Electricity Rates in Detroit, MI
Average electricity cost, utility comparison, and solar savings potential for Detroit homeowners.
Detroit Electricity Cost Overview
The average residential electricity rate in Detroit, MI is $0.17 per kWh, which is 6% above the national average of $0.16/kWh. Homeowners in Detroit pay an average of $164 per month for electricity, based on typical usage of 966 kWh per month.
Electricity rates in Detroit are determined by the local utility providers that serve the area. Rates can vary depending on your specific utility, usage level, and time of use. Since Michigan has a deregulated electricity market, Detroit residents can shop for competitive rates from alternative suppliers.
Electric Utilities Serving Detroit
| Utility Company | Avg Rate ($/kWh) | Est. Monthly Bill |
|---|---|---|
| DTE Energy | $0.18 | $174 |
| Consumers Energy | $0.17 | $164 |
| Indiana Michigan Power | $0.15 | $145 |
How Solar Compares to Detroit Electricity Rates
Without Solar
- Monthly bill: $164
- Annual cost: $1,968
- 25-year cost: $49,200
- Rate trend: Rising 2-5% annually
With Solar
- Monthly savings: $130
- Annual savings: $1,560
- 25-year savings: $25,000
- Rate: Locked in for 25+ years
Electricity Rates FAQ - Detroit, MI
The average residential electricity rate in Detroit is $0.17 per kilowatt-hour (kWh), which is 6% above the national average of $0.16/kWh. The average monthly electric bill for Detroit homeowners is approximately $164.
With solar panels, Detroit homeowners can reduce their electricity costs by approximately 79%, saving around $130 per month or $25,000 over 25 years. The 30% federal tax credit further reduces the upfront cost of going solar.
The major electric utilities serving the Detroit area include DTE Energy, Consumers Energy, Indiana Michigan Power. Rates vary between providers, so your exact cost depends on your utility and usage level.
Yes, electricity rates in Detroit and across Michigan have been increasing, following national trends of 2-5% annual increases. This makes solar panels an increasingly attractive option since they lock in your energy costs for 25+ years.
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