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Rising Power Bills Reshape 2025 Races as Rate Battles Intensify

The price squeeze has turned utility regulation into a top-tier political battleground.

Overview

  • Democrats won governorships in New Jersey and Virginia and flipped two Georgia Public Service Commission seats after campaigning on lowering electricity costs.
  • Gas and electric utilities sought or secured more than $34 billion in rate increases through the first three quarters of 2025, as 36% of U.S. adults call power bills a major stress.
  • The EIA projects residential electricity prices will climb to about 17.7 cents per kilowatt-hour by 2026, with natural gas costs rising on strong LNG export demand.
  • In the PJM region, bills are set to absorb billions in higher wholesale costs next June to attract new power plants, prompting governors to pressure the grid operator to contain increases.
  • Georgia Power bills have risen six times in two years to an average of $175 a month, and the utility is proposing roughly $15 billion in new generation to meet data center demand as regulators question who should pay.