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Alaska (AK) electricity and natural gas rates

Electricity

28.83¢

per kWh

Natural gas

$1.69

per therm

Gas and electricity in the same unit

A therm is 29.3 kilowatt hours of energy, so Alaska's gas works out at 5.76¢ per kWh against 28.83¢ for electricity.

That compares the energy you buy, not the heat you get. A furnace throws away a fifth of every therm up the flue, while a heat pump delivers two to three times the heat in a kilowatt hour — so the cheaper unit here is not automatically the cheaper way to heat a house.

Residential sector, US Energy Information Administration, 2026-07. Updated monthly.

How Alaska compares

At 28.83¢ per kWh, Alaska is above the national average of 19.26¢, making it the 46th cheapest of the 51 states we track.

What a typical Alaska household uses

Electricity a month

587 kWh

Bill a month

$158

Households in Alaska use 32% less electricity than the national average and pay 5% more than average. That is a price problem rather than a consumption one — at 28.83¢ a kilowatt hour, even a modest amount of electricity adds up. The climate pulls the other way here: 10,500 heating degree days against 0 cooling ones, so how a home is heated matters more than how it is cooled.

More on this: the average electric bill in Alaska, including how far it swings between seasons.

Averaged over twelve months across 305,661 residential accounts in Alaska. Source: EIA.

What this means for heating

Alaska sees around 200 freezing nights a year. Whether a heat pump beats a furnace here depends on the gap between those two prices above — not on the equipment.

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