies tailored to community priorities. HB 1442 does not mandate action by any county, nor does it disrupt the existing utility delivery system. It simply empowers counties with a voluntary tool to explore cost savings, rate stability, and local energy policy goals while maintaining strong consumer protections and PSC oversight.

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