Table of Contents
Quick Facts About Electricity
Here are some of the most fascinating things about the energy that powers our world.
Electricity travels at the speed of light — about 186,000 miles per second. When you flip a light switch, the light turns on almost instantly.
In just one hour, the sun sends enough energy to Earth to power the entire world for a year. Solar panels capture a small part of that energy.
Natural gas is the #1 source of electricity in the U.S. It passed coal around 2016. Renewable sources like wind and solar are growing fast.
An electric car costs about 5¢ per mile to drive. A gasoline car costs about 13¢ per mile — that’s almost 3 times more expensive!
Electric eels can produce up to 860 volts — much stronger than the 120 volts that come out of the outlets in your home.
Your heating and air conditioning use more electricity than anything else in your home. They account for about half of a typical household’s energy use.
A bolt of lightning is about five times hotter than the surface of the sun — reaching temperatures of 30,000 Kelvin (53,500°F).
A single large wind turbine can power over 1,000 homes. Some modern wind turbines are taller than the Statue of Liberty.
The cost of solar panels has dropped by about 90% since 2010, making solar energy one of the cheapest ways to generate electricity today.
What is Electricity?
Everything around you — the air, your desk, even you — is made of incredibly tiny building blocks called atoms. Each atom has even smaller particles inside it, including electrons. When electrons move from one atom to the next in a chain, that flow of movement is what we call electricity.
Electricity is a secondary source of energy. That means we don’t dig it up out of the ground or find it floating in the air. Instead, we make it from other sources — sunlight, wind, natural gas, moving water, and more. We then send that electricity through wires so it can power everything from light bulbs to laptops.
You use electricity every single day, probably more than you realize. It charges your phone, runs the refrigerator, powers your school’s lights, and even keeps traffic signals working. It’s one of the most important inventions in human history.
The word “electricity” comes from the Greek word elektron, meaning “amber.” Ancient Greeks discovered that rubbing amber (fossilized tree sap) with fur created a static charge that attracted feathers and dust — one of the first observations of electrical force.
How is Electricity Made?
Electricity can be generated from many different sources. Some of these sources will eventually run out (non-renewable), while others are naturally replenished and will never run out (renewable).
Non-Renewable Sources
Non-renewable resources exist in limited supply. When we use them, they create waste and emissions, and they take millions of years to form again.
Natural Gas
The #1 source of electricity in the U.S. Natural gas is burned to heat water into steam, which spins a turbine connected to a generator. It produces less pollution than coal but still releases carbon dioxide.
Coal
Coal was once the most common source of electricity but has been declining for years. Like natural gas, coal is burned to create steam that turns turbines. It produces the most pollution of any energy source.
Nuclear Power
Nuclear plants split uranium atoms in a process called fission. This releases enormous amounts of heat to make steam. Nuclear produces no air pollution during operation but does create radioactive waste that must be carefully stored.
Renewable Sources
Renewable resources come from nature and never run out. They produce little to no pollution, making them better for the environment. Renewable energy is the fastest-growing type of electricity generation in the world.
Solar
Solar panels capture sunlight and convert it directly into electricity using special materials called photovoltaic cells. Solar farms can cover hundreds of acres, and many homes now have panels on their rooftops.
Wind
Wind turbines have huge blades that spin when the wind blows. This spinning motion drives a generator that produces electricity. Wind farms can be on land or offshore in the ocean.
Hydropower (Water)
Moving water — from rivers, waterfalls, or dams — flows through turbines to generate electricity. Hydropower is one of the oldest and most reliable sources of renewable energy.
Geothermal
Deep underground, the Earth is extremely hot. Geothermal plants tap into this heat to produce steam that drives turbines. Iceland generates nearly all of its electricity this way.
Biomass
Biomass means using natural materials — wood, crop waste, or even animal manure — as fuel. When burned, these materials produce heat that can generate steam and spin turbines, just like coal or gas.
In 2024, renewable energy sources (solar, wind, hydro, and others) generated more electricity than coal in the United States for the first time ever. Solar is now the fastest-growing energy source on the planet.
How Does Electricity Get to Your Home?
When you flip a switch, electricity arrives instantly — but it has already traveled a long journey to get there. Here’s how it works, step by step.
Generation
Electricity is made at power plants using natural gas, wind, solar, water, nuclear energy, or other sources. Large generators convert motion (usually spinning turbines) into electrical current.
Step-Up Transformer
Before electricity can travel long distances, a transformer boosts the voltage to very high levels (up to 765,000 volts). Higher voltage means the electricity loses less energy along the way.
Transmission Lines
Those tall towers with thick wires you see along highways carry electricity hundreds of miles from power plants to the cities and towns that need it.
Substation
At a substation, the voltage is reduced so the electricity is safe to travel through your neighborhood. Substations are the “off-ramps” of the electrical highway.
Distribution Lines
Smaller power lines carry the electricity through your neighborhood to individual homes, schools, and businesses.
Your Smart Meter
The electricity passes through a meter on the outside of your house. Modern smart meters digitally track how much energy your family uses and send that data automatically to your electricity company.
Your Outlets & Switches
From the meter, wires inside your walls carry electricity to every outlet and light switch. When you plug something in or flip a switch, the circuit is complete and current flows.
Today, many homes have solar panels on their rooftops that generate electricity right where it’s used — no long-distance transmission needed. Some homes even produce more electricity than they consume and send the extra power back to the grid!
Electric Vehicles (EVs)
Electric vehicles — or EVs — are cars, trucks, and buses that run on electricity instead of gasoline. Instead of a gas engine, they have an electric motor powered by a large rechargeable battery.
How Do EVs Work?
An EV has a big battery pack (usually under the floor of the car) that stores electrical energy. When you press the accelerator, the battery sends power to one or more electric motors that spin the wheels. EVs are very quiet because they don’t have a loud combustion engine.
How Do You Charge an EV?
Just like you charge a phone, you charge an EV by plugging it in. Most EV owners charge at home overnight using a special charger installed in their garage. There are also public charging stations at parking lots, shopping centers, and along highways for longer trips.
- Level 1 (standard outlet): Very slow — adds about 4 miles of range per hour. Good for overnight at home.
- Level 2 (home charger): Adds about 25–30 miles of range per hour. The most popular option for home charging.
- DC Fast Charging: Can charge most of the battery in 20–40 minutes. Found at highway rest stops and public stations.
EVs vs. Gasoline Cars
Driving an EV is much cheaper per mile because electricity costs less than gasoline. The average EV driver spends about $45–65 per month on electricity for driving, compared to $120–170 per month on gasoline for the same distance. That’s a savings of about $1,100 per year!
The first electric car was actually built in the 1830s — decades before the first gasoline car! Electric cars were popular in the early 1900s, but cheap gasoline and Henry Ford’s assembly line made gas cars dominant for over 100 years. Now, EVs are making a big comeback.
Want to see what it costs to charge an EV in your state? Check out our EV Charging Costs by State calculator.
Lightning
Lightning is electricity in nature. During a thunderstorm, water droplets and ice crystals inside thick clouds collide with each other, building up static electrical charges. When the charge difference between the cloud and the ground (or between two clouds) becomes large enough, a giant spark jumps across the gap — that’s lightning.
Types of Lightning
⚡ Forked Lightning
The classic “tree branch” pattern that reaches from cloud to ground. The most common type people see.
⚡ Sheet Lightning
Lights up an entire cloud from the inside. It’s actually regular lightning hidden behind clouds, so you see a bright flash instead of a bolt.
⚡ Anvil Crawler
Spectacular lightning that crawls across the bottom of a cloud, branching out in many directions. Best seen from a distance.
⚡ Dry Lightning
Lightning that strikes during a storm with little or no rain. It’s the leading natural cause of wildfires in places like California and Australia.
Lightning Safety
Lightning is beautiful from a distance but extremely dangerous up close. A single bolt can carry up to 300 million volts. Here’s how to stay safe.
- When thunder roars, go indoors. If you can hear thunder, you are close enough to be struck. Go inside a building or a hard-topped car immediately.
- Stay away from water. Lightning travels easily through water. Avoid pools, lakes, and puddles during a storm.
- Don’t stand under tall, isolated trees. Lightning tends to strike the tallest object in an area.
- Avoid metal objects. Stay away from metal fences, poles, bleachers, and golf clubs during storms.
- Wait 30 minutes after the last thunder before going back outside. Storms can still produce lightning even after rain stops.
“Lightning never strikes the same place twice.” Not true! Tall structures get struck regularly. The Empire State Building gets hit about 20–25 times per year. Lightning follows the path of least resistance, and tall objects provide that path consistently.
History of Electricity
No single person “invented” electricity. It took hundreds of years and many brilliant minds to understand it and put it to use. Here are some of the most important moments.
English scientist William Gilbert coined the word “electricus” (from the Greek word for amber) to describe the force created by rubbing certain materials together.
Benjamin Franklin flew a kite during a thunderstorm and proved that lightning is a form of electricity. He then invented the lightning rod to protect buildings.
Alessandro Volta created the first true electric battery, proving that electricity could flow through wires in a continuous current.
Michael Faraday built the first electric motor and later discovered electromagnetic induction — the principle behind every generator and transformer used today.
Thomas Edison demonstrated a practical incandescent light bulb that could last over 1,200 hours, making electric lighting viable for everyday use.
Edison opened the Pearl Street Station in New York City — one of the first commercial power plants in the world, serving 85 customers.
Nikola Tesla patented the alternating current (AC) motor. AC power could travel much farther than Edison’s direct current (DC), winning the famous “War of Currents.”
The Rural Electrification Act brought electricity to farms and rural areas across America. By 1950, over 90% of U.S. farms had power.
Bell Labs created the first practical silicon solar cell, converting sunlight directly into electricity. The space program would soon use solar panels to power satellites.
The Environmental Protection Agency (EPA) was created, leading to cleaner energy standards and pushing the industry toward less polluting ways to generate electricity.
The first large-scale commercial wind farm opened in California, proving that wind power could generate electricity for the grid at an industrial scale.
Pennsylvania became one of the first U.S. states to deregulate its electricity market, allowing residents to choose their electricity provider for the first time.
Tesla Motors delivered the first Tesla Roadster, an all-electric sports car with a range of over 200 miles. It proved electric cars could be fast, fun, and practical.
LED bulbs replaced incandescent lights in most homes, using up to 80% less energy. Home solar panel costs dropped by 90%, making rooftop solar affordable for millions of families.
Tesla Powerwall launched, bringing battery storage to homes. For the first time, families could store solar energy during the day and use it at night.
Renewable energy generated more electricity than coal in the U.S. for the first time. AI and data centers emerged as major new consumers of electricity, driving demand for more clean energy.
Solar is the fastest-growing energy source worldwide. Electric vehicles now make up a significant share of new car sales, and smart grids are helping manage electricity more efficiently than ever.
Energy Saving Tips for Kids
Saving energy is good for the planet and saves your family money. Here are simple things you can do every day to help.
Turn off lights when you leave a room. It’s one of the easiest ways to save electricity.
Use a fan instead of AC when possible. A ceiling fan uses about 10 times less electricity than an air conditioner.
Unplug chargers when they’re not in use. Even when nothing is charging, a plugged-in charger still draws a small amount of power (called “phantom energy”).
Close the fridge quickly. Every second the door is open, cold air escapes and the fridge has to work harder (and use more electricity) to cool down again.
Dress for the weather indoors. Wear a sweater instead of turning up the heat, or wear lighter clothes instead of blasting the AC.
Turn off your computer when you’re done using it. Screen savers don’t save energy — sleep mode or shutting down does.
Open curtains during the day to use natural sunlight instead of turning on lights.
Take shorter showers. Heating water uses a lot of energy. Cutting even 2 minutes off your shower can save energy over time.
Electricity Vocabulary
Understanding these terms will help you talk about electricity like a pro.
A unit that measures the amount of electrical current flowing through a wire — like measuring how much water flows through a hose.
A device that stores chemical energy and converts it to electrical energy. Batteries power everything from TV remotes to electric cars.
Large batteries (like the Tesla Powerwall) that store electricity for later use. They help homes and the grid save energy from solar panels for nighttime use.
When an area loses electrical power completely, usually caused by severe weather, equipment failure, or an overloaded grid.
The total amount of greenhouse gases (like carbon dioxide) produced by a person, business, or activity. Using renewable energy helps reduce your carbon footprint.
A complete loop or path that electricity follows. If the loop is broken (like when a switch is off), electricity can’t flow.
A material that allows electricity to pass through it easily. Metals like copper and aluminum are excellent conductors, which is why they’re used in wires.
The flow of electrons through a conductor. There are two types: alternating current (AC), used in homes, and direct current (DC), used in batteries.
A policy that allows consumers to choose their electricity provider instead of being limited to one utility company. Texas is one of the most well-known deregulated states.
A vehicle powered by an electric motor and rechargeable battery instead of a gasoline engine. EVs produce zero tailpipe emissions.
A safety device that breaks the circuit when too much current flows through it, preventing fires and damage to electronics.
A machine that converts mechanical energy (like spinning motion) into electrical energy. Power plants use very large generators.
The network of power plants, transmission lines, substations, and distribution lines that delivers electricity across a region or country.
A material that does not allow electricity to pass through it. Rubber, glass, and plastic are common insulators — that’s why wires are coated in plastic.
The standard unit for measuring electricity use. Using 1,000 watts for one hour equals 1 kWh. Your electricity bill is based on how many kWh your household uses each month.
Light Emitting Diode — a type of light bulb that uses up to 80% less energy than old incandescent bulbs and lasts 15–25 times longer.
Energy from sources that are naturally replenished: solar, wind, water (hydro), geothermal, and biomass. These sources don’t run out.
A modernized electrical grid that uses digital technology to monitor and manage electricity flow in real time, making delivery more reliable and efficient.
A digital electricity meter that automatically records and transmits your energy use data to the utility company, replacing old meters that had to be read in person.
A machine with blades that spin when pushed by steam, water, or wind. The spinning motion drives a generator to produce electricity.
A unit that measures electrical pressure — the force pushing electrons through a wire. A typical U.S. household outlet provides 120 volts.
A unit of electrical power. A 60-watt bulb uses 60 watts of power. 1,000 watts = 1 kilowatt (kW). 1,000,000 watts = 1 megawatt (MW).
Ready to See Real Electricity Rates?
Now that you know how electricity works, see what it actually costs in your area. Compare rates from top providers.
Compare Electricity Rates