Average Utility Costs in Ann Arbor, MI

Estimated monthly utility costs (1,000 kWh + 5,000 gal)

Average monthly utility costs in Ann Arbor, MI are about $240.48, based on 1,000 kWh of electricity and 5,000 gallons of water, plus sewer and trash fees. See the full breakdown and sources below.

Total estimated monthly utilities

$240.48

Data freshness: last verified 2026-02-05
  • Electric $161.30 (67%)
  • Water $28.65 (12%)
  • Sewer $50.53 (21%)
  • Trash $0.00 (0%)

Utilities here are about 5% lower than the Michigan city average, driven mainly by trash.

  • In Michigan, heating and cooling often makes electric the largest share of the bill.
  • Our electric estimate uses delivery rates from the tariff; supply charges vary monthly and we estimated them for comparison. Verify with your provider for current rates.

Electric

Estimated
Provider
Varies by address (DTE Electric and Consumers Energy)
Base charge
$8.50/mo
Energy rate
$0.1528/kWh
Assumed usage
1000 kWh
Estimated monthly
$161.30
dteenergy.com· verified 2026-02-05

Water

Confirmed
Provider
City of Ann Arbor
Base charge
$28.65/mo
Volumetric rate
$0.00/1,000 gal
Assumed usage
5,000 gal
Estimated monthly
$28.65
a2gov.org· verified 2026-02-05

Sewer

Confirmed
Method
tiered
Estimated monthly
$50.53

Tiered structure simplified to a representative monthly estimate at assumed usage.

a2gov.org· verified 2026-02-05

Trash

Estimated
Monthly fee
$0.00

Charges added to quarterly water bill; baseline recurring residential trash fee for standard first cart not clearly published.

a2gov.org· verified 2026-02-05

Total estimated monthly utilities

$240.48

What changes your bill most?

  • Electric is about 67% of your estimated utilities here.
  • Every 100 kWh changes your total by about $15.28.

Assumptions

  • Electric: 1000 kWh/month
  • Water: 5,000 gallons/month

What these labels mean

  • Confirmed — From this area's rate schedule.
  • Benchmark — From an official typical (e.g. state commission 1,000 kWh); not city-specific.
  • Delivery only — Regulated delivery charges only (e.g. Texas); supply varies by plan.
  • Estimated — From other or incomplete sources; use as a rough guide.
Sources

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More in Michigan

FAQ

In Ann Arbor, sewer is billed in tiers based on usage, so the rate per gallon changes with volume. Our estimate uses the rate structure from City of Ann Arbor – Water Rates & Charges (includes sewer; effective July 1, 2025) at the assumed 5,000 gallons per month. Your bill will vary with actual usage.
We use base charges and per-unit rates from official provider pages. Electric = base + (rate × assumed kWh); in Michigan we use DTE or Consumers Energy published rates (including time-of-use blends where applicable). Water = base + (rate per 1,000 gal × assumed gallons / 1,000). Sewer is either a flat fee or a percentage of water. Trash is a fixed monthly fee. See the Methodology page for full formulas.
Actual bills depend on your usage, seasonal rates, taxes, fees, and provider-specific rules. Michigan utilities offer time-of-use and standard rates, so your plan affects your bill. Our estimates use fixed assumed usage (e.g., 1,000 kWh, 5,000 gal) for comparison.
Each component shows a 'last verified' date. We aim to update from official sources periodically; always confirm current rates on the provider's site before making decisions.

Learn more

For tips on understanding your bill, comparing cities, and how electric and utility rates work by state, see our blog. Compare Ann Arbor with another city side-by-side, or see how we calculate estimates.