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ElectricityRatePerKWh

Electricity Rate in Kentucky (2026): 14.26c/kWh Average

The EIA residential electricity price in Kentucky is 14.26 cents per kWh as of June 2026, 4.08c below the US average of 18.34c/kWh. The Kentucky commercial rate is 12.40c/kWh and the industrial rate is 7.15c/kWh (EIA Electric Power Monthly, Table 5.6.A).

Residential Rate
14.26ยข
per kWh
vs US Avg
-22%
4.08c below
Avg Monthly Bill
$149
1122 kWh
Provider Choice
No
Regulated monopoly

Kentucky Electricity Rate: What You Need to Know

Kentucky electricity averages 14.26 cents per kWh for residential customers as of June 2026, according to the EIA Electric Power Monthly. This is 4.08c below the US average of 18.34c/kWh. The average monthly bill for Kentucky households is $149 based on typical usage of 1122 kWh.

Kentucky has some of the cheaper electricity in the country - 14.26c/kWh (June 2026), well below the US average of 18.34c - because it runs on coal more than almost any other state. Coal still generates roughly two-thirds of Kentucky's electricity, with natural gas near a quarter, hydro from the Ohio and Cumberland river dams about 5%, and only a thin renewables slice. That coal-heavy, low-fuel-cost base is the main reason rates stay low, though it also leaves bills exposed as the fleet ages and emissions rules tighten. The market is regulated with no residential retail choice. Three investor-owned utilities serve most households - Louisville Gas and Electric (LG&E) in the Louisville area and Kentucky Utilities (KU) across central and other regions, both owned by PPL Corporation, plus Kentucky Power (an AEP company) in the east - alongside TVA-served areas and a network of rural electric cooperatives. In a 2025 rate case the Kentucky Public Service Commission approved increases well below what the companies sought: about $59 million a year at LG&E and $128 million at KU effective January 1, 2026, lifting the typical LG&E residential electric bill about $5.14 a month and the typical KU bill about $8.73 - roughly half the $11 and $18 increases originally requested - with the utilities agreeing not to raise base rates again until at least August 2028. Kentucky's relatively high average usage of 1,122 kWh per month, driven by widespread electric heating, keeps the typical bill near $149 despite the low per-kWh price.

Generation mix: Coal 66%, natural gas 26%, hydro 5%, renewables 3%. The fuel mix is a primary driver of electricity rates - states with abundant hydro or nuclear tend to have lower rates, while states dependent on imported petroleum (Hawaii) or natural gas pay more.

Year-over-year change: Kentucky rates rose 6.4% year-over-year as of June 2026. This compares to the US average increase of 5% over the same period.

Regulated: You Cannot Switch Electricity Suppliers

LG&E and KU Energy operates as the regulated utility in Kentucky. Retail electricity choice is not available for residential customers. Options for reducing your bill include: time-of-use rate optimization, energy efficiency upgrades, and rooftop solar.

Your Kentucky Electricity Bill Components

Energy charge (1122 kWh x 14.26c)$160.00
Fixed customer charge (estimated)~$10.00
Estimated monthly total$170.00
Kentucky Rate by Sector - June 2026
Residential (US 18.34c)14.26c
Commercial (US 14.19c)12.40c
Industrial (US 9.17c)7.15c
Source: EIA Electric Power Monthly, Table 5.6.A.
Dominant Utility
LG&E and KU Energy
Adjacent States
Indiana17.51c
Ohio19.19c
Tennessee14.07c
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Electric Utilities in Kentucky: 59 Listed (2024 EIA-861)

EIA's Form 861 census records 59 entities with 2024 retail electricity sales in Kentucky: 46 distribution utilities filing the full form, 13 small utilities filing the short form (EIA-861S). By ownership: 30 municipal, 24 cooperative, 4 investor owned, 1 federal. The state-wide average realised residential price in 2024 was 12.79 cents per kWh across 2,077,215 residential customers and 26,085,709 MWh of sales; EIA's latest monthly figure is 14.26c (June 2026). The largest utility by residential accounts served (bundled plus delivery-only) is Kentucky Utilities Co with 450,673 (11.85c per kWh, 22.7% of state residential sales by MWh). 45 of the 46 distribution utilities have a detail page; the rest are listed here only.

Distribution utilities (46), ranked by residential accounts served (bundled + delivery-only), 2024; residential price = bundled service where offered
#UtilityOwnershipRes. accountsResidentialCommercialCounties
1Kentucky Utilities Coalso VAInvestor Owned450,67311.85c11.60c77
2Louisville Gas & Electric CoInvestor Owned384,90212.28c11.19c9
3Duke Energy KentuckyInvestor Owned139,40513.44c11.35c6
4Kentucky Power CoInvestor Owned130,85215.07c13.34c20
5South Kentucky Rural E C Calso TNCooperative64,87712.92c14.61c11
6Owen Electric Coop IncCooperative63,98412.55c10.71c9
7Warren Rural Elec Coop CorpCooperative60,70111.98c13.01c8
8Blue Grass Energy Coop CorpCooperative60,64112.32c11.72c23
9Salt River Electric Coop CorpCooperative53,47910.88c10.48c10
10Jackson Energy Coop Corp (KY)Cooperative49,42313.66c12.21c15
11Kenergy CorpCooperative47,29215.15c13.66c14
12Pennyrile Rural Electric CoopCooperative40,64513.16c13.47c8
13Nolin Rural Electric Coop CorpCooperative35,85513.08c11.65c9
14West Kentucky Rural E C CCooperative32,06213.46c14.37c6
15Meade County Rural E C CCooperative29,24814.27c13.97c6
16City of Bowling Green (KY)Municipal27,18111.48c10.58c1
17Inter County Energy Coop Corp (KY)Cooperative26,65513.74c12.39c12
18Clark Energy Coop Inc (KY)Cooperative26,20313.25c12.67c11
19Taylor County Rural E C CCooperative24,98513.27c11.28c9
20Farmers Rural Electric Coop Corp (KY)Cooperative24,88913.08c12.55c11
21Jackson Purchase Energy CorporationCooperative23,97915.64c8.02c6
22Fleming-Mason Energy Coop IncCooperative23,66613.05c10.76c8
23City of Owensboro (KY)Municipal23,28613.42c10.66c1
24Cumberland Valley Electric, Inc.also TNCooperative22,47812.87c8.04c9
25Tri-County Elec Member Corp (TN)also TNCooperative20,52912.52c10.16c9
26City of Paducah (KY)Municipal18,86315.55c14.27c1
27Shelby Energy Coop, Inc (KY)Cooperative17,43713.21c10.58c10
28City of Frankfort (KY)Municipal17,20011.23c9.75c3
29Licking Valley Rural E C CCooperative16,80513.83c7.97c7
30Grayson Rural Electric Coop CorpCooperative14,42916.07c9.97c6
31Big Sandy Rural Elec Coop CorpCooperative11,57413.69c12.41c8
32Henderson City Utility CommMunicipal10,32010.84c9.93c1
33City of HopkinsvilleMunicipal9,83212.53c13.08c1
34Madisonville Municipal UtilsMunicipal6,91911.68c10.24c1
35City of Murray (KY)Municipal6,16313.27c10.75c1
36City of Glasgow (KY)Municipal5,64413.45c11.79c1
37City of Berea Municipal UtilityMunicipal4,7229.04c8.61c1
38City of Franklin (KY)Municipal4,56112.92c12.35c1
39City of Mayfield Plant BoardMunicipal4,34813.37c12.33c1
40City of Russellville (KY)Municipal3,09211.99c12.65c1
41Gibson Electric Members Corpalso TNCooperative2,52713.33c12.21c4
42City of Benton (KY)Municipal1,88914.07c13.18c1
43City of Jellicoalso TNMunicipal1,76313.11c14.96c1
44City of Fulton (KY)Municipal1,18813.60c12.81c1
45City of HickmanMunicipal82114.49c15.96c1
46Tennessee Valley Authorityalso TN, AL, MS, NCFederal0n/a8.23c1
Small utilities filing the EIA-861S short form (13): totals across all sectors, no residential split+
UtilityOwnershipCustomers (all)Avg price (all)Counties
City of Nicholasville (KY)Municipal6,7848.90c1
City of Bardstown (KY)Municipal4,8408.08c1
Barbourville Utility CommMunicipal4,23710.16c1
Corbin City Utilities CommMunicipal4,22411.09c2
City of Princeton (KY)Municipal3,79811.91c1
City of Paris (KY)Municipal3,4339.45c1
City of VanceburgMunicipal2,59014.46c1
Williamstown Utility CommMunicipal1,68212.23c1
City of Providence (KY)Municipal1,32413.61c1
City of Olive Hill (KY)Municipal1,25715.08c1
City of Falmouth (KY)Municipal1,05412.73c1
City of Bardwell (KY)Municipal49412.05c1
City of BenhamMunicipal27113.09c1
Source and method

Source: U.S. Energy Information Administration, Form EIA-861 Annual, 2024 final data (public domain), retrieved 28 August 2026; prices are average realised revenue per kWh, not tariffs. Final 2024 file f8612024.zip (released 3 December 2025) from the EIA-861 detailed data files. Preliminary 2025 figures come from the early-release file f8612025er.zip (4 August 2026), which EIA has not yet validated; they are labelled as such wherever shown and never mixed into a final figure.

Kentucky Electricity: Frequently Asked Questions

What is the electricity rate in Kentucky in 2026?+
The average residential electricity rate in Kentucky is 14.26 cents per kWh as of June 2026, according to the EIA Electric Power Monthly. This is 4.08c below the US average of 18.34c/kWh (-22%). The average monthly electricity bill in Kentucky is approximately $149 based on 1122 kWh typical monthly usage.
What is the commercial electricity rate in Kentucky?+
The average commercial electricity rate in Kentucky is 12.40 cents per kWh as of June 2026, according to the EIA Electric Power Monthly (Table 5.6.A). That compares with the US commercial average of 14.19c/kWh. Commercial rates apply to businesses, offices, schools, and retail. They are usually lower per kWh than residential rates, but a commercial bill can still be much larger because of higher volume and demand charges.
What is the industrial electricity rate in Kentucky?+
The average industrial electricity rate in Kentucky is 7.15 cents per kWh as of June 2026, according to the EIA Electric Power Monthly (Table 5.6.A), versus a US industrial average of 9.17c/kWh. Industrial customers such as factories, manufacturers, and large facilities pay the lowest per-kWh price of the three EIA sectors because they buy power at high volume, often at higher voltage, under demand-based rate structures.
Can I switch electricity providers in Kentucky?+
No - Kentucky operates a regulated electricity market. LG&E and KU Energy serves as the regulated monopoly utility. Customers cannot switch electricity generation suppliers. Options for reducing bills include time-of-use rate optimization (where available), energy efficiency upgrades, and solar installation.
What is the average monthly electricity bill in Kentucky?+
The average Kentucky household uses approximately 1122 kWh per month. At 14.26c/kWh plus approximately $10 in fixed charges, the average monthly bill is $149. This varies by season (higher in summer for cooling-dominant states like Kentucky, higher in winter for heating-dominant states).
What is the primary electricity source in Kentucky?+
Kentucky's generation mix is primarily Coal 66%, natural gas 26%, hydro 5%, renewables 3%. This fuel mix is a key factor in the state's electricity rate - states relying on hydro or nuclear typically have lower rates, while states heavily dependent on natural gas or petroleum (like Hawaii) face higher costs.
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