Where Does My Electricity Come From?

TL;DR: Electricity in the U.S. comes from diverse sources such as coal, natural gas, nuclear power, and renewables. It’s generated, transmitted, and distributed through a complex grid before reaching homes. Understanding energy sources and transmission helps consumers make informed choices about their electricity suppliers, including options for renewable energy.

Main Points:

• Energy Sources: Electricity originates from coal, natural gas, nuclear energy, and renewables (solar, wind, hydroelectric, geothermal, and biomass).
• Energy Generation: Power plants and distributed energy resources convert raw materials into electricity.
• Energy Transmission: High-voltage power travels through transmission networks to substations, where voltage is stepped down for local distribution.
• Energy Delivery: Local lines and transformers make electricity safe and usable in homes.
• Consumer Choices: In deregulated states, consumers can choose suppliers, compare rates, or opt for 100% renewable energy.

At some point in elementary school, a teacher charged a balloon by rubbing it against their hair. While entertaining, it probably didn’t explain terribly much about the nature of electricity.

Unfortunately, for many of us, that’s where the lessons on where electricity comes from ended. Those early demonstrations only left us scratching our statically-charged heads.

As adults, we’re somewhat better situated to grasp the concepts behind energy generation. While there are no balloons involved, the range of energy sources in the United States is pretty interesting. In this blog, we’ll break down where America’s electricity comes from. We’ll cover sources of generation and energy delivery to tell the complete story.

Keep reading to discover the true, fascinating, and, sadly, balloon-free process of how electricity travels into your home.

You’ve probably heard references to “the grid,” but what is it? Essentially, the grid is a complex network that manages electricity generation, transmission, and distribution. Its role is to balance energy supply and demand in real time. It’s versatile and can adapt to incorporate renewable sources like solar and wind energy.

Before your energy hits the grid, however, it must be generated. Where does electricity energy come from?

The electricity that powers your lights, television, and coffee maker might begin its life in a number of ways. Most electricity comes from power plants, where it’s generated at high voltages. There are coal-fired, renewable, nuclear, and natural gas power plants across the country.

Other electricity is generated locally through distributed energy resources, such as rooftop solar panels.

All electricity generation begins with a source: a raw material or mechanism that ultimately provides your electricity. We’ll break down the most common electricity sources below.

Coal is a fossil fuel. A fossil fuel is a substance formed from the decomposed remains of ancient plants and animals over millions of years. Fossil fuels are burned to produce energy.

Burning coal generates heat, turning water into steam, which drives turbines connected to generators. While effective, burning coal has a high environmental impact. That’s why researchers are searching for new, more sustainable sources of energy.

Natural gas is also a fossil fuel. However, instead of being composed of plant or animal material, it’s mostly composed of a gas called methane. Like coal, it’s burned to power turbines or more efficient cycle systems.

While natural gas burns cleaner than coal, it’s still a source of greenhouse gases. Such gases trap heat from the sun and contribute to the warming of Earth's surface. While it’s a step up from coal, other, more sustainable energy sources exist.

Rather than burning an energy source, nuclear power plants power their turbines using a process called nuclear fission. They begin with a source, such as uranium, and split the atoms within it to generate energy.

Nuclear plants do not produce any carbon emissions. However, they do generate radioactive waste, which must be disposed of safely as it degrades over thousands of years. Managing this toxic substance involves environmental and health risks.

There are many potential sources of renewable energy, and many are in use in the United States. These include the following:

• Solar: Uses photovoltaic cells or solar thermal systems.
• Wind: Harnesses kinetic energy from the wind with turbines.
• Hydroelectric: Converts the energy of flowing water into electricity.
• Geothermal: Taps into heat from the Earth’s interior.
• Biomass: Burns organic materials or uses their decomposition gases.

These energy sources have a low environmental impact and rarely, if ever, produce greenhouse gases. With that said, certain geographic limitations make some of these sources inaccessible in many parts of the country.

However, in certain regions, renewable energy is so abundant that energy costs are notably low. For example, the state of Utah has the lowest energy rates in the nation.

Many people believe that renewable energy is the future of energy in America and the world. However, opting for renewable energy (especially 100% renewable energy) is still more costly in many regions of the US. Regardless, many conscientious Americans are willing to pay more to ensure a more sustainable future.

After energy is generated at power plants, it begins the process of transmission. This is the “in-between” step—where your electricity goes after it’s generated but before it reaches your home. The goal of this step is to transport your electricity where it needs to go while losing as little power as possible.

At the transmission stage, energy travels through physical wires between tall towers called pylons. These may be overhead powerlines or powerlines underground.

Energy travels along these lines until it reaches a substation. Substations are essentially pit stops on your energy’s journey. They are typically found at the beginning, middle, and end of powerlines. The final substation includes a step-down transformer, which reduces the voltage to prepare it for distribution.

Remember the grid we discussed earlier? We use that language because it helps us visualize the network of transmission networks all across the country.

Finally, local distribution lines deliver the electricity to neighborhoods. From there, they reach another step-down station, transformers further reduce the voltage. At this stage, your electricity travels through the powerlines you see in your neighborhood. When they reach a local transformer, your electricity becomes safe for use in your home.

From there, your electricity can safely travel directly to your home using service drop wires or underground connections. It enters your circuit breaker or fuse box, which distributes electricity to your appliances. As a result, when you hit your light switch, the lights turn on!

The process of generating, transmitting, and delivering energy is complex. It involves a great deal of coordination and infrastructure. That’s part of what you’re paying for when you pay your monthly electricity bill.

In deregulated energy states, you have control over who supplies electricity to your home or business. That means you can choose a supplier with a positive reputation and great customer service. You may even be able to shop for a lower rate or opt for 100% renewable energy.

Curious about your options? Start by browsing the EnergyPricing.com marketplace. You can often find lower costs on Energy with just your ZIP Code.

Begin the process today and switch suppliers in minutes.