Are You Paying More Than Average for Electricity

What do you pay for your electricity each month on average? Do you think that you use less electricity than your neighbors do or more? Do you think that the rates that you’re paying are about average for your region of the country? You might be surprised to learn what the average electricity bill is for people throughout the country.

Average Electricity Use in United States (2007)

The U.S. Energy Information Administration reported on the average energy use in the United States in 2007. At that time, the average residential monthly electricity use was 920 kWh and the average price per kwH paid was approximately 10.4 cents. This resulted in an average electricity bill of $95.66 per month.

Rates Have Risen Slightly

The same reporting body indicates that rates have risen slightly since the 2007 report. The average amount of money that Americans paid per kWh in December 2009 was 11.55 cents.

Prices Vary by Region and by State

The average price that people pay for electricity based on the per kWh price varies significantly from region to region. For example, the non-contiguous states (Alaska and Hawaii) pay an average of 21.34 cents per kWh. In contrast, the West North Central States (including Iowa, Nebraska and Minnesota among others) are paying only 9.07 cents per kWh. Within each region, the amount can vary from state to state. For example, Vermont and Connecticut are both in New England where the average rate is 17.5 cents per kWh but Vermont averages only 14.9 cents per kWh whereas Connecticut averages 20.36 cents per kWh.

Use Clearly Affects Average Bills

The price of electricity isn’t the only thing that affects the total cost of the bill, of course. It also depends on how much electricity you use. Places that are interested in conserving electricity tend to have lower electric bills even when they pay more per kWh than other places. For example, the states on the West coast (OR, WA and CA) pay slightly more than average at 12.37 cents per kWh but their total monthly bills are only around $83, which is considerably lower than average. This is because these areas have strong energy-saving efforts in place. Notably, Californians pay an average of more than 15 cents per kWh but still have a monthly bill averaging among the nation’s lowest at just $82. Saving energy definitely saves you money on your electric bill no matter where you live!