Louisiana’s LNG export boom means higher domestic utility costs. Here’s why

Louisiana’s rapid expansion as a global liquefied natural gas export hub is delivering investment and jobs—but it’s also pushing utility costs higher for households and businesses, Louisiana Illuminator writes. 

A new consumer advocacy report finds that as U.S. gas producers send more fuel overseas to meet rising global demand, domestic prices are climbing in tandem. From January through September, Americans paid an estimated $12 billion more for natural gas than during the same period last year, translating to roughly $124 per household. Prices are expected to rise again in 2026.

Louisiana is particularly exposed. The state handles more than 60% of U.S. LNG exports and relies on natural gas for about 70% of its electricity generation. 

While Louisiana’s per-kilowatt electricity rates remain below the national average, utilities pass rising fuel costs directly to customers through monthly adjustments—driving higher overall bills. Consumer advocates warn the trend could further strain households already struggling to pay utilities, especially during extreme weather periods when demand spikes.

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