Electricity rates · July 2026
Electricity rates in Michigan
Homes in Michigan paid an average of 23.05¢ per kWh in July 2026 — well above the U.S. average of 18.31¢ and up 12.2% from a year earlier. It ranks #13 of 51 (50 states and D.C.), from most to least expensive.
- Residential price per kWh
- 23.05¢
- U.S. 18.31¢
- Commercial price per kWh
- 16.46¢
- U.S. 14.53¢
- Industrial price per kWh
- 9.81¢
- U.S. 9.77¢
- All sectors price per kWh
- 17.43¢
- U.S. 14.99¢
What electricity costs per month in Michigan
Cost at the state average residential price, which includes taxes and fees. Your utility's rates may differ. Try your own kWh.
| Monthly use | Michigan | U.S. average |
|---|---|---|
| 500 kWh | $115 | $92 |
| 900 kWh | $207 | $165 |
| 1,200 kWh | $277 | $220 |
| 1,500 kWh | $346 | $275 |
Michigan vs. the East North Central region
Residential price per kWh, July 2026, and change from a year earlier.
| Area | Price | vs. year ago |
|---|---|---|
| Michigan | 23.05¢ | +12.2% |
| East North Central average | 19.57¢ | +9.9% |
| Ohio | 19.45¢ | +11.9% |
| Illinois | 19.22¢ | +11.6% |
| Wisconsin | 19.06¢ | +4.4% |
| Indiana | 16.73¢ | +3.4% |
Could solar cut your Michigan bill?
At 23.05¢/kWh, our example 7 kW system pays back in 9.7 years and saves $2,082 in year one.
Common questions
What is the average electricity rate in Michigan?
23.05¢ per kWh for residential customers in July 2026, according to the U.S. Energy Information Administration. That is well above the national average of 18.31¢. Your own rate depends on your utility and plan.
How much does 1,000 kWh of electricity cost in Michigan?
At the state average of 23.05¢/kWh, 1,000 kWh of energy costs about $231. That average already includes taxes and fees spread across all kWh sold; your own cost depends on your utility's rates and how much you use.
Are electricity prices in Michigan going up?
The July 2026 average was up 12.2% from the same month a year earlier (20.55¢). Recent EIA months are preliminary and can be revised.
Is solar worth it in Michigan at these prices?
For our example 7 kW system on a 10,500 kWh/yr home with full net metering, payback in Michigan is 9.7 years at today's average price. It depends heavily on your rate, roof and how your utility credits exports — see the state solar page for details.
Electricity rates in other states
Source: U.S. Energy Information Administration, Electric Power Monthly, Table 5.6.A (average price of electricity to ultimate customers), July 2026. Recent months are preliminary. Monthly cost examples multiply the average price by usage; EIA derives the average by dividing utility revenue (including taxes and fees) by kWh sold.
