By Stacy M. Brown
NNPA Newswire Senior National Correspondent
Americans across nearly every region of the country are paying more to keep the lights on and the heat running, according to a new nationwide analysis that shows electric and natural gas rate increases spreading deeper into households from coast to coast.
“There are several reasons why utilities are raising rates so rapidly, including the need to modernize the aging electric grid, which has been burdened by extreme weather events made more frequent and costly due to climate change and growing energy demand due to artificial intelligence data centers,” Center for American Progress (CAP) researchers declared. “At the same time, higher natural gas costs and a policy assault on new clean energy generation from the Trump administration are driving energy costs even higher.”
An updated utility rate tracker released by the CAP in collaboration with the Natural Resources Defense Council shows that roughly two out of every three electric customers and more than six in ten natural gas customers are now facing higher bills. The increases affect more than 108 million electricity customers and nearly 49 million natural gas customers across 49 states and Washington, D.C., with total added costs approaching $85.8 billion by 2028.
Federal data shows that the financial pressure is already being felt. Average household electricity bills in 2025 are running 9.6 percent higher than in 2024, rising faster than wages and overall inflation. The analysis identifies at least 222 electric and natural gas utilities that have already implemented rate hikes, received approval for increases, or are seeking new increases through 2027.
The impact varies sharply by state. In Missouri, some households are seeing monthly electricity increases exceeding $45, while parts of Massachusetts and Arkansas face projected increases of more than $30 a month. In Texas, customers served by multiple utilities are absorbing monthly increases ranging from single digits to more than $20, depending on provider and region. Florida electric customers in some service areas are seeing increases above $30 per month, while households in Michigan, Virginia, and Ohio are facing steady upward adjustments tied to both electric and natural gas service.
The report points to several drivers behind the rising costs. Utilities across the country are investing billions to upgrade aging infrastructure, much of it stressed by extreme weather and rising demand. At the same time, growing electricity consumption from artificial intelligence data centers is placing additional strain on regional grids. The analysis also links higher costs to federal policy decisions that have slowed the expansion of new clean energy generation, limiting supply options and increasing long-term system expenses.
Natural gas customers are experiencing parallel pressures. Higher fuel costs and infrastructure spending are pushing bills upward in states such as Pennsylvania, New York, Kentucky, and Maryland, where monthly gas increases now exceed $10 in some service territories. The report warns that winter heating demands combined with higher rates increase the risk of missed payments and service shutoffs, particularly for low-income households.
The tracker is based on filings with state public utility commissions, utility company disclosures, and federal energy data. Researchers note that the list is not exhaustive and will continue to grow as additional rate cases move through regulatory approval.
The latest analysis shows that rate increases already approved or proposed will raise electricity customer bills by $67.7 billion and natural gas customer bills by $18.1 billion nationwide by the end of the decade, affecting households in nearly every state.