Electricity in the United States - statistics & facts
The electricity market in the United States is home to three of the 10 most valuable electric utility companies in the world. Florida-based NextEra Energy led the global utility company ranking as of June 2024, recording a market value of over 155 billion dollars. Electricity sector ownership in the U.S. included roughly 1,700 privately and publicly owned providers in 2023, the most common being cooperatives and municipal.
Although the U.S. is the second-largest electricity producer in the world, ranking only behind China, it has become increasingly more reliant on electricity imports in the past decade. To meet its demand, it imported almost 39 terawatt-hours of electricity in 2023.
The price of electricity for the residential and commercial sectors in the U.S. has historically been greater than that for industries, as distribution to the latter is more efficient due to the higher voltages used. In 2023, the industrial electricity price in the country was almost half that of the residential price. Electricity demand in the U.S. is forecast to surpass five petawatt-hours by 2050, by which time the capacity of renewables is forecast to quadruple in a low installation cost scenario.
Meeting the national demand
In 2023, retail electricity sales in the U.S. amounted to some 3.86 petawatt-hours, after having experienced an overall growth of 15 percent since the beginning of the century. The country's economic sector relies increasingly on the electrification process, both for decarbonization and economic growth.Although the U.S. is the second-largest electricity producer in the world, ranking only behind China, it has become increasingly more reliant on electricity imports in the past decade. To meet its demand, it imported almost 39 terawatt-hours of electricity in 2023.
How much does electricity cost in the U.S.?
Electricity prices are influenced by a myriad of factors, including regulations, operating costs, maintenance of transmission and distribution lines, and costs for fuels such as natural gas and coal. In 2023, the average retail electricity price in the U.S. amounted to almost 13 U.S. cents per kilowatt-hour. Generation costs were the largest component of electricity prices in the country in 2022, followed by distribution.The price of electricity for the residential and commercial sectors in the U.S. has historically been greater than that for industries, as distribution to the latter is more efficient due to the higher voltages used. In 2023, the industrial electricity price in the country was almost half that of the residential price. Electricity demand in the U.S. is forecast to surpass five petawatt-hours by 2050, by which time the capacity of renewables is forecast to quadruple in a low installation cost scenario.
