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Tennessee electricity and natural gas rates

Electricity

14.47¢

per kWh

Natural gas

$1.62

per therm

Residential sector, US Energy Information Administration, 2026-05. Updated monthly.

How Tennessee compares

At 14.47¢ per kWh, Tennessee is below the national average of 19.41¢, making it the 12th cheapest of the 51 states we track.

What a typical Tennessee household uses

Electricity a month

1,200 kWh

Bill a month

$162

Households in Tennessee use 39% more electricity than the national average and pay 8% more than average. Cheap power absorbs most of that: the meter turns faster here, but at 14.47¢ each unit costs less than it does nationally. The climate is fairly balanced — 3,600 heating degree days against 1,700 cooling ones — so neither season dominates the bill.

Averaged over twelve months across 3,147,828 residential accounts in Tennessee. Source: EIA.

What this means for heating

Tennessee sees around 70 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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