Electricity Prices Rose in 44 States — but One Saw an Increase More Than 6 Times the National Average
The national average electricity rate looks calm on paper, but for millions of households in a handful of states, power bills have become a crisis hiding inside a reassuring headline. One state's increase dwarfs every other…
by Rich Duprey, Wall Street 24/7, October 29, 2026
- Hawaiian Electric warned customers of higher bills as Hawaii's residential electricity rate surged 22.5%, a figure roughly 6.6 times the national average increase.
- The same 1,000 kWh costs $472 in Hawaii versus $127 in Nevada, a $345 gap determined by geography and not by usage.
- Virginia's above-average rate increase is tied to its dense data center cluster, which a legislative report calls the largest driver of U.S. electricity demand growth.
The U.S. Energy Information Administration’s August electricity data, released October 23, carried a headline number that looks manageable. The average American household paid $0.1816 per kilowatt-hour, up from $0.1757 a year earlier, an increase of about 3.4%. Residential rates rose in 44 states and Washington, D.C., and fell in seven states.
Hawaii’s numbers look nothing like that. Its residential rate rose from $0.3853 to $0.4718, a 22.5% jump, or roughly 6.6 times the national pace. The national average tells you little about any one household’s bill. Electricity is priced locally, and in 2026 the gap between states has grown wide enough that a single inflation figure hides it.
Four States Pulled Far Ahead of the Pack
State / Aug 2025 / Aug 2026 / Increase
Hawaii / 38.53¢ / 47.18¢ / 22.5%
Maine / 28.14¢ / 32.11¢ / 14.1%
NH / 24.44¢ / 27.64¢ / 13.1%
Virginia/15.85¢ / 17.64¢ / 11.3%
US avg / 17.57¢ / 18.16¢ / 3.4%
The top three share one problem: fuel. Hawaii makes much of its power by burning imported oil, so its bills track crude prices closely. That exposure became expensive after the war with Iran began and oil prices surged. Hawaiian Electric (NYSE:HE) warned customers that typical residential bills would rise as global oil prices rose. Maine and New Hampshire sit on a New England grid that relies on natural gas for most of its generation, which leaves them more exposed to fuel swings than states with large hydro or nuclear plants.
Same Electricity, $345 Apart
Where a family lives now affects its power bill as much as how much it uses. At Hawaii’s average rate, 1,000 kilowatt-hours costs about $472. In Nevada, at roughly 12.7 cents, the same power runs about $127. That works out to a $345 difference for identical usage. Hawaii households also start from a higher base: the state’s cost-of-living index stands at 109.951, against a national benchmark of 100.
Electricity is adding to pressure that households already feel elsewhere. The Consumer Price Index rose 0.6% in September alone, and regular gasoline still averages $4.27 a gallon.
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