Independent rate reference - not affiliated with any utility or energy supplier. Data: EIA Electric Power Monthly, March 2026.Full disclaimer
ElectricityRatePerKWh

Electricity Rate in Tennessee (2026): 15.08c/kWh Average

Residential Rate
15.08¢
per kWh
vs US Avg
-19%
3.48c below
Avg Monthly Bill
$159
1205 kWh
Provider Choice
No
Regulated monopoly

Tennessee Electricity Rate: What You Need to Know

Tennessee electricity averages 15.08 cents per kWh for residential customers as of March 2026, according to the EIA Electric Power Monthly. This is 3.48c below the US average of 18.56c/kWh. The average monthly bill for Tennessee households is $159 based on typical usage of 1205 kWh.

Generation mix: Natural gas 30%, nuclear 35%, hydro 20%, coal 10%. The fuel mix is a primary driver of electricity rates - states with abundant hydro or nuclear tend to have lower rates, while states dependent on imported petroleum (Hawaii) or natural gas pay more.

Year-over-year change: Tennessee rates rose 12.8% year-over-year as of March 2026. This compares to the US average increase of 8.6% over the same period.

Regulated: You Cannot Switch Electricity Suppliers

TVA (via local co-ops and municipal utilities) operates as the regulated utility in Tennessee. Retail electricity choice is not available for residential customers. Options for reducing your bill include: time-of-use rate optimization, energy efficiency upgrades, and rooftop solar.

Your Tennessee Electricity Bill Components

Energy charge (1205 kWh x 15.08c)$181.71
Fixed customer charge (estimated)~$10.00
Estimated monthly total$191.71
All Sectors - Tennessee
Residential15.08c
Commercial14.53c
Industrial7.06c
Dominant Utility
TVA (via local co-ops and municipal utilities)
Adjacent States
Kentucky14.88c
Virginia17.05c
North Carolina16.00c
Georgia15.01c
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Tennessee Electricity: Frequently Asked Questions

What is the electricity rate in Tennessee in 2026?+
The average residential electricity rate in Tennessee is 15.08 cents per kWh as of March 2026, according to the EIA Electric Power Monthly. This is 3.48c below the US average of 18.56c/kWh (-19%). The average monthly electricity bill in Tennessee is approximately $159 based on 1205 kWh typical monthly usage.
Can I switch electricity providers in Tennessee?+
No - Tennessee operates a regulated electricity market. TVA (via local co-ops and municipal utilities) serves as the regulated monopoly utility. Customers cannot switch electricity generation suppliers. Options for reducing bills include time-of-use rate optimization (where available), energy efficiency upgrades, and solar installation.
What is the average monthly electricity bill in Tennessee?+
The average Tennessee household uses approximately 1205 kWh per month. At 15.08c/kWh plus approximately $10 in fixed charges, the average monthly bill is $159. This varies by season (higher in summer for cooling-dominant states like Tennessee, higher in winter for heating-dominant states).
What is the primary electricity source in Tennessee?+
Tennessee's generation mix is primarily Natural gas 30%, nuclear 35%, hydro 20%, coal 10%. This fuel mix is a key factor in the state's electricity rate - states relying on hydro or nuclear typically have lower rates, while states heavily dependent on natural gas or petroleum (like Hawaii) face higher costs.
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