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Energy Profile

Electricity Cost in Tennessee

The residential electricity rate in Tennessee is 13.18¢ per kilowatt-hour (kWh), ranking #11 cheapest among all 51 US states. The national average is 17.92¢/kWh, making Tennessee 26% below average.

Reviewed by EnergyProfile Editorial Team · Updated

13.18¢

Residential

#11

Price Rank

13.8%

Renewable

Residential Rate13.18¢/kWh
Commercial Rate12.87¢/kWh
Industrial Rate6.74¢/kWh
US Average (Residential)17.92¢/kWh

At 13.18¢/kWh, residential electricity in Tennessee is 26% below the U.S. average of 17.92¢/kWh — the 11th cheapest residential rate among 51 states and territories tracked.

Across rate classes, commercial customers pay 12.87¢/kWh and industrial customers 6.74¢/kWh — a 6.13¢/kWh gap that reflects the volume discounts large industrial loads receive. Renewables make up 13.8% of Tennessee's generation mix; the dominant source is nuclear at 42.3%, followed by coal at 22.9%.

In 2024, Tennessee generated about 76,167 GWh of electricity in total.

Source: U.S. Energy Information Administration, 2026.