U.S. Electricity Prices Rise Most In 41 Years As Inflation Endures
August electricity bills for U.S. consumers jumped the most since 1981.
(Bloomberg) -- August electricity bills for US consumers jumped the most since 1981, gaining 15.8% from the same period a year ago, according to the US Bureau of Labor Statistics.
Natural gas bills, which crept back up last month after dipping in July, surged 33% from the same month last year, labor data released Tuesday showed. Broader energy costs slipped for a second consecutive month because of lower gasoline and fuel oil prices. Even with that drop, total energy costs were still about 24% above August 2021 levels.
Electricity costs are relentlessly climbing because prices for the two biggest power-plant fuels -- natural gas and coal -- have surged in the last year as the US economy rebounds from the pandemic and as Russia’s war in Ukraine triggers an energy crisis in Europe. Another factor is the hot and humid summer across most of the lower 48 states drove households and businesses to crank up air conditioners. Americans likely used a record amount of power in the third quarter, according to US Energy Department projections.
Also Read: ‘Tsunami of Shutoffs’ Looms With 1 in 6 Late on US Energy Bills
More stories like this are available on bloomberg.com
©2022 Bloomberg L.P.