During a time when many utilities are raising their electric and gas rates, the state of Massachusetts expects to cut its energy costs. World Energy has announced the completion of a retail electric-power procurement for the Commonwealth of Massachusetts through which the state is expected to save US$6.2 million in electricity costs in the first three months of 2006 alone.

The procurement was completed under the terms of a multiyear contract with Massachusetts' Operation Services Division (OSD). Six months prior to the procurement, World Energy, which works with commercial, industrial and government entities to procure electricity and gas, worked with OSD to bring together 66 different Massachusetts agencies to participate. As a result, the Commonwealth was able to obtain a long-term, fixed-price competitive supply contract for 278 large commercial accounts that is well below the rates offered by local utilities.