If you’re reading this, you’re most likely trying to figure out which state has the cheapest electricity rates. Many large industries consume well over 10 million kilowatt-hours annually. With the rise of bitcoin and other cryptocurrencies, it is not uncommon to find a company shopping around for which state offers the lowest energy costs.
We’ll take a look at electricity rates for different sectors of the market including residential, commercial, and industrial, and do a state-by-state comparison to the national average.
According to the U.S. Energy Information Administration, the U.S. average for residential, commercial, and industrial is 13.08 cents/kWh, 10.41 cents/kWh, and 6.40 cent/kWh, respectively.
U.S. Average for Residential is 13.08 Cents Per kWh
| State | March 2020 | State | March 2020 |
|---|---|---|---|
Alabama | 12.77 cents/kWh | Hawaii | 33.10 cents/kWh |
Alaska | 22.32 cents/kWh | Idaho | 9.64 cents/kWh |
Arizona | 12.16 cents/kWh | Illinois | 13.17 cents/kWh |
Arkansas | 10.13 cents/kWh | Indiana | 12.19 cents/kWh |
California | 20.49 cents/kWh | Iowa | 12.40 cents/kWh |
Colorado | 12.04 cents/kWh | Kansas | 12.68 cents/kWh |
Connecticut | 23.30 cents/kWh | Kentucky | 10.76 cents/kWh |
Delaware | 12.95 cents/kWh | Louisiana | 9.08 cents/kWh |
Florida | 11.64 cents/kWh | Maine | 16.53 cents/kWh |
Georgia | 11.40 cents/kWh | Maryland | 13.59 cents/kWh |
Massachusetts | 22.80 cents/kWh | New Mexico | 12.47 cents/kWh |
Michigan | 16.05 cents/kWh | New York | 17.17 cents/kWh |
Minnesota | 12.85 cents/kWh | North Carolina | 11.68 cents/kWh |
Mississippi | 11.54 cents/kWh | North Dakota | 10.00 cents/kWh |
Missouri | 9.99 cents/kWh | Ohio | 11.78 cents/kWh |
Montanna | 11.32 cents/kWh | Oklahoma | 9.84 cents/kWh |
Nebraska | 10.55 cents/kWh | Oregon | 10.95 cents/kWh |
Nevada | 12.12 cents/kWh | Pennsylvania | 13.75 cents/kWh |
New Hampshire | 18.97 cents/kWh | Rhode Island | 23.25 cents/kWh |
New Jersey | 16.14 cents/kWh | South Carolina | 12.79 cents/kWh |
South Dakota | 11.18 cents/kWh | Tennessee | 10.81 cents/kWh |
Texas | 12.09 cents/kWh | Utah | 10.16 cents/kWh |
Vermont | 19.60 cents/kWh | Virginia | 12.27 cents/kWh |
Washington | 9.60 cents/kWh | West Virginia | 11.98 cents/kWh |
Wisconsin | 14.73 cents/kWh | Wyoming | 10.71 cents/kWh |
U.S. Average for Commercial is 10.41 Cents Per kWh
| State | March 2020 | State | March 2020 |
|---|---|---|---|
Alabama | 11.43 cents/kWh | Hawaii | 33.10 cents/kWh |
Alaska | 19.54 cents/kWh | Idaho | 7.47 cents/kWh |
Arizona | 9.59 cents/kWh | Illinois | 8.99 cents/kWh |
Arkansas | 8.46 cents/kWh | Indiana | 10.83 cents/kWh |
California | 15.57 cents/kWh | Iowa | 9.86 cents/kWh |
Colorado | 9.76 cents/kWh | Kansas | 10.24 cents/kWh |
Connecticut | 17.19 cents/kWh | Kentucky | 10.33 cents/kWh |
Delaware | 9.78 cents/kWh | Louisiana | 8.59 cents/kWh |
Florida | 9.34 cents/kWh | Maine | 12.74 cents/kWh |
Georgia | 9.70 cents/kWh | Maryland | 9.90 cents/kWh |
Massachusetts | 16.23 cents/kWh | New Mexico | 9.44 cents/kWh |
Michigan | 11.51 cents/kWh | New York | 13.33 cents/kWh |
Minnesota | 10.00 cents/kWh | North Carolina | 8.96 cents/kWh |
Mississippi | 10.53 cents/kWh | North Dakota | 8.81 cents/kWh |
Missouri | 8.05 cents/kWh | Ohio | 9.34 cents/kWh |
Montanna | 10.36 cents/kWh | Oklahoma | 7.08 cents/kWh |
Nebraska | 8.81 cents/kWh | Oregon | 8.99 cents/kWh |
Nevada | 7.68 cents/kWh | Pennsylvania | 8.62 cents/kWh |
New Hampshire | 15.43 cents/kWh | Rhode Island | 15.58 cents/kWh |
New Jersey | 12.08 cents/kWh | South Carolina | 10.22 cents/kWh |
South Dakota | 9.24 cents/kWh | Tennessee | 10.70 cents/kWh |
Texas | 7.84 cents/kWh | Utah | 8.11 cents/kWh |
Vermont | 16.42 cents/kWh | Virginia | 8.10 cents/kWh |
Washington | 8.96 cents/kWh | West Virginia | 9.60 cents/kWh |
Wisconsin | 10.79 cents/kWh | Wyoming | 9.36 cents/kWh |
U.S. Average for Industrial is 6.40 Cents Per kWh
| State | March 2020 | State | March 2020 |
|---|---|---|---|
Alabama | 5.36 cents/kWh | Hawaii | 26.15 cents/kWh |
Alaska | 16.35 cents/kWh | Idaho | 5.16 cents/kWh |
Arizona | 5.31 cents/kWh | Illinois | 6.63 cents/kWh |
Arkansas | 5.38 cents/kWh | Indiana | 6.60 cents/kWh |
California | 12.37 cents/kWh | Iowa | 6.19 cents/kWh |
Colorado | 7.12 cents/kWh | Kansas | 7.22 cents/kWh |
Connecticut | 13.64 cents/kWh | Kentucky | 5.07 cents/kWh |
Delaware | 6.96 cents/kWh | Louisiana | 4.66 cents/kWh |
Florida | 7.17 cents/kWh | Maine | 8.92 cents/kWh |
Georgia | 5.05 cents/kWh | Maryland | 7.62 cents/kWh |
Massachusetts | 13.88 cents/kWh | New Mexico | 5.34 cents/kWh |
Michigan | 7.08 cents/kWh | New York | 5.24 cents/kWh |
Minnesota | 7.46 cents/kWh | North Carolina | 5.84 cents/kWh |
Mississippi | 5.87 cents/kWh | North Dakota | 8.48 cents/kWh |
Missouri | 5.89 cents/kWh | Ohio | 5.45 cents/kWh |
Montanna | 4.89 cents/kWh | Oklahoma | 4.07 cents/kWh |
Nebraska | 8.22 cents/kWh | Oregon | 5.87 cents/kWh |
Nevada | 4.61 cents/kWh | Pennsylvania | 6.11 cents/kWh |
New Hampshire | 12.94 cents/kWh | Rhode Island | 15.48 cents/kWh |
New Jersey | 10.14 cents/kWh | South Carolina | 5.49 cents/kWh |
South Dakota | 7.63 cents/kWh | Tennessee | 5.45 cents/kWh |
Texas | 5.39 cents/kWh | Utah | 5.57 cents/kWh |
Vermont | 10.85 cents/kWh | Virginia | 6.59 cents/kWh |
Washington | 4.86 cents/kWh | West Virginia | 5.76 cents/kWh |
Wisconsin | 7.28 cents/kWh | Wyoming | 6.82 cents/kWh |
Factors that Affect Electricity Rates
- Where you live – There are geographical factors that play a role in the price of electricity. For example, due to its abundance of natural resources and flat landscape, Texas leads the nation in the net-generation of power.
- Time of year – The fall and spring seasons bring mild weather which tends to reduce the demand for energy. During hot summers or cold winters, the demand for air-conditioning or heating can drive up energy costs
- Time of day – On and off-peak hours play an important role in energy prices. On-peak hours refer to the time of day when demand for electricity is at its highest. Off-peak hours are the time when the demand is at its lowest.