EIA Sees U.S. Summer Power Prices Falling 8% to $45/MWh as Household Bills Rise 10.5%
Updated
Updated · Utility Dive · Jul 8
EIA Sees U.S. Summer Power Prices Falling 8% to $45/MWh as Household Bills Rise 10.5%
3 articles · Updated · Utility Dive · Jul 8
Summary
$45/MWh is the EIA’s forecast average for U.S. wholesale electricity this summer, down $4/MWh from last year, with lower natural-gas costs driving most of the decline.
Western markets lead the drop: Mid-Columbia is seen plunging 46% to $27/MWh, California falling 30% to $23/MWh, the Southwest sliding 27% to $28/MWh, and MISO dropping 18% to $46/MWh.
10.5% higher household electric bills are still expected this summer, with average residential spending projected at $792 versus $717 in 2025, as hotter weather lifts air-conditioning use and retail rates stay elevated.
Heat risk could still upend the softer wholesale outlook: PJM spot prices hit $600/MWh during the first major heatwave, while New England prices jumped 243% and New York City prices doubled.
PJM and ISO New England are forecast to average $69/MWh and $64/MWh this summer—slightly above last year—showing the national decline masks sharp regional differences.