Cheap Electricity Rates in New York
New York electricity is an expensive affair. The New York electricity rates are the ninth highest in the United States and even low average energy usage doesn’t make a New York electricity bill more affordable. Luckily, businesses and residents of New York can save money by comparing electricity rates in their zip codes.
Comparing electric rates in NYC enables New Yorkers to choose their energy service company (ESCO) and switch to a better energy plan thanks to the deregulated energy market.
Compare New York Electricity Rates
There are quite a few utility companies delivering electricity to New York’s doors. Depending on which one of them serves your area, you pay different electricity rates. You are also able to compare utility companies’ default power rates against retail energy suppliers and switch when you find a good energy plan.
Lowest electric rates in NY today:
New York Energy Market Data
Last updated May 2022
- The average New York residential electricity rate was 18.27¢/kWh(52% higher than the national average).
- The average New York commercial electricity rate was 13.43¢/kWh (38% higher than the national average).
- The average monthly energy expenditure for New Yorkers was $303, which was similar to that of Wisconsin and Nebraska. The following are the estimated typical monthly electricity costs for New York: Electricity cost: $102. Natural-gas cost: $68 per month.
- The average daily usage of electricity in New York City is 11, 000 Megawatt-hours. One megawatt is the energy needed to power 100 homes! (1 Megawatt = 1,000 KiloWatt = 1,000,000 Watt)
- In August 2021, residents in the New York City metropolitan area paid a total of 22.6 cents per kWh for electricity, 56.9 percent more than the national average of 14.4 cents per kWh. Electricity costs were 52.6 percent higher in the New York region compared to the country last August. Over the previous five years, in August, energy prices for local consumers in the United States were between 41.5 and 56.9 percent higher than average nationwide.
Source: New York energy data from The U.S. Energy Information Administration (EIA)
New York State Electricity Rates Overview
In May 2021, electricity in New York is among the most expensive in the country, with consumers paying an average of 18.27 cents per kWh. For comparison, the national average is 11.53 cents per kWh.
The state of New York is full of contrasts –you can go from the densely populated metropolitan areas of NYC to rugged mountains and plentiful land. The contracts apply to New York electricity rates as well – New Yorkers have the 7th lowest average usage in the US and yet they are slapped with the third-highest average electricity rates in the nation.
New York energy companies increase their default service rates often – to fund the expansion of existing networks or the state-mandated energy-efficiency programs – costing customers hundreds of dollars in electricity bills.
When you switch energy companies, your local power company will continue to deliver electricity safely to your door through the state power lines. It’s also whom you call in case of an electric or natural gas emergency. The only thing that will change will be the supply portion of your monthly bill – which will now have the name of your new electricity provider and a better supply rate!
Energy Deregulation in New York
New York residents have had the opportunity to shop for their energy provider since 1996. That’s when the New York Public Service Commission (PSC) separated the charges associated with delivering energy to your home from the charges for the energy itself. In practice, it allowed any Energy Service Company (ESCO) to offer competitive New York electricity rates to consumers with energy choices.
Today, the New York Public Service Commission (PSC), established in 1907, continues to oversee the energy market, allowing nearly 20 million homes and small businesses in the state to shop for New York electricity rates. The agency also regulates New York’s natural gas, steam, water, and telecommunications industries.
NY Power to Choose
The New York official state energy choice website is called NYS Power to Choose. In it, residents searching for cheaper electricity or gas can see the New York electricity rates available in their zip code.
You can choose from electricity, gas, and also 100% renewable energy rates. One thing to keep in mind is your energy usage! The energy rate offers are linked to specific monthly usage, so you should always check the estimated usage for the advertised rate.
ElectricRate also allows you to compare available NY electricity rates and retail energy providers, but our web-based comparison tool also offers additional benefits.
|Switch to your new service in a few clicks - When you enter your zip code on ElectricRate, you will not only see all rates, with the cheapest deals displayed on the top of the list, but you can also sign up immediately with just a few clicks.|
|All the information you need in one place - As customers, we all like excellent customer service and extras. That's why at ElectricRate, we carefully review all major suppliers and compile information about customer support hours, ratings, and extra benefits that they provide, such as attractive referral programs, complementary goods, and value-add services.|
|Get the support you need: Our team at ElectricRate is ready to provide ongoing support to customers, including helping you choose the plan that best fits your lifestyle, notifying you when your plan is about to expire and any additional support you might need. All you need to do is give us a call at 1-888-307-9636 or email [email protected]|
Utility Companies in New York
ConEd provides electric service to more than 3 million residents in New York City and Westchester County, New York, an area of 660 square miles (1,700 km2) with a population of nearly 9 million.
- Current standard electricity rate: 7.91 ¢ / kWh
National Grid is an energy delivery company that serves more than 20 million households and small businesses in New York, Massachusetts, and Rhode Island. Its NY service area covers the majority of northern and eastern New York.
Niagara Mohawk Power Corporation is a New York State utility company, which was acquired in 2000 by National Grid. Its service area and Price to Compare in New York today are now the same as the National Grid’s.
- Current standard electricity rate: 3.72 ¢ / kWh
Orange & Rockland
The utility provider Orange & Rockland is a local utility company that serves communities in Orange, Rockland, and Sullivan counties in New York.
- Current standard electricity rate: 7.01 ¢ / kWh
New York State Electric and Gas (NYSEG)
New York State Electric, a subsidiary of AVANGRID, serves 902,593 electricity residents across more than 40% of upstate New York. In October 2020, New York utility regulators approved a three-year plan to increase electricity rates, resulting in a 24.5% increase in customer electric delivery bills.
- Current standard electricity rate: 6.09 ¢ / kWh
Central Hudson (Gas and Electric)
Central Hudson is a regulated local utility provider responsible for a defined service territory of New York State’s Mid-Hudson River Valley.
- Current standard electricity rate: 5.36 ¢ / kWh
Rochester Gas & Electric
Commonly known as RG&E, the New York utility service provider for nearly 700,000 households and small businesses in and around the city of Rochester.
- Current standard electricity rate: 4.08 ¢ / kWh
Energy Plans & Products in New York
Energy plans are like shoes. One size does not fit all. Navigating through complex information about power rates can be confusing and can ultimately deter you from shopping for better New York electricity rates. Below is all you need to know about different products that New York offers to customers:
|Plan||Description||What's Good?||What's Bad?|
|Time of Use Tariffs||You pay a different rate based on the time of day (higher rates during peak hours and lower rates during non-peak hours)|| |
|Renewable Energy Credits (RECs)||By purchasing 1 REC, you purchase the environmental benefits of 1MWh of renewable energy generation.|| |
|Green / Renewable Energy Plans|| |
|Prepaid Plans||This plan lets you pre-purchase power for your home at a set price, like a prepaid cell phone.|| |
|Variable Rate Plans||Your per-unit gas and electricity costs can vary at the discretion of your supplier.||
|Fixed Rate Plans||Your unit price for gas and electricity will remain the same for the duration of the plan.||
Is Switching Providers Worth It?
It can certainly be worth it! The state utility companies are constantly trying to increase the electricity rates they charge to their customers. In 2020, nearly all U.S. utilities filed rate hike proposals to be approved by their respective state regulatory commissions.
If you choose a competitive Electric Service Company (ESCO), you can avoid these rate increases by locking in a cheaper rate. However, you will only save money if the new rate is lower than your current Price to Compare (which you will find on your electric bill).
Also, remember to check if you are not locked in a fixed-rate contract. If you decided to leave your plan early, you might have to pay early termination fees, which would cancel out the savings from a cheaper rate.
How To Choose The Right Plan
Switching to a new energy supplier might seem complicated, but we promise you – it isn’t! Follow these simple steps to find competitive rates in New York:
Analyze Your Current Costs
Look at the electric supply charges on your utility bill, which will be expressed in cents per kilowatt-hour. This number is called your Price to Compare and your primary objective is to find a plan with a lower number.
Review Your Current Contract and Plan
Switching suppliers in New York can be costly if you are the type of person that tends to skim through the fine print in your contract. For example, if you are currently on a fixed-rate electricity plan, there might a penalty from your energy provider for switching out too early – check if you are able to switch without a fee.
Compare Energy Plans
Use our online search and shopping tool to see available electric rates for your zip code. Find the electricity provider with the lowest rate and if you like what you see, you can sign up right there and then! A pro tip – We all like good customer service. That’s why at ElectricRate.com, we only promote rates from New York’s reputable power providers, based on their prices, electricity plans, customer service, and extras! Before you sign up, read our review of your new retail electric provider to avoid surprises.
Below are answers to some of the questions you might have about New York electricity rates.
How much is electricity in NY?
The NY average electricity rate is 14.34 cents/kWh, as compared to the US national average of 10.53 cents per kWh. That means that a New York household or a business with a monthly energy usage of 1000 kWhs will pay a bill of approximately 140 dollars. What’s more, the NY public utilities increase their default service rates often to fund the expansion of existing networks or the state-mandated energy-efficiency programs.
What is a good price for electricity per kWh?
As a rule of thumb, you will save money on your energy plan if you find an energy rate that is lower than your current one. Then, no matter how much energy you use, you will be paying a lower price for each kWh of consumed energy. However, some plans have a fixed-term contract, so if you decide to exit early, you might pay a hefty early termination fee. Finding great rates can be easy, just enter your zip code on our website and find New York’s best electric rates, energy suppliers, and renewable energy options.
What is the electricity supply charge?
The energy supply charges on your electricity bill cover the cost of generating electricity. This could, for example, be the cost of operating a nuclear power plant or the cost of setting up a solar or a wind farm. In states with energy deregulation, such as New York, you can choose among competitive energy suppliers that offer a better price per kWh, than the one from your local utility.
How much power does NYC use per day?
New York City uses 11, 000 Megawatt-hours of electricity on average each day, which far exceeds the consumption of Tokyo, the world’s largest megacity. That being said, NYC has also been called the United States greenest city, because of low per-capita consumption, energy efficiency, and use of solar energy. New York has a considerable amount of solar potential and has consistently been in the top 10 US solar markets.