Louisiana doesn't have an electricity marketplace to shop, and that's not a gap in the system — it's the system. One utility serves your address, the Louisiana Public Service Commission approves what it can charge, and the "best plan" question that dominates deregulated states simply doesn't apply here. That sounds limiting, but it also means there's no fine print to decode, no holdover rate waiting to ambush you, and no gimmick plan engineered against your usage. Here's what actually sets your rate, what it costs in 2026, and the concrete moves a homeowner can make when the provider itself isn't one of them.
The straight answer: no, you can't choose
Louisiana is a regulated electricity state. There is no residential provider choice, no comparison site, and no competing suppliers bidding for your account. A single utility — Entergy Louisiana in much of the state, plus various electric cooperatives and municipal utilities elsewhere — holds the exclusive right to serve your territory, and the Louisiana Public Service Commission (PSC) reviews and approves the rates it can charge. That's the entire arrangement: one utility, one PUC-approved rate, no shopping.
If you get a call, email, or door-knock offering to "switch your electricity provider" in Louisiana, it's not a real option — treat it as a scam. This isn't Texas or Ohio, where deregulation created an actual market to navigate. In Louisiana the honest homeowner question isn't "which provider is cheapest," it's "what can I actually control given the rate I'm stuck with" — and there's more to that answer than it first appears.
What power costs in Louisiana
Louisiana residential electricity averaged 12.6 cents per kWh in 2025 (EIA preliminary). The chart below shows the full federal price history for Louisiana since 1990, with a dashed projection of where prices go if the last decade's pace simply continues.
Full Louisiana electricity price data (1990–2025)
| Year | Louisiana (¢/kWh) | US avg (¢/kWh) |
|---|---|---|
| 1990 | 7.4 | 7.8 |
| 1991 | 7.4 | 8.0 |
| 1992 | 7.5 | 8.2 |
| 1993 | 7.8 | 8.3 |
| 1994 | 7.6 | 8.4 |
| 1995 | 7.2 | 8.4 |
| 1996 | 7.6 | 8.4 |
| 1997 | 7.4 | 8.4 |
| 1998 | 7.1 | 8.3 |
| 1999 | 7.1 | 8.2 |
| 2000 | 7.7 | 8.2 |
| 2001 | 7.9 | 8.6 |
| 2002 | 7.1 | 8.4 |
| 2003 | 7.8 | 8.7 |
| 2004 | 8.1 | 9.0 |
| 2005 | 8.9 | 9.5 |
| 2006 | 9.1 | 10.4 |
| 2007 | 9.4 | 10.7 |
| 2008 | 10.3 | 11.3 |
| 2009 | 8.1 | 11.5 |
| 2010 | 9.0 | 11.5 |
| 2011 | 9.0 | 11.7 |
| 2012 | 8.4 | 11.9 |
| 2013 | 9.4 | 12.1 |
| 2014 | 9.6 | 12.5 |
| 2015 | 9.3 | 12.7 |
| 2016 | 9.3 | 12.6 |
| 2017 | 9.7 | 12.9 |
| 2018 | 9.6 | 12.9 |
| 2019 | 9.8 | 13.0 |
| 2020 | 9.7 | 13.2 |
| 2021 | 11.0 | 13.7 |
| 2022 | 12.9 | 15.0 |
| 2023 | 11.6 | 16.0 |
| 2024 | 11.7 | 16.5 |
| 2025 * | 12.6 | 17.3 |
Source: US EIA, average residential retail electricity price. Values in cents per kWh. * 2025 is preliminary.
Two things stand out in that trend. First, the rate has risen about 42 percent since 2005 — a real increase, but a gradual one spread across two decades rather than a sudden shock. Second, the last decade's pace has run at roughly 3 percent a year, which is steady enough to plan around: it means next year's bill is very unlikely to spike, but it also means "electricity used to be cheaper" is a fact, not a memory playing tricks. If that pace holds, the honest planning assumption is gradual, compounding increases rather than either a plateau or a sudden jump.
Why your rate is set the way it is
In a regulated monopoly, your utility doesn't set its own price and hope you pay it — it files a rate case with the Louisiana Public Service Commission, laying out its costs, and the PSC decides what's a fair rate of return. Three things drive that number over time: the fuel mix used to generate power (natural gas dominates Louisiana generation, alongside nuclear and a growing share of renewables, each with its own cost swings), ongoing grid maintenance and infrastructure investment (poles, wires, substations, and storm hardening against hurricanes), and periodic rate cases where the utility asks to recover rising costs and the PSC negotiates the increase down, approves it, or occasionally rejects parts of it.
This is also why your rate doesn't behave like a stock price. There's no daily fluctuation, no surge pricing, and no plan you might have missed — the number moves only when the utility files and the PSC rules, which happens on a multi-year cycle. The tradeoff for giving up choice is that stability: your rate is boring by design, and boring is often underrated.
How to actually lower your bill
Since the rate itself isn't negotiable, the lever that's actually yours is usage — and a few billing options your utility may offer without advertising loudly.
Efficiency first. Attic and duct insulation, sealing air leaks around windows and doors, and an HVAC tune-up (or upgrade, if your system is old) do more for a bill than anything else on this list, because Louisiana's long, humid cooling season means air conditioning dominates most residential usage for much of the year. A programmable or smart thermostat and swapping remaining bulbs to LED are lower-effort versions of the same idea.
Ask about time-of-use and budget billing. Some Louisiana utilities offer a time-of-use rate that charges less for power used outside peak afternoon and evening hours — worth asking about if you can shift laundry, dishwashing, or EV charging to off-peak hours. Separately, budget billing (sometimes called levelized or average billing) spreads your annual usage into equal monthly payments, so a July air-conditioning bill doesn't blindside you even though it doesn't change what you pay over a year. Neither is automatic — call your utility and ask what's available on your account.
Rooftop solar, measured honestly. Solar payback math runs directly off your utility's rate, and at 12.6 cents per kWh, Louisiana sits below many higher-rate states, which stretches the payback period out compared to somewhere like California or the Northeast. That doesn't rule it out — a south-facing roof with strong sun exposure and a long, AC-heavy cooling season can still pencil out, especially as rates continue their roughly 3-percent annual climb — but it means the decision deserves real numbers, not a national average. Run the math against your actual bill and your utility's net-metering terms before signing anything; our solar panels guide walks through the full calculation.
The practical checklist
Twenty minutes with your last few utility bills:
- Confirm your utility and territory. Know whether you're served by Entergy Louisiana, a cooperative, or a municipal utility — your bill states it, and it determines who to call for programs and outage reporting.
- Ask about time-of-use and budget billing. Call your utility directly; these programs are opt-in and rarely advertised on the bill itself.
- Fix the biggest usage drivers first. Insulation, air sealing, and an HVAC tune-up move the needle more than any thermostat habit.
- Check for efficiency rebates. Many Louisiana utilities offer rebates on insulation, smart thermostats, or HVAC upgrades — ask before you pay full price.
- Run solar numbers against your real bill. Skip the national-average pitch; get a quote and calculate payback at your actual 12.6-cent baseline and usage.
- Ignore any "switch your provider" pitch. Louisiana is regulated — there is nothing to switch to.
For the house-side fundamentals behind these numbers — panel capacity, wiring, and what actually drives usage — see our electrical guide.
Sources
- U.S. Energy Information Administration — Louisiana average residential rate (12.6 cents/kWh, 2025 preliminary), the 42 percent increase since 2005, and the 1990–2025 historical price series in the chart.