Compare Electricity Rates by State [2022 Best Energy Suppliers]
Here’s a quick overview of electricity rates in the U.S.:
- Current average retail rate of electricity: 14.29 cents/kilowatt-hour
- Average monthly electric bill: $118.37
- Average monthly energy usage: 829 kWh/month
Why You Can Trust EcoWatch
Our renewable energy experts have conducted hours of research and collected dozens of data points to determine the best energy rates in America. We’ve also unbiasedly ranked and reviewed numerous energy companies to empower you to make the right choice for your home.
Whether you’re moving to a new area and looking for power connection or simply shopping for the best electricity rates, EcoWatch is here to help. We’ve narrowed down the top renewable electricity providers in America, and by using this tool or clicking the links below, you can compare prices and find the right plan for you.
Nationwide Service
Average cost
Constellation Energy
-
Many years of experience -
Great industry reputation
-
Award-winning company
-
No.1 producer of carbon-free energy in the U.S.
-
Makes charitable contributions
-
Charges contract cancellation fees
-
No prepaid or no-deposit plans
Many years of experience 
Charges contract cancellation fees Services Offered
-
100% Renewable Energy Plans
-
Fixed-Rate Plans
-
Variable-Rate Plans
-
Home Solar
100% Renewable Energy Plans
Nationwide Service
Average cost
Green Mountain Energy
-
Green-e certified plans
-
Wide variety of contract term options
-
Low number of customer complaints
-
Many years of experience
-
Makes charitable contributions
-
Charges contract cancellation fees
-
No prepaid or no-deposit plans
-
No satisfaction guarantee
Services Offered
-
100% Renewable Energy Plans
-
Fixed-Rate Plans
-
Variable-Rate Plans
-
Home Solar
-
Month-to-Month Plans
Nationwide Service
Average cost
Clearview Energy
-
Many years of experience
-
Makes charitable contributions
-
Values transparency
-
All plans use clean energy
-
Low rates
-
Charges contract cancellation fees
-
Some reports of misleading door-to-door sales
Services Offered
-
100% Renewable Energy Plans
-
Fixed-Rate Plans
-
Variable-Rate Plans
-
Prepaid Plans
-
Business Energy Plans
Jump To: Overview | Electricity Prices by State | Most Expensive States | Cheapest States | Deregulated Energy States | Finding the Best Rates | Types of Electricity Plans | Best Companies | Finding the Right Plan | FAQ
Overview of U.S. Energy Rates
The average U.S. electricity price sits at about 14.29 cents per kilowatt-hour (kWh) as of January 2022, which is about .94 cents higher than it was in January 2021.1 While less than a penny may not seem like much, it’s a 7% increase in price in a single year.
And remember, the increase in price is per kilowatt-hour. With the average electricity consumption in the U.S. at about 829 kWh per month, the average consumer is paying about $8 more per month compared to a year ago — or $96 more per year.
However, people living in deregulated energy markets can have a bit more control over how much they spend on electricity, as they can choose their own provider. Trying to understand the concept of deregulated energy can be a hassle, so we’ve broken down what you need to know in this article.
Comparing Electricity Prices by State
Energy rates vary greatly between states, from 9.43 cents per kilowatt-hour (kWh) in Nebraska all the way up to 37.44 cents/kWh in Hawaii.2
The tables below show electricity rates by state as of January 2022. At the time of publication, this is the most recent data published by the U.S. Energy Information Administration (EIA).
Keep in mind that rates can fluctuate depending on where you live (even within your state), as well as electricity supply and demand, weather conditions and your utility provider. Most utility rates are regulated by your local public utility commission.
Cost of Electricity per kWh by State
| State | Electricity Rate (cents/kWh) | Average Monthly Bill | % Increase Year over Year (2020/2021) |
| U.S. | 14.29* | $118.37* | 7% |
| AK | 21.82 | $120.45 | 2% |
| AL | 12.86 | $147.25 | 4% |
| AR | 10.33 | $109.50 | 9% |
| AZ | 12.37 | $137.80 | 5% |
| CA | 23.58 | $134.88 | 9% |
| CO | 13.61 | $96.77 | 11% |
| CT | 22.28 | $158.41 | 4% |
| DC | 13.18 | $92.79 | 7% |
| DE | 12.24 | $114.08 | 4% |
| FL | 13.36 | $152.57 | 13% |
| GA | 11.63 | $125.72 | 6% |
| HI | 37.44 | $201.05 | 18% |
| IA | 10.97 | $94.89 | 1% |
| ID | 9.9 | $94.55 | -2% |
| IL | 13.12 | $94.60 | 6% |
| IN | 13.41 | $125.79 | 9% |
| KS | 12.69 | $112.05 | 7% |
| KY | 11.93 | $128.01 | 12% |
| LA | 11.2 | $134.51 | 14% |
| MA | 25.28 | $152.19 | 12% |
| MD | 13.4 | $128.24 | 6% |
| ME | 18.32 | $104.42 | 10% |
| MI | 17.13 | $115.80 | 1% |
| MN | 12.71 | $98.50 | 2% |
| MO | 10.08 | $103.62 | 7% |
| MS | 11.48 | $131.56 | 5% |
| MT | 10.67 | $91.55 | 0% |
| NC | 10.88 | $113.26 | 3% |
| ND | 9.44 | $102.42 | 0% |
| NE | 9.43 | $95.53 | 0% |
| NH | 21.26 | $133.94 | 11% |
| NJ | 16.32 | $111.47 | 1% |
| NM | 13.12 | $87.90 | 4% |
| NV | 12.93 | $125.81 | 11% |
| NY | 21.01 | $126.48 | 13% |
| OH | 12.53 | $109.39 | 5% |
| OK | 10.16 | $109.52 | 12% |
| OR | 10.86 | $99.48 | -1% |
| PA | 14.19 | $120.05 | 8% |
| RI | 23.56 | $139.95 | 1% |
| SC | 12.73 | $137.61 | 6% |
| SD | 11.03 | $114.38 | 0% |
| TN | 11.51 | $134.44 | 10% |
| TX | 12.24 | $138.56 | 7% |
| UT | 10.29 | $79.13 | 2% |
| VA | 12.1 | $132.50 | 9% |
| VT | 19.34 | $109.66 | 5% |
| WA | 9.92 | $96.12 | 2% |
| WI | 14.82 | $102.85 | 5% |
| WV | 11.95 | $125.59 | 6% |
| WY | 10.28 | $89.33 | -2% |
10 States With the Highest Electricity Rates
Hawaii currently has the highest average electricity rate (37.44 cents per kWh) across the residential sector.
| State | Electricity Rate (cents/kWh) |
| HI | 37.44 |
| MA | 25.28 |
| CA | 23.58 |
| RI | 23.56 |
| CT | 22.28 |
| AK | 21.82 |
| NH | 21.26 |
| NY | 21.01 |
| VT | 19.34 |
| ME | 18.32 |
10 States With the Lowest Electricity Rates
Nebraska currently has the lowest average electricity rate (9.43 cents per kWh) across the residential sector.
| State | Electricity Rate (cents/kWh) |
| NE | 9.43 |
| ND | 9.44 |
| ID | 9.9 |
| WA | 9.92 |
| MO | 10.08 |
| OK | 10.16 |
| WY | 10.28 |
| UT | 10.29 |
| AR | 10.33 |
| MT | 10.67 |
What Is Deregulated Energy?
Deregulated energy markets give consumers the power to choose their own electricity supplier. Lawmakers see this as a way to eliminate regulated energy rates and monopoly providers, creating competition and, theoretically, lowering the price of electricity.
Remember, while you can choose your energy supplier in a deregulated market, you cannot choose your energy delivery provider (aka your public utility company). For example, in Houston, most residents will have their electricity delivered by CenterPoint Energy, but they can choose which company will be their energy supplier (i.e. Frontier Utilities, TXU Energy, 4Change Energy, etc.).
Read Also: What’re the electricity rates in New jersey?
States With Deregulated Energy Markets
As of 2022, there are 29 states with deregulated energy sectors. Fifteen states have deregulated electricity and natural gas, 12 only have natural gas and two only have electric.
However, even in states with deregulated energy markets, the entire state may not be deregulated. For instance, in Texas, Houston and Dallas residents can choose their own energy supplier, while Austin and San Antonio residents are required to choose the provider that has a claim to that respective city.
States with deregulated electricity include California, Connecticut, Delaware Illinois, Massachusetts, Maryland, Maine, Michigan, New Hampshire, New Jersey, New York, Ohio, Oregon, Pennsylvania, Rhode Island, Texas and Washington, D.C.
How to Find the Best Electricity Rates in States with Deregulated Energy
When searching for the best electricity rates, keep in mind that rates and the average cost of electricity can vary based on numerous factors, so you may be given a different electric rate than that of your neighbors. Here are a few things to consider:
Your Energy Usage
The amount of electricity your household consumes may affect the rate you pay per kWh. Most retail electricity providers, or REPs, offer tiered plans based on average energy usage. Tiered-rate energy plans are often called “V-shaped plans” because the rates are more expensive for people who use the least and most amounts of energy and are lowest for those in the middle.
For example, in a typical tiered plan, customers who use around 500 kWh or 1,500 kWh per month will pay more than those who use around 1,000 kWh per month. According to the EIA, the average U.S. homeowner uses 829 kWh per month.3
Contract Length
The length of your contract will also play a role in the cost of electricity. As with most services, the longer you commit to one provider, the better deal you’ll get. We’ll discuss the different types of electricity plans in the next section.
A word of caution: Read the fine print and ask questions before you sign. Many contracts come with startup fees as well as cancellation fees for early termination. And while some Texas electricity providers advertise a $10 cancellation fee, the fine print may read that it’s really $10 per month left on the contract.
To find the best electricity rates, we recommend comparing prices from a few companies. As a trusted energy information source, EcoWatch is often able to secure discounted rates for our readers. You can use this tool or click below to be connected with local energy providers near you.
Types of Energy Plans
Most electric companies have a few plan options for customers to choose from. Here’s an overview of the different types offered by most companies, as well as their advantages and disadvantages, so you can pick what’s best for your household.
Fixed-Rate Plans
Just as it sounds, a fixed-rate plan allows you to secure a rate that will stay the same throughout the entire duration of your contract. Note that “fixed rate” does not mean that your electric bill will be exactly the same every month. Instead, it means the rate you pay per kilowatt-hour (kWh) of electricity won’t change. So, your bills will still be higher during months you use more electricity.
| Pros of a Fixed-Rate Energy Plan | Cons of a Fixed-Rate Energy Plan |
| You’ll have a better idea of what to expect when it comes to budgeting. | If you cancel early, you could be subject to an early termination fee (ETF) — unless you’re moving to an address outside the provider’s service area. |
| Your rates remain locked in if energy costs rise. | Some fixed-rate plans will turn into variable-rate plans upon contract expiration. Be sure to read the fine print and ask your energy provider specific questions about length and price. |
Variable-Rate Plans
If you prefer paying month to month instead of being locked into a length-based contract, you may consider a variable-rate electric plan. Variable rate means — you guessed it — the price you pay is based on variables in the energy market. The price per kWh will increase or decrease depending on supply and demand.
| Pros of a Variable-Rate Energy Plan | Cons of a Variable-Rate Energy Plan |
| If the price of energy drops, there may be some months where a variable-rate electric customer will be paying less per kWh than someone on a fixed-rate plan. | Variable rates can be very risky given that extreme weather or other factors can suddenly — and drastically — increase the price of electricity. |
| Contracts usually don’t have early termination fees. |
No-Deposit and Prepaid Energy Plans
Many power plans require a deposit upon signing a contract to protect the REP from losses should a customer be unable to pay their energy bill. However, certain companies will offer a no-deposit electricity plan option so long as a customer passes a credit check. If the customer doesn’t have a high enough credit score for a no-deposit plan, they can still avoid paying a deposit by opting for a prepaid, or “pay-as-you-go,” electricity plan.
With a prepaid plan, the customer pays in advance for a set amount of electricity, then can track their electricity usage online and can reload the account when it runs low. However, rates are not fixed in a prepaid plan, so it can be harder to plan out expenses.
| Pros of a Prepaid Energy Plan | Cons of a Prepaid Energy Plan |
| The obvious — no deposit. | You’ll have to pay for your electricity upfront and remember when to top up your meter. |
| You have total control over how much you spend on your electricity. | Your power will be automatically shut off if you hit the threshold of electricity you paid for (this can be avoided by actively monitoring your usage or enrolling in an auto-pay plan). |
| You don’t have to sign a contract that may come with cancellation fees. | You’ll often pay a higher rate per kWh compared to other plans. |
Green Energy Plans
Green energy plans are those that supply electricity from renewable energy sources, like wind, hydro or solar energy.
Some REPs may have Green-e Verification or a similar certification to ensure that the electricity is responsibly generated, transmitted and distributed. Non-green energy plans will often include a percentage of their total energy from renewable sources, usually ranging from 6-25%.
Most green energy REPs will still offer variable- and fixed-rate plan options; the main difference is where the energy comes from.
| Pros of a Green Energy Plan | Cons of a Green Energy Plan |
| You can feel good about where your electricity is coming from. | On average, renewable plans cost around 1 cent per kWh more than non-renewable plans. (If you use 1,000 kWh per month, that will be about a $10 to $15 difference.) |
| You can support clean energy without the high upfront cost of solar or wind. | They’re not offered by all energy companies, so you’ll have more limited options when choosing a provider. |
Business Energy Plans
Not all REPs will provide commercial electricity. If you need an energy supplier for your business, you’ll want to look for a provider that offers business energy rates. Business energy plans may also be needed for industrial and government buildings, as well as schools and churches.
Most business energy plans come in variable or fixed-rate options. Commercial electricity rates also tend to be cheaper than residential ones.
Best Electricity Companies and Providers in America
There are thousands of energy providers across the country, some serving multiple states. Here at EcoWatch, we strive for a healthier planet and encourage our readers to live more sustainably when feasible. As such, we’ve chosen to highlight some of the best electric companies that offer 100% renewable energy options. You can click here to start comparing rates from these providers and more.
| Provider | States Served | Cheapest Electricity Rate* (¢/kWh) | Plan Length (Months) | Percent of Renewable Energy |
| Clearview Energy | DE, IL, MA, ME, MD, NJ, NY, OH, PA, RI, TX & D.C. | 7.79 | 6 | 100% |
| Constellation Energy | CT, DE, GA, ID, IL, KY, MA, MD, MI, NE, NJ, NY, OH, PA, VA, WY & D.C. | 11.0 | 36 | Offers 100% options; other plans are 18.5% renewable |
| Green Mountain Energy | IL, MA, MD, NJ, NY, PA, TX | 14.8 | 24 | 100% |
| Gexa Energy | CA, TX | 8.2 | 12 | 100% |
| Verde Energy | CT, DE, MA, NJ, NY, OH, PA, | 15.79 | 12 | 100% |
What to Look For When Choosing an Electricity Provider
Whether you’ve just moved to a deregulated energy market or you’re looking to save money by switching companies, here are five main things you should look out for when choosing an electricity provider:
- Types of plans offered: Not every REP will offer fixed-rate, variable and no-deposit energy plans. If you’re looking for cheap electricity rates, check to see if a company offers “saver” plans or monthly bill credits or incentives that can lower your rates.
- Where the energy is coming from: We recommend companies that offer 100% renewable plans from solar or wind energy. If the company does not specify where its electricity comes from, it’s likely natural gas.
- Electricity rates – and the fine print: Many customers shopping for a new energy provider will be looking for the cheapest electricity rates, but if the prices look too good to be true, be sure to read the fine print. Some companies will offer low rates for short-term contracts with a fine-print clause that eventually turns the plan into a variable-rate or higher-priced option. Be wary of this, as companies with misleading advertising may not have your best interests in mind.
- Company history: In most cases, you’ll want to choose an energy supplier with a proven track record of quality service in your area. You also may want to do some research to find out if there’s a parent company. Some companies that offer renewable energy plans are backed by oil companies like Shell.
- Customer reviews: No one enjoys having to pay for electricity service, and outages can be frustrating no matter your energy supplier. But an excessive number of negative customer reviews is probably a warning sign to steer clear of a company. On the other hand, tons of positive reviews are a good sign that a company is likely honest and accommodating.
Other Popular Providers in America
EcoWatch has chosen to feature providers that align with our mission and, in most cases, offer 100% renewable energy. Here are some of the other electricity providers that may or may not hit that goal but that are popular options:
| Provider | States Served | Lowest Available Rate (¢/kWh)* | Plan Length (months) | Percent of Renewable Energy |
| Direct Energy | All 50 States | 12.8 | 36 | 20% in each plan; 100% renewable option |
| Frontier Utilities | IL, NJ, OH, PA, TX | 7.6 | 24 | 15% in each plan; 100% renewable plan options in some areas |
| Just Energy | IL, DE, MA, MD, NJ, NY, OH, PA, TX | 9.2 | 12 | 15% in each plan; 100% renewable options |
| NRG (Reliant Energy in TX) | CT, DE, IL, MA, MD, NJ, NY, OH, PA, TX & D.C. | 11.7 | 36 | Offers 100% renewable plans |
| Payless Power | TX | 16.5 | 12 | 20% in each plan |
| Pulse Power | TX | 12.1 | 36 | At least 20% in each plan; 100% renewable plan options |
| Reliant Energy | TX | 11.7 | 36 | 15% in each plan; 100% renewable plan option |
| TriEagle Energy | TX | 10.4 | 36 | 6% in each plan; 100% renewable option |
FAQ: U.S. Electricity Plans
At EcoWatch, we receive questions every day about the energy market in the U.S. Here are some of the most common questions we see, along with our answers.
If you’re looking for cheap electricity rates, move to Nebraska. According to January 2022 data from the Energy Information Administration (EIA), Nebraska has the cheapest electricity rates at 9.43 cents/kWh.4
Hawaii has the most expensive energy by far, coming in at 37.44 cents/kWh. For perspective, Massachusetts is the next most expensive energy state at 25.28 cents/kWh.5
The best deregulated energy provider will depend on your location and preferences, but some of the most common names we hear that offer 100% renewable energy include Constellation, Gexa and Green Mountain Energy.
According to our calculations based on EIA data, the average monthly electric bill in America is $118.37.
With deregulation, the best way to lower your electricity bill is to compare quotes from multiple providers and choose the one that’s going to offer you the best deal over time. If you’re looking for the cheapest energy plan, look for providers that offer things like “saver” plans, free nights or weekends, or monthly bill credits.
You can also work to lower your overall electricity use by making more conscious decisions to turn off lights, better insulate your home, mind the thermostat and use more power strips. Follow these tips for more ways to be energy-efficient at home.
It’s hard to single out the best energy plan in America, because there are thousands to choose from and what’s best for one customer may not be the best for another.
We recommend you look at the plans offered by Constellation, Gexa and Green Mountain Energy and find one that works best for your household. Or, use this link to get connected to the best energy providers in your area.
Related Energy Guides
