West Virginia homeowners face soaring energy costs amid heavy reliance on coal, oil, and gas. Many say they must choose between paying their electric bills and buying groceries. 

What is happening in West Virginia?

The New York Times did a deep dive into West Virginia's energy situation. The Mountain State has seen its electricity rates rise nearly twice as fast as the national average over the past 15 years, and some residents report it is cheaper to rent a house than to keep the lights on. 

"Electric bills shouldn't be equal to rent or mortgage," said Martec Washington, who began taking the bus and working multiple jobs in order to keep afloat. "The bill is freaking ridiculous."

Major utility companies Appalachian Power and Wheeling Power cut power to 56,000 households for not paying their bills in 2023, according to the most recent regulatory filings, per the Times. That disconnection rate is more than 10 times higher than usual for states.

Why are energy rates so high in West Virginia? 

Fossil fuel projects are generally more expensive and slower to construct than renewable energy ones — and this is especially true during times of geopolitical crisis. 

For instance, Russia's invasion of Ukraine in 2022 resulted in higher prices for coal, gas, and other dirty fuels because it disrupted supply chains. The data center boom is also creating massive energy demands, and consumers are paying more as a result. In short, diversifying energy portfolios with solar and wind can boost grid reliability and lower costs for consumers.

However, West Virginia regulators have pushed utility companies to rely on coal, leading to millions in operational, construction, and maintenance costs, per the Times. The U.S. Energy Information Administration estimates the state uses coal to produce around 86% of its electricity. 

How West Virginia's energy crisis could spread

Energy experts warn that West Virginia's energy crisis could be an omen of what is to come if the U.S. continues to spurn solar and wind energy in favor of fossil fuels.  

Support for clean energy development exists across political lines, both at the governmental level and among the American public. The Trump administration has expressed support for nuclear, geothermal, and hydropower — all forms of clean energy — as part of its goal to bring affordable and reliable power to Americans. 

However, the administration has also canceled billions of dollars in grants for clean energy projects, including wind and solar, both of which are easy to scale to support the country's data center boom. At the same time, it is increasing investments in dirty fuels. At the end of September, the U.S. Department of Energy announced a $625 million investment to revitalize the coal industry.  

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How Palmetto can help

Installing solar panels is a surefire way to lower home energy costs while also reducing heat-trapping pollution that could lead to trillions of dollars in lost economic value, according to reinsurance firm Swiss Re. 

Yet with the average solar system costing thousands of dollars, the upfront cost is too much for some households to bear. Fortunately, Palmetto allows homeowners to lock in stable energy rates with its solar leasing options, including plans that require no money down. 

Palmetto has helped consumers across 31 states find the right solar systems. If buying sounds better to you, EnergySage saves homeowners up to $10,000 on installation costs. Palmetto's pros and cons breakdown can help you determine which is the best path for you. 

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