Gas vs. electric driving costs · adjust vehicle and price period below
Why is it like this in Indiana?
Indiana residential electricity bills jumped 17.5% — about $28/month — in a single year, the largest year-over-year increase in two decades, and the state utility commission launched a formal investigation in early 2026. At about 17.4¢/kWh, Indiana sits above the level where electricity clearly beats gasoline for a typical PHEV, Despite the rate spike, electricity is still clearly the cheaper per-mile option at the January 2026 baseline — though continued upward rate pressure from data center growth is steadily narrowing that advantage.
In the news · Indiana
Indiana residential electric bills rose an average of $28/month — a 17.5% jump — in the largest year-over-year increase in two decades, making PHEV electric-mode driving significantly more expensive relative to gasoline for Hoosiers.
Indiana's utility commission launched a formal investigation into surging energy bills, signaling continued upward pressure on electricity rates that directly affects the economics of charging a PHEV at home.
Indiana's 2025 legislative session produced several energy bills driven by AI data center load growth, including a requirement for utilities to study advanced transmission technologies — context for why Indiana rates face continued upward pressure.
Curated coverage of Indiana's EV/PHEV cost, policy, and infrastructure story. External links open in a new tab.
Midwest region comparison
| State | Electric ¢/mi | Gas ¢/mi | Cheaper | Annual diff |
|---|---|---|---|---|
| North Dakota | 3.3¢ | 6.6¢ | ⚡ Electric | $400/yr |
| Nebraska | 3.6¢ | 6.7¢ | ⚡ Electric | $377/yr |
| Missouri | 3.6¢ | 6.5¢ | ⚡ Electric | $350/yr |
| South Dakota | 4.1¢ | 6.8¢ | ⚡ Electric | $325/yr |
| Illinois | 5.0¢ | 7.6¢ | ⚡ Electric | $320/yr |
| Iowa | 3.9¢ | 6.5¢ | ⚡ Electric | $316/yr |
| Indiana | 4.9¢ | 7.4¢ | ⚡ Electric | $297/yr |
| Minnesota | 4.5¢ | 6.9¢ | ⚡ Electric | $285/yr |
| Kansas | 4.3¢ | 6.4¢ | ⚡ Electric | $247/yr |
| Ohio | 5.3¢ | 7.2¢ | ⚡ Electric | $224/yr |
| Michigan | 5.9¢ | 7.8¢ | ⚡ Electric | $221/yr |
| Wisconsin | 5.5¢ | 6.5¢ | ⚡ Electric | $122/yr |