As heat waves intensify, here’s how to lower your AC bills without sweating it out
As much of the United States endures another punishing stretch of extreme heat — with more than 185 million people under heat alerts from the National Weather Service over the Fourth of July weekend — households are bracing for a double hit: scorching temperatures and soaring electric bills. Cooling costs are projected to jump 10.5% this summer compared with a year ago, according to the National Energy Assistance Directors Association (NEADA).
The financial strain comes as electricity prices have outpaced overall inflation for several years, driven by surging demand from data centers, volatile natural gas prices, and costly upgrades to an aging electric grid. Many families now face a wrenching trade-off between staying cool and keeping the lights on.
Still, energy economist Mark Wolfe, executive director of NEADA, insists there are practical ways to balance comfort with cost. “There’s nothing people can do about the price of electricity,” Wolfe told CBS News. “But they can manage their electric consumption more efficiently.”
The key, Wolfe says, is avoiding abrupt changes. Rather than cranking the thermostat down all at once, he recommends raising it by just one degree every couple of days until it reaches a maximum of 78 degrees Fahrenheit. “For every one degree you turn your cooling up, you can save about 3% on your electric bill,” he explained, adding that the adjustment period should span a week or two to let bodies acclimate.
That 78-degree threshold is also the target set by New York City Mayor Zohran Mamdani, who this week urged residents in a social media post to set their air conditioners to that level to ease strain on the power grid. Mamdani also asked New Yorkers to turn off unused lights and electronic devices, unplug non-essential equipment, and noted that the city itself is “maintaining the 78 degrees rule” in municipal buildings and dimming lights where possible.
Wolfe acknowledged that 78 degrees sits “at the upper end of comfort” for most people, but suggested a simple workaround: set the thermostat higher when the house is empty, then lower it just before returning home. He also stressed the importance of blocking sunlight during peak hours. “Pulling down window blinds, shades or shutters can significantly reduce indoor temperatures,” he said.
Beyond behavioral changes, regular maintenance of air conditioning units pays off. “Repairs and replacements are expensive, but because the cost of electricity is so high, it pays back faster,” Wolfe noted. A well-serviced system uses far less electricity than one that’s neglected, and even simple tasks like changing filters can improve efficiency.
The broader context is troubling: near-record temperatures are baking the Northeast, with cities like Boston, New York, Philadelphia, and Washington, D.C., experiencing oppressive heat. The combination of a strained grid, rising fuel costs, and a warming climate means that cooling costs are likely to remain elevated for years — making energy-saving habits not just a seasonal necessity, but a long-term financial strategy.