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War in Iran has roiled oil markets and sent fuel prices to near-record highs. But for years before that, electricity and other energy costs had been rising steadily in the US, with no signs of slowing. Will relief ever come?
The Insight provides you the full picture of facts and viewpoints on a top issue for Americans each week, powered by your questions and balanced answers from our multipartisan news team.
- In addition to the Iran war, why are energy costs so high?
- When will they come down?
- Why has electricity gotten so expensive?
- Is the "AI Boom" actually making my power more expensive?
- Are some areas of the country seeing higher price rises than others?
- What media bias do I need to be aware of?
In addition to the Iran war, why are energy costs so high?
Rising energy costs have become talking points for many Americans. Gas prices have risen by 50% since the start of the war with Iran, leading some to ask whether we are facing a global energy crisis. Electricity has risen as well, with some regions seeing annual increases between 5% and 25%.
Renewable Energy… or the Lack Thereof
Some, like Thomas B. Edsall (Lean Left bias) writing for The New York Times Opinion (Left) blamed the “$1,508 per household” bill on “our oil-stained president [President Donald Trump]” for his “all-out assault on clean energy.”
Edsall quoted Leah Stokes, a professor of environmental politics at the University of California-Santa Barbara, who said “The big story here is corruption.” She explained that “Trump is doing the bidding of the fossil fuel industry,” adding that she “cannot fathom why else he’s keeping open these old, dirty, expensive coal plants.”
According to a grassroots environmental organization called Sierra Club, $308 million has been spent to keep certain coal plants online in the US.
However, some disagree with the sentiment that energy costs are rising because of dismantling renewable energy infrastructure to return to more traditional methods.
US Representative Craig Goldman (R-TX), writing opinion for The Washington Times (Lean Right), said that “After years of implementing expensive green energy projects, Democrats seem surprised that utility costs have increased for Americans,” explaining that “rather than changing their policies, Democrats are trying to blame Republicans for rising utility prices.”
Goldman argued that green energy mandates on new homes not only failed to lower costs, but instead “increased the cost of utilities, strained the electric grid, and inflated the cost of homes,” adding that industry experts estimate the regulations have “added as much as $31,000 to the price of a new home.”
Goldman explained that “years of federal overreach have embedded these costs into both housing and energy markets,” and that “reversing green energy regulations takes time.”
Solar Dominance in China
China controls over 80% of the entire solar energy supply chain, built through $130 billion in investments since 2023 alone.
Some point to this dominance as a good thing, as it allowed for historically-low prices for solar modules.
Others point to the national security implications that follow dependence on China for the supply of critical energy infrastructure. This worry is one of the reasons high tariffs have been placed on China. However, the cost of securing a supply without China has increased solar module prices by 20-30%.
Some also ask whether or not China is making this technology simply for export or if they are utilizing it in their own electrical infrastructure, and what that means for the US.
China is focusing strongly on renewable energy, with over 60% of China’s installed power generation in 2025 being from wind and solar.
However, just because the infrastructure is installed does not mean it is actually generating power for the system. Coal plants still operate for more hours than do the renewable energy components of China’s energy system, with renewables only supplying around 38% of the overall energy.
China is also still expanding on coal-fired energy plants, with over $54 billion being invested in 2025. Some in the US point to this as a warning for the US.
China has maintained and continued investment in coal because of issues with rushing into renewable energy sources. Power systems must stay in constant balance, meaning that generation must equal consumption at all times.
Oil, coal and gas are finite and come with geopolitical tensions over sourcing, while renewable energy systems simply harness water, wind, and sun.
But both wind and solar fluctuate greatly in their output depending on weather and sunlight. If the output is greater than consumption, then there must be an adequate method for storage of such power. Conversely, if power generation is less than what is needed for consumption, blackouts and problems occur.
China and its state-controlled system has had issues switching from coal to renewables overnight, and the US may struggle even more considering its regulatory environment and privately-owned power grid.
When will they come down?
Earlier this month, President Trump’s Transportation Secretary Sean Duffy said …
Why has electricity gotten so expensive?
Is the "AI Boom" actually making my power more expensive?
Are some areas of the country seeing higher price rises than others?
What media bias should I be aware of?
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