Montana electricity rates
As of May 2026, the average residential electricity rate in Montana is 14.67 cents per kilowatt-hour, 20.4% below the U.S. average of 18.44¢. That is the 39th highest rate of the 50 states and the District of Columbia.
- Year over year
- ▲ +13.9% from 12.88¢ in May 2025
- Vs. U.S. average
- -20.4% U.S. average 18.44¢
- National rank
- #39 of 51 · #13 cheapest
- Supply market
- Western Interconnection Retail choice limited
Why Montana pays what it pays
Montana deregulated in the late 1990s and its utility sold its generating plants. The experiment was reversed after prices rose, but the state never got its cheap hydro back on the original terms. The dams were sold and later repurchased at a much higher price, which was then placed in rate base.
Since then the utility has been buying and building replacement supply: a share of a coal plant, new gas peaking capacity, and market purchases. Each addition raises the revenue requirement, and Montana's small customer base means each addition lands hard.
The state also carries severe geographic cost. Long lines cross mountains and prairie to serve very few customers per mile, with heavy winter weather and wildfire exposure both adding maintenance and mitigation spending.
How Montana compares
Montana ranks #39 of 51 jurisdictions by residential price, making it the 13th cheapest. Within the Mountain division, 4 of 7 neighbouring states are 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 a bill looks like at this rate
The figures below apply the May 2026 Montana 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 Montana 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 Montana
NorthWestern Energy serves most of the state's population. Montana-Dakota Utilities covers the east, and rural electric co-operatives, many holding low-cost federal hydro allocations from the Western Area Power Administration, serve large areas.
Montana has no meaningful residential retail choice. The limited choice programme left over from restructuring is effectively closed to households. The Public Service Commission, whose five members are elected by district, sets rates.
What you can actually do about it
The gap between co-operative and investor-owned rates in Montana is unusually wide because of those federal hydro allocations. If you have a choice of service territory, it is worth checking.
Montana's rate cases have been contested and consequential, and the Montana Consumer Counsel publishes accessible filings explaining what each proposed increase actually funds.
Closest states by price
These jurisdictions charge within a fraction of a cent of Montana, which is useful if you are comparing a move or a multi-state operating cost.
Montana electricity rates: common questions
What is the average electricity rate in Montana?
The average residential electricity rate in Montana is 14.67 cents per kilowatt-hour as of May 2026, according to the U.S. Energy Information Administration. That is -20.4% relative to the national average of 18.44¢/kWh.
How much is a typical monthly electric bill in Montana?
At the May 2026 average rate of 14.67¢/kWh, a household using 900 kWh a month would pay about $132, and one using 1,500 kWh about $220. Actual bills vary with usage, rate schedule, fixed customer charges and taxes.
Have electricity rates in Montana gone up?
Montana rates rose 13.9% over the year to May 2026, from 12.88¢ in May 2025 to 14.67¢.
Can I choose my electricity supplier in Montana?
Retail choice limited. Choice in Montana is restricted. Availability depends on your utility, your location and in some cases a programme cap.
Where does this Montana 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.