Rising electricity prices are no longer just an industry concern. For many households across the country, higher energy bills are tightening budgets and forcing them to make difficult choices about how to pay for essential needs.
According to the North Carolina Clean Energy Technology Center, the national average price of residential electricity increased by over 7% from April 2025 to April 2026, and an analysis from PowerLines has shown that billions of dollars of rate increases are still on the horizon.
These rate increases have already hit consumers’ wallets. According to SECC’s “Exploring Energy Affordability: Barriers and Opportunities” report, about half of Americans (51%) have seen their electricity bills rise over the past year, with a third (32%) seeing bill increases from $25-50.
In this post, we share findings from SECC’s new report to dive more deeply into how rising electricity prices are impacting Americans’ wallets:
1. Half of lower-income Americans have struggled to pay their bills.
Unsurprisingly, the energy affordability crisis is hitting lower-income households the hardest. While 31% of all Americans have struggled to pay their electricity bills in the past year, that figure rises to 48% of lower-income consumers. And lower-income households are also being hit by the largest bill increases. Among those whose bills have increased, 29% of low-income consumers have seen increases of $50 or more, compared to 21% for medium-income households. These increases are putting additional strain on households that are already financially constrained despite typically using less energy than higher-income households.Â
2. Consumers are most concerned about being able to pay for utilities and housing.
The survey asked respondents to select two household expenses that they are most concerned about being able to pay from a list of roughly a dozen areas, including transportation, food, housing, health insurance, childcare and more. Utilities rose to the top alongside housing costs (29%). About a third of consumers (32%) selected “utilities” compared to 24% for food, 13% for credit card payments and 12% for transportation costs. While food and housing costs have also risen sharply, energy bill increases have consumers seriously concerned about their ability to pay.
3. Households who are struggling to pay prioritize housing, food and utilities.Â
Finally, respondents were asked which expenses from the list mentioned above they would prioritize if they couldn’t pay all of their monthly bills. Housing (49%), food (44%) and utilities (41%) were the clear top three choices for consumers. Healthcare costs and health insurance followed at 15%, while no other category exceeded 10%. These findings show that consumers view energy not as a discretionary expense, but as a core household necessity alongside housing and food.
The findings from our latest research make one thing clear: Energy affordability is becoming an increasingly urgent challenge for households across the country. As electricity costs continue to rise, many consumers, especially lower-income families, are being forced to make difficult financial tradeoffs. Addressing affordability will require collaboration among utilities, policymakers and community partners to provide meaningful support, improve customer engagement and help ensure that all households can access and afford the energy they depend on every day.
To learn more about the state of energy affordability today and how electricity providers and other stakeholders can alleviate some of the affordability stress that consumers are facing, download SECC’s “Exploring Energy Affordability: Barriers and Opportunities” report here.