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HomeNewsRegional NewsNorth Dakota's electricity rate is sixth lowest in U.S.

North Dakota’s electricity rate is sixth lowest in U.S.

(The Center Square) – North Dakota is among the best states for electricity costs, according to a report.

North Dakotans pay an average of 8.65 cents per kilowatt hour, coming in sixth behind Nevada, Oklahoma, Utah, Wyoming, and Idaho at number one, where customers pay approximately 8.17 cents per kilowatt hour, according to a report published by the American Legislative Exchange Council (ALEC), a nonpartisan public policy organization of state legislators.

The Energy Affordability Report examined how much people pay for electricity, gasoline, and diesel fuel across the United States and found various prices.

“North Dakota’s free market policies, such as avoiding carbon taxes and renewable mandates, as well as its competitive advantage as an energy producer, led to the state being one of the five least expensive states for electricity,” the report’s author Joe Trotter told The Center Square. “Between the state’s natural wind energy and coal generation, North Dakota is one of the best states for electricity cost.”

The two worst states for electricity costs were Hawaii at 30.31 cents per kilowatt-hour and Alaska at 20.02 cents, which were partially attributed to these states being more isolated than others. Following these two states was California, at 19.65 cents per kilowatt hour.

In general, electricity prices rose across the United States. However, the more government mandates a state had on electricity, the higher the prices according to the report.

As for gas prices, North Dakota was in the top 15 states for affordability, with an average of $3.25. The average driver in North Dakota drives approximately 17,671 miles per year, the report found. That means North Dakota drivers can expect to spend as much as $2,294 on gas alone in 2023, according to the report.

Across the U.S., gas prices remain high for various reasons including inflated crude oil prices, high demand, global instability, and domestic policies, the report said.

In contrast to North Dakota’s performance for electricity prices, it was ranked among the five most expensive states for diesel prices. Diesel fuel costs $4.87 in North Dakota plus a $0.23 tax. The report found that the average trucker in North Dakota could expect to spend an estimated $33,680 on diesel in 2023.

The only states more expensive for diesel fuel were Massachusetts, Washington, California, and Hawaii, where truckers could spend as much as $40,977 on diesel fuel this year, according to the report.

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