Hendrix offers savings tips as heat, residential electricity costs rise
EIA said it expects residential electricity costs to rise 13 percent in 2025 and 18 percent in 2026 along with demand for power.
By Mary Hightower
U of Arkansas System Division of Agriculture
July 21, 2025
Fast facts
- US Energy Administration expects electricity costs to continue rising
- Thermostats, curtains can help curtail the heat
(295 words)
(Newsrooms: with art of Hendrix; chart)
LITTLE ROCK — Retail electricity prices have increased faster than the rate of inflation since 2022, and the U.S. Energy Administration said it expects those costs to continue increasing through 2026.
“Overall, U.S. energy prices rapidly increased from 2020 to 2022 as economic activity recovered after the worst of the pandemic and Russia’s invasion of Ukraine interrupted energy supply chains,” the agency said, adding that while oil prices have declined, electricity process have continued a steady increase.
EIA said it expects residential electricity costs to rise 13 percent in 2025 and 18 percent in 2026 along with demand for power.
In Arkansas, the average cost per kilowatt hour rose from $12.62 in April 2024 to $13.61, which is still below the regional average of $14.63 per kilowatt hour. On average a U.S. utility customer purchases nearly 11,000 kilowatt hours of electricity per year, EIA said.
Summer heat is a major driver in electrical use and those kilowatt hours can go up very quickly.
“A heat wave can take a toll on home energy bills,” said Laura Hendrix, extension personal finance expert for the University of Arkansas System Division of Agriculture.
Hendrix offers a few simple tips to save energy and money:
- Adjust the thermostat. Turn the temperature up while you and your family are out. Automate this with a programmable thermostat.
- Close curtains to keep out the heat of the midday sun.
- Use bathroom vents to remove heat and humidity after showers.
- Avoid using the oven or running the dryer during the hotter part of the day.
- Change air conditioning filters regularly.
- Use caulk and weatherstripping to keep heat out and retain the cool air.
See the publication “52 Ways to Hazard-Proof Your Finances” for more ways to protect your finances from the effects of weather-related events.
To learn about extension programs in Arkansas, contact your local Cooperative Extension Service agent or visit www.uaex.uada.edu. Follow us on X and Instagram at @AR_Extension. To learn more about Division of Agriculture research, visit the Arkansas Agricultural Experiment Station website: https://aaes.uada.edu/. Follow on X at @ArkAgResearch. To learn more about the Division of Agriculture, visit https://uada.edu/. Follow us on X at @AgInArk.
About the Division of Agriculture
The University of Arkansas System Division of Agriculture’s mission is to strengthen agriculture, communities, and families by connecting trusted research to the adoption of best practices. Through the Agricultural Experiment Station and the Cooperative Extension Service, the Division of Agriculture conducts research and extension work within the nation’s historic land grant education system.
The Division of Agriculture is one of 20 entities within the University of Arkansas
System. It has offices in all 75 counties in Arkansas and faculty on three campuses.
Pursuant to 7 CFR § 15.3, the University of Arkansas System Division of Agriculture
offers all its Extension and Research programs and services (including employment)
without regard to race, color, sex, national origin, religion, age, disability, marital
or veteran status, genetic information, sexual preference, pregnancy or any other
legally protected status, and is an equal opportunity institution.
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Media Contact: Mary Hightower
mhightower@uada.edu