Electricity Rates in Memphis, TN
Average electricity cost, utility comparison, and solar savings potential for Memphis homeowners.
Memphis Electricity Cost Overview
The average residential electricity rate in Memphis, TN is $0.11 per kWh, which is 31% below the national average of $0.16/kWh. Homeowners in Memphis pay an average of $108 per month for electricity, based on typical usage of 983 kWh per month.
Electricity rates in Memphis are determined by the local utility providers that serve the area. Rates can vary depending on your specific utility, usage level, and time of use.
Electric Utilities Serving Memphis
| Utility Company | Avg Rate ($/kWh) | Est. Monthly Bill |
|---|---|---|
| Tennessee Valley Authority (TVA) | $0.11 | $108 |
| Nashville Electric Service | $0.11 | $108 |
| Memphis Light, Gas & Water | $0.10 | $98 |
How Solar Compares to Memphis Electricity Rates
Without Solar
- Monthly bill: $108
- Annual cost: $1,296
- 25-year cost: $32,400
- Rate trend: Rising 2-5% annually
With Solar
- Monthly savings: $80
- Annual savings: $960
- 25-year savings: $26,000
- Rate: Locked in for 25+ years
Electricity Rates FAQ - Memphis, TN
The average residential electricity rate in Memphis is $0.11 per kilowatt-hour (kWh), which is 31% below the national average of $0.16/kWh. The average monthly electric bill for Memphis homeowners is approximately $108.
With solar panels, Memphis homeowners can reduce their electricity costs by approximately 74%, saving around $80 per month or $26,000 over 25 years. The 30% federal tax credit further reduces the upfront cost of going solar.
The major electric utilities serving the Memphis area include Tennessee Valley Authority (TVA), Nashville Electric Service, Memphis Light, Gas & Water. Rates vary between providers, so your exact cost depends on your utility and usage level.
Yes, electricity rates in Memphis and across Tennessee 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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