The only states in the nation with higher monthly energy bills for consumers are Mississippi and Hawaii. Connecticut is ranked as the 3rd most energy expensive state in the country, according to a new analysis by WalletHub, which used six key metrics to rank the states according to their tendency to produce the highest or lowest monthly energy bills. The analysis points out that “lower prices don’t always equate with lower costs, as consumption is a key determinant in the total amount of an energy bill.” Connecticut’s monthly energy cost for consumers, according to the analysis, is $404, ranking the state 49th out of 51 (the 50 states plus the District of Columbia). Mississippi’s total monthly cost paid by consumers averages $414, while Hawaii’s is $451.
In terms of specific energy sources, the state ranked 50th in monthly electric cost ($143) and 48th in the cost of natural gas ($94). Perhaps due to the size of Connecticut, the state ranked 14th in fuel cost, at $167 per month, despite the state’s gas tax being among the highest in the nation. (see breakdown below)
In the United States, 7.1 percent of the average consumer’s total income is spent on energy costs, including fuel, natural gas and electricity.
The states with the least expensive energy costs for consumers, taking consumption into account, are Colorado ($301), Washington State ($302), Montana ($305), Rhode Island ($307), Nebraska ($312), the District of Columbia ($314), Pennsylvania ($317), Arkansas ($319), Delaware ($319) and Iowa ($319).
The other New England States, in addition to Rhode Island landing towards the top and Connecticut near the bottom, were bunched in the middle: Massachusetts ranked #35, New Hampshire #26, Vermont #28, and Maine #32.
Breaking out prices from consumption, Connecticut’s energy picture for consumers as compared with other states, is:
- 49th – Price of Electricity
- 16th – Electricity Consumption per Consumer
- 44th – Price of Natural Gas
- 48th – Natural Gas Consumption per Consumer
- 46th – Price of Fuel
- 10th – Fuel Consumption per Driver
The analysis was released in July because it tends to be the hottest month of the year in the contiguous U.S., and as a result it has the highest energy consumption.
If you’re wondering how all this was calculated, WalletHub provides the answer: (Average Monthly Consumption of Electricity x Average Retail Price of Electricity) + (Average Monthly Consumption of Natural Gas x Average Natural Gas Residential Prices) + [Average Fuel Price * (Average Monthly Vehicle Miles Traveled / Average Car Consumption / Number of Drivers)] = Average Monthly Energy Bill Consumers Pay in Each State
WalletHub, described as “the social network for your wallet,” provides data to help readers “make smart financial decisions.” The site points out that “during the summer, when many Americans undergo major life transitions such as relocating to start a new job or start a family, the difference in energy costs among states becomes an important financial consideration.” Connecticut ranks #49.