Average Electric Bill in Oklahoma

We dug into the U.S. Energy Information Administration’s data[1] to look at the average monthly electric bill for Oklahoma residential households. These averages are for the full year of 2018, not any specific month of 2019, given that electricity usage & prices fluctuate month-to-month.

$117.28
average monthly residential electric bill in Oklahoma
*This is 0.3% less than the United States national average, which is $117.65.
10.3¢/kWh
average residential electric rate for households in OK
*This is 20% less (6th highest) than the U.S. average, which is 12.87¢/kWh.
1,139 kWh
average monthly residential electricity consumption in OK
*This is 24.6% greater than the national average (914 kWh) & the 11th highest in the U.S..
24th
Oklahoma ranking for the lowest electric bill in the United States
*Relative to average monthly household income (2.83%), OK has the 15th highest bill.

Why Are Electric Bills in Oklahoma Comparatively High?

The two factors that make up the cost an electric bill are (1) cost and (2) consumption. Looking at each, you’ll notice that the cost of electricity in Oklahoma is much lower than the national average (20%), while the average resident’s electricity consumption is much higher than the national average (24.6%).

Reasons for Low Electricity Rates in Oklahoma

With electricity rates in Oklahoma costing less than most other states (20%), it’s important to understand what makes electricity more or less expensive. The factors affecting this number are:

  1. Supply – an increase in the supply of energy brings costs down. For example, weather events such as high amounts of rain or high wind speeds can temporarily increase the supply of energy where there are hydropower plants or wind turbines to take advantage, and as a result, lower electricity rates.
  2. Demand – an increase in the demand for energy causes costs to rise. This is because the use of more costly fuels, such as natural gas, help “fill in” for the rise in demand. For example, a heat wave might temporarily increase the demand for cooling and the subsequent need for fuels, and as a result, raise electricity rates.

Additional factors that impact electricity rates include state & federal regulations, global markets and even financial speculation.

Reasons for High Electricity Consumption in Oklahoma

Given that electricity consumption is significantly higher in Oklahoma than most other states (24.6%), it’s important to understand exactly what electricity is used for. The EIA looked at the end uses of electricity in the average American household and found the following breakdown:

NOTE

“Other uses” includes small electric devices, heating elements, exterior lights, outdoor grills, pool and spa heaters, backup electricity generators, and motors not listed above. Does not include electric vehicle charging.

Tips for Lowering Electric Bill

  • Reduce space heating/cooling – given that heating & cooling make up a large part of the average electric bill, increasing energy efficiency in this area can have arguably the biggest impact on your bill. Here are some things you can do to reduce your usage in this area:
    • Use a programmable thermostat (can reduce heating/cooling by ~10%)
    • Use extra insulation
    • Dress up/down to the temperature
    • Replace your air filter more often
    • Check seals on windows/doors/appliances for openings/leaks
  • Reduce water heating – one of the next biggest portions of the average electric bill is from water heating, which can be reduced by showering at lower temperatures, taking shorter hot showers and by lowering the temperature on the water heater itself (ideally to 120 degrees Fahrenheit).
  • Adjust fridge & freezer temperatures – ideally, your fridge should be at 38 degrees and your freezer at 5 degrees Fahrenheit.

Where Does Oklahoma Get Its Electricity From?

A majority of Oklahoma’s electricity comes from natural gas, and this may be because Oklahoma is the fourth-largest producer of natural gas. Furthermore, wind power makes up a sizable portion of Oklahoma’s electricity generation, with the state ranking second in wind power, only being beaten by Texas.

When it comes to other sources of electricity, Oklahoma uses ethanol, fuel oil, petroleum and coal. However, coal use has been dropping significantly in the state, and the state uses more renewables than coal nowadays, and that trend shows signs of continuing throughout the next decade.

[1] Data from: https://www.eia.gov/electricity/data.php#sales 

Read About Electric Bills in Other States