Electricity rates are rising in parts of Nebraska. Here is what’s behind the increases, how they could affect your winter bills, and where to find help.
Winter in Nebraska comes with plenty of expenses, from holiday shopping to keeping your home warm when temperatures drop below freezing. And this year, you might have another reason to keep an eye on your utility bills.
Nebraska has long had some of the lowest electricity prices in the country. But that doesn’t mean residents are immune to rising costs. Aging power infrastructure, growing electricity demand, and the expansion of energy-hungry data centers are putting pressure on utilities, and some of those costs are already showing up on customers’ bills.
So how much more could you end up paying this winter? And is there anything you can do about it? Here are seven things Nebraskans should know as the cold weather settles in.
1. Electricity rates are already going up in parts of Nebraska
If your recent electricity bill looks higher than usual, it may not be because you’re using more power.
Omaha Public Power District (OPPD) increased residential electricity rates by about 6% in 2026. That means a household that previously paid about $115 a month is now paying roughly $7 more each month (about $84 a year if your usage doesn’t change).
The Nebraska Public Power District (NPPD), which serves communities across the state, approved a 3% retail rate increase for 2026. And another increase could be on the way: The utility has been considering an 8.6% rate increase for 2027.
Your bill depends on where you live and which utility provides your electricity. Many local utilities and rural co-ops buy power wholesale from NPPD, so its rate changes can show up on their customers’ bills too.
But there is another factor to consider as winter approaches: Even if your electricity rate stays the same, your bill can still increase when you use more energy to heat your home.
2. Aging power lines and data centers are part of the problem
So why are electricity costs going up?
Much of Nebraska’s power grid is getting old. Utilities have to repair and replace equipment, upgrade transmission lines, and harden the system against severe weather, and all of that costs money.
Demand is changing too. Data centers, which house the servers that power everything from websites to artificial intelligence tools, require large amounts of electricity. The more of them that get built, the more utilities may have to expand to keep up.
As the Nebraska Examiner reported in October, aging infrastructure and growing demand are raising questions about how long Nebraska can maintain its low electricity prices.
That doesn’t mean data centers are responsible for every rate increase or that homeowners will automatically have to pay for all the new infrastructure they require. But it does mean utilities face some expensive decisions about how to meet future demand—and who should foot the bill.
3. How you heat your home matters
Homeowners with electric baseboard heaters or an electric furnace can see their electricity use jump when temperatures plunge. Natural gas homes use less electricity for heat, but their winter bills aren’t automatically lower, since gas prices and usage change too. Older houses with drafty windows, thin insulation, or an aging furnace usually need more energy to stay comfortable.
A rate increase and higher usage are two different things, but they can both leave you with a higher bill. For example, say your usual monthly electricity bill is $100. If your utility raises rates by 6% and you use 20% more electricity during a particularly cold month, your bill could climb to around $127.
4. A few small changes could help lower your heating bill
You don’t need to spend thousands of dollars on new windows or a heating system to make your home more energy-efficient. A handful of affordable changes can help:
- Turn the thermostat down a few degrees while you’re asleep or out, but keep the house warm enough to protect pipes, pets, and anyone who is sensitive to cold.
- Seal drafts. Weatherstripping, draft stoppers, and removable window film are relatively inexpensive, and most are renter-friendly.
- Soak up the sun. Open the curtains on sunny days, then close them at night to hold the heat in.
- Check your furnace filter. A dirty one makes your system work harder. Follow the manufacturer’s guidance on cleaning or replacing it.
- Watch your usage. Many utilities let you track your consumption online, which can help you catch a spike before your bill arrives.
5. You might qualify for help paying your heating bills
If you’re worried about being able to afford your heating bills this winter, Nebraska’s Low Income Home Energy Assistance Program may be able to help. Better known as LIHEAP, this program provides financial assistance to qualifying households to help cover heating costs.
Eligibility depends on your household size and income. For the 2026-27 program year, a family of four qualifies with gross income up to $49,500, which is 150% of the federal poverty level. A two-person household can earn up to $32,460.
The heating season runs Oct. 1 through March 31, and payments generally go straight to your utility rather than to you. The program can also help with energy emergencies, weatherization, and heating equipment repairs.
You can learn more and apply through the Nebraska Department of Health and Human Services or by calling 800-383-4278.
6. Your utility company may offer ways to make bills more manageable
Even if you don’t qualify for state assistance, your electricity provider may have programs to help you handle higher winter bills, such as budget billing.
Instead of paying much higher bills during the winter and lower ones during milder months, budget billing spreads your estimated annual energy costs across more predictable monthly payments.
It won’t necessarily save you money, and you could still owe an adjustment if you use more than expected, but it can make planning easier. Some utilities also offer payment plans, referrals to assistance programs, and weatherization help. OPPD, for example, offers budget billing and customer assistance. Call 402-536-4131 to ask about what’s available.
If you’re falling behind, call your utility sooner rather than later. You’ll usually have more options before an account is seriously overdue.
7. Nebraskans can have a say in electricity rate decisions
Nebraska is the only state in the country where all electricity is completely publicly owned. Power comes from public power districts, city utilities, and electric cooperatives, not investor-owned companies like in other states.
Public ownership doesn’t guarantee low rates, but it does offer Nebraskans opportunities to learn about and participate in decisions that affect their electricity costs.
Utility boards vote on budgets, infrastructure projects, and rate changes. Depending on your provider, you may be able to attend meetings, read rate proposals, or send in comments before a vote. If rising prices worry you, check your utility’s website for board meeting dates and rate announcements.
What to expect this winter
Higher power bills aren’t a given for every Nebraska household, but the forces pushing costs up aren’t going away anytime soon. As utilities address aging infrastructure and prepare for more demand, more rate changes could follow in the coming years.
For now, start by finding out whether your utility has raised rates (or plans to soon), learn easy ways to use less energy, and check what help is available.
