Independent resource. Not affiliated with any utility or energy provider. Data sourced from the U.S. Energy Information Administration.Verified June 2026
Michigan Electricity Cost 2026: 21.39¢/kWh
Michigan residential electricity rates average 21.39 cents per kWh in 2026, +13.6% vs the 18.83¢ US national average. The state operates a deregulated retail market with natural gas/nuclear as the primary generation source.
State Rate
21.39
cents/kWh
Monthly Bill
$185
at 863 kWh
vs National
+13.6%
national avg 18.83¢
Rank (cheapest first)
37/50
YoY change +7.3%
Market Type
Deregulated
Residential customers can shop for a supplier
Primary Generation
Natural Gas/Nuclear
per EIA State Energy Profile
Annual Bill (avg usage)
$2,215
vs national $1,950
Michigan electricity market
Partially deregulated state. DTE Energy serves southeastern Michigan including Detroit; Consumers Energy serves the rest of the lower peninsula; upper peninsula has multiple smaller utilities. A 10% choice cap limits how many residential customers can shop for supply at any given time.
Where Michigan residents save
Retail choice is structurally limited so most households are stuck on the default supply rate. The savings levers are efficiency (smart thermostat, weatherization, LED retrofit) and TOU plans where offered. Michigan Saves offers low-interest efficiency financing.
Primary utilities
- DTE Energy
- Consumers Energy
- MI Public Service Commission
Official Michigan supplier comparison tool
Michigan runs an official, vendor-neutral supplier comparison portal. Use it to see all licensed retail suppliers serving your ZIP code, compare per-kWh supply rates, and check contract terms before signing up.
MI Public Service Commission →Michigan bill estimates by usage
| Home Profile | Monthly kWh | Monthly Bill | Annual Bill |
|---|---|---|---|
| Apartment | 500 | $107 | $1,283 |
| Small house | 750 | $160 | $1,925 |
| Average household | 863 | $185 | $2,215 |
| Large house | 1200 | $257 | $3,080 |
| Large house + EV | 1500 | $321 | $3,850 |
Estimates use the Michigan state-average rate of 21.39¢/kWh from EIA data. Your actual bill includes delivery charges, customer-service fees, and state/local taxes already blended into this retail rate, plus any locality-specific surcharges not captured at the state-average level.