Louisiana's electricity prices were 2 cents cheaper than national average
Published 10:00 am Sunday, December 4, 2022
* By Victor Skinner | The Center Square contributor
(The Center Square) — Louisiana's electricity costs were more than 2 cents per kilowatt hour cheaper than the national average in 2021, according to recent analysis from the U.S. Energy Information Administration.
The EIA published new state electricity profiles this month that show the average retail price for electricity in Louisiana was 8.82 cents per kilowatt hour in 2021, compared to a national average of 11.10 cents per kilowatt hour.
Louisiana's average retail rate was among the lowest in the region, with neighboring states Mississippi at 9.50 cents per kilowatt hour, Arkansas at 9.10 cents, and Texas at 9.14 cents per kilowatt hour. Oklahoma was the only state in the region in 2021 with a cheaper rate: 8.52 cents per kilowatt hour.
The average retail price for 2021, however, marked an increase of 1.31 cents per kilowatt hour over the 2020 rate of 7.51. That change moved Louisiana from the lowest rate in the nation to the 44th lowest among 50 states and the District of Columbia.
States with cheaper rates include Oklahoma and Idaho at 8.17 cents per kilowatt hour, Wyoming at 8.25 cents, Utah at 8.34 cents, Nevada at 8.58 cents, and North Dakota at 8.65 cents. The highest rates include Hawaii at 30.31 cents per kilowatt hour, Alaska at 20.02 cents, California at 19.65 cents, Massachusetts at 19.06 cents, and Rhode Island at 18.44 cents.
EIA data shows Louisiana's net generation of neatly 99 million megawatt hours in 2021 was about 8 million megawatt hours greater than total retail sales, which came in at 90.8 million megawatt hours.
Louisiana ranked 14th nationally for both total retail sales and net generation, and second for direct use at 19.6 million megawatt hours. Direct use in 2020 was 20.7 million megawatt hours.
The 2021 EIA data shows Louisiana's net generation decreased by about 1 million megawatt hours from 2020, when the state ranked 15th. Total retail sales, however, increased slightly from 89.1 million megawatt hours in 2020, though the national ranking was the same.