American Electricity Bills Increasingly 'Financially Burdensome'

Despite Promises to Cut Costs, Energy Prices Continue to Rise Under Trump Administration Policies

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Despite Trump administration campaign promises to reduce energy prices nationwide, electricity bills continue to rise in the United States this year, with at least one in five households struggling to prevent the bills from becoming “financially burdensome.”

In a comparison of electricity bills around the country, the New York Times found that the cost of energy has steadily grown in the last five years, which is a problem – especially as the federal Department of Energy considers bills at or over 6 percent of income to be financial burdens for ratepayers.

That means more than 20% of the country must decide whether they put themselves in debt to keep the lights on or struggle with post-due bills and threats of electricity shutoffs.

When comparing the average electric bill in states to the share of monthly median household income their residents earn, the Times found that Connecticut didn’t even make the top-10. Residents of Alabama, Mississippi and Louisiana pay more than 4 percent of their monthly median household incomes on power, while Connecticut’s average bill came in at around 3.5% of monthly median household income.

When examining the issue, USA Today found that consumer utility prices are 24% higher than they were at the start of the 2020s, with more than 40 states seeing rate hikes from more than 100 gas and electric companies in 2025 and 2026. There are many reasons for electric rates going up; USA Today sources cited the impacts of climate change and needed repairs to the power grid, as well as AI and data centers demanding huge shares of power generation.

Forbes, in noting consumer electric bills are up nearly 10% year-over-year and could continue rising, added that Trump administration tariffs, slashing of green energy projects and sources, and support for AI and data center expansions are contributing to those financial pressures.

The Republican federal budget passed in July is expected to increase electricity prices by 74 percent over the next decade, Forbes sources added. Since November 2024, 13,939 megawatts of energy generation have been canceled or delayed, enough to power 8.4 million homes, more than 4 percent of the nation’s total number.