EnergyFairbanks · July 21, 2026

america's highest power bills

No city in America pays more to keep the heat on than Fairbanks, and a new state report proves it.

Daily Alaska staff · July 21, 2026 · Fairbanks

The Alaska Department of Labor and Workforce Development released a new report ranking 257 cities across the country on cost of living, and Fairbanks landed at the very top for utility costs, running about 113 percent above the national average. No other city in the study paid more to keep the lights on and the heat running.

The high utility costs come on top of grocery prices that also run well above the national average in Fairbanks, about 23 percent higher, adding to the financial strain for families already paying the most in the country to stay warm through an Interior winter.

Housing is the one category where Fairbanks comes out ahead. The city's housing costs came in about 1 percent below the national average, a rarity anywhere in Alaska.

Overall, Fairbanks costs run about 23 percent above the national average. Anchorage came in close behind at around 25 percent above the national average, and Juneau ranked as the priciest of Alaska's three largest cities.

The report offers a data-backed look at what residents across the Interior already feel day to day, from heating bills to grocery runs, even as housing remains comparatively affordable.

In this story

Questions people ask

Which U.S. city has the highest utility bills?

Fairbanks, according to a new Alaska Department of Labor and Workforce Development report ranking 257 cities, with utility costs about 113 percent above the national average.

Is housing expensive in Fairbanks?

Actually no, housing in Fairbanks runs about 1 percent below the national average, which is rare for Alaska.

How do Fairbanks costs compare to Anchorage and Juneau?

Fairbanks overall costs run about 23 percent above the national average, Anchorage runs about 25 percent above, and Juneau is the priciest of the three.

Who did this cost of living study?

The Alaska Department of Labor and Workforce Development, which analyzed data across 257 cities nationwide.

Evidence

Sources

Claims and where they come from

  • Fairbanks has the highest utility costs of any city studied, about 113 percent above the national average. · alaskabeacon.com
  • Fairbanks grocery costs run about 23 percent above the national average. · alaskabeacon.com
  • Fairbanks housing costs run about 1 percent below the national average. · alaskabeacon.com
  • Anchorage overall costs run about 25 percent above the national average, and Juneau is the priciest of Alaska's three largest cities. · alaskabeacon.com

Produced with AI assistance, narrated with Slav Lund's voice clone with his consent, and reviewed by a person before publishing. How we use AI →

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