New York Electricity Rates Rank Third-Highest in Nation as Utility Costs Continue to Climb

CNYOnline.com | Local & New York News

NEW YORK — New Yorkers are paying some of the highest residential electricity prices in the country, with newly released federal data showing the Empire State now ranks third-highest nationwide.

According to the latest figures from the U.S. Energy Information Administration, New York’s average residential electricity price reached 29.93 cents per kilowatt-hour in May 2026. Only Hawaii, at 52 cents per kilowatt-hour, and California, at 33.25 cents, were higher.

That means residential electricity prices in New York were higher than those in 47 other states during the month.

The national residential average stood at 18.44 cents per kilowatt-hour, meaning New Yorkers were paying roughly 62% more than the national average.

Electricity Costs Continue Rising in New York

The latest numbers continue a trend highlighted by the Empire Center for Public Policy, an Albany-based public policy research organization that has closely tracked energy prices using U.S. Energy Information Administration data.

The Empire Center reported earlier this summer that New York residential electricity prices averaged 29.45 cents per kilowatt-hour in April, approximately 56% above the national average at the time. The organization also found that New York electricity prices had increased nearly 68% since 2019.

May's newly released federal data show prices moved even higher, reaching 29.93 cents per kilowatt-hour. In May 2025, New York's average was 26.69 cents, representing an increase of roughly 12% in one year.

New York vs. Neighboring States

The difference is especially noticeable when New York is compared with several neighboring states.

In May 2026, residential electricity averaged:

• New York: 29.93 cents per kWh

• New Jersey: 23.27 cents

• Pennsylvania: 21.55 cents

• Vermont: 24.89 cents

• Connecticut: 27.37 cents

• Massachusetts: 28.82 cents

New York was also substantially more expensive than large states such as Texas, where residential electricity averaged 16.44 cents per kilowatt-hour, and Florida, where the average was 15.17 cents.

What Is Driving Higher Electric Bills?

Electric bills are affected by more than the wholesale cost of generating electricity. What customers ultimately pay can include electricity supply costs, transmission and distribution expenses, utility infrastructure investments, taxes, fees and other charges.

New York is also in the midst of a major transformation of its energy system as the state works toward its renewable-energy and emissions-reduction goals.

The Empire Center has been critical of the state's energy strategy and argues that New York policymakers need to place greater emphasis on affordability and reliability.

In July, Empire Center President Zilvinas Silenas said New York's electricity prices showed that the state's energy policies were not delivering affordable power, pointing out that consumers in many other states continue to pay considerably less.

That represents the Empire Center's policy position rather than an independent determination of what is causing New York's higher rates. Electricity prices are influenced by a combination of regional energy markets, infrastructure, fuel supplies, utility investments, government mandates, taxes and regulatory decisions.

The Impact on Central New York

For families and businesses across Oneida County, Madison County and the Mohawk Valley, higher electricity prices can translate directly into increased monthly expenses.

The effect can be particularly significant for households relying heavily on electricity for heating and cooling, as well as restaurants, manufacturers, retailers, farms and other businesses operating energy-intensive equipment.

Higher operating costs can also have a broader economic impact when businesses are forced to absorb those expenses or pass a portion of them on to consumers through higher prices.

The Numbers Tell a Growing Story

The trend is difficult to ignore.

New York's residential electricity price has moved from 26.69 cents per kilowatt-hour in May 2025 to 29.93 cents in May 2026, while the latest national average stands at 18.44 cents.

With New York now ranking behind only Hawaii and California in the latest monthly federal residential electricity data, affordability is likely to remain a major issue for homeowners, businesses and state policymakers.

CNYOnline.com will continue following New York utility rates and how rising energy costs are affecting families and businesses throughout Central New York.