A comparison of monthly electricity costs over a four-year period between the City of Tallahassee and other Florida cities shows that Tallahassee residential electric utility customers have enjoyed lower electric rates, however, the advantage has recently narrowed. Also, according to rate reports , the City of Tallahassee customers pay significantly less per kWh (13.0 ¢) under the standard municipal utility rate than both the Florida average (~15.8 ¢) and the U.S. average (~18.0 ¢). The chart below compares the monthly cost of 1,000 kwh between the COT electric utility and the North Florida (NFL) Rate Index. The NFL Rate Index is the average of electricity costs for providers serving North Florida which include costs for Gainesville, Jacksonville, Tallahassee, Duke, and FPL-NWFL. The chart shows that COT customers enjoyed significantly lower rates between January 2022 and July 2024. During this period COT rates were approximately 20% lower than the index. However, since July 2024, the NFL Rate Index has decreased significantly while COT customers have experience modest increases. The most recent information provided by the Florida Municipal Electric Association for January 2026, shows the monthly costs of a 1,000 kwh ranges from $116.73 in Lakeland to $183.98 for Duke, which serves customers throughout Florida, including customers in Wakulla and Bay counties. The cost for Tallahassee customers in January was $139.75. National Rates The average cost of residential electricity in the United States has climbed steadily over the past three years, reaching new highs in 2026. According to recent data, the national average residential electricity rate now sits at roughly 18.0–18.1 cents per kilowatt-hour (kWh), marking a year-over-year increase of about 5–6% from 2025 figures. This upward trend reflects broader pressures on energy markets, including rising grid investments, fuel costs, and growing demand. In early 2026, average rates are approximately 19.2¢/kWh when measured by some inflation tracking sources, representing a nearly 48% jump from 2019 levels. Over the last three years, prices have climbed from around 15–16¢/kWh in 2023 to the current levels. While regional variations remain significant—some states like Hawaii and California have far higher average rates—overall U.S. residential customers are paying more for electricity than they have in more than a decade. Florida vs. National Average In Florida, residential electricity tends to be less expensive than the national average, partly due to its generation mix and regulatory environment. Data from February 2026 shows Florida’s average around 15.77–16¢/kWh, which is roughly 15% lower than the U.S. national figure of nearly 19¢/kWh. Despite lower rates, Floridians have experienced rate increases over the past few years. For example, reported prices in the state climbed from about 13.50¢/kWh in 2022 to mid-teens levels in recent years, reflecting ongoing upward pressure similar to national trends. ...read more read less