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Electricity is not substitutable. Especially, Electricity is a necessity in the residential sector. In the other hand, electricity does not have storage capabilities. Therefore, its supply and demand should be proportional to each other. Hence, attention to its demand side is important. This paper uses panel data of 28 provinces of Iran to investigate on the factors affecting on the household electricity consumption in Iran in the period 1381-1388. According to the result the price of electricity in the household sector in Iran has little impact on the power consumption in this sector. Also, the impact of alternative energy prices such as natural gas and oil, are low on the electricity consumption. The results indicate that the electricity consumption in the household sector has been more affected by consumption habits.