In 2020, California’s average monthly residential and industrial electricity bills per customer were 0.4 percent and 28.8 percent lower than in the U.S., respectively. In addition, California maintained its competitive advantage over the nation in having a lower average industrial sector electricity bill, going from being 26.9 percent lower in 2010 to being 28.8 percent lower in 2020. While this is welcome news, the industrial sector consumes much less electricity than natural gas. California’s average monthly commercial electricity bill was 10.0 percent higher than the U.S. average in 2020, much lower than in 2019 when it was 47.2% higher.
The state’s edge over the U.S. in having a lower average residential sector electricity bill has diminished notably— from being 25.0 percent lower in 2010 to 0.45 percent lower in 2020. The residential bills have been adversely affected by the state’s wildfire liability policies and unique Net Energy Metering (NEM) rate structure.