
Unfortunately, power outages can be a frequent reality for many households, which can lead not only to daily life disruptions but also to financial losses and increased household energy costs. Recent analysis by the energy comparison experts at Compare the Market highlights the areas most affected by outages, helping households understand where power cuts are most common and why.
Different regions around the globe can have varying levels of reliability on their electricity grids, with some being more dependent than others. To help you understand more about the potential risks you may face in your area, we have ranked a selection of regions by determining the financial impacts power outages can have on households.
To understand where power outages have the greatest impact on households, we analysed publicly available electricity reliability data across selected OECD countries, U.S. states, and Australian states and territories.
We used five years of average outage duration figures and household population estimates to assess both the cost per household and the overall regional impact of power outages.
Below is a regional breakdown of which locations are most and least impacted.
We’ve broken down the results by region to highlight the most and least affected areas, along with the financial impact of power outages.
Here are the most affected U.S. states:
These are the least affected U.S. locations:
Here are the most affected Australian states:
Here are the least affected Australian states:
These are the most affected OECD countries:
Countries such as Luxembourg, Estonia, Lithuania, Finland and Ireland record the lowest total area costs, combining short outage durations with low household costs. South Korea stands out with the shortest average outage time (0.07 hours) and the lowest household cost (US$0.72 per year), while Luxembourg records the smallest overall impact at just US$0.86 million annually.
While certain regions struggle more with power outages than others, Compare the Market’s Head of Energy, Meredith O’Brien, says there are steps that can be taken to reduce the impact of outages, particularly in more affected areas:
Backup power solutions: For those in areas that are frequently hit by power outages, investing in backup power can make a big difference. While upfront costs for solar panels, batteries, or backup generators can be hefty, they can help minimise daily disruptions and financial losses in the long run.
Optimise your energy usage: This doesn’t mean overhauling your energy habits entirely but becoming more mindful of how you use power. Simple steps, like placing your Wi-Fi router in an open, well-ventilated area to prevent overheating when electricity is restored, or switching to LED lighting, which uses less energy and lasts longer during outages, can help households to stay efficient.
Comparing energy providers: It’s important for households to review their current electricity and gas bills, with comparison sites helping customers to look for an option that best suits their needs. By comparing providers, you may be able to find one that offers a competitive deal and helps you lower household costs.
This dataset ranks a selection of OECD countries, U.S. states, and Australian states and territories based on the estimated financial impact of power outages on households.
To ensure meaningful comparability, the global ranking was restricted to selected OECD countries only. Developing countries often experience extremely long outage durations, which would disproportionately inflate household cost estimates and obscure differences between advanced economies with broadly similar infrastructure and living standards. Some OECD countries were excluded where consistent data was unavailable across the required metrics.
For all three rankings, the most recent five available years of outage data in each dataset were averaged to produce a stable estimate of typical outage conditions based on the latest reporting periods available.
Outage duration (SAIDI): System Average Interruption Duration Index, measuring the average number of hours each customer is without electricity per year.
Household counts: The estimated number of households in each country or state, used to scale household-level outage impact into total annual regional cost.
United States: U.S. reliability data was sourced from the U.S. Energy Information Administration (EIA) Electric Power Annual using ‘Event filter: Without Major Event Days’. This version excludes extreme disruption days caused by major events such as hurricanes, wildfires, and severe storms. This approach better reflects underlying grid reliability under normal operating conditions and improves comparability with regulatory-style reporting used in other countries.
Australia: Australian reliability data was sourced from the Australian Energy Regulator (AER) operational performance dataset.
Outage duration values are reported at electricity distribution network (provider) level. These provider-level SAIDI values were grouped by state and territory service areas and averaged across providers to produce state and territory level figures.
For each region:
Annual cost per household
SAIDI (hours) × $10
The $10 value represents a standard value of lost load assumption used in energy economics to estimate the cost of being without power (for example food spoilage, heating/cooling loss, internet disruption, and general inconvenience). This is not based on local electricity prices.
Total annual household cost
Cost per household × Number of households
Rankings were produced using:
Currency conversion used: 1 United States Dollar = 1.42 Australian Dollar, correct as of 9.2.26.
Rules
Limitations
Different data sources and statistical systems were used for the global, U.S., and Australian datasets. As a result, total cost figures across these three rankings are not directly additive or strictly comparable and should be interpreted within their respective geographic scopes.
All data is accurate as of 23/1/26 and comes from publicly available sources. Rankings reflect these sources but may not capture every local or real-world nuance.
Sources
To view the 2023 iteration of this data, click here.