In 2025, utility bills across the United States show significant variation, with some states experiencing much higher costs per kilowatt-hour (kWh) than others. The average residential electricity price nationwide is about 15.83 cents per kWh as of November 2025, with states ranging from as low as approximately 10 cents per kWh to nearly 37 cents per kWh in the most expensive locations.
Most Expensive States for Utility Bills in 2025
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Hawaii tops the list with the highest residential rates at around 36.95 cents per kWh due to its reliance on imported fossil fuels.
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California follows with residential rates averaging 30.45 cents per kWh, reflecting high electricity demand and renewable integration costs.
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Other states with notably high utility bills include Connecticut (27.04 cents/kWh) and Massachusetts (26.96 cents/kWh).
Cheapest States for Utility Bills in 2025
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North Dakota has one of the lowest average rates at about 10.23 cents per kWh, benefiting from abundant local energy resources.
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Idaho and Nevada also have lower rates, around 10.49 and 11.22 cents per kWh, respectively.
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Several other states in the Midwest and South, including Arkansas, Louisiana, and Nebraska, maintain relatively low electricity costs below 12 cents per kWh.
Trends and Influencing Factors
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Utility costs have increased for three consecutive years, outpacing general inflation rates.
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Deregulated energy markets in some states foster competition among electricity providers, often resulting in more competitive rates and more options for consumers.
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States relying heavily on expensive energy imports or transitioning rapidly to renewable sources tend to have higher utility prices.
Summary Table of Average Residential Electricity Rates (Nov 2025)
| State | Avg. Rate (cents per kWh) |
|---|---|
| Hawaii | 36.95 |
| California | 30.45 |
| Connecticut | 27.04 |
| Massachusetts | 26.96 |
| Idaho | 10.49 |
| Nevada | 11.22 |
| North Dakota | 10.23 |
| Arkansas | 11.99 |
| Louisiana | 11.67 |
| Nebraska | 11.36 |
FAQs
Q1: Which state has the highest utility bills in 2025?
A: Hawaii, with average residential electricity rates of nearly 37 cents per kWh.
Q2: Are there states with significantly cheaper electricity?
A: Yes, states like North Dakota and Idaho have average rates near 10 cents per kWh.
Q3: Why do some states have higher utility costs?
A: Factors include reliance on imported fuels, renewable energy transition costs, and market regulation status.
Understanding these regional differences can help consumers and businesses manage energy expenses better and anticipate utility cost trends in 2025 and beyond.
