15 States With the Least Expensive Electricity Costs

Electricity costs are rising across the nation for a few key reasons, including a constant uptick in demand, an increase in extreme weather events and the growing need for new infrastructure. 

Though increase in electricity costs can be felt nationwide, there are certain states taking less of the brunt than others. 

In a new study, GOBankingRates found the annual and monthly electricity costs for every state. Here are the 15 states with the lowest costs, ranked in order from most to least expensive.

• Average retail price of electricity to residential sector as of June 2024 (cents/KWh): 12.90
• Utilities cost-of-living index: 90.9 
• Average annual electricity cost: $1,626.06  
• Average monthly electricity cost: $135.50

• Average retail price of electricity to residential sector as of June 2024: 15.21
• Utilities cost-of-living index: 89.6 
• Average annual electricity cost: $1,602.80  
• Average monthly electricity cost: $133.57  

• Average retail price of electricity to residential sector as of June 2024: 15.12
• Utilities cost-of-living index: 89.3 
• Average annual electricity cost: $1,597.43  
• Average monthly electricity cost: $133.12  

• Average retail price of electricity to residential sector as of June 2024: 14.89
• Utilities cost-of-living index: 89.1 
• Average annual electricity cost: $1,593.86  
• Average monthly electricity cost: $132.82  

• Average retail price of electricity to residential sector as of June 2024: 12.92
• Utilities cost-of-living index: 88.5 
• Average annual electricity cost: $1,583.12  
• Average monthly electricity cost: $131.93

• Average retail price of electricity to residential sector as of June 2024: 17.60
• Utilities cost-of-living index: 87.8 
• Average annual electricity cost: $1,570.60  
• Average monthly electricity cost: $130.88  

• Average retail price of electricity to residential sector as of June 2024: 12.57
• Utilities cost-of-living index: 87.8 
• Average annual electricity cost: $1,570.60  
• Average monthly electricity cost: $130.88

• Average retail price of electricity to residential sector as of June 2024: 13.42
• Utilities cost-of-living index: 87 
• Average annual electricity cost: $1,556.29  
• Average monthly electricity cost: $129.69  

• Average retail price of electricity to residential sector as of June 2024: 14.44
• Utilities cost-of-living index: 84.4 
• Average annual electricity cost: $1,509.78  
• Average monthly electricity cost: $125.82  

• Average retail price of electricity to residential sector as of June 2024: 13.58
• Utilities cost-of-living index: 83.9 
• Average annual electricity cost: $1,500.84  
• Average monthly electricity cost: $125.07  

• Average retail price of electricity to residential sector as of June 2024: 14.15
• Utilities cost-of-living index: 83.5 
• Average annual electricity cost: $1,493.68  
• Average monthly electricity cost: $124.47

• Average retail price of electricity to residential sector as of June 2024: 12.87
• Utilities cost-of-living index: 79.7 
• Average annual electricity cost: $1,425.71  
• Average monthly electricity cost: $118.81  

• Average retail price of electricity to residential sector as of June 2024: 13.65
• Utilities cost-of-living index: 79.5 
• Average annual electricity cost: $1,422.13  
• Average monthly electricity cost: $118.51  

• Average retail price of electricity to residential sector as of June 2024: 12.28
• Utilities cost-of-living index: 78.6 
• Average annual electricity cost: $1,406.03  
• Average monthly electricity cost: $117.17

• Average retail price of electricity to residential sector as of June 2024: 11.42
• Utilities cost-of-living index: 78.3 
• Average annual electricity cost: $1,400.66  
• Average monthly electricity cost: $116.72  

Methodology. For this study GOBankingRates used the Bureau of Labor Statistics 2022 Consumer Expenditure Survey to find the national annual average for electricity and then calculated that figure into 2024 dollars. Then GOBankingRates used the Missouri Economic Information and Research Center’s Q2 2024 cost-of-living data series to factor out annual and monthly electricity costs for every state. GOBankingRates also used EIA Average Retail Price of Electricity to Residential Sector, June 2024 (cents/kWh) for supplemental data. All data was collected and up to date as of Sept. 24, 2024.