20 guides
Guides
How electricity pricing actually works, explained against real tariff data.
-
The average electric bill in every state in 2025
US homes used 874 kWh a month in 2025 and paid an average $150.68. Bills ran from $95 in New Mexico to $208 in Hawaii.
-
The cheapest and most expensive electric utilities in 2025
Among 162 utilities serving 100,000+ households, the average price paid in 2025 ran from 10.5¢ per kWh to 45.8¢. 18 of the 20 priciest are investor-owned.
-
Co-op, city utility or investor-owned: who charges more?
In 2025, city utilities charged a median 13¢ per kWh, co-ops 14.3¢ and investor-owned utilities 17¢. Co-ops' fixed charges are more than double.
-
Does each extra kWh cost more? It depends where you live
Of 84 utilities with tiered residential rates, 43 charge more per kWh as usage rises, 23 charge less, and 11 do both: rising in summer, falling in winter.
-
Does electricity cost more in summer? At about half of utilities, yes
Of 174 utilities, 82 charge more for the same 1,000 kWh in July than in January, typically about $12 a month. 19 charge more in winter.
-
Heat with electricity? Your utility may have a cheaper rate for it
25 utilities file a rate for electrically heated homes. At 16 of the 22 that also offer a standard one, it costs less in January, typically $27 a month.
-
What utilities charged for electricity in 2025
Across 1,199 utilities, the average residential price rose a median 4.1% from 2024 to 2025. At 137 it rose 10% or more; at 227 it fell.
-
When is electricity most expensive? It depends on your utility
Across 95 utilities with time-of-use rates we found 49 different weekday peak windows. Nearly all include 5 to 6 pm; little else is shared.
-
How long the power was out in 2025, state by state
The average US customer went 4.5 hours without power in 2025, more than half of it on major storm days. In West Virginia, almost 17 hours.
-
Some utilities charge households for their peak demand
59 household tariffs at 27 utilities charge for peak demand, typically $8.58 per kW a month. From 2027, southern Nevada's homes will pay one by the day.
-
Smart meters reach most US homes, but not most of New England
87% of US residential meters were smart meters in 2025. In Massachusetts, Connecticut and New Hampshire, about one in five was, limiting the rates on offer.
-
Where homes net-meter rooftop solar, and where almost none do
Utilities report 5.5 million net-metered home solar systems, 41 per 1,000 households. Hawaii has 233; Tennessee and Alabama almost none.
-
The fixed charge on your bill has probably gone up
At 42 utilities with residential filings from both before 2015 and since 2020, 35 raised the monthly fixed charge — a median of about $5, from roughly $13.50 to $20.
-
Is time-of-use cheaper? If you change nothing, it depends on your utility
At 74 utilities offering both kinds of tariff to everyone, time-of-use was cheaper at 38 and dearer at 36 for a household that changes nothing.
-
Your utility probably offers more than one rate
At 104 utilities with more than one current residential tariff open to everyone, the cheapest option beat the middle one by a median $71 a year at 1,000 kWh a month — and by more than $250 at 21 of them.
-
How to read a time-of-use tariff
TOU rates can cut your bill or raise it, and the deciding factor is not the price — it is the shape of your usage.
-
Most US electricity rate data is out of date
The national tariff database re-verifies about 150 utilities a year. Everything else keeps whatever it was last filed with — and old filings run about 17% below what utilities actually charge.
-
Solar in 2026, without the federal tax credit
Section 25D ended on December 31, 2025. A home solar system bought in 2026 gets no federal credit at all — not a reduced one — and most payback advice still online predates that.
-
Your electricity rate is not what you think it is
The advertised per-kWh price leaves out fixed charges, adjustments and tier structure — and the gap can be 40% of your bill.
-
Why a smaller solar system pays back faster
Doubling your panel count does not double your savings. On a real Georgia Power tariff, a 3 kW system pays back in 13 years and a 12 kW system takes 21 to 41 — and past a certain size, extra panels cannot save you anything at all.