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ElectricityRatePerKWh

Electricity Rate in Michigan (2026): 22.99c/kWh Average

The EIA residential electricity price in Michigan is 22.99 cents per kWh as of June 2026, 4.65c above the US average of 18.34c/kWh. The Michigan commercial rate is 16.63c/kWh and the industrial rate is 9.24c/kWh (EIA Electric Power Monthly, Table 5.6.A).

Residential Rate
22.99ยข
per kWh
vs US Avg
+25%
4.65c above
Avg Monthly Bill
$127
632 kWh
Provider Choice
Yes
Can switch suppliers

Michigan Electricity Rate: What You Need to Know

Michigan electricity averages 22.99 cents per kWh for residential customers as of June 2026, according to the EIA Electric Power Monthly. This is 4.65c above the US average of 18.34c/kWh. The average monthly bill for Michigan households is $127 based on typical usage of 632 kWh.

Michigan's 22.99c/kWh rate (June 2026) sits above the US average - high for the Midwest - and has drawn sustained political scrutiny over repeated rate increases. Two regulated utilities dominate: DTE Electric serves Detroit and southeast Michigan, while Consumers Energy serves much of the rest of the Lower Peninsula. Michigan is only partially deregulated: state law caps competitive "electric choice" at 10% of each utility's load, and because both DTE and Consumers sit at or near that cap, a new customer can generally only enter the choice program when an existing participant leaves - so in practice most households buy from their regulated utility. The Michigan Public Service Commission (MPSC) has approved a steady stream of rate cases, including a $242 million DTE Electric increase in February 2026 and a $277 million Consumers Energy increase in March 2026, with more filings pending - prompting the state Attorney General to call for reform of how often utilities can seek hikes. Michigan's generation mix is led by natural gas and nuclear, with a rising renewables share and a shrinking coal fleet.

Generation mix: Natural gas 45%, nuclear 25%, renewables 20%, coal 10%. 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: Michigan rates rose 10.4% year-over-year as of June 2026. This compares to the US average increase of 5% over the same period.

Deregulated: You Can Shop for a Better Rate

Limited competitive choice (10% cap) via Michigan PSC

How to shop for a better rate ->

Your Michigan Electricity Bill Components

Energy charge (632 kWh x 22.99c)$145.30
Fixed customer charge (estimated)~$10.00
Estimated monthly total$155.30
Michigan Rate by Sector - June 2026
Residential (US 18.34c)22.99c
Commercial (US 14.19c)16.63c
Industrial (US 9.17c)9.24c
Source: EIA Electric Power Monthly, Table 5.6.A.
Dominant Utility
DTE Energy / Consumers Energy
Adjacent States
Ohio19.19c
Indiana17.51c
Wisconsin19.56c
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Electric Utilities in Michigan: 65 Listed (2024 EIA-861)

EIA's Form 861 census records 65 entities with 2024 retail electricity sales in Michigan: 30 distribution utilities filing the full form, 27 small utilities filing the short form (EIA-861S), and 8 competitive energy-only suppliers. By ownership: 40 municipal, 11 cooperative, 7 investor owned, 7 retail power marketer. The state-wide average realised residential price in 2024 was 19.30 cents per kWh across 4,516,363 residential customers and 33,504,932 MWh of sales; EIA's latest monthly figure is 22.99c (June 2026). The largest utility by residential accounts served (bundled plus delivery-only) is DTE Electric Company with 2,067,779 (20.13c per kWh, 45.2% of state residential sales by MWh). 29 of the 30 distribution utilities have a detail page; the rest are listed here only.

Distribution utilities (30), ranked by residential accounts served (bundled + delivery-only), 2024; residential price = bundled service where offered
#UtilityOwnershipRes. accountsResidentialCommercialCounties
1DTE Electric CompanyInvestor Owned2,067,77920.13c14.23c23
2Consumers Energy Co (MI)Investor Owned1,657,84319.11c14.97c60
3Great Lakes Energy CoopCooperative120,64519.17c16.40c26
4Indiana Michigan Power Coalso INInvestor Owned112,60017.00c12.15c6
5City of Lansing (MI)Municipal87,30119.78c16.29c3
6Upper Peninsula Power CompanyInvestor Owned47,66027.64c23.49c11
7Cloverland Electric Co-opCooperative36,08614.37c12.03c5
8Cherryland Electric Coop IncCooperative35,10016.36c11.52c6
9Upper Michigan Energy Resources Corp.Investor Owned33,25214.76c13.38c10
10Presque Isle Elec & Gas CoopCooperative32,44620.99c14.40c9
11Midwest Energy Cooperative (MI)also OH, INCooperative29,28319.91c17.69c7
12City of HollandMunicipal26,60811.68c10.67c2
13Tri-County Electric Coop (MI)Cooperative23,03418.04c18.17c13
14City of Bay City (MI)Municipal18,02815.35c18.89c1
15City of Marquette (MI)Municipal15,03616.96c15.31c1
16Alpena Power CoInvestor Owned13,76317.43c15.24c4
17City of Grand Haven (MI)Municipal13,23114.74c13.72c1
18Wyandotte Municipal Serv CommMunicipal11,73016.28c12.94c1
19Alger-Delta Coop Electric AssnCooperative9,81723.25c16.21c6
20City of Traverse City (MI)Municipal9,16112.70c12.12c2
21Northern States Power Coalso WIInvestor Owned7,57914.66c13.11c2
22Coldwater Board of Public UtilMunicipal6,39314.86c14.39c1
23City of Sturgis (MI)Municipal6,11714.71c17.07c1
24City of Zeeland (MI)Municipal6,03710.12c9.62c1
25City of GladstoneMunicipal2,33915.62c13.50c1
26City of NorwayMunicipal1,99517.06c15.59c1
27City of NegauneeMunicipal1,97821.72c16.17c1
28City of Crystal FallsMunicipal1,33018.88c15.43c1
29Village of L'Anse (MI)Municipal94616.82c14.43c1
30Village of Baraga (MI)Municipal55515.32c13.74c1
Competitive energy-only suppliers (8): energy charge only, delivery billed by the local utility
SupplierTypeRes. customers (energy-only)Energy-only res.Energy-only com.
Constellation NewEnergy, Inc18 statesRetail Power Marketer0n/a7.12c
Direct Energy Business17 statesRetail Power Marketer0n/a6.97c
Energy Harbor Corp.6 statesRetail Power Marketer0n/a6.05c
Calpine Energy Solutions, LLC18 statesRetail Power Marketer0n/a6.61c
Wolverine Power Marketing CoopCooperative0n/a7.28c
CMS Energy Resource ManagementRetail Power Marketer0n/a4.70c
Spartan Renewable Energy, IncRetail Power Marketer0n/an/a
UP Power Marketing, LLCRetail Power Marketer0n/an/a
Small utilities filing the EIA-861S short form (27): totals across all sectors, no residential split+
UtilityOwnershipCustomers (all)Avg price (all)Counties
Thumb Electric Coop of MichCooperative12,40414.05c3
City of South Haven (MI)Municipal8,71212.30c2
City of EscanabaMunicipal7,32010.70c1
City of Niles (MI)Municipal6,64612.97c1
Hillsdale Board of Public WksMunicipal6,14812.06c1
City of Petoskey (MI)Municipal5,38311.83c1
Ontonagon County R E ACooperative5,17325.79c5
City of Marshall (MI)Municipal4,62913.03c1
City of Charlevoix (MI)Municipal4,59016.03c1
City of Harbor Springs (MI)Municipal3,85510.85c1
Village of Chelsea (MI)Municipal3,34210.24c1
City of Eaton Rapids (MI)Municipal3,29710.79c1
City of Lowell (MI)Municipal3,15812.06c1
City of DowagiacMunicipal3,07313.77c1
City of Portland (MI)Municipal2,57514.31c1
City of St Louis (MI)Municipal1,98912.51c1
Village of Paw Paw (MI)Municipal1,83610.27c1
Village of Union City (MI)Municipal1,54914.68c1
Village of Clinton (MI)Municipal1,48814.27c2
Newberry Water & Light BoardMunicipal1,4298.87c1
City of Hart Hydro (MI)Municipal1,40912.50c1
City of Croswell (MI)Municipal1,29210.05c1
Village of Sebewaing (MI)Municipal1,18313.79c1
City of Wakefield (MI)Municipal1,01810.76c1
City of Stephenson (MI)Municipal48413.40c1
Village of Daggett (MI)Municipal12315.14c1
Bayfield Electric Coop, IncCooperative6833.68c1
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.

Michigan Electricity: Frequently Asked Questions

What is the electricity rate in Michigan in 2026?+
The average residential electricity rate in Michigan is 22.99 cents per kWh as of June 2026, according to the EIA Electric Power Monthly. This is 4.65c above the US average of 18.34c/kWh (+25%). The average monthly electricity bill in Michigan is approximately $127 based on 632 kWh typical monthly usage.
What is the commercial electricity rate in Michigan?+
The average commercial electricity rate in Michigan is 16.63 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 Michigan?+
The average industrial electricity rate in Michigan is 9.24 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 Michigan?+
Yes - Michigan is a deregulated state. Limited competitive choice (10% cap) via Michigan PSC The local utility (DTE Energy / Consumers Energy) still delivers the electricity; only the generation/supply charge is competitive.
What is the average monthly electricity bill in Michigan?+
The average Michigan household uses approximately 632 kWh per month. At 22.99c/kWh plus approximately $10 in fixed charges, the average monthly bill is $127. This varies by season (higher in summer for cooling-dominant states like Florida, higher in winter for heating-dominant states).
What is the primary electricity source in Michigan?+
Michigan's generation mix is primarily Natural gas 45%, nuclear 25%, renewables 20%, coal 10%. 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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