Alaska electricity rates
As of May 2026, the average residential electricity rate in Alaska is 28.23 cents per kilowatt-hour, 53.1% above the U.S. average of 18.44¢. That is the 7th highest rate of the 50 states and the District of Columbia.
- Year over year
- ▲ +8.2% from 26.08¢ in May 2025
- Vs. U.S. average
- +53.1% U.S. average 18.44¢
- National rank
- #7 of 51 · #45 cheapest
- Supply market
- Isolated intertie systems Regulated monopoly
Why Alaska pays what it pays
Alaska is not one electrical system but many. The Railbelt, covering Anchorage, the Kenai Peninsula and Fairbanks, is a single interconnected system running mainly on Cook Inlet natural gas and some hydro. Everywhere else is a village grid, typically diesel-fired, with fuel barged or flown in.
The Railbelt's central problem is that Cook Inlet gas production has been declining, and the region is planning for imported LNG to replace it. Importing gas into a place that has produced its own for decades is a large cost increase, and it is the main driver of the state's recent rate movement.
Rural Alaska pays far more than the state average, often several times the national rate before subsidy, because diesel generation at village scale with air-freighted fuel is simply expensive. The state's Power Cost Equalization programme subsidises residential rates in those communities.
How Alaska compares
Alaska ranks #7 of 51 jurisdictions by residential price, making it the 45th cheapest. Within the Pacific division, 2 of 4 neighbouring states are cheaper.
| State | ¢/kWh | YoY | Rank |
|---|---|---|---|
| Washington | 14.95 | +9.5% | #37 |
| Oregon | 16.27 | +2.3% | #26 |
| Alaska | 28.23 | +8.2% | #7 |
| California | 33.25 | -0.1% | #2 |
| Hawaii | 52.00 | +26.7% | #1 |
Source: U.S. Energy Information Administration, Electric Power Monthly, Table 5.6.A: Average Price of Electricity to Ultimate Customers by End-Use Sector, by State. Data period May 2026. Retrieved 2026-08-19.
What a bill looks like at this rate
The figures below apply the May 2026 Alaska average to four usage levels. They are arithmetic, not quotes. A real bill also carries fixed customer charges, taxes and any rider specific to your utility.
Estimate your Alaska bill
Multiply your own usage by the May 2026 state average. Enter the kilowatt-hours from your last statement. This is a supply-and-delivery blended average, not a utility quote.
Rate used: …. U.S. average 18.44¢/kWh, May 2026. Source: U.S. Energy Information Administration, Electric Power Monthly Table 5.6.A.
Who sells electricity in Alaska
Chugach Electric Association serves Anchorage, Golden Valley Electric Association serves Fairbanks, and Homer Electric, Matanuska Electric and Seward serve other Railbelt areas. Nearly all of them are member-owned co-operatives. The Alaska Village Electric Cooperative and dozens of independent village utilities serve the rest.
There is no retail choice. The Regulatory Commission of Alaska oversees most utilities, though some are exempt.
What you can actually do about it
The Power Cost Equalization programme is the most important thing for a rural Alaskan household to be enrolled in, and it applies only to a capped monthly amount of residential usage.
Railbelt utilities have been discussing consolidation and joint dispatch for years. Whether that happens is the main long-term variable in Alaskan rates, because operating five small utilities on one system carries redundant fixed costs.
Closest states by price
These jurisdictions charge within a fraction of a cent of Alaska, which is useful if you are comparing a move or a multi-state operating cost.
Alaska electricity rates: common questions
What is the average electricity rate in Alaska?
The average residential electricity rate in Alaska is 28.23 cents per kilowatt-hour as of May 2026, according to the U.S. Energy Information Administration. That is +53.1% relative to the national average of 18.44¢/kWh.
How much is a typical monthly electric bill in Alaska?
At the May 2026 average rate of 28.23¢/kWh, a household using 900 kWh a month would pay about $254, and one using 1,500 kWh about $423. Actual bills vary with usage, rate schedule, fixed customer charges and taxes.
Have electricity rates in Alaska gone up?
Alaska rates rose 8.2% over the year to May 2026, from 26.08¢ in May 2025 to 28.23¢.
Can I choose my electricity supplier in Alaska?
Regulated monopoly. Alaska households buy both supply and delivery from their local regulated utility or co-operative; there is no competitive residential supplier market.
Where does this Alaska rate figure come from?
It is the residential-sector average revenue per kilowatt-hour reported by utilities to the U.S. Energy Information Administration on Form EIA-861M and published in the Electric Power Monthly, Table 5.6.A. It blends supply and delivery across every residential customer in the state, so it is a statewide average rather than a quote for any individual household.