U.S. Electricity Prices in July 2026: What Changed

Short answer

The U.S. average residential electricity price in July 2026 was 18.31¢ per kilowatt-hour (kWh), up 4.9% from 17.45¢/kWh a year earlier, according to the U.S. Energy Information Administration (EIA). A kWh is the unit your utility bills you for, a measure of how much electricity you use over time.

Prices rose in most states. Hawaii had the largest jump at 22%. Connecticut had the largest drop at -12.5%. EIA's newest month is preliminary, so these numbers can change when EIA revises them.

What "preliminary" means

EIA publishes average prices by state each month in its Electric Power Monthly (Table 5.6.A). The most recent months are preliminary. EIA collects data from utilities and later adjusts it.

Treat the July 2026 figures as a good snapshot, not a final answer. A small difference between two states, or a small change in one state, may shrink or grow after revision. Big moves are more likely to survive.

Where prices rose the most

These states had the biggest year-over-year increases in the average residential price:

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%

Several other states also rose by more than 11%, including Michigan (12.2%), Ohio (11.9%), Idaho (11.8%), Illinois (11.6%), Delaware (11.5%), Pennsylvania (11.3%) and Virginia (11.2%).

Prices are not the same as bills. A bill depends on how much power you use and how the weather was. A price rise tells you what each kWh costs, not what your total will be.

Where prices fell or stayed flat

Only a handful of states saw lower prices than a year earlier:

Connecticut: 24.16¢, down from 27.6¢ (-12.5%)
Louisiana: 12.72¢, down from 13.12¢ (-3%)
Utah: 13.12¢, down from 13.45¢ (-2.5%)
Wyoming: 14.36¢, down from 14.64¢ (-1.9%)
Florida: 15.03¢, down from 15.11¢ (-0.5%)
New Jersey: 25.19¢, down from 25.32¢ (-0.5%)

Arizona (0.3%) and North Dakota (0.8%) were close to flat. Even in states where the price fell, it can still be high. Connecticut is still among the pricier states.

Homes versus businesses

Nationally, the July 2026 average prices were:

Residential: 18.31¢/kWh (17.45¢ a year earlier, up 4.9%)
Commercial: 14.53¢/kWh (14.05¢ a year earlier, up 3.4%)
Industrial: 9.77¢/kWh (9.33¢ a year earlier, up 4.7%)

Homes pay the most per kWh. Part of the reason is that it costs more to deliver small amounts of power to many separate homes than large amounts to a few big customers. Residential prices also rose faster than commercial prices over the year.

Regional differences

EIA also groups states into regions. The gap between the cheapest and priciest regions is large:

Region	Residential, July 2026	Change from a year earlier
Pacific Noncontiguous (Alaska and Hawaii)	40.76¢	17.2%
New England	28¢	0.4%
Pacific Contiguous	27.14¢	4.4%
Middle Atlantic	25.71¢	9.3%
East North Central	19.57¢	9.9%
South Atlantic	16.12¢	5.5%
West North Central	15.89¢	4.1%
West South Central	15.21¢	3.4%
Mountain	14.92¢	2.3%
East South Central	14.61¢	4.4%

New England is already expensive, so its small change is less of a relief than it looks. The Middle Atlantic and East North Central regions are where prices have been climbing fastest among the mainland regions.

What this means for your bill

If you live where the price is rising, your bill goes up even if your use stays the same. Three practical steps do not depend on any state:

Check your latest bill for the price per kWh and for fixed monthly charges.
Ask your utility whether it offers a different rate plan, such as a time-of-use plan, where power costs less at certain hours.
Look at what uses the most power in your home, usually heating, cooling and water heating.

Your own rate depends on your utility and plan, so the state average is only a guide.

What it means for solar payback

Solar saves money by replacing power you would buy from the grid. The higher your price per kWh, the more each kWh your panels produce is worth. That is why places like Hawaii, California and the Northeast are often discussed first when people look at solar payback.

Our example home uses a 7 kW system, 10500 kWh per year of use, and 40% of use happening while the sun is up. It assumes $3000 per kW ($21000 total), no incentives, $100 per year maintenance, electricity price growth of 2.5% per year, panel degradation of 0.5% per year, and a 25-year horizon. Export credits are capped at a year of grid purchases. Production comes from PVWatts, a free estimator from the U.S. Department of Energy's National Laboratory of the Rockies, for a south-facing roof with a 20° pitch and 14% losses.

Two things matter beyond price. First, the 30% federal Residential Clean Energy Credit is not available for property placed in service after December 31, 2025, so the example uses no incentives. Second, how your utility credits power you send back to the grid can change the result as much as the price does. See our guide on net metering versus net billing and our look at whether solar is worth it without the tax credit.

To test your own numbers, use the solar calculator, browse electricity prices by state, or read how we do the math on the methodology page. Local programs are listed in the DSIRE database.

Bottom line

Electricity got more expensive for most U.S. homes over the year to July 2026: the national residential average was 18.31¢/kWh, up 4.9%. Hawaii, New Hampshire, Maine, New York and Maryland saw big increases, while Connecticut saw a large drop. Because EIA's latest month is preliminary, expect some revisions.

Higher prices usually make solar look better, but your payback depends on your utility rate, your roof and how exported power is credited. Use your own bill and a real quote rather than a state average.