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Households in the contiguous United States will pay thousands of dollars more for energy through 2040 because of federal policy changes since President Donald Trump returned to office, such as canceling new clean energy projects.
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' Ukraine's Mariupol descends into despairEnvironmental groups sue Trump administration over eased vehicle fuel economy rulesFlorida's dengue outbreak is now the largest in the continental US in decadesBeing a night owl may not be great for your heart but you can do something about itWes Moore forms bipartisan governors group on AI, citing federal inactionPope Leo seeks status update of Francis' divisive opening to divorced and remarried CatholicsMéxico endurecerá controles a las redes sociales y exigirá que bajen contenidos violentosHouseholds in the contiguous United States will pay thousands of dollars more for energy through 2040 because of federal policy changes since President Donald Trump returned to office such as canceling new clean energy projects, according to modeling released Friday by a nonpartisan think tank.found that households will pay an average of $6,500 more for energy, cumulatively through 2040.
In five states, households will pay roughly $9,000 more: Oregon, Mississippi, South Dakota, Virginia and Wyoming. The California-based think tank said there will be more demand for natural gas for electricity because the administration is canceling newEnergy prices are elevated in many countries. The International Energy Agency said after Russia invaded Ukraine, record prices were observed between 2022 and 2024 in the European Union, the United Kingdom, Japan and Korea.
In many countries, the rise has outpaced income growth and inflation since 2019, including the European Union and the United States.is being blamed. The Iran war has sent oil and gasoline prices sharply higher, too. The Energy Information Administration expects residential U.S. customers to pay about 18.6 cents per kilowatt-hour in 2027, compared to 17.3 cents in 2025 and 18.2 cents in 2026.
The independent research firm Rhodium Group has also examined the issue, saying in April the U.S. has entered a new period of rising electricity prices. It cited increasing price volatility in natural gas, which is increasingly used to generate power; needed grid improvements; inflation; storm recovery and wildfire mitigation; and shifting policies.
White House spokeswoman Taylor Rogers said Wednesday that lowering electricity prices remains a top priority and Trump is unleashing reliable energy like coal and natural gas to reverse the damage Democrats did to the grid by increasing clean energy. A“Joe Biden created a grid crisis; President Trump is fixing it,” Rogers wrote in an email.
“If the Democrats had their way, these costly and unreliable renewable energy projects would still be failing our grid and our communities. ”, unlike Biden, who saw clean energy as a climate solution. The conservative Institute for Energy Research said in December thatbecause they have embraced aggressive renewable mandates, 100% carbon-free targets, premature coal and nuclear retirements and restrictions on natural gas infrastructure. It said high electricity prices are not an inevitability; they are a choice.
, including clean air and power plant rules and the revocation of a scientific finding that underpinned the U.S. fight against climate change; theand blocking of California’s novel rule banning the sale of new gas-powered cars by 2035; and federal actions to stop wind, These changes will result in annual household energy costs rising in every state in the contiguous U.S., plus job losses in 47 of 48 states and losses to the gross domestic product in 46 states, Energy Innovation said. It’s projecting 37,000 additional premature deaths from air pollution, $72 billion in additional healthcare costs and more than 9 billion tons of additional carbon pollution because of the environmental rollbacks.
The analysis did not include Alaska or Hawaii because key federal data is not available for those two states, said Robbie Orvis, senior director for modeling and analysis. Cars drive through an intersection along the Las Vegas Strip, May 1, 2026, in Las Vegas. Cars drive through an intersection along the Las Vegas Strip, May 1, 2026, in Las Vegas. “Across pretty much every state, things are worse.
The outlook now is worse for states and the affordability crisis will be worse because of the combined set of policies,” Orvis said. Climate Justice Alliance legislative director Mar Zepeda said her Washington, D.C. , electric bill increased $200 in the past month. Zepeda blames electricity demands from data centers, and said federal “affordability” policies only exacerbate this.
“They may call it affordability, but affordable for whom and at what cost? Not for regular people,” Zepeda said in an email. Rogers said it is “irresponsible” to classify Energy Innovation as nonpartisan because its employees have donated to Democrats and worked with Democrats on climate policy. Spokesman Silvio Marcacci said Energy Innovation works with policymakers who want to cut emissions and lower bills, regardless of party.
He said multiple Republican-led states have used their tool designed to model policies affecting energy use and emissions. Much of their data comes from government sources, including the EIA. Rogers also said states led by Democrats that have embraced aggressive renewable mandates see higher energy costs, notably California and New York. She said this proves Republican policies are working.
However, in the Energy Innovation analysis, three of the five states facing the highest costs have Republican governors. Its research has found that states with high levels of wind and solar generation, including Republican-led Iowa and Oklahoma, have experienced the lowest rate increases.
The average price residential customers pay for electricity increased during Biden’s term and has continued to rise under Trump,annual energy spending in Oregon by $840 per household in 2035 and $1,200 per household in 2040, with a cumulative $9,300 increase from 2026 to 2040 — the highest of any state. The Oregon Citizens’ Utility Board advocates for residential utility customers. Executive Director Bob Jenks called those numbers “frightening” because Oregon already has an energy affordability problem.
He cited steep rate increases as utilities make upgrades and data centers use more power. Jenks said wind and solar are essential for affordable electricity, and he wants the federal government to partner with states to develop the energy they need.
“We’re trying to optimize among the resource options we have, and they’re trying to take things away and raise the costs,” he said. The Associated Press’ climate and environmental coverage receives financial support from multiple private foundations. AP is solely responsible for all content. Find AP’sMcDermott is a reporter on the Associated Press Climate and Environment team. She focuses on the transition to clean energy.
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Mississippi Households Face Significant Energy Cost Increases Due to Federal Policy ShiftsModeling by the Energy Innovation think tank indicates that households in the contiguous United States will pay an average of $6,500 more for energy through 2040 due to federal policy changes implemented after President Donald Trump returned to office. Mississippi is among five states where residents are projected to pay roughly $9,000 more. The report attributes these increases to the cancellation of new wind, solar, and hydrogen projects, which shifts demand toward natural gas for electricity, and the revocation of incentives for efficient vehicles, leading to higher gasoline demand. Additional factors contributing to elevated energy prices include global supply disruptions and rising demand from data centers.
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