Maryland · plain-English answer
Why is my Maryland electric bill so high?
You're not imagining it. The average Maryland residential electricity price rose 48% in 6 years — from 13.12¢/kWh in 2019 to 19.48¢/kWh in 2025. Here's what's behind it, and the one part you can actually fix.
That's not just inflation: in real (inflation-adjusted) terms, Maryland prices are still up about 18%. (Source: U.S. Bureau of Labor Statistics (CPI-U).)
The part you can fix in 30 seconds
If a third-party supplier is charging more than your utility's Standard Offer Service, you're overpaying — and you can switch back. Check it free, in your browser:
Check my rateHow much of your Maryland bill is the data-center surge?
Maryland is in the PJM grid, where capacity costs jumped largely because of data-center demand. PJM estimates this adds about 1.5%–5% to customer bills. Enter your monthly bill to see that as dollars:
How we calculated this
We take PJM's own published estimate that recent capacity-cost increases add about 1.5%–5% to customer bills, and apply that range to the bill amount you enter — entirely in your browser. It's an estimate, not a precise figure: your exact share depends on your utility and usage, and PJM attributes a large part (not all) of the capacity increase to data centers. Source: PJM Interconnection (as of 2025-07).
Why data centers are driving this:
Data centers account for about 94% of PJM's projected peak-load growth between 2024 and 2030 (roughly +32 GW). — PJM 2025 Long-Term Load Forecast (2025-12).
PJM's capacity-auction price hit a record cap (~$333/MW-day) for the third auction in a row, and its market monitor attributed roughly 40% of those costs to data centers. — PJM Independent Market Monitor (Monitoring Analytics); Utility Dive (2025-07).
US data centers used about 4.4% of all US electricity in 2023, up from 1.9% in 2018. — LBNL / US DOE — 2024 United States Data Center Energy Usage Report (2024-12).
Data centers are projected to reach 6.7%–12% of total US electricity by 2028. — LBNL / US DOE — 2024 United States Data Center Energy Usage Report (2024-12).
What is "PJM" and its "capacity market"? (plain English)
PJM is the independent operator that runs the high-voltage power grid for 13 states and Washington, D.C. — including yours. Think of it as air-traffic control for electricity: it doesn't own power plants or your wires, but it makes sure enough electricity is flowing across the whole region every second of the day. The wholesale costs PJM sets get passed through your utility into your bill.
The capacity market is a separate, once-a-year auction PJM runs. Instead of paying for electricity you use, it pays power plants just to promise they'll be ready on the few hottest or coldest days when demand peaks. That promise is called "capacity." It's like paying a backup generator a retainer to stay on standby — you pay even in months you never need it.
Why it matters now: when PJM expects demand to jump, those standby payments spike. Demand is jumping largely because of data centers, and PJM's recent capacity auctions hit record highs three times in a row. Utilities pass that cost straight to customers — which is a big reason bills across all five states we cover are rising. Sources: PJM; PJM Independent Market Monitor (Monitoring Analytics).
Other reasons your Maryland bill may be high
Utility rate cases at the MD PSC
Beyond grid costs, utilities raise delivery rates through cases at the Maryland Public Service Commission. We track them in plain English. See Maryland rate cases & utilities →
A supplier charging more than your utility
If you signed up with a competitive supplier, your rate may be well above your utility's Standard Offer Service — often after a teaser rate expired. This is the most common fixable cause. Run the free audit →
Common questions
- Why is my Maryland electric bill so high in 2025?
- Maryland residential electricity prices have risen 48% since 2019 — from about 13.12¢ to 19.48¢ per kWh. The biggest drivers are higher PJM grid costs (capacity prices hit record highs, largely from data-center demand), plus, if you're on a third-party supplier, a contract rate that may be well above your utility's standard rate.
- Why did my electricity rate seem to double?
- A bill that feels doubled is usually a third-party supplier rate, not your utility's. Teaser rates expire and can reset to two or three times the utility's standard rate. The other common cause is a usage spike (weather or a new appliance). A 30-second bill audit tells you instantly if the supply rate is the problem.
- What is the standard electricity rate in Maryland right now?
- Your utility's standard rate — the Standard Offer Service — is what you pay if you don't use a competitive supplier. For example, Potomac Edison's is 12.936¢/kWh as of June 14, 2026. If a supplier charges you more than your utility's Standard Offer Service, you're overpaying.
- What can I do about a high electric bill?
- Check whether a supplier is overcharging you versus your utility's Standard Offer Service — that's the part you can fix in 1–2 billing cycles, free. Our bill audit does the comparison in your browser; nothing leaves your device.
Want a heads-up before the next increase hits your Maryland bill?
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