By Roger Donway
Editor Note: The Institute for Energy Research (IER) and Always on Energy Research (AOER) issued the following on Independence Day last week.
“BlueStatesHighRates.com, a new interactive index from Always On Energy Research and the Institute for Energy Research, shows that the steepest increases sit in the bluest states across the 50 states and Washington, D.C.”
WASHINGTON DC (07/04/2026) – As Americans celebrate the 250th anniversary of the nation’s founding on this Independence Day, a new analysis highlights how state energy policies continue to shape the cost of keeping the lights on, starting with the original 13 colonies that declared independence in 1776. The remaining states will be added in the coming weeks.
This expanded “Blue States, High Rates” analysis spotlights the following policies:
- Renewable portfolio or carbon-free electricity mandates
- Net-metering programs
- Carbon pricing or cap-and-trade participation
- Adoption (or absence) of data center consumer protections
- Access to affordable natural gas
- Utilities pursuing independent net-zero goals
Tom Pyle, President of the Institute for Energy Research, issued the following statement:
Energy affordability remains a top concern for American families and businesses. Federal figures show U.S. electricity prices rose 27% from January 2021 through January 2025, with an additional 11% increase from January through September 2025. However, there is wide variation in electricity prices across states, driven more by state-level policies than by any other factor. Under the Federal Power Act, states have exclusive authority over generation portfolios, siting, retail pricing, and resource adequacy, giving them direct control over which power sources supply the grid and at what cost to families and businesses.
Americans deserve transparent information on how state decisions directly affect their wallets. Electricity prices tend to be significantly higher in traditionally Democratic-leaning states. Across the continental U.S., 86% of states with electricity prices above the national average voted for the Democratic presidential nominee in both the 2020 and 2024 elections. By contrast, 80% of the 10 states with the lowest electricity prices voted for the Republican candidate in those same elections. The bottom line is that the decisions that states make, good or bad, have consequences for American families and businesses when it comes to electricity affordability.
Amy Cooke, the President and CEO of Always On Energy Research, issued the following statement:
“Democrats have realized voters are furious about rising electric bills and are hoping to capitalize on that frustration in the upcoming midterm elections. But before blue-state politicians blame everything from the rollback of federal wind and solar subsidies to new data center development, they should take a hard look in the mirror.
“BlueStatesHighRates.com, a new interactive index from Always On Energy Research and the Institute for Energy Research, shows that the steepest increases sit in the bluest states across the 50 states and Washington, D.C.
IER Experts Available For Interview On This Topic:
- Tom J. Pyle, President
- Kenny Stein, Vice President of Policy
- Alexander Stevens, Manager of Policy and Communications
Always On Energy Research Experts Available For Interview on This Topic:
Additional Background Resources From IER and AOER:
- Blue States, High Rates
- New England’s Net Zero: Nuclear Beats Wind and Solar
- Fueling America: 250 Years of Energy Innovation
“shows that the steepest increases sit in the bluest states”
It doesn’t show that. It is the tired old map of prices. It does not show rate of increase.
Seems you missed the “interactive” part which allows comparison of 2018 vs 2025 pricing, rate increases, state ranking, political and other information.
Use the “Choose a state” tab for more comprehensive data, move cursor over states of interest on the tired old map for summary data.
Yes, you’re right. I missed the burrowing down possibilities. So I looked at the states that are actually using renewables, to see how their rankings changed from 2018 to 2025:
Iowa – over 60% wind, went from #37 to #44 (#1 most expensive)
Kansas – 40% wind, from #16 to #31
South Dakota – another big wind state, from #23 to #36
North Dakota, from #38 to #51 (cheapest)
Oklahoma from #47 to #50
Texas went the other way, from #44 to #42
Wind is reducing prices.
You are not alone in your attraction to causal reductionism and cherry picking.
No cherry picking. The source only lets you see one state at a time, but I listed the first five users of wind energy per capita, plus Txas, which uses most in total.
As to causal, this article tries to link price to state politics. I think it makes more sense to link to what the states actually did.
“Wind is reducing prices.”
Just don’t factor in all the subsidies and tax breaks in those prices. Add those costs and see if wind is reducing price.
I am using the data of this WUWT post, which thinks price is just fine for bashing blue states.
Unreliables are not cheaper than reliable sources. In Texas we spend $5B every 2 years on the Texas Energy Fund (TEF) whose sole purpose is to encourage development of reliable sources to offset the increase in solar and wind. Not included in rate. We are also may spend up to $100B over the next 10 years on 765Kv transmission lines primarily to move electricity across Texas from wind and solar to the Permian Basin. Those costs won’t be on your electric bill but will definitely come out of your pocket. Common sense would use that $100B to build reliable sources near to the end customer. Transmission lines do not generate electricity. When you consider the costs to the environment and landowners across 500-600 miles they become astronomical.
Texas has intentionally put itself in a situation where its energy is going to be ultimately less reliable and more expensive by not being part of the US grid.
Exporting excess energy and importing when needed is a better strategy …but I get that they don’t want to be bound by whatever ridiculous rules the grid operators come up with. That’s part of the price Texas is paying.
A popular misunderstanding is that intermittent solar and wind are “free”, but increasing electricity costs are caused by at least two factors:
1. Two electricity generating systems need to be built. The fact is that because wind and solar are intermittent, two power generation systems need to be built. The renewable system that is powered by wind and solar energy and then a backup generation system powered by coal, gas, nuclear or other “Dispatchable” generation. The second generating system is necessary to provide uninterrupted generation when the sun sets and the wind doesn’t blow.
2. Wind and solar farms require vast acreage away from populated areas; thus, transmission lines and substations must be constructed to connect the power generation from remotely located solar and wind farms. to bring that “free” electricity back to where people and businesses are located.
The more solar and wind is installed, the higher the cost of electricity.
Some large warehouses have rooftop solar panels and now they pay nothing for electricity. Of course that’s because they burned down from solar panel electrical fires.
Insurance rates are now through the roof, or they would be if the roof hadn’t been destroyed.
The “backup generation” system has fixed costs that have to be paid by the consumer regardless of whether they are providing energy or not. Thus the required backup system becomes more and more costly as their production declines.
Are the tax payer subsidies included in all of these rate comparisons?
Land taxes and insurance are the same, whether the plants are producing or not.
The plants have to be fully manned, whether they are producing or not, because of the variability of wind and solar, the plants might be needed at any minute. This means that there is not enough time to call workers in from home. Heck, there may not be enough time to call the workers back from the break room.
Running in variable mode puts extra strain on the systems, so maintenance costs are actually increased.
Because the plants need to be kept in either warm or hot standby, there is little reduction in the amount of fuel that is being burned. In some circumstances, constantly changing the level of operation can actually result in an increase in the amount of fuel being burned. This means that wind and solar don’t reduce fossil fuel consumption by anywhere near the amounts claimed, assuming there is any reduction. (At one time Nick tried to prove his ignorance of power generation by proclaiming that there was a 1 to 1 relationship between more wind and solar and reductions in fossil fuel usage. Then again, Nick also used to proclaim that wind and solar are free.)
It is time we stopped letting children play with matches! As the idiots tinker around the edges doing ‘what all’ with no ‘know all’, they may actually trigger something dangerous. A tweak here, a tweak there, let’s see what happens? Use windmills to wrest cheap power from the winds? Who can predict how the wind changes from this stupidity; maybe a new ocean current arises or a necessary current is killed. Or, what say we block the sun, is it worth the chance of catastrophe? If Milliband thinks he is Canute, give him an island somewhere and let him wallow in his delusional fantasies, but don’t let this idiot wreck the lives of real humans.
Yes, intermittent solar and wind are “free”,
It just cost an ‘Arm and a Leg ‘ to convert them to AC power.
A problem is that WA and OR have inexpensive electricity from large dams on the Columbia and Snake rivers that pre-date the Democratic Party’s influence on government and their ClimateCult posture. Rates would be much higher if these folks had their way. They keep trying.
Don’t forget-and it seems you might be overlooking-the fact that the Dems and greeniacs are tearing those dams down…gotta save the fishies, you know?
Every few years I hear about one eco group or another trying to get the government to tear down those dams, for the environment.
But but, if states ditch their climate policies, how will they signal their virtue to other states, and the world?
Lest we forget. price does not mean cost. Ruinables are getting a free ride in many ways.
https://edmhdotme.wpcomstaging.com/a-few-graphs-say-it-all-for-renewables/
Story tip from Europe