Electricity Rates for Every State in The U.S.

Electricity Rates By State (Updated Daily) 

Electricity prices vary in each state. We have compiled years of data to find pricing trends around the country. You can see data for all 50 states below, but deregulated states are labeled in each chart/graph.

• The Average Electricity Rate in the U.S. is 17.45 cents per kilowatt-hour.
• Hawaii has the highest average electricity rate of 42.44 cents per kilowatt-hour.
• North Dakota has the lowest average electricity rate of 11.69 cents per kilowatt-hour.

Electricity Cost per kWh By State Map

Hover over a state to see the average rate and percent change in energy pricing. 

Average Electricity Rate in Each State

This chart shows the average kWh price for each state. Rates updated daily.

States with the Cheapest Electricity Rates per kWh

This chart shows the states with the lowest average kWh price. Rates updated daily.

States with the Most Expensive Electricity Rates per kWh

This chart shows the states with the highest average kWh price. Rates updated daily.

Electricity Rates by State

Electricity rates vary significantly across different states in the United States, with the average residential electricity rate being 16.44 cents per kilowatt-hour (kWh). Understanding electricity rates is crucial for consumers to manage their electricity bills and make informed decisions about their energy choices. The electricity rate is influenced by various factors, including energy consumption, state regulations, and access to resources. In this article, we will explore the factors affecting electricity rates, understand electricity rate structures, and discuss the future of electricity rates.

Why Do Electric Rates Vary by State?

There are several factors that affect electricity rates in your state, some factors you have some control over, like load factor, and some you don’t like the types of energy generation in your state.

The primary factors include energy consumption, state regulations, access to resources, and market conditions. For instance, states with abundant natural resources, such as North Dakota, tend to have lower electricity rates. On the other hand, states with limited resources, such as Hawaii, have higher electricity rates. The cost of generating electricity, transmission, and distribution also plays a huge role in determining electricity rates. Additionally, factors like weather, seasonal demand, and the availability of renewable sources can impact electricity prices.

Your best option is to understand how you can control your electricity pricing, a few small changes in your habits can make a big impact on what your average monthly bill.

• What time of day you use energy: Energy suppliers use complicated models to forecast demand throughout the day. If you’re using more energy at a time when demand is high than you the electricity you use cost the supplier more, in turn you will have a higher rate when you renew.
• Time of year: In Southern states, summer rates can be higher than winter rates due to higher energy demand for cooling system, vice versa for heating in cold northern states.
• Where you live: Energy rates vary from state to state and even among utility areas in the same state, regardless of whether the state has energy choice. There is a long complicated list of reasons why, but the simple answer is supply and demand. Some areas have more generation (more supply) and less demand, so rates are lower.

Regulated vs Deregulated States

Regulated states have a lower average rate overall vs those with energy choice.

Isn't energy deregulation supposed to lower prices? Yes, but there are a lot of variables at work here. So don't fret - deregulation doesn't always mean a higher rate.

For example, Texas (a deregulated state) traditionally has some of the lowest rates in the country.

The Northeast has some of the highest rates in the country, before deregulation and after. These are high population density states, with high demand, and high cost of living. The lower rates in the central states (regulated) also have a smaller demand, cost of living, etc.

The most important takeaway from this data is simple. If you live in a state with energy choice (deregulated) you can lower your electric bill by shopping suppliers and rates to make select the plan that works for you. Create a free, personalized energy account in seconds.

Future of Electricity Rates

The future of electricity rates is uncertain, with various factors influencing their trajectory. The increasing demand for renewable energy sources, advancements in technology, and changes in government policies will likely impact electricity rates. As the energy market continues to evolve, consumers can expect to see fluctuations in energy rates. However, with the rise of deregulated markets and energy choice, consumers will have more opportunities to compare electricity rates and choose the best energy provider for their needs.