Utilities earning record profits
Consumers have seen their electric bills rise dramatically over recent years. Many blame the explosion of data center development, or the rising cost of natural gas, or demand placed on the grid as drivers transition from gasoline vehicles to electric.
But another reason for the escalating rates are utility profit margins, which have increased dramatically, according to a recent report released by the Energy & Policy Institute - a watchdog organization that evaluated financial data from 110 investor-owned utilities from 2021 through 2025.
The analysis found that a substantial share of what consumers pay for electricity ends up in the pockets of investors as profit. About 13 cents of every dollar paid to the analyzed utilities between 2021-24 was retained as profit. This amount rose to 15 percent in 2025.
Some of the utilities examined in the report consistently operated at significantly higher margins. Florida Power & Light, for example, had profit margins that consistently ranked among the highest in the nation over the past five years. That utility retained 27 cents of every dollar in revenue as profit, according to the report. This 27 percent profit margin was matched by MidAmerican Energy, a utility that services Iowa, Illinois and South Dakota.
Other utilities with higher than average profits includeSoCalEdison (26 percent); Georgia Power (23 percent); Duke Energy Carolinas (22 percent); and Alabama Power, Public Service Electric & Gas and Virginia Power (all at 18 percent).
Judge Rules Alabama Power Can Keep Its Solar Fee
A federal judge ruled last week that Alabama Power can continue charging its customers that have installed small rooftop solar one of the highest standby charges in the nation, dismissing a lawsuit that argued the fee was illegal under the Public Utility Regulatory Policies Act.
Solar advocates in Alabama say the fee, which charges customers with a residential solar array around $39 per month, significantly stifles the residential solar market in the state by nearly doubling the payback time for a solar installation.
Despite a sunny climate, Alabama ranks near last among U.S. states in residential solar installations—lower even than Alaska. Advocates say the steep solar fee is part of the reason why.Alabama Power's solar fee has long stood out as one of, if not the, highest in the country for small-scale solar users.
Global renewable energy has record year in 2025
While in the US the Trump administration is seeking to turn back the renewable energy transition in favor of fossil fuels, the rest of the world has accelerated the move towards clean energy.
Continuing the trend of recent years, 2025 saw the largest increase in renewable energy capacity to date – with the addition of 692 gigawatts (GW) of renewable capacity – expanding the stock of renewable power by 15.5 percent. Solar power alone accounted for nearly three-quarters of renewable additions, with a record 510 GW added during the year, while 159 GW of wind energy was added.
To put this in perspective, in 2025 nations added more new wind and solar generating capacity than existed on the planet just 10 years ago.
However, significant disparities remain in deployment. China, the United States and the European Union together account for nearly 80 percent of the new renewable capacity installed in 2025. China alone accounted for half of the world's operational solar.
EV cost less than half when gasoline reaches $4 per gallon
In all 50 states, the cost of home-charging an EV is considerably cheaper than fueling a car with gasoline. This according to recent data released by the Energy Information Administration (EIA) and fueleconomy.gov.
As gasoline currently hovers around $4 per gallon, the average cost of charging an electric vehicle by an amount equivalent to one gallon of gasoline currently ranges from a low of $0.98 in North Dakota to a high of $3.58 in Hawaii. In most states the cost averages around $1.50 per gallon equivalent - or about 5 cents per mile. That's about 40 percent as much as the 13 cents per mile required to move about in an equivalent gasoline powered vehicle.
This results in roughly $1,200 per year in fuel cost savings, assuming 15,000 miles of driving each year with an average 30 mpg rate of consumption. Using the 2025 Hyundai Kona as a reference model, the EV version of this vehicle has an $8,000 higher sticker price than an equivalent gasoline powered model.
So using these figures, fuel savings will bring the cost of the EV in line with the gasoline powered vehicle within 6.7 years. This does not factor any other costs or savings such as maintenance or changes in fuel prices.