Which states have the cheapest electricity in the US?

The price of electricity varies widely from state to state due the unique combination of factors such as supply and demand dynamics, the cost of production and delivery, regulatory policies, the variety of energy sources, and market conditions.

Consumers may also have choices regarding their electricity provider, rate plan, and energy efficiency measures, which can affect their individual electricity costs.

The price of electricity has such a wide range that the rate for the cheapest state- 11.16 cents per kilowatt hour- is almost just a fourth of that in Hawaii, which has the highest price at 40.22 cents per kilowatt hour, according to figures from finance website Insider Monkey.

Which states have the cheapest electricity in the US?

Tennessee has the fifth cheapest price of electricity at 12.33 cents per kilowatt hour. The federally-owned corporation Tennessee Valley Authority helps provide reliable and affordable electricity to the region, and its scale has helped control costs. The state’s energy mix, cost-effective production methods, and regulatory policies are some key factors that contribute to its affordable prices.

Idaho also tends to be relatively cheap (11.82 cents per kilowatt hour) due to the state’s abundant and diverse energy resources, such as hydropower, wind, and solar power.

READ ALSO: The 20 best universities in the world: How many are in the US?

Meanwhile, Utah is able to keep its prices down (11.75 cents per kilowatt hour) because of diversified sources of energy and efficient electricity generation methods. The state has access to abundant natural gas resources, and has also been investing in renewable energy sources, particularly wind and solar power. The state also benefits from nuclear power generation, price-wise.

Electricity in Louisiana tends to be relatively inexpensive due to the state’s energy resources, particularly natural gas and nuclear power, favorable regulatory policies, and efficient electricity production methods.

READ ALSO: Bobi, the oldest dog in the world, dies

Water power pushes Washington to the top spot

Washington State holds the top position in the list of states with the cheapest electricity (11.16 cents per kilowatt hour) because of its abundant hydropower resources. The state’s numerous hydroelectric dams and facilities provide a low-cost and environmentally friendly source of electricity.

Hydropower is one of the most cost-effective energy sources due to the state’s favorable geography and water resources. According to Insider Monkey, hydroelectric power provides almost one-third of the state’s electricity, which translates to the highest percentage in the whole United States.

Here is a list of the 20 states with the cheapest electricity.