US States By Energy Costs 2024 - Highest Energy Bills

The United States experienced its hottest summer on record last year; forecasts suggest this year will surpass that milestone. This prolonged heat wave, combined with rising inflation, will likely take a toll on many Americans' finances. For instance, electricity prices surged by 6.2% in 2023 and are expected to decrease only marginally in 2024, making it costly for individuals to rely on air conditioning. This article will provide a breakdown of monthly costs for electricity, gas, fuel, and home heating oil, highlighting the financial impact of this heat wave on households.

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US States By Energy Costs 2024

Wyoming leads the list, with residents spending over $1,500 per month on energy costs. The state's harsh winters, combined with the remote locations of many homes and limited heating options, contribute to this high energy expenditure. These factors result in higher consumption of electricity, gas, and fuel to power heating systems, leading to increased costs for Wyoming residents. Check the complete list:

According to the U.S. Energy Information Administration, the highest energy consumption of the year is recorded in July, followed by August. That leads to higher energy costs during this period.

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US States By Energy Costs

Wyoming

In 2024, Wyoming tops the list of states with the highest energy costs, with residents facing a staggering average monthly energy bill of $1,591. The state's high energy consumption, driven by the highest per-capita gas and residential oil usage, combines with relatively high heating oil and natural gas prices to make Wyoming a costly state for energy. While the state's harsh winters contribute to this trend, the limited heating options available to residents in remote areas further exacerbate the issue

North Dakota

North Dakota ranks second in the country for the highest average monthly energy bills, with residents paying an average of $840. While this is a significant expense, it's notably lower than Wyoming's average bill, which exceeds $1,500. North Dakota's high energy consumption is a major factor in these costly bills, with the state ranking fifth in electricity consumption, fourth in natural gas consumption, and fourth in residential fuel oil consumption per capita. Despite relatively moderate energy prices in the state, the high usage rates drive up monthly bills. Nevertheless, the harsh winters in North Dakota make high heating bills a significant burden for residents.

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Iowa

Iowa ranks third in the country for the highest average monthly energy bills, with residents paying $798. The primary driver of this expense is the state's exceptionally high residential fuel oil consumption per capita, second only to Wyoming. Although Iowa's winters are not as extreme as those in the top two states, the temperatures still drop significantly, leading to higher energy usage. Notably, Iowans' energy consumption is above average only for fuel oil and natural gas, indicating a reliance on these sources to combat the cold temperatures.

This ranking is derived from WalletHub's 2024 report on 'Energy Costs by State', which determined each state's average monthly energy expenditure. The calculation involved multiplying the average usage of electricity, natural gas, home heating oil, and motor fuel by their respective prices, as of June 3, 2024, and then combining these amounts to obtain each state's total average monthly energy bill.

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