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Michigan Electricity Prices

Average retail price by sector. Latest data: May 2026.

Residential
22.01¢ /kWh
▲ 8.8%vs. last year
Commercial
16.09¢ /kWh
▲ 7.3%vs. last year
Industrial
9.43¢ /kWh
▲ 9.1%vs. last year

Average monthly bill

Full bill breakdown →
$131per month▲ 8.1% vs. the year before

20.56¢/kWh × 635 kWh a month. Residential revenue divided by residential customers, averaged over the 12 months to May 2026 — the 37th highest among the 50 states and DC.

Compared with the U.S. and neighboring states

Average monthly residential electricity bill, in US dollars
Michigan
$131
U.S. average
$155
Indiana
$159
Ohio
$157
Wisconsin
$123

Michigan is $25 a month below (-16.0%) the U.S. average of $155. Average monthly bill, June 2025 – May 2026.

How Michigan makes its electricity

Fuel mix & 10-year trend →Power plants →
Renewable
13.5%
Carbon-free
34.6%
Largest source
Natural gas 45%
Michigan electricity generation by source, June 2025 – May 2026
SourceShareGeneration
Natural gas45.0%56,690 GWh
Coal19.4%24,436 GWh
Nuclear21.1%26,565 GWh
Wind7.8%9,871 GWh
Solar2.8%3,588 GWh
Hydro1.2%1,508 GWh
Other2.7%3,345 GWh

126 TWh of net generation over the 12 months to May 2026. Generation, not consumption — power crosses state lines.

Michigan electricity prices in context

Michigan's residential electricity rate stands at 22.01¢/kWh as of May 2026, making it the 14th most expensive among the 50 states and DC. This is 3.57¢/kWh above the national average of 18.44¢/kWh, a difference of 19.3%. Of the three bordering states in the data, Michigan is notably higher than all: Wisconsin charges 19.74¢/kWh, Ohio 19.52¢/kWh, and Indiana 18.15¢/kWh. Commercial and industrial rates follow the same pattern, at 16.09¢/kWh and 9.43¢/kWh respectively.

Over the past five years since May 2021, Michigan's rate has climbed 24.4% from 17.70¢/kWh. The longer view is steeper: since May 2006 it has risen 124.6% from 9.80¢/kWh, and since records began in January 2001 it has increased 172.4% from 8.08¢/kWh. The current rate of 22.01¢/kWh is the state's highest on record, well above its lowest of 7.88¢/kWh set in December 2001.

The typical Michigan household pays $131 per month while using 635 kWh. This bill is lower than the national average of $155, despite the above-average rate, because Michigan residents consume substantially less: the nation averages 871 kWh per month. The year-over-year increase of 8.8% shows Michigan's rate continuing to rise.

Written from the EIA figures on this page, covering data through May 2026.

12-month trend

ResidentialCommercialIndustrial
7.3¢11¢15¢19¢23¢Jun '25Sep '25Dec '25Feb '26May '26ResidentialCommercialIndustrial

Residential history since 2001

6.7¢11¢15¢19¢23¢Jan '01May '07Sep '13Jan '20May '26
Jan '01
8.08¢
Now
22.01¢
Change
▲ 172.4%
Range
7.88–22.01¢

Recent months

MonthResidentialCommercialIndustrial
May 202622.0116.099.43
April 202621.3915.558.95
March 202621.2015.669.14
February 202620.0015.158.96
January 202619.5214.429.77
December 202519.5314.418.68
November 202519.9414.318.46
October 202520.4614.248.50
September 202521.2014.408.42
August 202520.7314.868.44
July 202520.5514.968.94
June 202520.8214.948.78

Prices in ¢/kWh.

Frequently asked questions

›How much does electricity cost in Michigan?
Residential electricity in Michigan costs 22.01¢ per kilowatt-hour as of May 2026, the 14th highest rate among the 50 states and DC. Commercial customers pay 16.09¢ and industrial customers 9.43¢ per kilowatt-hour.
›Why is electricity expensive in Michigan?
Michigan's residential rate of 22.01¢/kWh is +23.4% versus the U.S. average of 17.84¢/kWh. What a household actually pays also depends on how much it uses: the typical Michigan home consumes 635 kWh a month against a national average of 871 kWh, which is why its average bill comes to $131.
›Have electricity prices in Michigan gone up?
Residential electricity in Michigan has moved +172.4% since 2001, reaching 22.01¢/kWh in May 2026. Over the last year alone the change was +8.8%.
›Is electricity cheaper in states neighboring Michigan?
Of the states bordering Michigan, Wisconsin has the lowest average monthly bill at $123 and Indiana the highest at $159. Michigan averages $131 a month, against a U.S. average of $155.