During summer 2024, New England is forecast to have the highest average residential retail electricity price in the United States, at 25.6 U.S. cents per kilowatt hour. In contrast, the average U.S. residential retail electricity price during summer 2024 is forecast to be 16 U.S. cents per kilowatt hour.

In 2023, the price of electricity for residential consumers in the United States increased from approximately 15.8 U.S. cents per kilowatt-hour in the first quarter of the year to 16.02 U.S. cents in the fourth quarter. The household electricity price is forecast to remain above 15.7 U.S. dollar cents per kilowatt-hour in 2024, reaching a price of nearly 15.9 U.S. dollar cents per kilowatt-hour in the second half of the year.

Retail residential electricity prices in the United States have mostly risen over the last decades. In 2023, prices registered a year-over-year growth of 6.3 percent, the highest growth registered since the beginning of the century. Residential prices are projected to continue to grow by two percent in 2024. Drivers of electricity price growth The price of electricity is partially dependent on the various energy sources used for generation, such as coal, gas, oil, renewable energy, or nuclear. In the U.S., electricity prices are highly connected to natural gas prices. As the commodity is exposed to international markets that pay a higher rate, U.S. prices are also expected to rise, as it has been witnessed during the energy crisis in 2022. Electricity demand is also expected to increase, especially in regions that will likely require more heating or cooling as climate change impacts progress, driving up electricity prices. Which states pay the most for electricity? Electricity prices can vary greatly depending on both state and region. Hawaii has the highest electricity prices in the U.S., at roughly 43 U.S. cents per kilowatt-hour as of May 2023, due to the high costs of crude oil used to fuel the state’s electricity. In comparison, Idaho has one of the lowest retail rates. Much of the state’s energy is generated from hydroelectricity, which requires virtually no fuel. In addition, construction costs can be spread out over decades.

This dataset provides values for ELECTRICITY PRICE reported in several countries. The data includes current values, previous releases, historical highs and record lows, release frequency, reported unit and currency.

This dataset provides values for ELECTRICITY PRICE reported in several countries. The data includes current values, previous releases, historical highs and record lows, release frequency, reported unit and currency.

Germany Electricity decreased 21.39 EUR/MWh or 18.48% since the beginning of 2025, according to the latest spot benchmarks offered by sellers to buyers priced in megawatt hour (MWh). This dataset includes a chart with historical data for Germany Electricity Price.

According to Cognitive Market Research, the global Electricity Generation market size will be USD 2154.2 million in 2024. It will expand at a compound annual growth rate (CAGR) of 9.80% from 2024 to 2031.

North America held the major market share for more than 40% of the global revenue with a market size of USD 861.68 million in 2024 and will grow at a compound annual growth rate (CAGR) of 8.0% from 2024 to 2031.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD 646.26 million.
Asia Pacific held a market share of around 23% of the global revenue with a market size of USD 495.47 million in 2024 and will grow at a compound annual growth rate (CAGR) of 11.8% from 2024 to 2031.
Latin America had a market share of more than 5% of the global revenue with a market size of USD 107.71 million in 2024 and will grow at a compound annual growth rate (CAGR) of 9.2% from 2024 to 2031.
Middle East and Africa had a market share of around 2% of the global revenue and was estimated at a market size of USD 43.08 million in 2024 and will grow at a compound annual growth rate (CAGR) of 9.5% from 2024 to 2031.
Thermal Generation is the market leader in the Electricity Generation industry

Market Dynamics of Electricity Generation Market

Key Drivers for Electricity Generation Market

Rising need for cooling boosts the electricity generation market

The increased demand for cooling is projected to drive the electricity generating market in the future years. Cooling is the process of lowering the temperature of an object or environment, which is usually accomplished by transporting heat away from the intended location, typically utilizing air or a cooling medium. Power generation can be utilized to cool by running air conditioning (AC) and fans to keep indoor temperatures comfortable. For instance, According to the International Energy Agency, an autonomous intergovernmental body located in France, in July 2023, more than 90% of households in the United States and Japan had an air conditioner. Cooling accounts for around 10% of global electricity use. In warmer countries, this might result in a more than 50% increase in power demand during the summer months. As a result, increased demand for cooling is likely to drive expansion in the power generating industry.

Increasing applications of electricity in the transportation industry

The growing use of energy in the transportation industry is predicted to increase demand for electricity, hence pushing the power generation market. The electrification of railways in underdeveloped and developing countries, the establishment of public transportation networks such as rapid metro transit systems, and the growing use of electric vehicles in developed countries will all create significant market opportunities for power generation companies. For instance, in order to achieve net-zero carbon emissions, the Office of Rail and Road (ORR) predicts that 13,000 track kilometers - or roughly 450 km per year - of track in the UK will need to be electrified by 2050, with 179 km electrified between 2020 and 2021. According to the Edison Electric Institute (EEl), yearly electric car sales in the United States are estimated to exceed 1.2 million by 2025. Electric vehicles are projected to account for 9% of worldwide electricity demand by 2050.

Restraint Factor for the Electricity Generation Market

High initial capital investment for renewable projects

The high initial capital for renewable projects is indeed a limiting factor for the market growth of the electricity generation sector, as most such technologies, infrastructure, and installation depend on significant up-front funding. For instance, most renewable energy technologies are highly capital intensive-solar, and wind, in particular, scares investors away from taking action, especially if they are small or developing firms. There is thus an economic limitation that restricts competition and contributes toward slower development of cleaner energy solutions. Moreover, funding can be quite tricky and challenging-especially for a poor economic climate. The payback times attached to these investment options are long, leading to uncertainty and making stakeholders reluctant to commit. These financial constraints are, therefore, blighting the transition to renewable energy as well as, more broadly, the overall electricity generation market

Impact of Covid-19 on the E...

This dataset provides values for ELECTRICITY PRICE reported in several countries. The data includes current values, previous releases, historical highs and record lows, release frequency, reported unit and currency.

FR: Electricity Price: NH: Between 500 & 1999 MwH: excl VAT & Other Recoverable Taxes & Levies data was reported at 0.171 EUR/MWh in Jun 2024. This records a decrease from the previous number of 0.213 EUR/MWh for Dec 2023. FR: Electricity Price: NH: Between 500 & 1999 MwH: excl VAT & Other Recoverable Taxes & Levies data is updated semiannually, averaging 0.095 EUR/MWh from Dec 2007 (Median) to Jun 2024, with 34 observations. The data reached an all-time high of 0.253 EUR/MWh in Jun 2023 and a record low of 0.057 EUR/MWh in Dec 2007. FR: Electricity Price: NH: Between 500 & 1999 MwH: excl VAT & Other Recoverable Taxes & Levies data remains active status in CEIC and is reported by Eurostat. The data is categorized under Global Database’s France – Table FR.Eurostat: Electricity Price: Non-Household Consumers.

France - Electricity prices: Non-household, medium size consumers was EUR0.16 Kilowatt-hour in December of 2024, according to the EUROSTAT. Trading Economics provides the current actual value, an historical data chart and related indicators for France - Electricity prices: Non-household, medium size consumers - last updated from the EUROSTAT on March of 2025. Historically, France - Electricity prices: Non-household, medium size consumers reached a record high of EUR0.25 Kilowatt-hour in December of 2023 and a record low of EUR0.07 Kilowatt-hour in December of 2010.

Global benchmark costs of renewable energy storage technologies and batteries are forecast to decline in the upcoming years. The levelized cost of electricity of battery energy storage systems will record the highest decrease between 2024 and 2035, at almost 50 percent.

Spain Electricity decreased 81.27 EUR/MWh or 59.82% since the beginning of 2025, according to the latest spot benchmarks offered by sellers to buyers priced in megawatt hour (MWh). This dataset includes a chart with historical data for Spain Electricity Price.

Bulgaria BG: Electricity Price: NC: HC: Between 1000 & 2499 KwH: incl All Taxes & Levies data was reported at 0.233 BGN/kWh in Jun 2024. This records an increase from the previous number of 0.233 BGN/kWh for Dec 2023. Bulgaria BG: Electricity Price: NC: HC: Between 1000 & 2499 KwH: incl All Taxes & Levies data is updated semiannually, averaging 0.187 BGN/kWh from Dec 2007 (Median) to Jun 2024, with 34 observations. The data reached an all-time high of 0.233 BGN/kWh in Jun 2024 and a record low of 0.141 BGN/kWh in Dec 2007. Bulgaria BG: Electricity Price: NC: HC: Between 1000 & 2499 KwH: incl All Taxes & Levies data remains active status in CEIC and is reported by Eurostat. The data is categorized under Global Database’s Bulgaria – Table BG.Eurostat: Electricity Price: Household Consumers.

Italy Electricity decreased 10.78 EUR/MWh or 7.83% since the beginning of 2025, according to the latest spot benchmarks offered by sellers to buyers priced in megawatt hour (MWh). This dataset includes a chart with historical data for Italy Electricity Price.

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Electricity Trading Market Size 2025-2029

The electricity trading market size is forecast to increase by USD 123.5 billion at a CAGR of 6.5% between 2024 and 2029.

The market is witnessing significant growth due to several key trends. The integration of renewable energy sources, such as solar panels and wind turbines, into the grid is a major driver. Energy storage systems are increasingly being adopted to ensure a stable power supply from these intermittent sources. Concurrently, the adoption of energy storage systems addresses key challenges like intermittency, enabling better integration of renewable sources, and bolstering grid resilience. Self-generation of electricity by consumers through microgrids is also gaining popularity, allowing them to sell excess power back to the grid. The entry of new players and collaborations among existing ones are further fueling market growth. These trends reflect the shift towards clean energy and the need for a more decentralized and efficient electricity system.

What will be the Size of the Electricity Trading Market During the Forecast Period?

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The market, a critical component of the global energy industry, functions as a dynamic interplay between wholesale energy markets and traditional financial markets. As a commodity, electricity is bought and sold through various trading mechanisms, including equities, bonds, and real-time auctions. The market's size and direction are influenced by numerous factors, such as power station generation data, system operator demands, and consumer usage patterns. Participants in the market include power station owners, system operators, consumers, and ancillary service providers. Ancillary services, like frequency regulation and spinning reserves, help maintain grid stability. Market design and news reports shape the market's evolution, with initiatives like the European Green Paper and the Lisbon Strategy influencing the industry's direction towards increased sustainability and competition.
Short-term trading, through power purchase agreements and power distribution contracts, plays a significant role in the market's real-time dynamics. Power generation and power distribution are intricately linked, with the former influencing the availability and price of electricity, and the latter affecting demand patterns. Overall, the market is a complex, ever-evolving system that requires a deep understanding of both energy market fundamentals and financial market dynamics.

How is this Electricity Trading Industry segmented and which is the largest segment?

The industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Type

  Day-ahead trading
  Intraday trading


Application

  Industrial
  Commercial
  Residential


Source

  Non-renewable energy
  Renewable energy


Geography

  Europe

    Germany
    UK
    France
    Italy
    Spain


  APAC

    China
    India
    Japan
    South Korea


  North America

    US


  South America



  Middle East and Africa

By Type Insights

The day-ahead trading segment is estimated to witness significant growth during the forecast period.

Day-ahead trading refers to the voluntary, financially binding forward electricity trading that occurs in exchanges such as the European Power Exchange (EPEX Spot) and Energy Exchange Austria (EXAA), as well as through bilateral contracts. This process involves sellers and buyers agreeing on the required volume of electricity for the next day, resulting in a schedule for everyday intervals. However, this schedule is subject to network security constraints and adjustments for real-time conditions and actual electricity supply and demand. Market operators, including ISOs and RTOs, oversee these markets and ensure grid reliability through balancing and ancillary services. Traders, including utilities, energy providers, and professional and institutional traders, participate in these markets to manage price risk, hedge against price volatility, and optimize profitability.

Key factors influencing electricity prices include weather conditions, fuel prices, availability, construction costs, and physical factors. Renewable energy sources, such as wind and solar power, also play a growing role in these markets, with the use of Renewable Energy Certificates and net metering providing consumer protection and incentives for homeowners and sustainable homes. Electricity trading encompasses power generators, power suppliers, consumers, and system operators, with contracts, generation data, and power station dispatch governed by market rules and regulations.

Get a glance at the Electricity Trading Industry report of share of various segments Request Free Sample

The day-ahead tra

NO: Electricity Price: NC: HC: Between 2500 & 4999 KwH: excl Taxes & Levies data was reported at 1.815 NOK/kWh in Jun 2024. This records an increase from the previous number of 1.754 NOK/kWh for Dec 2023. NO: Electricity Price: NC: HC: Between 2500 & 4999 KwH: excl Taxes & Levies data is updated semiannually, averaging 1.050 NOK/kWh from Dec 2007 (Median) to Jun 2024, with 34 observations. The data reached an all-time high of 2.813 NOK/kWh in Dec 2022 and a record low of 0.844 NOK/kWh in Dec 2007. NO: Electricity Price: NC: HC: Between 2500 & 4999 KwH: excl Taxes & Levies data remains active status in CEIC and is reported by Eurostat. The data is categorized under Global Database’s Norway – Table NO.Eurostat: Electricity Price: Household Consumers.

Sweden Electricity Price: TP: NH: Between 20-499 MWh data was reported at 73.680 SEK/kWh in Jun 2024. This records an increase from the previous number of 71.880 SEK/kWh for Dec 2023. Sweden Electricity Price: TP: NH: Between 20-499 MWh data is updated semiannually, averaging 43.135 SEK/kWh from Dec 2014 (Median) to Jun 2024, with 20 observations. The data reached an all-time high of 147.520 SEK/kWh in Dec 2022 and a record low of 31.820 SEK/kWh in Dec 2015. Sweden Electricity Price: TP: NH: Between 20-499 MWh data remains active status in CEIC and is reported by Statistics Sweden. The data is categorized under Global Database’s Sweden – Table SE.P002: Electricity Price.

Avg Consumer Price: Electricity Supply: CF: City of Moscow data was reported at 669.720 RUB/100 kWh in Dec 2024. This stayed constant from the previous number of 669.720 RUB/100 kWh for Nov 2024. Avg Consumer Price: Electricity Supply: CF: City of Moscow data is updated monthly, averaging 469.700 RUB/100 kWh from Jan 2009 (Median) to Dec 2024, with 192 observations. The data reached an all-time high of 669.720 RUB/100 kWh in Dec 2024 and a record low of 248.800 RUB/100 kWh in Dec 2009. Avg Consumer Price: Electricity Supply: CF: City of Moscow data remains active status in CEIC and is reported by Federal State Statistics Service. The data is categorized under Russia Premium Database’s Energy Sector – Table RU.RBL007: Average Consumer Price: by Region: Electricity Supply.

France Electricity decreased 6.42 EUR/MWh or 9.19% since the beginning of 2025, according to the latest spot benchmarks offered by sellers to buyers priced in megawatt hour (MWh). This dataset includes a chart with historical data for France Electricity Price.

IS: Electricity Price: NH: Between 20 & 499 MwH: excl Taxes & Levies data was reported at 0.100 EUR/MWh in Jun 2024. This records an increase from the previous number of 0.091 EUR/MWh for Dec 2023. IS: Electricity Price: NH: Between 20 & 499 MwH: excl Taxes & Levies data is updated semiannually, averaging 0.080 EUR/MWh from Jun 2016 (Median) to Jun 2024, with 16 observations. The data reached an all-time high of 0.100 EUR/MWh in Jun 2024 and a record low of 0.062 EUR/MWh in Jun 2021. IS: Electricity Price: NH: Between 20 & 499 MwH: excl Taxes & Levies data remains active status in CEIC and is reported by Eurostat. The data is categorized under Global Database’s Iceland – Table IS.Eurostat: Electricity Price: Non-Household Consumers.