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Energy experts bust popular theory behind rising utility costs: 'It's frustrating to see'

The U.S. electrical grid is "older than your grandparents" and wasn't built for modern technology's energy demands.

The U.S. electrical grid is "older than your grandparents" and wasn’t built for modern technology's energy demands.

Photo Credit: Depositphotos.com

Utility costs are rising nationwide, and many energy companies are pointing the finger at clean energy. But the experts at EnergySage want to set the record straight. Backed by data, the solar energy company is busting the myths about rising electricity costs — and showing what's really driving up your bill.

In a new analysis, EnergySage explained that electricity prices increased in 67% of U.S. states between the first quarters of 2024 and 2025. Idaho experienced the sharpest hike, with rates rising 6.34% in just one year. Increases of over 4% occurred in West Virginia, New York, North Carolina, and New Jersey.

While many utility companies claim solar power and the cost of generating clean energy are to blame for rising electricity costs, the real cause of rising prices is aging infrastructure and utility mismanagement, according to EnergySage.

The company explained that the U.S. electrical grid is "older than your grandparents" and wasn't built for modern technology's energy demands. Grid updates are needed to avoid blackouts, but EnergySage concluded that many utility companies have spent decades applying quick fixes, prioritizing profits over reliability and affordability. Now, those delayed investments are catching up with companies, and the urgent need to upgrade aging infrastructure is driving up electricity bills for everyone.

"It's frustrating to see how the numbers are cooked by utilities," Brad Heavner, policy director at California Solar + Storage Association, told EnergySage. "Even though generating power isn't the most expensive part of the equation, the cost of maintaining an aging grid is driving up our bills." 

This aging infrastructure also results in significant safety risks, per EnergySage. Utility equipment has caused some of the most devastating wildfires in the country, and most "could have been prevented had these utility companies prioritized safety over profit."

Clean energy, however, is proven to cut energy costs and reduce reliance on the aging grid. While building new electricity infrastructure is bound to be expensive regardless of the energy source, EnergySage said investing in renewable energy can help stabilize prices over time. 

"Solar and onshore wind are already some of the cheapest sources of electricity, and unlike fossil fuels, they aren't vulnerable to market fluctuations," EnergySage reported. "They offer greater energy independence and long-term affordability."

On an individual level, going solar is one of the smartest ways to save on home energy costs and reduce planet-warming pollution. Recent data found that 79% of the nation's electricity still comes from polluting sources like gas and coal. By switching to solar, you can help fight rising global temperatures, improve air quality, and protect the planet for future generations.

According to EnergySage, solar panels can significantly reduce — or even eliminate — your electric bill, with savings ranging from $28,000 to $120,000 over 25 years. Although installation typically costs between $20,000 and $45,000, federal tax credits and other incentives through the Inflation Reduction Act can lower that cost.

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To help you find the best deal on solar, EnergySage offers free solar estimates and compares installation quotes. As a no-cost third-party service, EnergySage can help the average homeowner claim about $10,000 in solar purchase and installation incentives. 

But these savings may not last. President Trump has proposed dismantling the IRA, which could eliminate incentives for climate-friendly home upgrades, including solar panel installation. While Congress would need to approve major changes, the program's future is uncertain, so acting now could save you thousands.

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