The average residential electric rate in states with a Renewable Portfolio Standard (RPS) is nearly 30 percent higher than states without an RPS. An RPS is a state based policy that requires electric power “providers to supply a specified minimum amount of customer load with electricity from eligible renewable energy sources,” such as wind or solar. The average for states with an RPS is 12.99 cents per kilowatt hour and 10.01 cents in states without an RPS.

Do the math. For a family of four that averages 1000 kilowatt hours per month, the RPS state average electric rate would make their annual bill $1558.00. While the non-RPS average electric rate would cost that same family only $1201.00 annually.

As for Colorado, we reported earlier that our electric rates are lower than the national average for now now, but they are higher than all neighboring states and second highest in the Rocky Mountain West.

We have long argued that renewable energy mandates make electric bills needlessly more expensive despite the presence of rate caps and the myth of market forces. The following chart based on residential rate information from a recent USA Today article and RPS information from the U.S. Department of Energy seems to prove it as well. (States with an asterisk have voluntary goals rather than mandates)