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Surging electricity prices are massively outpacing inflation across the US: 'It's painful to see'

Multiple factors are at work.

Multiple factors are at work.

Photo Credit: iStock

Record-breaking heat waves and rising data center power demand are contributing to escalating utility bills around the country that are outpacing inflation. As a result, customers are cringing, according to NPR and Canary Media

It's a scenario spotlighting the energy-saving value of cleaner solar power

What's behind the rising prices? 

Foreign competition for domestic natural gas, which provides more than 43% of the nation's electricity, is driving up its costs by 40% compared to last year, according to NPR. What's more, accelerating data center power demand has resulted in gas plants being developed solely to energize computing, Axios reported

The dirty fuel also produces heat-trapping air pollution when combusted, compounding the problem. Burning nonrenewables such as gas contributes to increased risks for heat waves that NASA said could make some places uninhabitable


Home solar is one of the best ways to combat rising electricity prices. And leasing is an affordable option that nixes upfront costs that can reach up to $30,000, depending on array size and incentives. 

Palmetto's LightReach program lets homeowners unlock the benefits of solar without those initial expenses. The company owns the panels and is responsible for maintenance. Customers use the electricity. In return, they pay a set monthly lease. 

Cleaner energy is important as more power is needed to run air conditioners amid the increasingly high heat. 

In Florida, retired Boca Raton resident Ken Thomas told NPR that it's impossible to live without AC during the hot and muggy summers. Some cities there have recently broken records at or near 100 degrees Fahrenheit, Naples Daily News reported

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If you want to buy your own panels, Palmetto's concierge advisors can help you save up to $10,000 on installation through a network of preferred installers. And if you'd rather get solar savings without upfront costs, Palmetto's revolutionary LightReach subscription program can deliver.

LightReach lets you lease solar panels with no money down, making it painless to lock in long-term savings. Palmetto covers a 25-year warranty for the panels, which means you'll get reliable performance without unforeseen costs.

To get started, just answer a few basic questions about your home and connect with Palmetto's experts to find the option that's right for you.

The result for everyday energy customers can be shocking. 

"It's painful to see that bill when it comes in," Thomas told NPR. 

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How fast are rates and temperatures rising?

Florida residents aren't alone when it comes to higher electricity rates. NPR, citing government data, reported that costs are rising more than twice as fast as living expenses.

And brutal heat records resulting from the planet overheating are causing sweltering conditions all over the world. July 2025 was one of the hottest on record, dating to 1850. The high mercury readings are continuing a trend for the year, according to Yale Climate Connections.

Why are rising energy prices important?

High prices highlight the game-changing role cleaner solar can play for our grid. Reuters reported that solar is one of the cheapest and fastest energy projects to deploy, even without government incentives that are widely reported to be ending early at the end of the year. 

What's more, NPR reported that one-sixth of homeowners struggle to afford their power bills. Solar is a hack that can lower or even eliminate utility expenses. 

"The future is to make electricity cheaper and the way to do it is clean energy," John Quigley, from the Kleinman Center for Energy Policy at the University of Pennsylvania, said in the story. 

How is leasing helping? 

LightReach requires zero money down to get started. But if leasing isn't for you, EnergySage can help you navigate the buying process to find the right setup. The free resource compares quotes, secures incentives while they last, and can help you find a pro installer. The insight can save you up to $10,000, depending on available rebates. 

Palmetto has a handy guide to compare the pros and cons of leasing and buying, helping you pick the best option for your household.

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