Electricity Rates in Texas

Texas energy rates

SaveOnEnergy® can help Texans navigate the confusing world of deregulated energy quickly and easily. Since 2002, more than 5.6 million Texas residents and business owners have exercised their power to choose an energy provider. With the free SaveOnEnergy marketplace, you can compare energy providers and  rates to find the best electricity plan in your area.

At SaveOnEnergy, we try to make shopping for a deregulated energy plan simple. We offer our customers:

• Years of expertise. We’re the largest online energy marketplace in the country and have helped more than 1 million Texans find the right electricity plan in their area.
• Best rates and plans near you. We partner with trusted providers such as  TXU Energy, Reliant Energy, and First Choice Power to show you today’s low rates and plans at no cost to you.
• Simple shopping process. We make it easy to shop and compare energy plans from different providers. And once you’ve found your new plan, you can sign up online in a few easy steps. Questions? Give us a call and one of our energy experts will be happy to help.

Energy deregulation in Texas

In 2002, most of the Texas energy market became deregulated. In regulated states, energy consumers are only able to receive their electricity from the local utility company. In deregulated areas, residents and businesses have the power to choose from a pool of available retail electricity providers.

Today, about 85 percent of Texas is deregulated, which has led to lower average residential electricity bills compared to the rest of the country. Curious about available low rates or electricity companies in your area? Enter your ZIP code above to explore.

Green electricity in Texas

Texas may be known for its coal and oil industry, but the Lone Star State also excels in green energy. Texas leads the nation in wind energy generation, far surpassing any other state in the country. What’s more, Texas consistently ranks in the top five states for solar power. This means that energy consumers across Texas have their choice of green energy plans.

Every Texas electricity plan contains some percentage of green energy in the mix. For the specific percentage in your plan, check your Electricity Facts Label. Most Texas electricity providers offer plan options drawing from renewable energy sources. And some providers only sell 100 percent green energy plans, including Gexa Energy, Chariot Energy, and Green Mountain Energy.

Texas energy FAQs

How do I find the best Texas energy plan?

Sorting through all of the available providers, rates, and plans in Texas can take a long time and feel overwhelming. With the SaveOnEnergy marketplace, all you need to do is enter your ZIP code and we’ll show you all of the top energy plans in your area so you can find the best one for you.

Once you’ve entered your ZIP code, we’ll show you all of the available energy options in your area, including dozens of providers and current electric rates near you. Filter for contract lengths, rate types, green energy options, and more to easily find the right energy plan to fit your needs.

If you have questions along the way or would like to go over a plan’s details, call the number on your screen. One of our energy experts will help you find the best Texas energy plan available in your area and can walk you through the sign-up process in minutes.

How can I lower my utility bill in Texas?

There are many ways to lower your monthly electric bill in Texas. For starters, securing an affordable rate is key. But the cheapest rate doesn’t always mean lower bills. The fastest way to reduce your monthly bill is by conserving energy in your home or business.

SaveOnEnergy can help with this. We offer a variety of resources, tips, and guides to help you save energy and enjoy an affordable electric bill for your home or business.

Of course, choosing the right plan to meet your energy consumption habits is crucial to receiving a lower monthly electric bill. You can use our Energy Calculator to estimate your monthly usage and help you understand the type of plan that will work best for you.

What is a good energy provider in Texas?

If you live in Texas, there are dozens of top-notch electricity providers near you. We can help you sort through all of your options and choose the best provider for your home or business.

SaveOnEnergy only works with the best providers in Texas. If a provider does not offer reliable service or affordable rates, we don’t show their plans on our marketplace. Simple as that. This means you can trust that the providers and plans you find on our site are top tier.

Among the top providers in Texas that you’ll find on our marketplace are TXU Energy, Reliant Energy, Direct Energy, TriEagle Energy, and many others. Enter your ZIP code above to explore available rates and plans from these great Texas energy providers in your area.

Who has the cheapest electricity rates in Texas?

Currently, Express Energy, Gexa Energy, and Frontier Utilities offer some of the lowest electricity rates on our marketplace. Keep in mind that these rates change frequently as variations in the energy market affect the wholesale cost of electricity. Rates also vary by location.

To be sure you know the cheapest energy rates in your area, enter your ZIP code above. You can also call the number on your screen to talk through affordable options with one of our energy experts. Either way is simple, hassle-free, and will help you find a plan with a low electricity rate.

How to shop with SaveOnEnergy

We’ll show you today’s low energy rates from the best Texas electricity providers in your area. Enter your ZIP code to get started!

1. Shop low rates near me. We work with trusted retail electricity providers in your area to ensure that you receive the best quality product and service. Our online marketplace is free to use and can easily filter to show rates and plans that fit your needs.
2. Sign up easily. If you’re not sure which plan to choose or have questions about a plan’s details, call the number above to speak with one of our energy experts. If you’re confident in your choice, you can sign up online. Either way, the process is quick and easy.
3. Start saving. Your new energy provider will work with your utility company to handle the switch. All you have to do is sit back, relax, and enjoy your new electricity plan!

Enter your ZIP code above to explore the best electricity rates currently available in your area.

Texas energy plans

Finding the right energy plan in a deregulated market can feel confusing or overwhelming. SaveOnEnergy is here to make things easier. We offer a wealth of resources, guides, and tips to help you navigate the shopping process.

• Learn more about electric providers and utilities in Texas.
• If you have bad credit or want to avoid a credit check, see our no deposit page.For more information about deregulation and your power to choose, click here.
• Interested in switching to a new energy provider? See our guide to switching.
• Electricity rates and bills vary by state. To see where your state ranks, see our guide to energy bills by state

Find a cheap electricity rate in your area

The U.S. Energy Information Administration (EIA) tracks average retail electric rates in Texas, as shown in the chart below through February 2021. Many factors affect the rise and fall of Texas energy rates, including seasonal changes. Consumers who buy a plan at an off-peak time may secure a lower rate.

The average residential electricity rate in Texas in 2021 is 11.97 cents per kilowatt hour (¢/kWh), 13% lower than the national average.

The average commercial electricity rate in Texas in 2021 is 10.50 cents per kilowatt hour (¢/kWh), 4% lower than the national average.

There are plans for Texas residents on the SaveOnEnergy marketplace with electricity rates as low as 5.6 cents per kilowatt hour (¢/kWh).

One thing you remember: When you’re looking to buy cheap electricity in your area, don’t forget to consider your monthly power usage. Different usage levels can transform what seem like cheap electricity plans into higher monthly bills.

So what’s the takeaway? If you search for “cheap electricity near me,” be careful. Other sites tease introductory rates, then jack up prices once you’re locked into a contract. SaveOnEnergy is clear and honest about the plans listed on our site. Every plan includes all fees, so there are no surprises after you secure your rate.

Types of electric plans in Texas

There are several types of electricity plans and energy rates to choose from in the deregulated Texas market. Your lifestyle, energy needs, and average electricity consumption can help you determine the best option in your area. Here is a rundown of some of the most popular types of energy plans.

Fixed-rate plans

These plans have fixed electric rates set in your contract, so you’ll pay the same rate every month regardless of fluctuations in the energy market. The wholesale cost of electricity changes frequently, but fixed-rate plans won’t feel the effects of market variations. Most fixed-rate electricity plans do require you sign a contract, locking you in for a set amount of time. If you decide to leave this contract before it expires, you will have to pay an early termination fee. However, if you value stability and security, a fixed-rate plan is ideal for you.

Variable-rate plans

Variable-rate plans are the inverse of fixed-rate options. These plans are subject to change based on fluctuations in the energy market. This means you may be able to find a cheaper rate when demand is low, but could see your rate spike when demand is high. That said, variable-rate energy plans do not require a contract, so you could switch to another plan when market prices go up. Variable-rate plans can be appealing to those who like flexibility, but come with a fair amount of risk since it’s not always obvious when the wholesale cost of energy will spike.

Green energy plans

Texas excels in green energy plan options powered by wind, solar, and other renewable resources. These plans allow consumers to offset up to 100 percent of their household or business’ carbon emissions from the building’s electricity consumption. Enter your ZIP code above and you can filter for green energy plans in your area.

Prepaid plans

When you shop for an energy plan, your credit score will determine whether providers will require a deposit before they will begin service. But for some consumers, paying a deposit is difficult to do or want to avoid a credit check. Prepaid energy plans can be another option. These plans do not require a credit check and allow consumers to pay for energy in advance. Prepaid plans are also a popular no deposit option.

For a deeper dive into plan types, rate options, and contract lengths, see our guide to picking the right plan.

Do you own a business in Texas?

Business owners in Texas can also benefit from the power to choose an energy provider! Thanks to deregulation, in 2020 Texas commercial energy rates were the third-lowest in the nation. Businesses in your area can secure affordable business electricity rates using SaveOnEnergy. For a customized business energy plan near you, simply fill out this form or call the number on your screen to speak with one of our business energy experts.

Texas energy companies

In the deregulated market of Texas, there are energy providers and utility companies. You can choose from any of the available energy providers in your area using the SaveOnEnergy marketplace. Your provider is responsible for generating or buying the electricity that powers your home or business.

While you have the power to choose your provider, you cannot choose your utility company, which is determined based on where you live. The utility’s job differs from the provider. Your utility is in charge of delivering the electricity to your home, maintaining infrastructure, and restoring power when there is an outage. If your power goes out, contact your utility, not your provider.

Contact your utility company

Experiencing a power outage or emergency? Contact your the utility company in your area using the information below:

• CenterPoint Energy
• Oncor Electric Delivery
• AEP Texas North
• AEP Texas Central
• Texas-New Mexico Power

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Updated: 7/30/2021