The State of Electricity Affordability
Electricity prices are rising across the country, triggering public conversation about what’s to blame and relying on incomplete information. This is reinforcing the need for clear credible, independent data.
ABOUT —
What’s really driving up electricity prices?
Households across the nation are asking why their electricity bill is rising. Many assume they know the answer. In reality, energy markets are complex and meaningful solutions require data, not assumptions. Experts at SI2 conduct state-level research to uncover what is driving up electricity prices and use that data to develop state-specific policy recommendations that help protect ratepayers, guide smarter grid investments, and build a more affordable and reliable energy landscape.
LATEST —
Pennsylvania Electricity Affordability
Based on The Brattle Group findings, SI2 identified a set of policy recommendations to deliver immediate bill relief to Commonwealth ratepayers and mitigate future price hikes.
41%
Increase in Pennsylvania’s electricity prices from 2021–2025. Rising natural gas prices and the cost of new power plants were the primary drivers.
1 in 5
Pennsylvania households are now struggling to pay their electric bill as a result of this increase, underscoring the growing affordability challenge facing the state.Â
40%+
Capital costs for new natural gas generation increased between 40 and 44% over the study period, compared to 13% for solar.
200%
Wholesale capacity prices are scheduled to double in 2026, due in part to the projected growth of power demand from new data centers.
FEATURED —
Electricity Affordability and Community Support
Affordability is one of the main drivers of community support for large-scale solar projects. SI2’s community engagement research found that communities are 21% more likely to support a large-scale solar project when it demonstrably lowers their electricity bills.
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Explore Our Work
Agrivoltaics
As solar continues to expand, farmland has become an attractive option for project siting. By integrating solar with agriculture, farms across the country demonstrate how agrivoltaics benefit their operations and local economies.
Model Policy
SI2 is at the forefront of identifying evidence-based policy solutions to address the systemic challenges facing the solar and storage industry and that reflect individual communities’ and stakeholders’ needs.
Siting and Permitting
The solar and storage industry is growing quickly. Experts at SI2 are supporting this progress with cutting-edge research focused on addressing existing barriers and opening new pathways for project deployment.
Grid Interconnection
The ability to connect solar and storage systems to the grid quickly and efficiently is essential to scaling solar projects across the nation. SI2 is actively working to streamline the interconnection process.