Colorado electricity rates
As of May 2026, the average residential electricity rate in Colorado is 16.16 cents per kilowatt-hour, 12.4% below the U.S. average of 18.44¢. That is the 28th highest rate of the 50 states and the District of Columbia.
- Year over year
- ▲ +3.7% from 15.58¢ in May 2025
- Vs. U.S. average
- -12.4% U.S. average 18.44¢
- National rank
- #28 of 51 · #24 cheapest
- Supply market
- Western Interconnection Regulated monopoly
Why Colorado pays what it pays
Colorado has committed to retiring its coal fleet on an accelerated schedule and replacing it with wind, solar, storage and gas. The replacement resources have low or zero fuel cost, but they are new, and new assets carry full capital cost in rate base while the retiring plants often still have undepreciated value to recover.
The state has also built substantial transmission, including a large new backbone connecting eastern plains wind to Front Range load. Wildfire mitigation has become a significant and growing expense since the Marshall Fire focused attention on utility-related ignition risk.
Working in Colorado's favour: an excellent wind and solar resource, a growing customer base to spread costs across, and moderate weather-driven consumption compared with the South or the Upper Midwest.
Where Colorado power comes from
Colorado generated 57 TWh in 2025, the 30th largest output of any state. Natural gas supplied 31.9% of it. Renewables accounted for 43.2%, against 23.8% nationally, which ranks Colorado #14 of 51.
- Natural gas 31.9% 18 TWh
- Wind 30.1% 17 TWh
- Coal 24.7% 14 TWh
- Solar 9.8% 6 TWh
- Hydroelectric 3.3% 2 TWh
Source: U.S. Energy Information Administration, Electric Power Operational Data, net generation, all sectors. Net generation across all sectors. Nuclear counts as carbon-free but not renewable, so the two shares differ.
How Colorado compares
Colorado ranks #28 of 51 jurisdictions by residential price, making it the 24th cheapest. Within the Mountain division, every other state is cheaper.
| State | ¢/kWh | YoY | Rank |
|---|---|---|---|
| Idaho | 12.35 | +4.0% | #51 |
| Utah | 12.96 | +2.9% | #50 |
| Nevada | 13.60 | +2.3% | #47 |
| New Mexico | 14.12 | -2.6% | #44 |
| Montana | 14.67 | +13.9% | #39 |
| Wyoming | 14.80 | +7.1% | #38 |
| Arizona | 15.23 | -3.1% | #32 |
| Colorado | 16.16 | +3.7% | #28 |
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 Colorado households actually pay
Colorado looks more expensive on paper than it is in practice. Its rate ranks #28 of 51, but the average bill ranks only 49th, because households there use 664 kWh a month against a national average of 871. See how every state compares on bills.
Estimate your Colorado 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.
Heating in Colorado: gas, heat pump or resistance
Residential natural gas in Colorado averaged $10.58 per thousand cubic feet in 2024, about $1.02 per therm, against a national average of $14.50. Put on the same scale as the state's electricity rate, the cost of delivering one million BTU of heat works out as follows.
In Colorado, gas remains cheaper to run than a heat pump by about $4.46 per million BTU at these assumptions, roughly $268 over a 60 million BTU season. A heat pump can still be the better purchase once cooling, equipment age and incentives are counted, but not on heating cost alone.
Gas price: U.S. Energy Information Administration, Natural Gas Prices, price delivered to residential consumers, 2024. Assumptions are adjustable in the heating cost guide, and every state is compared on the gas price page.
What each Colorado utility charges
The statewide average hides a wide spread. Across the 34 Colorado utilities reporting to the EIA, rates run from 6.97¢ at City of Fort Morgan to 24.79¢ at SunPower Capital, LLC . Together they serve 2.5 million residential customers.
| Utility | ¢/kWh | Bill | kWh | Customers |
|---|---|---|---|---|
| Public Service Co of Colorado | 15.05 | $90 | 600 | 1.4 million |
| City of Colorado Springs | 14.45 | $90 | 619 | 216,771 |
| CORE Electric Cooperative | 15.04 | $130 | 864 | 165,067 |
| United Power, Inc | 15.75 | $128 | 811 | 101,502 |
| Black Hills Colorado Electric, LLC | 17.05 | $97 | 571 | 89,252 |
| City of Fort Collins | 13.21 | $82 | 621 | 70,803 |
| Mountain View Elec Assn, Inc | 15.52 | $139 | 897 | 59,789 |
| Holy Cross Electric Assn, Inc | 12.04 | $138 | 1,150 | 49,982 |
| Poudre Valley REA, Inc | 12.21 | $108 | 885 | 49,587 |
| City of Longmont | 12.30 | $85 | 691 | 40,855 |
| La Plata Electric Assn, Inc | 16.71 | $110 | 661 | 39,931 |
| City of Loveland | 14.40 | $90 | 622 | 37,007 |
| Delta Montrose Electric Assn | 14.97 | $107 | 716 | 32,575 |
| San Isabel Electric Assn, Inc | 17.78 | $116 | 654 | 23,289 |
| Yampa Valley Electric Assn Inc | 16.76 | $145 | 865 | 23,253 |
| Mountain Parks Electric, Inc | 15.98 | $119 | 747 | 19,183 |
| Grand Valley Power | 15.94 | $126 | 792 | 17,268 |
| City of Fountain | 13.74 | $99 | 724 | 17,242 |
| Empire Electric Assn, Inc | 15.31 | $108 | 706 | 12,899 |
| Tesla Inc. | 11.64 | $58 | 494 | 12,893 |
| San Miguel Power Assn, Inc | 16.32 | $132 | 809 | 12,154 |
| San Luis Valley R E C, Inc | 18.38 | $119 | 646 | 9,115 |
| Sunrun Inc. | 15.78 | $105 | 663 | 8,318 |
| Southeast Colorado Power Assn | 17.22 | $127 | 736 | 8,148 |
| City of Fort Morgan | 6.97 | $65 | 939 | 5,999 |
Showing the 25 largest of 34. Utilities with fewer than 1,000 residential customers are not published.
Source: U.S. Energy Information Administration, Form EIA-861 annual electric power industry report, 2024.
Who sells electricity in Colorado
Xcel Energy's Public Service Company of Colorado serves Denver and much of the Front Range. Black Hills Energy serves Pueblo and the southeast. Colorado Springs Utilities and other municipal systems serve major cities, and Tri-State supplies many rural co-operatives.
There is no residential retail choice. The Colorado Public Utilities Commission sets rates for investor-owned utilities, and municipal utilities set their own.
Colorado sits in The Mountain West. Cheap legacy coal and abundant sun, with costs decided by how fast each state is retiring one and building the other. Read the regional analysis.
What you can actually do about it
Colorado's municipal utilities are frequently cheaper than the investor-owned utilities, and several rural co-operatives have been renegotiating or exiting wholesale contracts to buy cheaper power. It is a live issue worth tracking if you are served by one.
Xcel's time-of-use rate is the default for residential customers in Colorado rather than an option, which makes load shifting the most direct saving available.
Closest states by price
These jurisdictions charge within a fraction of a cent of Colorado, which is useful if you are comparing a move or a multi-state operating cost.
Colorado electricity rates: common questions
What is the average electricity rate in Colorado?
The average residential electricity rate in Colorado is 16.16 cents per kilowatt-hour as of May 2026, according to the U.S. Energy Information Administration. That is -12.4% relative to the national average of 18.44¢/kWh.
How much is the average monthly electric bill in Colorado?
The average Colorado household paid $109 a month across the twelve months to May 2026, using an average of 664 kWh. That is -30.1% against the U.S. average bill of $155, and it ranks 49th highest of the 51 jurisdictions. Your own bill depends on the size of your home, your heating and cooling equipment and your rate schedule.
Why is the Colorado bill ranking different from its rate ranking?
A bill is the rate multiplied by usage, and usage varies between states more than price does. Colorado ranks #28 of 51 on price but 49th on the actual bill, because households there use about 664 kWh a month against a national average of 871. Climate and heating fuel drive most of that difference.
Have electricity rates in Colorado gone up?
Colorado rates rose 3.7% over the year to May 2026, from 15.58¢ in May 2025 to 16.16¢.
Can I choose my electricity supplier in Colorado?
Regulated monopoly. Colorado households buy both supply and delivery from their local regulated utility or co-operative; there is no competitive residential supplier market.