Electricity Rates by State
Compare what Americans pay for power across all 50 states. Find out where electricity is cheapest, where it’s rising fastest, and how to save in deregulated markets.
Key Takeaways
Average Electricity Rates by State
Residential electricity prices in cents per kWh — March 2026
Rate Categories
National Statistics
Residential Electricity Rates by State
What homeowners pay per kilowatt-hour varies dramatically by location. States with hydroelectric power (Idaho, Washington) enjoy the lowest rates, while island states like Hawaii pay a premium due to fuel imports.
| State | Rate (¢/kWh) | vs 2025 |
|---|---|---|
| Alabama | 16.79 | +4.0% |
| Alaska | 26.57 | +4.4% |
| Arizona | 15.62 | +3.1% |
| Arkansas | 13.32 | +2.3% |
| California | 33.75 | +8.9% |
| Colorado | 16.33 | +4.7% |
| Connecticut | 27.84 | +7.0% |
| Delaware | 18.39 | +5.3% |
| District of Columbia | 24.03 | +4.8% |
| Florida | 15.77 | +3.4% |
| Georgia | 14.60 | +3.0% |
| Hawaii | 39.89 | +7.5% |
| Idaho | 12.51 | +2.1% |
| Illinois | 18.82 | +6.0% |
| Indiana | 17.42 | +5.1% |
| Iowa | 13.54 | +2.6% |
| Kansas | 15.23 | +3.7% |
| Kentucky | 13.68 | +2.9% |
| Louisiana | 12.44 | +1.8% |
| Maine | 29.55 | +8.1% |
| Maryland | 22.40 | +6.4% |
| Massachusetts | 31.51 | +7.7% |
| Michigan | 20.55 | +6.1% |
| Minnesota | 16.44 | +4.0% |
| Mississippi | 14.53 | +2.7% |
| Missouri | 13.01 | +2.5% |
| Montana | 14.33 | +3.3% |
| Nebraska | 13.19 | +2.4% |
| Nevada | 13.83 | +3.1% |
| New Hampshire | 27.39 | +7.3% |
| New Jersey | 22.65 | +6.6% |
| New Mexico | 15.00 | +3.5% |
| New York | 27.07 | +7.1% |
| North Carolina | 15.12 | +3.2% |
| North Dakota | 12.87 | +2.0% |
| Ohio | 17.93 | +5.6% |
| Oklahoma | 14.48 | +3.4% |
| Oregon | 16.23 | +3.9% |
| Pennsylvania | 20.58 | +6.3% |
| Rhode Island | 31.30 | +8.4% |
| South Carolina | 15.71 | +3.6% |
| South Dakota | 14.15 | +2.8% |
| Tennessee | 13.12 | +2.3% |
| Texas | 16.18 | +4.3% |
| Utah | 13.75 | +2.7% |
| Vermont | 24.89 | +6.7% |
| Virginia | 16.43 | +4.1% |
| Washington | 14.12 | +3.0% |
| West Virginia | 16.26 | +4.5% |
| Wisconsin | 18.45 | +5.8% |
| Wyoming | 15.18 | +3.6% |
| U.S. Average | 18.05 | +5.4% |
Commercial Electricity Rates by State
Businesses pay less per kWh because they use power in larger, more predictable quantities. The gap between residential and commercial rates averages 22% nationally.
| State | Rate (¢/kWh) | vs 2025 |
|---|---|---|
| Alabama | 14.46 | +3.1% |
| Alaska | 23.12 | +4.4% |
| Arizona | 13.09 | +2.3% |
| Arkansas | 10.77 | +2.9% |
| California | 29.46 | +6.3% |
| Colorado | 13.32 | +3.2% |
| Connecticut | 23.89 | +8.0% |
| Delaware | 12.69 | +4.1% |
| District of Columbia | 20.86 | +4.7% |
| Florida | 11.55 | +3.3% |
| Georgia | 11.44 | +3.5% |
| Hawaii | 38.79 | +8.9% |
| Idaho | 8.19 | +1.6% |
| Illinois | 14.01 | +6.0% |
| Indiana | 14.16 | +4.4% |
| Iowa | 13.31 | +3.1% |
| Kansas | 12.05 | +3.7% |
| Kentucky | 12.15 | +2.7% |
| Louisiana | 10.93 | +3.0% |
| Maine | 21.40 | +7.3% |
| Maryland | 15.18 | +6.4% |
| Massachusetts | 23.40 | +7.7% |
| Michigan | 14.92 | +6.6% |
| Minnesota | 13.22 | +3.7% |
| Mississippi | 12.67 | +3.1% |
| Missouri | 12.51 | +4.2% |
| Montana | 12.61 | +3.5% |
| Nebraska | 9.58 | +2.3% |
| Nevada | 9.91 | +3.2% |
| New Hampshire | 20.54 | +8.3% |
| New Jersey | 18.78 | +9.1% |
| New Mexico | 12.24 | +4.0% |
| New York | 22.54 | +7.0% |
| North Carolina | 10.09 | +3.3% |
| North Dakota | 7.44 | +1.3% |
| Ohio | 11.55 | +5.5% |
| Oklahoma | 10.04 | +3.7% |
| Oregon | 11.36 | +3.4% |
| Pennsylvania | 12.79 | +6.2% |
| Rhode Island | 22.44 | +8.6% |
| South Carolina | 10.88 | +3.8% |
| South Dakota | 10.99 | +3.2% |
| Tennessee | 13.02 | +2.9% |
| Texas | 9.12 | +4.2% |
| Utah | 10.87 | +3.0% |
| Vermont | 19.33 | +6.7% |
| Virginia | 9.73 | +4.1% |
| Washington | 11.90 | +3.3% |
| West Virginia | 11.65 | +4.4% |
| Wisconsin | 13.70 | +5.7% |
| Wyoming | 9.79 | +3.5% |
| U.S. Average | 14.12 | +5.0% |
Regional Electricity Rates
Electricity costs follow clear geographic patterns driven by fuel sources, infrastructure age, and regulatory structure. The Northeast pays 42% more than the national average, while the South Central region enjoys rates 22% below it.
Northeast
25.63¢/kWhAging grid infrastructure, limited domestic fuel production, congested transmission corridors, and aggressive renewable energy mandates all drive costs higher. Massachusetts (31.51¢), Rhode Island (31.30¢), and Maine (29.55¢) rank among the five most expensive states nationally. On the upside, most northeastern states have deregulated electricity markets, giving consumers the ability to shop for competitive rates from alternative suppliers.
West
19.01¢/kWhThe western average is heavily skewed by three outliers: Hawaii (39.89¢), California (33.75¢), and Alaska (26.57¢). Remove those three and the remaining ten states average just 14.59¢/kWh — well below the national average — thanks to abundant hydroelectric power in the Pacific Northwest and growing solar capacity in the desert Southwest. Idaho (12.51¢) and Nevada (13.83¢) are among the most affordable states in the country.
Midwest
15.97¢/kWhThe Midwest sits near the national average with a wide internal spread. Michigan (20.55¢) and Illinois (18.82¢) push the regional average higher, while wind-rich Great Plains states like North Dakota (12.87¢) and Iowa (13.54¢) keep costs low. Deregulated markets in Ohio and Illinois give consumers in those states the option to compare and switch providers for potential savings of 15–30%.
Southeast
15.20¢/kWhLow fuel costs and stable regulatory environments keep southeastern rates well below the national average. Tennessee (13.12¢) and Georgia (14.60¢) benefit from TVA hydroelectric infrastructure and nuclear baseload generation. None of these ten states offer retail electricity choice — rates are set by regulated utilities — but the trade-off is generally lower, more predictable pricing.
South Central
14.11¢/kWhThe four South Central states enjoy the lowest regional average in the country. Louisiana (12.44¢) leads the nation in affordability thanks to abundant natural gas production and refining capacity. Texas (16.18¢) is the regional outlier — its deregulated ERCOT market creates more price variability, but also gives consumers more provider choices than any other state. Arkansas and Oklahoma round out the group with rates comfortably below the national average.
How Electricity Rates Have Changed Over Time
The national average residential electricity rate has climbed 21% in five years, rising from 14.92¢/kWh in 2022 to 18.05¢/kWh in 2026. This sustained increase reflects fuel cost inflation, grid modernization investments, and surging demand from data centers and electric vehicle adoption.
| Year | Avg Rate (¢/kWh) | YoY Change |
|---|---|---|
| 2022 | 14.92 | — |
| 2023 | 15.85 | +6.2% |
| 2024 | 16.63 | +4.9% |
| 2025 | 17.13 | +3.0% |
| 2026 | 18.05 | +5.4% |
The 2025–2026 jump of 5.4% reversed a two-year slowdown, driven largely by rising natural gas prices and unprecedented electricity demand growth. Record data center construction in 2025 pushed commercial and industrial consumption higher. At the same time, grid hardening investments in response to extreme weather — wildfires in the West, hurricanes along the Gulf Coast, and winter storms in Texas — added infrastructure costs that utilities passed through to ratepayers.
Frequently Asked Questions
Which state has the cheapest electricity?
Louisiana has the cheapest residential electricity at 12.44¢/kWh—31% below the national average. For commercial rates, North Dakota leads at just 7.44¢/kWh. Louisiana benefits from abundant natural gas, while North Dakota has low infrastructure costs and hydroelectric access.
Why is Hawaii’s electricity so expensive?
Hawaii pays 39.89¢/kWh—over 2.2x the national average—because it imports petroleum for most power generation. Island geography means no access to mainland grid infrastructure or cheaper natural gas pipelines.
Why did rates increase 5.4% this year?
The 2025–2026 increase (+5.4%) reflects rising natural gas prices, grid modernization investments, increased demand from data centers and EVs, extreme weather hardening costs, and renewable energy transition expenses. California saw the steepest increase at +8.9%, followed by Rhode Island (+8.4%) and Maine (+8.1%).
Can I switch providers to save money?
Yes—if you live in a deregulated state. 14 states + D.C. have competitive electricity markets: Texas, Pennsylvania, Ohio, Illinois, New Jersey, New York, Connecticut, Delaware, Maine, Maryland, Massachusetts, New Hampshire, Rhode Island, and parts of others. Customers in these states typically save 15–30% by comparing providers.
Why are commercial rates lower than residential?
Businesses consume electricity in larger, more predictable quantities and often during off-peak hours. This efficiency reduces per-customer infrastructure and billing overhead. The national commercial rate (14.12¢) is 22% lower than residential (18.05¢).
What factors determine electricity prices?
Six main factors: fuel costs (gas, coal, oil), power plant expenses, transmission infrastructure, weather/seasonal demand, state regulations, and market structure (regulated vs. deregulated). Natural gas prices have the largest short-term impact.
How can I lower my electricity bill?
In deregulated states, simply switching providers can save 15–30% with no lifestyle changes. Otherwise: switch to LED lighting, upgrade to Energy Star appliances, install a smart thermostat, seal air leaks, use off-peak electricity, and consider solar if you own your home.
Data Sources
About This Data
All rates are sourced from the U.S. Energy Information Administration (EIA) and updated monthly. Figures represent average prices across all customer classes, including generation, transmission, distribution, and taxes. Year-over-year comparisons use the same month from the prior year. Last refresh: March 5, 2026.
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