By Patrick Cavanaugh, Director of Business Development & Marketing, Uprise Solar & Roofing
September 11, 2026
DC electricity rates have climbed enough to make a familiar monthly bill feel like an unpleasant surprise. If you’re wondering whether you used more power or simply paid more for it, you’re asking the right question.
By June 2026, DC’s average residential electricity price was roughly double its January 2020 level, as the EIA chart below shows. Keeping your usage steady has not protected you from higher prices.
So, is it you or is it Pepco? Your bill may reflect both higher rates and changes in usage. Here’s how to separate the two, understand what happened, and decide what to do next.
How much have DC electricity rates increased?
DC’s average residential electricity price reached 24.39 cents per kilowatt-hour in June 2026, compared with 22.70 cents in June 2025. That’s a 7.4% increase over the year, calculated from EIA’s monthly figures. A kilowatt-hour, or kWh, measures how much electricity you use. EIA state electricity prices
The longer view shows a larger change. The accompanying EIA chart compares each month with January 2020. Near the 100% mark, the average price is about twice the starting price.
That does not mean every household’s bill doubled. This is a District-wide average price, and your bill also depends on usage, supplier, and other charges.
DC electricity rates, measured as the change in average residential price since January 2020, through June 2026. A 100% increase means the price has doubled. Source: U.S. Energy Information Administration.
I remember when electricity was about 10 cents
When I started working in solar in 2012, I remember electricity rates around 10 cents per kilowatt-hour. Yes, I realize I’m starting to sound like someone telling you what a gallon of milk used to cost.
That’s a memory, not a verified comparison with today’s DC average. Location and which charges you count matter. Still, after 14 years in solar, seeing prices around 24 to 25 cents gives me pause.
You can be careful with your electricity use and still feel like you’re losing ground when the price keeps climbing.
Why are DC electricity rates going up?
First, it helps to understand the two main parts of your bill.
Supply charges cover your electricity and its transmission to the local grid. Delivery charges cover the local system that brings it to your home, including poles, wires, transformers, and maintenance.
DC regulates delivery rates through utility proceedings. Supply prices, meanwhile, reflect the regional wholesale electricity market. That means different decisions affect different parts of the same bill. DCPSC guide to your electric bill
Pepco buys electricity through wholesale auctions for its default supply customers. This service is called Standard Offer Service, or SOS.
DCPSC identifies four contributors to the latest supply increase:
- Power plant retirements that tighten regional supply.
- Growing electricity demand from data centers.
- New requirements to ensure reliable power.
- Increased renewable-energy requirements.
The Commission does not assign a share of the increase to each factor in its summary. DCPSC explanation of supply rates
How data centers affect electricity costs
Data-center demand is part of the explanation. However, it does not account for every extra dollar on your bill.
PJM, the regional grid operator, also runs a capacity market to secure resources for future demand. Think of it as paying for power resources to be available when needed. That cost is separate from the electricity consumed each day. PJM capacity market
This helps explain why regional grid needs matter to households. Your own usage can stay flat while the cost of securing electricity changes.
What changed with Pepco rates in July 2026?
DCPSC estimated that the SOS change effective July 1, 2026, would add 7%, or $9.56, to a residential customer’s total monthly bill at 614 kWh of usage. Actual impacts vary. DCPSC July rate update
That estimate applies to one rate change. It is separate from the June-to-June comparison above. The EIA chart ends in June, so it does not include July’s change.
How do DC electricity rates compare with other states?
DC ranked 11th highest among the 50 states and DC for average residential electricity prices in June 2026. Its price was about 33% above the national average.
| State or jurisdiction | June 2026 residential price per kWh |
|---|---|
| Hawaii | 52.72¢ |
| California | 34.74¢ |
| Massachusetts | 29.61¢ |
| New York | 29.49¢ |
| New Jersey | 24.95¢ |
| Washington, DC | 24.39¢ |
| Maryland | 21.84¢ |
| United States average | 18.34¢ |
| Virginia | 17.22¢ |
Selected comparisons, not a complete ranking. Source: EIA June 2026 electricity prices. These are average residential prices, not supply-only rates or monthly bill totals.
Why did my bill rise more than the announced rate increase?
Prices and usage can rise together. As a result, your bill can increase more than either change alone.
For example, suppose your electricity price rises 25% and you use 20% more power. Your usage-based cost rises 50% because the two increases compound. This is an illustration, not an estimate of your bill.
Billing days matter, too. A 33-day bill includes five more days of use than a 28-day bill. Fixed charges, credits, and past-due balances can also change the amount you owe.
How to check your Pepco bill in five minutes
Pull up your current bill and the bill for the same month last year. Then compare these five items:
- Daily electricity use. Divide total kWh by billing days. This makes the usage comparison more useful.
- Supply and delivery rates. Check which prices changed, including seasonal rates.
- Your electricity supplier. If you use a third-party supplier, review your contract’s price and renewal terms.
- Meter readings. Look for an actual or estimated reading.
- Current charges. Separate this month’s charges from old balances, late fees, and credits.
If daily use stayed similar but charges rose, check the prices first. If daily use increased, look at weather, heating, cooling, and any new equipment.
What can you do about higher electricity costs?
Start with your home’s energy use
Check thermostat schedules, HVAC maintenance, air leaks, and equipment that runs longer than expected. Renters can document problems and ask their landlord to address repairs.
These steps may reduce usage, even though they cannot control the price per kWh.
Check current assistance programs
Visit DOEE’s utility affordability page for energy assistance, discounts, and weatherization resources.
As of September 11, 2026, DOEE says new LIHEAP and Utility Discount Program applications are closed for the current fiscal year. Check its page for updates as the new fiscal year begins October 1.
Compare solar options carefully
Solar can reduce the electricity you buy from the utility. However, a useful proposal should show expected production, remaining utility charges, solar payments, and savings assumptions.
Our guide to residential solar installation explains the property review and design process. Roof space, shade, condition, and electricity use all affect the result.
Renters and households without a suitable roof can also investigate community solar and income-qualified options through DOEE.
Understand your bill before choosing a solution
Rising DC electricity rates can make household costs feel harder to control. Start by finding out how much of your increase came from prices and how much came from usage.
At Uprise Solar & Roofing, we believe that understanding should come before any sales conversation. Whether you explore solar, address an energy problem, or question a bill, having the numbers puts you in a better position to act.