EIA Says U.S. Electric Rates Up This Year on Higher Natural Gas Prices
By Jamison Cocklin
WASHINGTON, DC — Retail electricity rates for U.S. residential customers averaged 12.8 cents/kWh during the first half of this year, or about 3% more than the same period in 2016, an increase that was driven by higher fuel costs for commodities like natural gas, according to the Energy Information Administration (EIA).
The cost of natural gas delivered to U.S. electric generators during the first six months of the year was 37% higher than it was during the same time in 2016, averaging $3.53/MMBtu, EIA said in a note on Monday. While the delivered cost of coal was down about 2% during the same time, residential rates were also influenced by power utilities recovering expenditures on transmission and distribution infrastructure.