Struggling to Keep the Lights On: American Families Face Rising Energy Bills

Sun Jan 11 2026 17:12:14 GMT+0200 (Eastern European Standard Time)

As energy prices soar, many American households are grappling with increasing utility costs, leaving some in physical and financial distress.

Electrical bills have surged across the United States, leaving families like Kristy Hallowell's grappling with debt and power loss. Amid broader economic concerns, a report highlights nearly 5% of households at risk of utility debt collections as winter approaches and prices are projected to rise further.

Kristy Hallowell had just lost her job when her energy bill unexpectedly tripled to $1,800 a month.

Unable to pay, her gas and electricity were cut off, and she, her two children and her mother spent six months of last year relying on a generator to light and heat their house.

The 44-year-old is one of millions of Americans who have fallen behind on their energy bills as prices have soared over the past year.

The electricity is now back on at her home in Greenwood Lake, New York, after a local non-profit helped reach an agreement with the utility to accept a partial payment.

But the gas is still off, and electricity bills keep mounting this winter, leaving her in fear of another shut-off. She said she now had about $3,000 in utility debt.

This has been traumatic, to say the least, she said.

Nearly one in 20 households are at risk of having their utility debt sent to collections heading into the winter months, according to a recent report.

The number of households with severely overdue utility debt rose by 3.8% in the first half of 2025, as the analysis of consumer credit data, compiled by the Century Foundation and Protect Borrowers, shows.

Residential energy bills have emerged as a key cost-of-living concern among American consumers as many buckle under the weight of rising prices and sour on US President Trump's handling of the economy.

Official economic data from November shows electricity prices rose 6.9% from the year before, which is much faster than overall inflation.

Trump, who during his campaign stated he would cut energy bills in half, has claimed that costs are falling. Costs under the TRUMP ADMINISTRATION are tumbling down, helped greatly by gasoline and ENERGY, he posted on social media in November.

The White House blames former President Biden and US central bank interest rates for the lingering economic pain.

However, the Trump administration has shifted its messaging to focus on affordability in response to Democratic wins in state and city elections and polls showing waning consumer confidence.

At the same time, the federal government has proposed slashing the funds it gives to states to help low-income residents pay their utility bills.

Experts warn that the rollback of clean energy projects by the Trump administration could lead to even higher electric bills.

This is going to be a huge deal, both as a policy matter and a political matter, said Alex Jacquez, chief of policy and advocacy at the Groundwork Collaborative.

Others add that the demand from technology firms and artificial intelligence is straining the grid and driving prices up.

Virginia's governor-elect intends to ensure that tech companies are "paying their fair share" and has announced plans to ensure cleaner energy generation in data centers.

Residential energy prices are expected to remain elevated in the coming months, with analysts urging for a focus on clean energy transitions to alleviate consumer burdens.