Where Electricity Prices Are Rising Fastest by State
EIA July 2026 data shows which states had the biggest residential electricity price increases, which saw drops, and what it means for solar payback.
Published 5 min readRoofPayback editorialChecked by automated fact and quality checks
Official data: EIA · DOE · IRS · how we check
In this article · 8 sections
Short answer
Residential electricity prices rose in most states over the past year, and they rose fastest in Hawaii. EIA data for July 2026 shows Hawaii at 48¢ per kWh, up 22% from 39.36¢ a year earlier. Behind it were New Hampshire (16.7%), Maine (15.8%), New York (14%) and Maryland (13.7%). A few states went the other way. Connecticut fell 12.5%, Louisiana fell 3%, Utah fell 2.5% and Wyoming fell 1.9%.
For the whole country, the average residential price was 18.31¢ per kWh in July 2026, up 4.9% from 17.45¢ a year earlier. A kWh (kilowatt-hour) is the unit your utility bills you for. If you want a refresher, see what is a kilowatt-hour.
The states where prices rose fastest
These are the biggest year-over-year increases in the EIA residential data for July 2026.
| State | July 2026 | A year earlier | Change |
|---|---|---|---|
| Hawaii | 48¢ | 39.36¢ | 22% |
| New Hampshire | 26.6¢ | 22.79¢ | 16.7% |
| Maine | 32.41¢ | 27.98¢ | 15.8% |
| New York | 29.9¢ | 26.22¢ | 14% |
| Maryland | 21.41¢ | 18.83¢ | 13.7% |
| North Carolina | 15.16¢ | 13.37¢ | 13.4% |
| Michigan | 23.05¢ | 20.55¢ | 12.2% |
| Ohio | 19.45¢ | 17.38¢ | 11.9% |
| Idaho | 13.73¢ | 12.28¢ | 11.8% |
| Illinois | 19.22¢ | 17.22¢ | 11.6% |
| Delaware | 18.48¢ | 16.58¢ | 11.5% |
| Pennsylvania | 21.72¢ | 19.51¢ | 11.3% |
| Virginia | 17.55¢ | 15.78¢ | 11.2% |
Two things stand out. First, the fastest risers are not all expensive states. Idaho and North Carolina have prices well below the national average, yet their prices still jumped by double digits. Second, several already high-priced states, such as Hawaii, Maine and New York, kept climbing.
A percentage change can look big when the starting price is low and look small when it is high. Always check the cents per kWh too. A rise from 12.28¢ to 13.73¢ in Idaho is a large percentage but leaves Idaho cheaper than most of the country.
The states where prices fell or stayed flat
Only a handful of states saw lower residential prices than a year earlier.
| State | July 2026 | A year earlier | Change |
|---|---|---|---|
| Connecticut | 24.16¢ | 27.6¢ | -12.5% |
| Louisiana | 12.72¢ | 13.12¢ | -3% |
| Utah | 13.12¢ | 13.45¢ | -2.5% |
| Wyoming | 14.36¢ | 14.64¢ | -1.9% |
| Florida | 15.03¢ | 15.11¢ | -0.5% |
| New Jersey | 25.19¢ | 25.32¢ | -0.5% |
Arizona (0.3%) and North Dakota (0.8%) were close to flat. Connecticut's drop is the largest, but its price is still 24.16¢, well above the national average of 18.31¢. A fall in one summer month does not tell you the long-term direction. Utilities change rates on schedules that vary by state, and a single month can reflect timing, fuel costs or one-time adjustments.
Why July 2026 numbers should be read with care
EIA publishes average residential prices by state each month in the Electric Power Monthly, Table 5.6.A. Recent months are preliminary, which means EIA may revise them as more reports come in. Treat any single month as a snapshot, not a final verdict.
Three habits help when you read these numbers:
- Compare the same month. Prices change with the season. EIA's year-over-year figures compare July with July, which avoids that problem.
- Look at more than one month. One month can be an outlier. Our electricity prices pages and the July 2026 price guide show the latest data in context.
- Remember that averages hide your own rate. Your bill depends on your utility, your rate plan and how much you use. Fixed monthly charges and tiered rates can make your effective price differ from the state average.
For background on why prices differ so much from state to state, read why electricity prices differ by state.
What rising prices mean for your bill
If you use 10500 kWh a year, which is the usage we assume for our example home, every extra cent per kWh matters. A state that moved up by a few cents is a bigger deal for a large user than for a small one. You can plug in your own usage and rate in the electricity cost calculator.
If you are comparing states, remember that your total bill is price times usage. A cheaper state with heavy air-conditioning or electric heating use can still produce a high bill. Our guide to the average electric bill by state covers that difference.
What rising prices mean for rooftop solar
Solar panels replace electricity you would otherwise buy from the utility. So the higher your price per kWh, the more each solar kWh is worth, all else equal. That is why price trends feed into solar payback.
Our example home uses these assumptions: a 7 kW system, 10500 kWh a year of use, 40% of use while the sun is up, an installed cost of $3000 per kW ($21000 total), no incentives, $100 a year in maintenance, electricity prices rising 2.5% a year, panel degradation of 0.5% a year, and a 25-year horizon. Export credits are capped at a year of grid purchases with an annual true-up. Production comes from PVWatts v8 with a south-facing roof at a 20° pitch and 14% losses, using one reference city per state.
Be careful about two points:
- A one-year jump is not a forecast. The 2.5% a year in our model is an assumption, not a prediction. A state that rose sharply this year may or may not keep rising.
- Incentives have changed. The IRS states that the 30% federal Residential Clean Energy Credit (Section 25D) is not available for property placed in service after December 31, 2025. Our example assumes no incentives. See is solar worth it without the tax credit for what that means.
Net metering rules also matter. Programs and credit rates vary by state and utility, and DSIRE keeps a database of current programs. Our guide to net metering vs net billing explains why two homes with the same panels can have different payback.
How to check your own situation
- Find your current rate on your latest bill, in cents per kWh, and note any fixed charges.
- Compare it with your state's page in our electricity prices section.
- Run your numbers in the solar calculator. It shows the math behind each result, and the methodology page explains the inputs.
- Get several quotes if you decide to explore solar, and ask each installer how your utility credits exported power.
- Check DSIRE for current state and utility programs. PVWatts, the free estimator from the U.S. Department of Energy's National Laboratory of the Rockies, can give you a production estimate for your address.
Bottom line
Residential electricity prices rose in most states over the past year. Hawaii led with a 22% increase, and a mix of northeastern, midwestern, mid-Atlantic and southern states followed with double-digit gains. Connecticut, Louisiana, Utah and Wyoming were among the few that fell. Because recent months are preliminary, treat these figures as a snapshot and check your own utility rate before making decisions. Higher prices can improve the value of solar, but payback still depends on your rate plan, usage, roof, quote and local credit rules.
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