Electricity sector of the United States
The United States has the second largest electricity sector in the world, with 4,430 Terawatt-hours of generation in 2025. In 2024 the industry earned $514b in revenue (1.8% of GDP) at an average price of $0.129/kWh. There are three major synchronous electrical grids in the continental US: the Eastern Interconnection, the Western Interconnection and the Texas Interconnection. Within these physical grids, there are Independent System Operators and Regional transmission organizations, which are not-for-profit organizations that operate an area of the grid and are obliged to provide indiscriminate access to various suppliers (e.g. power plant owners, transmission line providers) to promote competition. Some areas instead have a vertically integrated utility like Southern Company where everything is done by one company. The U.S. electricity sector is regulated by different public institutions with some functional overlaps. The federal government sets general policies through the Department...
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