Summer temperatures are on the rise, and so are electricity bills. According to recent reports from the National Energy Assistance Directors Association (NEADA) and the Center for Energy Poverty, and Climate (CEPC), Americans can expect an average increase of 7.9% in their electricity bills from June through September this year, compared to last year's average of $661. This jump brings the new average cost to $719.
The impact on low-income families is particularly concerning, as they are more likely to struggle with affording cooling during extreme heat waves. Nearly 20% of very low-income households lack air conditioning, and for those who do have it, the fear of mounting utility debt can lead them to make difficult choices between maintaining power and other essential expenses.
The mid-Atlantic and Pacific regions are expected to see the highest electricity cost increases this summer, with some areas experiencing a rise of up to 12% compared to last year. In contrast, Michigan, Wisconsin, Ohio, Illinois and Indiana will have the lowest average electricity bills at $581.
The National Oceanic and Atmospheric Administration (NOAA) predicts that this summer's temperatures will be record-breaking in many parts of the country. The combination of extreme heat and rising electricity costs can pose a significant challenge for families, especially those with limited financial resources.
Several solutions have been proposed to help alleviate the burden on low-income households. These include expanding access to weatherization assistance and high-efficiency heating and cooling systems, as well as implementing rules that prohibit utility companies from shutting off power during heat waves for families who fall behind on their bills.
The Inflation Reduction Act (IRA), passed in 2022, includes provisions to expand access to these programs. However, more funding is needed to ensure they can effectively support those in need. Congress is encouraged to develop a long-term plan for fully funding both programs and restoring federal energy assistance program funds that were recently cut.
As the summer heat wave approaches, it's crucial for families to be aware of their electricity usage and explore options for reducing costs. Simple steps like using fans instead of air conditioning during milder temperatures or adjusting thermostat settings can help minimize energy consumption and save on bills.