The average residential electricity rate in Arkansas (AR) is $0.1148 per kWh as of April 2026, according to the US Energy Information Administration (EIA). This is far below the national average of $0.1805/kWh, ranking Arkansas #9 out of 51 (all 50 states plus Washington DC), where #1 is the cheapest and #51 is the most expensive. The average Arkansas household consumes 1,159 kWh per month, resulting in a monthly electric bill of approximately $133 and annual electricity costs of about $1,596.
Arkansas consistently ranks in the bottom 10 for electricity prices thanks to cheap natural gas from the Fayetteville Shale and nuclear baseload generation.
This comprehensive guide covers Arkansas electricity rates, historical trends, utility providers, bill calculation, solar savings potential, and actionable tips to reduce your electric bill. All rate data is sourced from the US EIA and updated monthly. Use our electricity cost calculator for personalized estimates.
Arkansas residential electricity rates have increased 17% over the past six years. The table below shows the trajectory compared against the national average.
| Year | Arkansas ($/kWh) | National Avg | Difference |
|---|---|---|---|
| 2020 | $0.0979 | $0.1322 | -26% |
| 2022 | $0.1060 | $0.1492 | -29% |
| 2024 | $0.1090 | $0.1680 | -35% |
| Apr 2026 | $0.1148 | $0.1805 | -36% |
Arkansas has a regulated electricity market. The primary providers are: Entergy Arkansas, Arkansas Electric Cooperative, Empire District Electric.
Arkansas generates electricity from: Natural gas 39%, Nuclear 23%, Coal 20%, Renewables 18%.
Your monthly electric bill = kWh Used × Rate per kWh. The average Arkansas household uses 1,159 kWh/month.
Entergy Arkansas rates are among the lowest in the nation. The utility offers a prepaid metering option that helps budget-conscious customers track daily usage.
Universal strategies: adjust thermostat 2-3 degrees (saves 5-10% on HVAC), switch to LEDs (see our LED savings calculator), unplug phantom loads (saves $100-200/year), and run major appliances during off-peak hours if your utility offers time-of-use pricing. For larger investments, consider a heat pump, better insulation, or a smart thermostat.
Arkansas receives 4.8 peak sun hours/day. A 6 kW system produces ~8,620 kWh/year, saving ~$990/year. With the 30% federal ITC, payback is typically 8-12 years. Use our solar panel calculator and solar ROI calculator for personalized estimates.
| State | Rate ($/kWh) | Avg Bill | Market |
|---|---|---|---|
| Arkansas (AR) | $0.1148 | $133 | Regulated |
| Louisiana (LA) | $0.1244 | $156 | Regulated |
| Mississippi (MS) | $0.1238 | $149 | Regulated |
| Missouri (MO) | $0.1228 | $139 | Regulated |
| Oklahoma (OK) | $0.1178 | $137 | Regulated |
| Tennessee (TN) | $0.1212 | $149 | Regulated |
| Texas (TX) | $0.1618 | $178 | Deregulated |
Data source: US Energy Information Administration (EIA), Electric Power Monthly, April 2026. Rates shown are average residential rates and may differ from your specific utility tariff. Solar estimates assume a 6 kW system with 82% efficiency factor. Always verify current rates with your utility provider.