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Michigan Electricity Prices

Average retail price by sector.

Residential
22.99¢ /kWh
▲ 10.9%vs. last year
Commercial
16.21¢ /kWh
▲ 9.1%vs. last year
Industrial
8.99¢ /kWh
▲ 6.5%vs. last year

Data current through August 2026 — the latest available from the U.S. EIA, which publishes monthly figures on a roughly two-month delay.

Average monthly bill

Full bill breakdown →
$134per month▲ 7.9% vs. the year before

21.28¢/kWh × 630 kWh a month. Residential revenue divided by residential customers, averaged over the 12 months to August 2026 — the 36th highest among the 50 states and DC.

Compared with the U.S. and neighboring states

Average monthly residential electricity bill, in US dollars
Michigan
$134
U.S. average
$158
Ohio
$160
Indiana
$159
Wisconsin
$125

Michigan is $24 a month below (-15.3%) the U.S. average of $158. Average monthly bill, September 2025 – August 2026.

How Michigan makes its electricity

Fuel mix & trend since 2001 →Power plants →
Renewable
14.1%
Carbon-free
34.9%
Largest source
Natural gas 46%
Michigan electricity generation by source, September 2025 – August 2026
SourceShareGeneration
Natural gas45.8%57,391 GWh
Coal18.5%23,136 GWh
Nuclear20.8%26,101 GWh
Wind7.9%9,906 GWh
Solar3.4%4,223 GWh
Hydro1.2%1,481 GWh
Other2.5%3,084 GWh

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

Michigan electricity prices in context

Michigan's residential electricity rate stood at 22.99¢/kWh in August 2026, ranking 13th among the most expensive in the 50 states and DC. This rate runs 4.83¢/kWh above the national average of 18.16¢/kWh, a difference of 26.6%. Among its neighbors, Michigan's rate exceeds those in Indiana at 17.02¢/kWh, Ohio at 19.38¢/kWh, and Wisconsin at 19.41¢/kWh.

The residential rate has climbed 28.7% since August 2021, when it was 17.87¢/kWh, and 119.6% since August 2006, when it stood at 10.47¢/kWh. Over the full span since records began in January 2001, when the rate was 8.08¢/kWh, it has risen 184.5%. The current rate sits just below the state's record high of 23.05¢/kWh set in July 2026, and far above the record low of 7.88¢/kWh reached in December 2001. Commercial and industrial rates are 16.21¢/kWh and 8.99¢/kWh respectively.

The average Michigan household pays $134 per month for 630 kWh of usage. This bill falls well below the national average of $158 per month, despite the above-average rate, because Michigan's typical consumption is substantially lower than the national average of 876 kWh per month. The household electricity bill reflects both price and use, and here the lower consumption more than offsets the higher rate.

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

12-month trend

ResidentialCommercialIndustrial
5¢10¢15¢20¢25¢Sep '25Dec '25Mar '26May '26Aug '26ResidentialCommercialIndustrial

Price history since 2001

ResidentialCommercialIndustrial
0¢5¢10¢15¢20¢25¢Jan '01Jun '07Nov '13Mar '20Aug '26ResidentialCommercialIndustrial

Average retail price in all three sectors, every month since January 2001.

Residential

Jan '01
8.08¢
Now
22.99¢
Change
▲ 184.5%
Range
7.88–23.05¢

Recent months

MonthResidentialCommercialIndustrial
August 202622.9916.218.99
July 202623.0516.469.81
June 202622.9916.629.25
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

Prices in ¢/kWh.

Frequently asked questions

›How much does electricity cost in Michigan?
Residential electricity in Michigan costs 22.99¢ per kilowatt-hour as of August 2026, the 13th highest rate among the 50 states and DC. Commercial customers pay 16.21¢ and industrial customers 8.99¢ per kilowatt-hour.
›Why is electricity expensive in Michigan?
Michigan's residential rate of 22.99¢/kWh is +27.2% versus the U.S. average of 18.07¢/kWh. What a household actually pays also depends on how much it uses: the typical Michigan home consumes 630 kWh a month against a national average of 876 kWh, which is why its average bill comes to $134.
›Have electricity prices in Michigan gone up?
Residential electricity in Michigan has risen 184.5% since 2001, reaching 22.99¢/kWh in August 2026. Over the last year alone the change was +10.9%.
›Is electricity cheaper in states neighboring Michigan?
Of the states bordering Michigan, Wisconsin has the lowest average monthly bill at $125 and Ohio the highest at $160. Michigan averages $134 a month, against a U.S. average of $158.