Average Residential Electricity Rates by State

Payless Power has an interesting infographic on 2025 Residential Electricity Rates by State

The residential electricity rates listed below are shown in cents per kilowatt-hour (kWh), a measurement that indicates the amount of energy used that is equal to consuming 1000 watts per hour. On average, U.S. residents consume around 887 kWh per month [Mish note that is a 2022 average], which is then multiplied by the rate to determine overall electricity cost. Along with the current rates, the table also provides rates for the previous year and the percentage of increase or decrease of the rate change.

Variability of Electricity Rates by State

Over time, state electricity rates may be subject to changes that cause them to move up and down within rankings. Some trends remain the same, even with these movements, with the most remote or densely populated areas often the costliest.

Other influences on cost include weather conditions, as areas with severe heat or cold are susceptible to energy-use spikes based on how residents to counteract the climate. Often that can mean tapping into a home's heating and cooling capabilities, which presents the greatest energy cost for homes nationwide. Other chart averages can be impacted by statewide rate adjustments, which can be particularly sensitive to the swings that often occur.

How Texas Compares

According to the EIA chart, Texas residents are right in the middle of the pack. At an average price of 15.45 per kWh, Texas ranks 22nd in terms of average price per kWh. While that might not seem impressive, it is when you consider that Texas is a high energy consumption state. The hot climate and population size play a big role in consumption and power demand, yet we pay less than other Southern states like Alabama and Florida.

Electricity Cost 10 Highest States