California electricity rates
As of May 2026, the average residential electricity rate in California is 33.25 cents per kilowatt-hour, 80.3% above the U.S. average of 18.44¢. That is the 2nd highest rate of the 50 states and the District of Columbia.
- Year over year
- ▼ -0.1% from 33.29¢ in May 2025
- Vs. U.S. average
- +80.3% U.S. average 18.44¢
- National rank
- #2 of 51 · #50 cheapest
- Supply market
- CAISO Retail choice limited
Why California pays what it pays
California's rate is not primarily about the cost of generating electricity. Wholesale energy in CAISO is not unusually expensive, since the state has enormous solar output, substantial hydro, geothermal and one remaining nuclear station. The cost is in everything wrapped around it.
Wildfire dominates. After utility equipment was found responsible for catastrophic fires, the state's utilities undertook the largest grid-hardening programme in American history: burying thousands of miles of distribution line, replacing conductors, installing weather stations and fast-trip protection, and expanding vegetation management enormously. They also pay for wildfire insurance and contribute to a state wildfire fund. All of it recovers through rates.
Layered on top are transmission investment to reach remote renewables, the cost of past long-term contracts, and a set of public purpose programmes covering low-income discounts, efficiency and the California Solar Initiative's legacy, all funded through the bill. The state has also recovered rooftop solar's shifted costs from remaining customers, an effect that grows as more customers install panels.
California's rate was essentially flat year over year, which after several years of sharp increases is itself notable.
How California compares
California ranks #2 of 51 jurisdictions by residential price, making it the 50th cheapest. Within the Pacific division, 3 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 California 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 California 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 California
Pacific Gas and Electric serves northern and central California, Southern California Edison most of the south, and San Diego Gas & Electric the far south. Los Angeles Department of Water and Power and Sacramento Municipal Utility District are large municipal utilities with substantially lower rates.
Most Californians in investor-owned territory are served by a Community Choice Aggregator, which buys the energy while the utility delivers it. There is no conventional individual retail choice. The choice is made by the local government.
What you can actually do about it
The municipal utilities are dramatically cheaper than the investor-owned utilities. SMUD and LADWP customers pay roughly half what some PG&E customers pay for the same service.
California's rate schedules are tiered and time-differentiated, and the marginal rate in the highest tier during peak hours is far above the average. That makes load shifting unusually valuable, and it makes the average rate a poor guide to what an additional kilowatt-hour actually costs you.
If you are evaluating rooftop solar, confirm which net-metering tariff applies. The current tariff values exported energy far below the retail rate, which changes the economics fundamentally compared with older systems.
Closest states by price
These jurisdictions charge within a fraction of a cent of California, which is useful if you are comparing a move or a multi-state operating cost.
California electricity rates: common questions
What is the average electricity rate in California?
The average residential electricity rate in California is 33.25 cents per kilowatt-hour as of May 2026, according to the U.S. Energy Information Administration. That is +80.3% relative to the national average of 18.44¢/kWh.
How much is a typical monthly electric bill in California?
At the May 2026 average rate of 33.25¢/kWh, a household using 900 kWh a month would pay about $299, and one using 1,500 kWh about $499. Actual bills vary with usage, rate schedule, fixed customer charges and taxes.
Have electricity rates in California gone up?
California rates fell 0.1% over the year to May 2026, from 33.29¢ in May 2025 to 33.25¢.
Can I choose my electricity supplier in California?
Retail choice limited. Choice in California is restricted. Availability depends on your utility, your location and in some cases a programme cap.
Where does this California 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.