What to Consider When Choosing a Supplier

Due to a legislative decision, as of 2000, Maine electric utilities are only responsible for delivery of electricity. Supply comes either from Standard Offer service, procured on your behalf through a competitive bid process conducted each year by the Maine Public Utilities Commission; or from a Competitive Electricity Provider (CEP).

If you are thinking about choosing a CEP for your electricity needs, here are six things you need to know before making a decision.

  1. The Standard Offer price.  The Maine Public Utilities Commission chooses the best offer submitted in a competitive auction for Central Maine Power and Versant. The Standard Offer price changes on January 1 each year, with the change typically announced six weeks in advance. There is no contract or termination fee with the Standard Offer, and residential and small commercial customers are free to switch at any time.  
    1. Note: Medium and large commercial customers may have to pay an opt-out fee if they  do not remain on standard offer for at least 12 months before switching to a CEP
  2. The price offered by a CEP. This is the price you'll compare to the Standard Offer.
  3. Whether the price fixed or variable. A fixed price contract will have the same cost per kWh for the length of the contract. If the price is variable, it can change each month, possibly to a higher price.
  4. The term of the contract. If the price is fixed, find out for how long. Ask when the contract will end so you can make a note to contact your supplier to cancel or sign a new contract before that date.
  5. Termination Fee. Some CEPs charge a fee if you switch to the Standard Offer or to another CEP before your contract ends. Make sure you know if the CEP has one of these “termination” fees and how much they will charge before you switch. Note: As of October 25, 2023, CEPs will no longer be allowed to charge Early Termination Fees.
  6. Your rights. CEPs are subject to oversight by the Public Utilities Commission, and there are rules to protect consumers. CEPs must provide you with their “Terms of Service” before you become their customer. CEPs also must notify you of an automatic renewal, or if they switch you to a variable price at the end of a fixed term. Always ask the CEP to confirm if they will be contacting you by mail or email. It is your responsibility to ensure that the CEP has your current and up-to-date contact information.