06/17/2026
Did you know commercial electricity rates in Texas averaged 8.69¢/kWh in March 2026, while in Massachusetts they were 25.09¢/kWh (Source: EIA)? That is nearly three times as much, but why?
Three main factors drive the difference.
Fuel mix matters. Texas benefits from abundant in-state natural gas production and a highly competitive grid. New England states rely heavily on imported natural gas through constrained pipelines, which drives costs significantly higher.
So does grid infrastructure. The Northeast has some of the oldest transmission and distribution systems in the country, and the cost of modernizing that grid gets passed directly to ratepayers.
And demand is outpacing generation. PJM's forecasted peak load for 2026/2027 increased more than 5,400 MW year over year, driven largely by data center expansion. When demand grows faster than new generation, capacity costs rise and show up on business electric bills.
What does your business pay compared to your state's average?