State electricity profile · 2024

Minnesota Electricity

Homes in Minnesota pay 15.45¢/kWh for residential electricity, 6.3% below the US average. Further down: commercial and industrial rates and the generation mix, all EIA-sourced.

15.45¢/kWh
Residential rate
-6.3%
vs US average
32%
Renewable
2.6M
Customers

The verdict · 2024

Minnesota's residential electricity runs 15.45¢/kWh - 6.3% below the 16.48¢/kWh national average, cheaper than 37% of states, with 32% of its power from renewables.

Rate is the EIA state average across all 2.6M residential customers, a benchmark for comparing states, not the rate on any single bill. Source: EIA Form-861.

What Minnesota's Electricity Data Tells Us

Minnesota's residential rate stands at 15.45¢/kWh for 2024, across a base of 2.6M metered households, running 6.3% behind the national residential average of 16.48¢/kWh. On the commercial side, the rate is 12.15¢/kWh; industrial rates come in at 9.15¢/kWh, reflecting the cost differentials that come from voltage level, load factor, and contract length across EIA Form-861 survey respondents. The residential sector sold 22.1M MWh across the year, translating to roughly $3.4B in revenue for utilities, a useful yardstick for sizing local demand against the grid mix that serves it.

The single largest fuel source in Minnesota is natural gas, responsible for 27.3% of what's generated in-state, and wind isn't far behind at 25.4%, while nuclear adds another 20.4%. Minnesota's renewable share, spanning solar, wind, hydro, geothermal, and biomass, sits at 32.0% of total output, a figure that matters because each renewable megawatt-hour displaces fuel costs that otherwise flow through to retail bills. A portfolio this clean typically carries lower marginal generation costs once capacity is built, though transmission upgrades can offset part of the saving.

Looking back across EIA records, residential prices in Minnesota moved from 12.67¢/kWh in 2016 to 15.45¢/kWh in 2024, a 21.9% shift over that window. Alabama, West Virginia, Illinois price out at a comparable level, a handy peer set for cross-checking. For anyone negotiating a supplier contract, weighing an energy-efficiency upgrade, or modeling a household budget, the combination of current rate, multi-year trend, and generation mix offers a sturdier footing than any single data point on its own.

-6.3%

vs the US residential average

37%

of states have higher residential rates

32%

renewable share, above the US mix

2.6M

residential customers served

How Minnesota compares

Residential
Minnesota 15.45¢
US average 16.48¢
-6% vs benchmark
Commercial
Minnesota 12.15¢
US average 12.75¢
-5% vs benchmark
Industrial
Minnesota 9.15¢
US average 8.13¢
+13% vs benchmark

Cents per kWh, EIA Form 861. Pick a benchmark above to compare Minnesota against the US average or a peer state.

Residential Price History

Year Price Change
2024 15.45¢/kWh +4.9%
2023 14.73¢/kWh +3.4%
2022 14.25¢/kWh +5.6%
2021 13.50¢/kWh +2.5%
2020 13.17¢/kWh +1.0%
2019 13.04¢/kWh -0.8%
2018 13.14¢/kWh +0.8%
2017 13.04¢/kWh +2.9%
2016 12.67¢/kWh -

Energy Generation Mix

How Minnesota generates its electricity. Renewable sources account for 32.0% of generation.

  • Natural Gas27.3%
  • Windrenewable25.4%
  • Nuclear20.4%
  • Coal19.7%
  • Solarrenewable4.6%
  • Hydrorenewable1.5%
  • Other0.5%
  • Biomassrenewable0.5%

Market Overview

Residential Revenue

$3.4B

Commercial Revenue

$2.7B

Residential Sales

22.1M MWh

Residential Customers

2.6M

Frequently Asked Questions

How much does electricity cost in Minnesota?
Residential electricity in Minnesota costs 15.45¢/kWh (2024), which is 6.3% below the national average. Commercial rate: 12.15¢/kWh. Industrial rate: 9.15¢/kWh.
How much of Minnesota's electricity is renewable?
Renewable sources account for 32.0% of Minnesota's electricity generation (2024). The top source is natural gas at 27.3%.
Are electricity prices going up in Minnesota?
From 2016 to 2024, residential electricity in Minnesota changed from 12.67¢/kWh to 15.45¢/kWh (+21.9%).
What are commercial and industrial electricity rates in Minnesota?
Commercial electricity in Minnesota costs 12.15¢/kWh and industrial costs 9.15¢/kWh (2024).
What is the cheapest energy source in Minnesota?
Minnesota's electricity generation is led by natural gas at 27.3% of the mix, followed by wind at 25.4% (2024). Nationally, natural gas and renewables like wind and solar tend to have the lowest marginal generation costs.
Where does RateWatt's Minnesota electricity data come from?
All electricity price and generation data comes from the U.S. Energy Information Administration (EIA), the official federal statistics agency for energy data. Data is updated annually.

Using Minnesota's numbers

This is the state average, use it as a benchmark, not a quote for your address.

  • Minnesota sits 6.3% below the national average, see exactly where it lands among all 50 states. See the rankings
  • Check the multi-year trend before you judge the rate, a low price rising fast can cost more over a decade than a steady one. Minnesota price trend
  • Compare Minnesota side by side with the US average and peer states using the tool above, then estimate your own bill from your monthly kWh. Cost calculator

Figures are EIA state averages by sector. Your actual rate depends on your utility, plan, and usage, see our disclaimer.

Source: U.S. Energy Information Administration, Electricity (Retail Sales and State Electricity Profiles). See our methodology for details. Retrieved and formatted by RateWatt Editorial

Disclaimer: This information is provided for informational purposes only and does not constitute professional advice. Data is sourced from the U.S. Energy Information Administration (EIA). Consult a qualified professional before making decisions based on this data.

Every figure on RateWatt is rendered directly from official U.S. Energy Information Administration (EIA) data, no number is typed in by an editor. State prices and generation mix are pulled directly from the EIA's published tables for this state. See our editorial standards & corrections policy, the methodology behind these numbers, or report a data error. Data current as of 2026-05-15.