What Is the Average Electric Bill for Arizona?

Curious about the average electric bill in Arizona? The cost of power has been on the rise across the nation, and this has affected the households in terms of expenditure, and the same applies to Arizona. In the last couple of years, electricity bills in the state have been on the rise, which has put a lot of pressure on families. This article focuses on the average electric bills in Arizona and tries to explain what causes such expenses. Additionally, we'll provide practical tips to help you reduce your electricity expenses and keep your energy budget under control. First, let us look at the average electricity consumption and then discuss ways to control and reduce your power expenses. Read On! 

Average Electric Bill for Arizona 

The average electricity bill in Arizona has been recorded to have risen from $138. 13 in 2022 to $149. 71 in 2024. This upward trend shows that the cost of living is increasing and is a burden to the residents financially. Arizona households using electricity during summer are likely to spend between 200 and 250 dollars, based on the usage of home appliances.

One of the main reasons that have been attributed to these high bills is the state’s consistently high temperatures.

Electricity Rates For Arizona 

There are several electricity providers that operate in Arizona, some of them include Arizona Public Service, UniSource Energy Services, Salt River Project, and Arizona Electric Power Cooperative. There are some factors that can help you choose the right provider; these include the type of plans offered, the amount of kilowatt hours used and peak hours.

In general, the price of residential electricity in Arizona is 14.27 cents per kilowatt hour, meaning the average customer is charged about $150.52 per month. This is 11.21% lower than the United States average price of 16. 07 cents. Relative to average electricity rate Arizona is the 25th lowest priced state in the United States. The commercial rates are slightly lower at 11.92 cents with the monthly billing of $950. 23. The industrial rates are quite affordable at 7.93 cents per kWh with a monthly bill of $13,197.46. This structure of pricing is based on the consumption levels and energy requirements of the residential, commercial, and industrial customers.

Following table shows the average bill of different states in 2024:

State

Average Bill

Energy rates

Monthly usage

Alabama

$ 186.95

15.87 ¢/kWh

1178 kWh

Alaska

$ 143.32 

24.71 ¢/kWh

580 kWh

Arizona

$ 149.71

14.95 ¢/kWh

1061 kWh

Arkansas

$ 142.97

12.88 ¢/kWh

1110 kWh

California

$ 173.71

32.47 ¢/kWh

535 kWh

Colorado 

$ 101.31

14.64 ¢/kWh

692 kWh

Factors Affecting Power Prices In Arizona 

Currently, the price of electricity in Arizona has continued to rise and this has contributed to an increase in monthly family expenses. Although your consumption is the biggest factor that determines your electric bill, several other factors have a huge impact on the total costs.

Climate and Weather Conditions

High temperatures especially during summer are one of the main causes of high electricity tariffs in Arizona. With the high temperatures, people use air conditioning to cool the environment leading to increased energy consumption. Likewise, though not as often, cold spells can cause higher usage of heating appliances, which in turn raises energy usage and costs.

Home Energy Efficiency

You will find that the efficiency of your home greatly determines the amount of electricity bill you are going to pay. Houses with energy-efficient appliances and systems use less energy meaning that the monthly bills will be low. Replacing old appliances, increasing insulation, and using smart thermostats can cut down energy consumption by a considerable amount.

Fuel Costs

The cost of generation of electricity also depends on the cost of the fuel used in generation. Petroleum and natural gas are usually expensive when demand for electricity is high. These high fuel costs translate to higher electricity generation costs and hence consumers are charged higher tariffs.

Service and Maintenance Costs

 Monthly service charges on your bill include other expenses necessary to sustain the electric grid operations. These include meter costs, pole costs, costs related to system maintenance, and all other costs that are required to provide a steady supply of electricity. These charges as much as they may seem small are part of the total cost that is passed on to the consumer and displayed on the bill.

Energy Plan

The main benefit of living in a deregulated area is the freedom to choose your energy provider and the plan it provides. Energy plans are divided according to usage where there are plans for high usage and plans for low usage. The rate that you pay depends on the plan that you choose to go for. It can be useful to double check your current energy plan if you find that you are paying a lot of money on your electric bill every month.

Tips To Cut Down On Power Expenses

Monitor Your Energy Usage

The use of electricity meters can easily help you monitor your energy usage and as a result reduce your electricity expenses. The appliances or activities that take the most energy can be avoided or used less often in order to conserve energy. Conserving energy also involves simple things such as avoiding the use of energy-consuming appliances and this can go a long way in conserving energy.

Upgrade to Energy-Efficient Appliances

Appliances that are old are known to be less efficient than modern ones that are designed to consume less energy. It is advisable to go for new appliances that have the Energy Star on them, as this is a guarantee that they have been tested and meet certain standards on energy efficiency. This upgrade can result in substantial decrease of your energy usage and corresponding monthly electricity bills.

Use Efficient Lighting

Switching traditional incandescent bulbs with LED or CFL bulbs can reduce energy consumption by a great deal. These modern bulbs consume up to 80% less energy and have a much longer lifespan than traditional bulbs, making them more cost and energy-efficient in the long run.

Utilize Utility Company Discounts

Some of the utility companies give rebates to the users who employ energy conservation measures or receive energy-efficient products. Contact the utility company to get more information on the possible discounts and programs that may be applicable to your case and therefore reduce the total cost of electricity.

Slashing Electricity Costs with Solar Power in Arizona

Solar energy can help cut down or completely remove your monthly power consumption costs. The potential savings in Arizona are relative to your current electric bills and how much you can eliminate from the bill with solar panel installation.

Considering that Arizona is a sunny state, an average home requires a 7. 5 kilowatt (kW) solar panel system to meet their annual electricity consumption of 13,752 kilowatt-hour (kWh). When you decide to go for full solar installation that means you are offsetting your electricity bill by 100%, and this makes a big difference.

Based on the above assumptions, the annual electricity price increase is taken to be 1. 8% and financing your solar system through a $0-down loan is a great deal financially. The savings could be in the range of $2200 in the first year, $11300 over five years, $23700 over ten years and up to $52000 over twenty years. These savings make solar an attractive option for Arizonans who are willing to cut on their energy bills and get long-term financial returns.

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Bottom Line

When the electric bills keep on adding up with time, it becomes financially wise to opt for solar power in Arizona with added advantage of being eco-friendly. Solar energy is now popular in Arizona not just as a fad but as a critical solution that is transforming the way people use energy. Adopting solar technology not only helps save money but also helps in the long term goal of saving the planet by minimizing the use of conventional energy sources.