Why Electricity Prices Differ So Much by State
Electricity costs several times more per kWh in some states than others. EIA data shows how fuel mix, grid costs, regulation and climate drive the gap.
Updated with EIA data for August 2026
In August 2026, the average residential electricity rate in California was 29.75¢ per kilowatt-hour (kWh), 64% higher than the US average of 18.16¢. That makes California the 4th most expensive of the 50 states and DC. Prices fell 3.8% from August 2025 (30.92¢).
| Year | Avg rate | Avg monthly bill | Avg monthly use |
|---|---|---|---|
| 2026 (8 mo) | 32.58¢ | $168 | 515 kWh |
| 2025 | 31.35¢ | $155 | 494 kWh |
| 2024 | 31.97¢ | $161 | 503 kWh |
| 2023 | 29.51¢ | $145 | 491 kWh |
| 2022 | 25.84¢ | $138 | 535 kWh |
| 2021 | 22.82¢ | $124 | 542 kWh |
| 2020 | 20.45¢ | $117 | 572 kWh |
| 2019 | 19.15¢ | $102 | 532 kWh |
| 2018 | 18.84¢ | $103 | 546 kWh |
| 2017 | 18.31¢ | $101 | 554 kWh |
Rates are weighted by kWh sold. Bills and usage are averages per residential customer.
| Sector | Rate | A year earlier |
|---|---|---|
| Residential | 29.75¢ | 30.92¢ |
| Commercial | 30.02¢ | 29.24¢ |
| Industrial | 24.12¢ | 23.84¢ |
| Transportation | 19.26¢ | 17.61¢ |
| All sectors | 29.02¢ | 28.88¢ |
At California's 12-month average residential rate of 32.34¢ per kWh, here is the energy cost for common monthly usage levels, next to the US average. Fixed customer charges, taxes and fees vary by utility and are not included.
| Monthly use | California | US average |
|---|---|---|
| 250 kWh | $80.85 | $45.40 |
| 500 kWh | $161.70 | $90.80 |
| 750 kWh | $242.55 | $136.20 |
| 1,000 kWh | $323.40 | $181.60 |
| 1,500 kWh | $485.10 | $272.40 |
| 2,000 kWh | $646.80 | $363.20 |
Over the last 12 months, the average residential rate ranged from 29.75¢ (August 2026) to 35.29¢ (April 2026), and homes used the most electricity in August 2026 (789 kWh on average).
| Month | Avg rate | Avg bill | Avg use |
|---|---|---|---|
| August 2026 | 29.75¢ | $235 | 789 kWh |
| July 2026 | 33.61¢ | $192 | 571 kWh |
| June 2026 | 34.74¢ | $165 | 474 kWh |
| May 2026 | 33.25¢ | $136 | 408 kWh |
| April 2026 | 35.29¢ | $138 | 392 kWh |
| March 2026 | 33.28¢ | $154 | 462 kWh |
| February 2026 | 33.22¢ | $140 | 420 kWh |
| January 2026 | 30.29¢ | $183 | 604 kWh |
| December 2025 | 29.95¢ | $140 | 469 kWh |
| November 2025 | 32.03¢ | $133 | 416 kWh |
| October 2025 | 33.62¢ | $151 | 448 kWh |
| September 2025 | 31.89¢ | $200 | 627 kWh |
California's 12-month average rate is higher than all of its neighbors.
| State | 12-mo avg rate | Avg monthly bill | Rank |
|---|---|---|---|
| California | 32.34¢ | $164 | #2 |
| Arizona | 15.39¢ | $162 | #31 |
| Nevada | 13.45¢ | $122 | #46 |
| Oregon | 15.53¢ | $131 | #28 |
| Appliance | Typical wattage | Cost per hour |
|---|---|---|
| Space heater | 750–1,500 W | $0.24–$0.49 |
| Refrigerator | 725 W | $0.23 |
| Clothes dryer | 1,800–5,000 W | $0.58–$1.62 |
| Washing machine | 350–500 W | $0.11–$0.16 |
| Dishwasher | 1,200–2,400 W | $0.39–$0.78 |
| Electric water heater | 4,500–5,500 W | $1.46–$1.78 |
| Microwave | 750–1,100 W | $0.24–$0.36 |
| Window fan | 55–250 W | $0.02–$0.08 |
All appliance costs · Appliance cost calculator for California
In California, most households buy electricity from their local utility at regulated rates, so shopping for a different supplier is usually not an option. The best ways to lower your bill are to reduce usage and check whether your utility offers time-of-use or other rate plans.
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The average residential electricity rate in California was 29.75¢ per kWh in August 2026. Over the past 12 months it averaged 32.34¢ per kWh.
The average residential customer in California paid $235 for 789 kWh in August 2026, based on EIA revenue, sales and customer counts.
In August 2026, California's average rate of 29.75¢ was 64% higher than the US average of 18.16¢.
Generally no. Most California households buy electricity from their local utility at regulated rates.
Source: U.S. Energy Information Administration (EIA), Form EIA-861M monthly sales and revenue data. Latest month: August 2026. Recent months may be preliminary and revised by EIA. See how we calculate.