This story was originally published by Grist.
It’s no secret that U.S. electricity prices have been rising over the last few years: The average residential energy bill in 2025 was roughly 30 percent higher than in 2021. This jump is largely in line with the overall inflation Americans have experienced during this period. As the cost of groceries, gas, and housing has increased, so too has the cost of electricity.
Recommended Videos
But there are big differences from state to state and region to region. Some places — like California and the Northeast — have seen mammoth price increases that outpaced inflation, while costs have held steady in other parts of the country, or even fallen in relative terms. Nearly everywhere, though, rising electricity costs have strained the budgets of low-income households in particular, since they spend a much larger share of their earnings on energy compared to wealthier Americans.
Higher energy bills have also become a political flashpoint. Over the past year, rising electricity prices have helped push voters to the polls, and politicians have taken note. In Virginia and New Jersey, newly elected governors campaigned heavily on reining in utility bills. In Georgia, incumbent utility regulators were booted out by voters, who elected two Democrats to the positions for the first time in two decades.
A wide range of culprits have been blamed for the surge in electricity prices, with energy-hungry data centers shouldering much of the criticism. Tariffs, aging power plants, and renewable energy mandates have also come under fire. But the reality is far more nuanced, according to recent research from the Lawrence Berkeley National Laboratory and the latest price data from the federal government’s Energy Information Administration. Electricity prices are shaped by a complex mix of factors, including how utilities are structured, how regulators oversee them, regional divergences in fuel prices, and how often the grid is stressed by heat waves or cold snaps. In many states, the biggest driver is the rising cost of maintaining and upgrading grids to survive more extreme weather — the unglamorous work of replacing old poles and wires.
But the forces driving high bills in California aren’t the same as those affecting households in Connecticut or Arizona. In this piece, we highlight one key driver of recent price trends in each region of the country. (The regions below are organized alphabetically, with individual entries for Alaska, California, Hawaiʻi, the Midwest, the Northeast, the Pacific Northwest, the Southeast/Mid-Atlantic, the Southwest/Mountain West, and Texas.) While the dynamics of every utility bill are different — including those within the same state — recent data demonstrates the many challenges ahead as public officials promise a laser focus on energy affordability.
Midwest
(Illinois, Indiana, Iowa, Kansas, Michigan, Minnesota, Missouri, North Dakota, Nebraska, Ohio, Oklahoma, South Dakota, and Wisconsin.)
Key factor: Wind energy
The Midwest and Great Plains states saw only modest changes — and sometimes even declines — in inflation-adjusted retail electricity prices per kilowatt-hour between 2019 and 2024. Average monthly electricity bills typically fall between $110 and $130.
This stability is largely a renewable energy success story: Many Midwestern states are now deeply reliant on wind power. Wind supplies more than 40 percent of electricity in Iowa and South Dakota, and more than 35 percent in Kansas. Investments in utility-scale wind and solar have helped shield consumers from price shocks tied to natural gas volatility, since renewables have no fuel costs and can reduce exposure to sudden spikes in gas prices. Research also shows that these investments can lower wholesale electricity prices by displacing higher-cost generation during periods of high wind and solar output.
Anita Hofschneider contributed reporting to this piece.