With electricity prices varying across the U.S.—from California's high of 32.56 cents per kilowatt-hour (kWh) to Louisiana’s low of 11.50 cents per kWh—knowing what you’ll pay and how much energy you’re likely to use is crucial. In this update, we’ll break down Maryland’s current electricity rates, expected usage patterns, and tips for saving on your next energy bill.

Your electricity 'supply rate' is the price you pay for each unit of electricity you use, measured in kilowatt-hours (kWh). One kWh equals the amount of electricity it takes to power a 100-watt light bulb for 10 hours. For instance, if you see 12 cents per kWh, that’s how much the electric company charges for each unit of power. The more power you use, the more kWhs you rack up, and the higher your bill will be.

How much does electricity cost right now?

In Maryland, the cost of electricity is highly influenced by your electricity supply rate, which is the price you pay per unit of electricity (measured in kilowatt-hours or kWh). There are two types of supply rates:

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The average utility supply rate in Maryland for October 2024 is around 12 cents per kWh, depending on your utility provider. Here’s a breakdown of the latest rates from major MD utilities:

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These rates are currently competitive compared to some of the highest in the nation, but they are all set to change again soon. Here's a quick look at how utility supply rates have trended in each utility over the past few months:

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How much energy can I expect to use in October?

With cooler fall temperatures arriving, your household’s energy usage will likely fluctuate. In Maryland, depending on where you live and how often you’re running your heating system, your usage may vary widely. On average, households in Maryland can expect to use about 900 kWh this month, putting the state in the mid-range of national energy consumption.

Here’s a look at how Maryland compares to other states in terms of energy usage for October 2024:

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Maryland’s average usage of 900 kWh places it lower than high-usage states like Louisiana and Alabama but above lower-usage states like California and Michigan. This typical range reflects Maryland’s cooler fall temperatures and increasing heating needs.

How much will my power bill cost this month?

If you’re wondering what your power bill might look like this October, there are several factors that go into your power bill totals, including your supply charge (the price you pay per kWh). Here are some other key charges that will impact the total amount you pay:

While it's hard to predict what your potential delivery charges, taxes and fees might be, we can take a look at what the supply portion of your bill is likely to cost this monthly depending on where you live. It starts with a simple calculation:

Monthly Bill = Average Usage (kWh) × Rate (¢/kWh) ÷ 100

For a Maryland household with average usage of 900 kWh and a rate of 12 cents per kWh, your estimated supply charge in October would look like this:

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Your actual bill will vary depending on your household’s specific energy consumption and size, but this calculation gives you a good sense of what to expect. Keep in mind, bills will fluctuate with colder temperatures leading to higher heating needs in the winter months.

How can I save? What rates are available?

Maryland’s deregulated energy market allows homeowners to shop for competitive electricity rates. This can provide savings compared to the default utility rates. Here’s an overview of the biggest savings currently available in Maryland when you sign up for Arbor. These are rates that we have found available now for our users in MD that are far lower than the current utility rate:

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As of October 15, 2024

These savings can be substantial over time, especially with electricity prices set to rise this winter. Keep in mind that rates may fluctuate, so it’s always a good idea to regularly compare available rates and make the switch when it makes sense for your household.

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