CostByState

What It Costs to Keep the Lights On: The Priciest States for Electricity in 2026

Electricity prices vary more than 3x across the country. Here’s where the typical bill hurts most — and why.

By Michael Dang, CostByState Research Team · 2026-07-09

Electricity is the quietest line in your budget — auto-paid, rarely questioned, and easy to write off as "just the bill." But it's one of the most unequal costs in American life. The price of a kilowatt-hour varies more than 4.2× from the cheapest state to the priciest, which means two households running identical appliances can pay wildly different amounts for the same electrons. With rates climbing across much of the country, it's worth knowing where your state stands.

At about 900 kilowatt-hours a month — roughly a typical household's use — that price gap turns into a real difference in the monthly bill.

Priciest states for residential electricity cents per kilowatt-hour Hawaii 52.0¢ California 33.3¢ New York 29.9¢ Rhode Island 29.5¢ Massachusetts 28.8¢ Maine 28.6¢ Alaska 28.2¢ Connecticut 27.4¢
Residential retail price · Source: US Energy Information Administration, Electric Power Monthly · chart: CostByState

Hawaii tops the table at about 52.0¢ per kilowatt-hour — around $468 a month at typical usage. At the other end, Idaho pays roughly 12.3¢, or about $111 a month for the same power. Over a year, that single line item differs by more than $4,282 between the two states — before anyone turns on a second air conditioner.

Why prices vary so much

Three things drive the spread. Fuel mix: states with abundant hydro, natural gas, or nuclear tend to be cheaper; those reliant on imported fuel or isolated grids (islands and the far Northeast) pay more. Geography: long transmission distances and extreme weather raise delivery costs. And policy: state regulation, grid investment, and clean-energy mandates all show up in the rate. It's a reminder that "cost of living" isn't only housing — the utilities underneath it swing budgets too.

What you can actually do about it

You can't move the grid, but the bill isn't entirely fixed. In states with deregulated retail markets you can shop suppliers; time-of-use plans reward shifting laundry and EV charging to off-peak hours; and the biggest lever is usage itself — heating and cooling are the largest slice, so insulation, a smart thermostat, and an efficient heat pump pay back fastest in high-rate states. If you're weighing a move, remember electricity is one piece of a much bigger cost-of-living picture.

See how energy folds into the full monthly budget for any state on its cost-of-living page, or compare two states side by side in the comparison tool.

Methodology

Prices are the average residential retail electricity price from the US Energy Information Administration's Electric Power Monthly, shown on each state page with its as-of date. Estimated monthly bills assume 900 kWh of use for comparability; your actual usage depends on home size, climate, and appliances. See our methodology.

Figures are computed from CostByState's cited data (see methodology) and updated monthly. For educational purposes only, not financial advice.