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California Named Most Energy-Efficient State in WalletHub Study

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California Named Most Energy-Efficient State in WalletHub Study
Photo via wallethub.com
A WalletHub analysis of 48 states has ranked energy efficiency across home and automobile consumption. Utah ranked eighth most energy-efficient overall, while California was identified as the most efficient state in the study.

Key takeaways

  • California is the most energy-efficient state, ranking first overall.
  • Utah ranks eighth for overall energy efficiency and eighth for home energy efficiency.
  • The study analyzed 48 states, excluding Alaska and Hawaii.
  • Heating and cooling costs account for more than half of the average U.S. family's utility bill.

California has been ranked as the most energy-efficient state in the United States according to a WalletHub analysis. The study evaluated 48 states based on home and automobile energy consumption, excluding Alaska and Hawaii due to data limitations.

Utah placed eighth in the overall energy efficiency rankings with a total score of 75.13. The state ranked eighth for home energy efficiency and 15th for auto energy efficiency. In comparison, California secured the top spot with an overall score of 84.19, driven by the lowest residential energy consumption per capita and the third-highest home energy efficiency. Vermont followed in second place with an overall score of 83.67, while New York ranked third with a score of 80.71.

The study measured two primary dimensions: home energy efficiency and auto energy efficiency. Home efficiency was calculated using the ratio of total residential energy consumption to annual degree days, while auto efficiency was determined by dividing annual vehicle miles driven by gallons of gasoline consumed to find vehicle-fuel efficiency, alongside measuring annual vehicle miles driven per capita. WalletHub Analyst Chip Lupo noted that living in the right area can boost efficiency, citing factors such as robust public transportation systems in large cities and better-constructed buildings that retain heat or stay cool.

Energy costs represent a significant portion of American household expenses. According to the U.S. Department of Energy, the average U.S. family spends at least $2,000 annually on utilities, with heating and cooling accounting for more than half of those bills. Additionally, the average consumer spent $2,411 on gasoline in 2024. The Department of Energy estimates that adopting energy-efficient home measures could reduce a family's utility costs by up to 25%, while fuel-efficient vehicles could save the average driver over $1,000 per year.

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