Consumer worries about tariff-induced inflation focus on utility bills

Over half of survey participants have seen their bills rise

By Mark Huffman of ConsumerAffairs

April 14, 2025

Key Takeaways

• 77% of Americans believe tariffs are increasing electricity costs, with the burden especially felt by younger generations.

• 56% of Americans have seen their electricity bill rise in the past month, with an average increase of $50 for those affected.

• 83% support reducing tariffs on solar panels and grid infrastructure as a way to lower energy expenses.

As Americans grapple with rising energy prices, a new study by Payless Power shows many consumers worry that federal trade policiesspecifically tariffs on imported energy-related goodsmay be worsening the problem. According to a recent survey of over 1,000 Americans, a significant majority believe tariffs are contributing to the uptick in electricity costs, which is increasingly straining household budgets.

The study reveals that 77% of Americans think tariffs on imported solar panels, fuel, and grid infrastructure are driving up domestic electricity prices. Support for this view is even stronger among younger Americans, with 81% of Gen Z and 80% of millennials placing blame on these trade barriers, compared to 71% of Gen X and 65% of baby boomers.

Generational divide

This generational divide may reflect both higher energy demands among younger households and growing concern about climate-friendly infrastructure being caught in trade disputes.

More than half of the respondents (56%) reported seeing a noticeable increase in their electricity bills just in the past month. For those affected, the average increase was a steep $50an unwelcome spike for many amid persistent inflation in other household essentials.

Certain states are bearing the brunt more than others. Delaware reported the highest average increase at $81, followed by Mississippi ($78), Massachusetts ($75), Louisiana ($67), and Missouri ($64). Nearly two-thirds of Americans (64%) expressed concern that rising electricity costs could make it harder to pay for essentials like rent, groceries, or gas.

The survey suggests Americans are overwhelmingly in favor of the status quo. A striking 83% of survey participants support reducing tariffs on imported solar panels and grid infrastructure to help lower electricity costs. Support is again strongest among Gen Z (83%) and millennials (87%).

The fear that tariffs could make electricity unaffordable is shared by 36% of Americans, with Gen Z reporting the highest concern (42%).

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