Electricity costs are squeezing family budgets across the country, and in 2025, electricity prices rose at more than twice the rate of inflation. Worse yet, the Trump administration threatens to drive up Americans’ power bills even further by taking energy off the grid at a time of record demand.
A new report from the Center for American Progress lays out a plan to deliver immediate relief while building a more affordable power system for the long term. CAP’s proposal would save residential consumers more than $125 billion over four years—about $900 for the average household—through a mix of rate relief, new investments to lower system costs, and policies to ensure that large AI data centers pay their fair share for their electricity demand.
As families face mounting utility bills, CAP’s plan offers a road map to lower costs now and build a stronger, more resilient grid for the future.