The price you pay for electricity in December of 2023 — your electric rate per kWh — depends on numerous factors including (but not limited to) your location, type of building (residential/commercial), usage, general market conditions, market disruptions, etc.  Whether you’re in a regulated or deregulated market, the bill you receive from your utility/provider should clearly state the rate you’re paying for electricity.

Average Electricity Rates by State

Below is the average kWh rate for each state.  This is a snapshot of average kWh rates in regulated and deregulated states using data from November 2022 and November 2023 (showing YOY change).

For current (December 2023) electric rates in deregulated markets, enter in your zip code above to see current rates from retail energy providers in your area.  

Electricity (kWh) Prices by State

What determines your electric rate?

There are numerous factors that determine the price you pay (kWh) for electricity.

• Residential or Commercial:  Providers typically have a different set of rates for different “customer classes” — residential, commercial, and industrial customers.
• Usage: The amount of electricity you use each month (called kilowatt-hours or kWh) is a major factor in determining your electric bill.  The more energy you use, the more you’ll pay
• “Time of use” rates — not as well known, the price you pay can sometimes vary depending on the time of day.  “Peak rates” are typically charged during the hours when demand is highest (like a blizzard, or heat wave).  Off-peak rates are typically charged during the hours when demand is lower, such as at night or during milder temperatures

In regulated markets, you’re stuck with the rate provided to you by your local utility.  In deregulated energy markets, you can shop around and attempt to find a better electric rate at another provider in your area.