Americans using electricity to heat their homes should be prepared to bundle up a bit more this winter as utility rate increases are expected to escalate by 10.2 percent.
A Sept. 19 announcement from the National Energy Assistance Directors Association (NEADA) forecasts electricity costs will rise from an average of $1,093 in 2024 to $1,205 this year.
“Electricity prices are rising more than twice as fast as the overall inflation rate due to utility investment in transmission and distribution systems, the rising cost of natural gas … and rapid growth in large data centers that are increasing demand for electricity,” the NEADA statement indicated.
The NEADA also predicts higher natural gas costs, with the average household gas bill growing from $639 to $693. Higher wholesale gas prices and strong liquified natural gas (LNG) export demand are responsible for the price hikes….