commercial electricity rates texas

Texas Business Energy Providers, Plans & Rates

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Business Electricity Rates

Compare rates from 31+ Texas electricity providers and find the right energy plan for your business in minutes.

The Texas business average electricity rate is 9.02 ¢/kWh , 28% less than the U.S. average.

Source: eia.gov

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~ Stephen H. (TX, United States)

Updated April 2024

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Whether shopping for your small business or large commercial facility, access to competitive electric rates is easier than ever.

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Compare Energy Plans & Rates Instantly Online

Find and compare electricity rates from 31+ energy providers and enroll online instantly.

• Ideal for smaller businesses with monthly energy bills of less than $1,000.
• Instantly compare rates from multiple providers and enroll your business online in minutes.

Get Custom Rate Quotes & Procurement Analysis

Talk to a live human expert if you have a large energy bill, need custom pricing or procurement expertise, have several sites, or want to learn more about energy efficiency programs and rebates.

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• Get a custom analysis of your company’s energy options.

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• Get an energy analysis tailored to your company’s needs.
• Any business, no matter how big or small, can benefit from our energy experts.

Texas Business Electricity Rates for April 2024

The average Texas business commercial electricity rate is 9.02 ¢/kWh, 28% less than the U.S. average.

Small Business Electricity

Over 2.2 million small businesses call Texas home, making it a thriving state for small to mid-sized companies.

Regarding small businesses, Texas ranks among the top 5 states in the continental U.S., with business-friendly regulations, smart spending, and low taxes.

Since 2002 Texas business owners have had the option of choosing their electricity provider.

Several retail electricity providers are competing for the electricity needs of your small business.

From Houston to Dallas-Fort Worth, Corpus Christi, and all over the Lone Star state, we help you compare the rates of dozens of Texas business energy suppliers to save time and money.

By inviting multiple energy companies to compete for your business, ComparePower bridges the gap between you and the energy companies.

Let us find you a competitive electricity rate and take control of your energy budget with fixed-rate pricing.

You save when energy companies compete for your business.

See how much you can save 👉

Commercial Electricity Rates

In addition to some of the nation’s largest publicly-traded companies, such as AT&T, ExxonMobil, and Dell, Texas is also home to some of its largest privately-held companies, including H-E-B, Neiman Marcus Group, and Hunt Oil.

The deregulation of the energy industry and the availability of electric choice in Texas allow businesses to reduce energy-related costs by selecting a commercial electricity company that meets their needs and budget.

Find your large business’s best commercial electricity rates in Texas, and start saving today.

Call 469-813-8854 or request your custom quote today!

Switching Business Electricity

Every time your contract is about to expire, you should shop the market for a lower rate.

Your electricity rate may increase once your existing contract expires.

If you fail to act, you’ll be stuck with a variable month-to-month rate significantly higher than what you enrolled in.

Make sure you compare rates from competing electricity providers before renewing your contract.

You can save hundreds or thousands of dollars annually by switching to a cheaper electricity provider.

We make switching easy :

• There is no need to contact your current company to cancel (no break-up call).
• No one comes to your business to turn the power on or off.
• Your electricity service reliability is not disrupted.
• It only takes a few minutes to switch.
• You could realize significant savings.

If you switch electricity providers, your newly chosen company will take care of everything, including switching services from your previous provider.

Switching electricity providers in Texas won’t disrupt your service because it is all delivered by your utility therefore, the reliability of your electricity service is not affected.

There are generally no early termination fees associated with most business electricity contracts if you switch within 14 days of your contract expiration date.

You are protected by Texas law here. Check your contract for specific details around your contract expiration date.

If you are currently under contract, find out how many months are left.

Most providers allow you to lock in pricing for a future start date regardless of when your current contract ends.

Up next: Learn how to start or switch business electricity and save!

How to Switch Business Electricity in Texas

How to Start Business Electricity Service in Texas

Business electricity faqs.

Who has the cheapest business electricity rates in Texas?

There are over 60 energy providers in Texas. Finding the cheapest rates for your Texas business depends on various factors, including the business’s size, location, and energy needs. However, Texas businesses may be able to find cheaper electricity rates by shopping for deals and comparing rates from different providers.

What is the average business electricity rate in Texas?

The average business electricity rate in Texas is  9.02 ¢/kWh, 28% less than the U.S. average.

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• Home Energy & Utilities

Compare Business Electric Rates in Texas

Business electricity rates are cheaper than residential rates. Here's what you can expect for your Texas business.

• 2013 Media Award Winner Issued by Press Club Long Island

The Dallas skyline. 

The old cliche that "everything is bigger in Texas" seems to apply to energy choices too. 

Texas is deregulated , meaning most residents there have choice in energy providers -- more than 130 different retail electric companies to be exact, according to the Public Utilities Commission of Texas.  

The Texas energy choice market is unique but complicated. Some experts say it brings strong competition, lower prices and a wide variety of plans and unique billing options. Others believe Texas is "deregulation on steroids" -- meaning too many options and consumers can be inundated by choices leading to paying more for electricity.

"The complaints are usually about the clunkiness, the complexity, the sheer amount of choices," said Michael Kraten , director of accounting program initiatives at University of Houston's C.T. Bauer College of Business. "It's the same people who complain when they walk into a cookie aisle in a store. They say, 'I just want a package of Oreos,' and they find five dozen different options and no clear way to compare between them. It's a valid complaint. Yet, there is a valid reason for why the options are there."

While both arguments may be true, if you live in Texas or run a business there, the fact is, you have no choice but to make a choice in energy providers. 

Comparing business and residential electric rate in Texas 

In a deregulated energy market, consumers can choose who provides the energy that powers their homes or businesses. While you're still locked into a utility in deregulated markets, theoretically the amount of energy providers competing for your business could lead to getting a better deal, although consumers must do their homework or risk paying more, as mentioned above.

According to the latest available data from the U.S. Energy Information Administration (EIA) , the average Texas commercial electricity rate is 8.85 cents per kilowatt-hour , lower than the national average of 12.39 cents per kWh. In comparison, the average Texas residential electricity rate is 14.58 cents per kWh , also lower than the national average of 15.73 cents per kWh.  

The reasons why Texans enjoy lower rates is clear: Unlike in many states that aonly llow a single utility to sell energy, the Lone Star State sees energy businesses competing for consumers. That means savings for consumers. Of course, it also means bad actors who may take advantage of consumers who don't read the fine print. As businesses typically consume more power than homeowners, savvy business owners and executives could use their leverage to work out better deals.

The average Texas commercial electricity rate has been consistently lower than residential rate for the last 20 years. 

Factors impacting business electricity rates in Texas

The two biggest differences with commercial energy rates versus home energy rates are the cost and enrollment process.

Shopping for a home electricity plan is fairly self-sufficient. In Texas, that means logging onto a comparison site like PowerToChoose or SaveOnEnergy , entering your ZIP code, then choosing between the options available in your area based on rate, type of plan, type of energy (such as renewables) and other factors. Then enrolling online or by phone. 

The higher energy consumption for a business is why rates are cheaper -- and also complicates the enrollment process. "The issue is not just the gross amount or absolute amount of power, but also when you need it, and what structure of price you've agreed to," Kraten said. "Those are all factors that are related to supply and demand that also affect what you would pay."

These are the factors that influence the cost and type plan you choose for a business or commercial property.  

Type of business

There's a big difference between a factory with electricity-run machinery versus a professional services office with most of its electricity coming from computers and lighting. The latter uses less energy, whereas the former, depending on its size, consumption and load factor could negotiate a deal for better rate and terms due its higher consumption. 

Consumption

Most businesses will use more energy than a home. Typically, the more energy predicted to be used, the more negotiating power you may have to get a cheaper rate per kilowatt hour . "If you're running a business, you take certain responsibilities on your shoulders to a greater extent," Kraten said. "As is the case with most other purchases that such businesses make, they have enough market clout that they can strike the round deal."

Load factor

When a business enrolls in an energy program, it will be bucketed into three categories: high, medium or low load factor. Each category describes how much demand your business is expected to pull from the grid and will also influence your overall costs in two ways:

High, medium or low load factor is how power companies plan how much energy it will need and when. The higher the load factor, the lower the demand, and therefore a cheaper price per kilowatt-hour. 

Load factor will affect how much a business will pay in demand charges which are separate from the rates per kilowatt-hour itself. A higher load factor, for example, means lower demand and will yield lower demand charges -- a tariff placed by a utility or ERCOT and is classified by its forecasted demand . 

High load factor: A business that uses energy efficiently, and in a predictable and consistent flow. An example of a high load factor-low demand is a grocery store or a school with long predictable hours of operation. This business type tends to get the cheaper energy rate and lower demand fees. 

Medium load factor: A business that has inconsistent demand where there are periods of high and low usage. Retail stores and health care offices may be medium factor and medium demand since they don't use a ton of electricity to operate. 

Low load factor: Uses power in high doses over short periods of time inconsistency. This type of load factor required high demand from a grid due to its unpredictability. Small businesses such as restaurants and houses of worship tend to be classified with low load factor and high demand since hours of operation are periodic and not consistent. Small businesses with low load factors tend to pay more in demand charges. 

This is an important factor across the country, but even more so in Texas, which is "so large and diverse, that it's a microcosm of the country," Kraten said. Each region of Texas serves different business interests, such as energy in Houston, agriculture in Dallas or technology in Austin. Therefore, Kraten said, energy providers in each region will go lengths to accommodate certain types of businesses.

Each regional distribution utility will come with its own taxes, demand fees and delivery costs as well. For example, your commercial rate for the supply of energy may be one price, but the overall costs of your energy may vary if your business is located in the Oncor versus Centerpoint utility service areas. 

Length of contract

Typically, the shorter the contract, the cheaper the rates. Longer contracts usually come with higher rates. Kraten said market factors cause electric companies to make long-term assumptions and calculate those risks in the rate itself. Consumers will pay more for the longer commitment to a certain rate price in a "catastrophically uncertain world," Kraten said. 

Market factors

The overall US or global economy can influence energy rates. The Russian war on Ukraine , for example, shifted oil and natural gas prices, which in turn has global implications on energy costs. Less obvious factors like the energy intensive crypto mining where it's surprising energy demand may be driving up energy costs. 

Government regulations

A state government entity could influence the overall cost of electricity if it raises or lowers utility fees and state tariffs. For example, the TDU fee -- the cost to deliver the electricity -- is regulated by the Public Utility Commission of Texas . 

Types of electricity plans for business in Texas

Fixed-rate plan.

These types of plans offer energy consumers some predictability. The price per kilowatt-hour is known in advance and remains mostly flat over the course of a contract. For businesses that need energy throughout the day and expect consistent bills, fixed-rate plans are worth considering.

Variable rate plan 

For business owners who want to go with the flow, variable rate plans come with no contract commitment and charge based on market conditions. These rates fluctuate -- typically monthly -- based on seasonal market shifts. Electricity may be more expensive in the summer and winter when demand is higher while businesses and homes are using heating and cooling. And conversely, rates tend to be cheaper in the fall and spring when less strain and demand takes place. 

Renewable energy plans

Texas is a big player in the renewable energy space . A business could choose a "green" plan where some or all of the electricity comes from solar , wind or hydro power. 

Businesses could opt into a REC program (renewable energy certificates) to showcase its green initiative. 

Time-of-use plans

Similar to variable rate plans, time-of-use plans mean that energy prices change depending on the time of day. Energy could be more expensive in the daytime when demand is high, fall during lunchtime, rise again then lower at night when demand shrinks. If your business can adjust the time it uses energy, it could lead to savings.

Demand response programs

Under demand response programs , energy providers will use financial incentives to encourage the shifting of electricity usage based away from peak demand hours. If a business elects to participate in a demand response program, it may be financially compensated for a high demand period or during a conservation event . 

Indexed rate plans

These plans can be similar to variable plans, in that energy prices can change. But instead of prices being based on demand, indexed rate plans are connected to a commodity index. Indexed rate plans are complicated and time consuming. Be sure to understand the math equations at work before signing up for these plans.

How to find the best electricity rate for your business 

If you want to get the best electric rate for your business, the first step is understanding how you use electricity. Break down your past year's energy usage by pouring over your bills and see what times of day you need electricity the most. Create a 12-month historical lookback and a 12-month prediction looking forward. With this information in hand, a commercial energy consultant can guide you into a plan that best suits your business consumption profile. 

Ask for multiple quotes with differing contract lengths from a few different providers. Ask for quotes in writing so you can see if others will price match. 

Looking for commercial and business rate plans?

Get a free customized rate quote today.

Businesses and commercial properties can avoid overpaying for energy with a customized rate plan that is tailored to your property's usage profile. Start saving on your utility costs today with a free commercial energy consultation.

*SaveOnEnergy and CNET are both owned by RedVentures. We may receive a commission if you get a quote or make a purchase through this link. 

Why are electric rates for business lower than residential rates?

Electric rates are lower for businesses than residences because the commercial properties typically use more electricity, have differing load factors and demand profiles. When you buy in bulk, the price per unit typically drops. But you could pay more in demand charges if your usage is inconsistent. 

Why can't I shop for business rates online like I can with my home?

Because businesses typically consume more power than homes, there are too many factors at play to allow them to shop for rates online. Use this inquiry form to get connected to a business or commercial energy specialist for a free rate quote. 

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Texas Commercial Electricity Shopping Guide

Table of contents, what are current small business electricity rates in texas, texas business electricity rates, texas small business 2023 energy forecast, how is business electricity different than residential, how do i set up small business electricity service in texas, need to get a better rate and switch to a cheaper plan, understand what items in your business use the most energy, understand demand charges, types of texas business electricity rates, types of business electricity contracts, renewable business energy options, how to reduce energy costs for texas businesses.

Whether you're running a 2 person hair salon, a 200 employee law firm, or a 2,000 employee manufacturing business, getting the right business plan can make a big difference to your bottom line. Comparing and Understanding Texas Business Electricity rates is easy.

ERCOT, the Texas Grid operator predicts that this summer will exceed previous peak demand by 2.5K mWHs in 2023 - or 2.5% higher than 2022 summer peak load of 80K mWhs - In other words - as more businesses and people move to Texas, residential and commercial energy demand increases as well.

NOAA Texas Business 2023 Weather Forecast

The National Weather Service (NOAA) forecast probability leans 50-60% likelihood that Texas weather will be hotter than normal from April through September 2023. This means that prices are currently at the best position for long term plan.

Businesses typically have higher energy usage than residential properties, so they may require different plans or custom quotes to meet their needs.

Contracts and terms:

Businesses may have different contract terms and options than residential customers, such as longer-term contracts or the ability to lock in rates.

Billing and payment:

Businesses may have different billing and payment options

Industry specific requirements:

Businesses in certain industries, such as manufacturing or retail, may have specific energy needs or regulations that need to be taken into account when choosing a plan.

Government incentives:

Some governments may offer different incentives for businesses to switch to renewable energy sources, such as tax credits or grants.

Legal and Compliance:

Businesses have different legal and compliance requirements than residential customers, such as the need to comply with energy regulations, and the need to have energy supply contracts that align with the legal structure of the organization.

• The Company Legal Entitiy Name will be required
• The Company FEIN (Federal Employee Tax ID) Will be required
• DUNS (if available) Get a DUNS number - It's free and it allows your business to build credit
• Federal Employee ID Number (FEIN)
• Owners Social Security Number
• This allows the retailer to view the usage paterns at the address
• If you are a new business in a new space. Estimated usage based on your business type will be used.
• DUNS (if available)
• Federal Employee ID Number (EIN)
• Traditional AC Systems
• Electric Motors
• Compressors
• Electric Heaters or Dryers
• Electric Ovens

Demand Charges are charges that Utility Companies charge based on the maximum amount of power (KW) drawn for any given time interval (typically 15 minutes) during the billing period, multiplied by the relevant demand charge ($/kW). In Texas these charges are called "Pass Through Chrages." Texas Electricity Retailers do not control the pass through charges

Why Do Utilities Use Demand Charges?

Demand charges exist to incentivize customers to spread their energy usage over time. This is because Texas utilities must maintain enough capacity to meet the needs of all customers during the points in time when the most energy is drawn from the grid (such as a hot day when most customers are using air conditioning). This means that a large amount of expensive equipment, such as power plants, must be kept on standby for these rare peak demand periods. Through demand charges, customers that draw a lot of power over short periods of time contribute more to the costs of building and maintaining the necessary infrastructure needed for peak times.

An example of Demand Charge usage; Company 1 uses 3000 kWh evey day and has stable, flat usage and uses 60,000kWh per month. Company 2 runs a big pump every day between 2PM and 3PM and uses 5000kWh during that time, then goes down to 500kWh for the rest of the day and uses 60,000kWh per month.

In our example above Company 2 will have a higher bill because it uses its power during peak hours of the day. In Texas the local utility (Oncor, Centerpoint, AEP or TNMP) will add demand charges to the bill.

To calculate demand charges, the maximum power demand is multiplied by the demand charge rate of the prevailing utility rate. In some cases, rate structures include multiple types of demand charges, with higher charges during hours of peak demand and lower charges during “partial-peak” or “off-peak” hours. For customers whose utility rates include demand charges, these fees can contribute significantly to their monthly electricity bills.

There are 3 popular Commercial Electricity Rate Structures in Texas:

• Fixed-rate Plans: This plan type charges a fixed fee for each kilowatt hour (kWh) you use. You pay the same price throughout your entire contract. Contracts typically last between one and three years. If you cancel your contract before it ends, however, you might have to pay an ETF (early termination fee). Fixed-rate plans have the advantage that they lock your rate for the duration of your contract and protect you against fluctuations in the energy market. These plans give you predictability in your monthly bills.
• Variable rate plans: A variable-rate plan is a plan where the monthly rate you pay varies according to wholesale electricity prices. This type of plan does not require you to sign a contract. You can change your electricity plans at any time. Variable-rate plans may cause a spike in electric rates during high demand periods.
• Indexed Rates - rates tied to market condions or other market drivers - i.e. wholesale energy prices, natural gas rates, etc.

Fixed rate contracts are by far the most popular and the most stable in price. Variable Rates are options if you need short term power. Perhaps during a renovation, or initial strat of a business. While Indexed products are the most advanced types of Plans with the most risk, and most often employed by sophistcated buyers who use the Index Price and Time Of Use to maximize savings

• Short Term 1-11 months
• Long Term - 12+ Months L

Look for contract flexibility: Understand the terms of the contract, including the length of the contract, cancellation fees, and the possibility of renewing or renegotiating the contract.

Consider renewable energy options: Look into renewable energy options, such as solar or wind power, and compare the costs and benefits of these options with traditional energy sources.

Read Ratings and Reviews: Look into the reputation of each REP and their customer service and other programs, such as rewards. This is an important aspect to consider, especially if you will be relying on them for support and assistance.

• Environmental sustainability: Using renewable energy sources such as solar and wind power can help reduce the carbon footprint of your business, which aligns with the B-Corp mission to minimize negative impact on the environment.
• Cost savings: Renewable energy can be a cost-effective option over time, as the cost of producing renewable energy continues to decrease.
• Government incentives: Many governments offer incentives for businesses that use renewable energy, such as tax credits or grants, which can help offset the cost of investing in renewable energy.
• Environmental sustainability: Renewable energy sources such as solar and wind power do not produce harmful emissions, unlike fossil fuels. This helps to reduce the environmental impact of energy production and aligns with the goal of being an environmentally conscious business.
• Cost savings: As the cost of renewable energy continues to decrease, it can be a cost-effective option for businesses over time.
• Branding and reputation: By using renewable energy, a business can demonstrate its commitment to environmental sustainability, which can positively impact its reputation and attract customers who value environmentally-friendly practices.
• Social responsibility: Many business customers and stakeholders are increasingly concerned about the environmental impact of companies, by using renewable energy a business can show it is socially responsible.
• Long-term benefits: Renewable energy is a sustainable source of energy that will not run out, unlike fossil fuels. This can provide long-term benefits for the business, such as energy security and independence.

Energy Audits:

Energy Audits are assessments of a building or facility's energy usage, which can identify areas where energy is being wasted and recommend ways to improve efficiency. By identifying areas where energy is being wasted, businesses can take steps to reduce consumption and lower their energy bills.

Track and Identify:

Another important step in managing energy usage is to track and monitor energy consumption. By monitoring energy usage over time, businesses can identify patterns and trends, which can help them identify areas where they can make changes to reduce consumption. Many modern energy management systems now come with sophisticated software, which allows businesses to view their energy consumption in real-time, thus giving them the ability to make adjustments as needed.

Technology and Devices:

Another way to manage energy usage is through the implementation of energy-efficient technologies and practices. Upgrading to energy-efficient lighting, appliances, and HVAC systems can significantly reduce energy consumption and costs. Additionally, implementing simple practices like turning off lights and equipment when not in use, or using natural light as much as possible, can also make a big difference.

Renewable Incentives:

Finally, businesses can look into implementing renewable energy sources, such as solar or wind power. These sources can help reduce their dependence on traditional fossil fuels and reduce their environmental impact. Additionally, many government incentives and rebates are now available for businesses that switch to renewable energy, which can further reduce costs.

Texas Business Electricity FAQs

What is a retail electric provider (rep).

A Retail Electric Provider (REP) is a company that provides electricity to customers in Texas. REPs are responsible for purchasing electricity from generators and reselling it to customers.

How do I choose the right electricity plan for my business?

To choose the right electricity plan for your business, you should assess your energy usage, compare plans and pricing, look for contract flexibility, consider renewable energy options, review and compare customer service, and check for government incentives.

What are TDSP charges?

TDSP charges, or Transmission and Distribution Service Provider charges, are fees that are added to your electricity bill in Texas. These charges are used to cover the cost of maintaining and upgrading the transmission and distribution infrastructure that delivers electricity to your business.

What is the difference between a fixed rate and a variable rate plan?

A fixed rate plan is a plan that has a fixed rate for the entire contract period, while a variable rate plan is a plan that has a rate that can change based on market conditions.

How do I know if my business is located in ERCOT's service area?

The Electric Reliability Council of Texas (ERCOT) manages the electric grid and power market for most of Texas. To check if your business is located in ERCOT's service area, you can check this website, TexasElectricityRatings.com, by entering your zip. You'll be presented with offers available in your area.

Are there any government incentives for using renewable energy?

Yes, there are government incentives for using renewable energy in Texas, such as tax credits, grants and rebates, you can check the Public Utility Commission of Texas (PUCT) website for more information.

Is it easy to switch to a new REP if I am not satisfied with my current provider?

Yes, in Texas, businesses have the freedom to choose their REP, and it's relatively easy to switch to a new Provider.

CALL TODAY 1-214-446-2210

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Home / Commercial Electricity Rates in Texas

Commercial Electricity Rates in Texas

Commercial electricity customers can now save an average of 47% on their electricity bills. Business owners can take advantage of renewable energy programs or just lock in the low electricity rate available. From small single-room offices to large commercial properties, companies can save money choosing or switching to a new service provider. The more electricity you use, the cheaper your rates will be.

Even New Businesses Can Get Commercial Electricity with No Deposit

It can be hard starting a new business, so we make it easy to get commercial electricity. Because new businesses may not have an established credit history, they can struggle to get services they need without having to pay deposits. But rest assured, you can get the lights turned on at your business very quickly, and without paying a deposit. Even established businesses with bad credit can get good electricity rates with no deposit.

Call 214-446-2210 to get started!

Tell us what you need. we’ll do the rest.

• Business Name *
• Name First Last
• Service Address Street Address Address Line 2 City State / Province / Region ZIP / Postal Code
• Current Provider
• Number Of Locations
• Estimated Monthly Average Bill

Customize Your Commercial Electricity Plan

You now have the ability to build your electricity plan to suit your needs. “One size fits all” commercial electricity plans are a thing of the past. You can choose a term length from 1 month to 5 years, or anything in between. If you want to use 100% green energy for your business, you can do it.

Commercial Electricity Items You Can Customize

• Term Length (1 month – 5 years)
• Deposit or No Deposit
• Renewable Energy Amount (up to 100%)
• Fixed or Variable Pricing
• Individual or Consolidated Billing

Energy Efficiency Tips for Businesses

We have compiled some tips on how businesses electricity customers can maximize their energy efficiency:

• Get an energy audit – it’s a great way to determine your baseline energy use.
• Purchase energy-efficient equipment – ENERGY STAR®-rated appliances are energy-efficient, which can save you money.
• Reduce peak demand – try to conserve energy use throughout the day.
• Program your thermostats
• Turn off the lights when not in use – place reminder notes to turn off the lights in the break room, bathroom or conference room.
• Use energy efficient light bulbs, such as CFL or LED.
• Take advantage of any natural sunlight – the fewer kilowatt hours of electricity used, the less you end up paying.
• Run fans, rather than turning on an air conditioner – keep ceiling fans and other fans on to keep the AC air flowing better during hot and muggy Texas days and nights.
• Turn off your equipment at the end of the workday – turn off computers and monitors when they are not in use.

Finding the Cheapest Commercial Electricity Rates for Your Business

Businesses have the power to choose the best commercial energy program. You may have a booming industry on the Corpus Christi coast or a small business in Fort Worth . No matter what size building or type of business, Vault Electricity makes it easy to find the best commercial electricity rates based on your needs. Commercial electricity rates can be custom-priced. Our team works with the top electricity providers in the state, and offer city-specific rates and plans. How, when and the amount of electricity you use on an annual basis is also a price factor. Our team works with over two dozen electric companies that are looking to win your business. They can earn your business through our blind reverse auction process. We receive multiple, customized rate quotes from these service providers, and from there, we can help you choose the rate and terms best suited to your business needs.

Get Commercial Electricity Started Today

Ready to save money on your monthly energy bill? Make the switch to a new provider today! Our customers rave about saving tens of thousands of dollars annually based on their previous consumption. We analyze your current electricity profile and then place your requirements up for blind bidding to the top electrical providers in Texas. These providers want your business, so they are going to offer the lowest business electricity rates possible. We then gather up the offers and present them to you with our recommendations. Getting started is easy. All you need to do is fill out our form and submit. Once you’ve selected your new service provider, we do the rest. Yep, we even manage the process of switching your account to your new provider!

Our Commercial Clients Save Up To 45% On Their Electricity!

We work with the top electricity providers in Texas to get you the absolute lowest electric rate possible. Through our blind reverse auction process, we receive multiple customized rate quotes from over two dozen electric companies interested in winning your business, then assist you in choosing the rate and terms that work best for your business.

There is  no cost  and  no obligation  to utilize our blind reverse auction process. We do the work, you get the savings.  Our fees are paid by the electric companies — you pay us nothing!

Our commercial clients range from small single-room offices to entire municipalities. We have the experience, knowledge and relationships needed to get you the lowest electric rate possible, no matter the size or complexity of your situation.

“We just received our first electric bill from the new provider and I estimate an annual savings of $24k based on our previous consumption. We are very pleased!”

— CHIP B. IN COLLEYVILLE

How Our Blind Reverse Auction Process Works

We start by analyzing your current electricity profile so we have an in-depth understanding of your situation. We then place your electricity requirements up for blind bidding to the top electric providers in the state. This forces the electric providers to offer you the absolute lowest rates they can in hopes of winning your business. We assimilate the offers and present them to you with our recommendation. After you select the rate and terms that best meet your specific needs, we manage the process of switching your account to the provider you choose.

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Texas Business Electricity Rates

Call (833) 226-8993 to speak with a live commercial energy expert, or instantly compare and order business electricity rates online.

In Texas, you have the power to choose a business electricity provider. ElectricityMatch helps you navigate the gap between you and commercial energy companies in Texas by partnering with certified and vetted energy providers that will compete for your business. We make this process quick and simple with 3 easy options.

Whether you are a one-person small business or a large Texas commercial energy user, we make it easy for you to compare you business energy options and facilitate a switch to a lower Texas energy rate for your business.

Compare Business Electricity Rates

Enter your ZIP code below to compare the best rates & plans.

Visit our Small Business Electricity page for more details about the your power to choose in Texas.

Call now to speak with a business energy expert 1-833-226-8993

Whether you are looking for a plan for your small business or large commercial electricity rates, we can present you with the most competitive offers that will help you select the best electricity company for your needs.

Complete the form and get a custom quote for your Business Electricity.

When shopping for Texas commercial electricity rates, it pays to compare electric companies and find the plan that is right for your business.  Which ever option you choose – we will be here to help walk you through the process and get you’re the best rates for your business energy needs.

Commercial Form

Contact us now: 1-833-226-8993, allow electricity companies to compete for your business.

Your business is as unique as you are. Comparing electricity plans requires a personal touch.

Complete our the form below and we will have a commercial energy consultant contact you to begin the process of finding a plan that works for your business.

• Business Name: *
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• Service Address
• Monthly Elec. Bill Current Monthly Bill Less than $2500 $2500-$5000 Greater than $5000
• Phone This field is for validation purposes and should be left unchanged.

Visit our Large Business Electricity page for more details about the your power to choose in Texas.

ElectricityMatch helps you power your business with low energy rates

As a business owner, you know the value of taking advantage of opportunities. Getting the right commercial energy plan for your business is a great opportunity to lower your business operating costs. We help you find that perfect energy plan that helps you reduce your business energy bills.

We get the electric companies to compete for your business.

When energy companies compete – you win. That’s one part of the great opportunities with commercial energy deregulation. Every business is unique – just like every company’s energy profile is unique. That’s why we help analyze your business energy usage profile and get the Texas electric companies competing for your business. Creating competition – helps you save money.

The top 3 things to know when shopping for a lower Texas business electricity rate.

1. Compare Business Power Quotes.

You need to leverage Texas electricity deregulation to your advantage by exercising your power to choose. With over 100 licensed retail electric providers to choose from – comparing quotes from different business electricity providers can get quite tricky.

That’s why it’s smart to work with business electricity experts like ElectricityMatch to help you compare contract terms, review the fine print, and fully understand what differentiates one contract from the next. If a commercial energy rate looks too good to be true – the odds are it has some components of the quote set us as pass throughs versus bundled into the price. We will analyze all of the components of our partner business electricity providers and present you with the best options.

2. Select the Commercial Supplier that Fits Your Needs

As we mentioned above – there are over100 licensed retail business energy providers, but some should be avoided based on your business. ElectricityMatch only works with the best suppliers with solid financials and a track record of excellent service for our business electricity customers.

3. Choose the Right Contract for your business

Based on our initial consultation – we will make sure you are only presented with contracts with the most favorable terms that meets your specific business energy needs. There are many different types of commercial electric contract structures – fixed, index, heat-rate, and other hybrid market rates. We make sure you understand the risks and benefits of each so that you can make the best business energy decisions that fit your specific business.

The bottom-line is we are here to help you lower your business cost with a lower business electricity rate that fits your specific needs and fits your business. Please reach out – you are only a phone call away to lower commercial electric rates for your business.

Average Texas Electricity Prices as of August 2021

The average Texas commercial electricity rate is 7.98 ¢/kWh (U.S. National Average is 10.95 ¢/kWh)

The average Texas residential electricity rate is 12.03 ¢/kWh (U.S. National Average is 13.99 ¢/kWh)

According to: ( EIA: Average Price of Electricity to Ultimate Customers by End-Use Sector)

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Business energy rates and plans for merchants

Businesses typically use significantly more electricity than residential buildings , which makes it important for business owners to secure an affordable energy rate. Electric companies can customize a commercial electricity plan for small businesses based on the unique energy usage patterns of your company. 

How to find the best electricity provider for your business

Whether you run a hair salon or auto repair shop, you’ll need reliable power to use appliances during working hours. Choose Texas Power is here to help you find a reliable electricity provider to meet your needs. You can call the number on your screen or fill out our business energy form to reach one of our experts.

We’ll ask you some questions about the type of business you operate to better understand your energy requirements. We can then connect you with our partners to create an electricity plan tailored to your needs. 

You can choose from a range of plan types, depending on your business needs. We partner with top electricity providers like Ambit Energy and TXU Energy to offer specialized business energy solutions. The most common options are fixed-rate and variable-rate business plans. 

A fixed-rate plan allows you to lock in a commercial energy rate for your nail salon or auto shop for an agreed period of time. These plans usually last between 12 and 36 months but can be longer or shorter. If you want to change providers before the contract expires, you may have to pay an early termination fee (ETF).

On a variable-rate plan , your rate fluctuates from month to month. You won’t have a contract, so you’re free to change plans at any time. However, your electricity costs will be harder to predict.

Energy efficiency for small businesses in the service industry

As a small business owner, you’re likely familiar with the importance of managing your costs and searching for savings to boost your company’s efficiency. Choosing an affordable energy plan is one of the most effective ways to achieve this goal. 

According to the Energy Information Administration (EIA) , the average business in the U.S. uses around 6,000 kilowatt-hours (kWh) of electricity each month. If you look for opportunities to cut back on energy consumption, you can invest your company’s money in other important areas of operations.

You can start by monitoring your energy usage. Examine several months of energy bills to understand how much your business typically consumes each month. You can also consider getting an energy audit to help you identify where you use the most energy and take steps to reduce it.

Energy conservation strategies for salons and auto shops

If you’re spending too much on your monthly electricity bill, you can take various steps to conserve energy in your business. Straightforward tasks like turning off lights and appliances when you leave a room can make a big difference over time. You can also inform staff members about the importance of conserving energy. 

Other strategies involve investing some money upfront to make savings over the long term. Consider upgrading your HVAC system to reduce the amount of power needed to run it. You can also buy energy-efficient equipment for your store or workshop.

Ready to learn more about energy-saving tips and commercial electricity providers? Call the number on your screen or fill out our business energy form today.

Texas Commercial Electric Rates

Our Commercial Electric Rate Search Engine allows decision makers to quickly review and compare offers from dozens of suppliers. Simply enter in your zip code in the “Search Parameters” box below and wait a few seconds for our search engine to find you the best options for your specific area and business size.

If you are having trouble or have very specific questions that need to be answered, Book A Call with our in-house licensed electricity broker. We’re here to help you lower your business electric bill and make sure you get a contract with no hidden fees or surprises.

All rates offered in this search engine have been vetted by us to make sure there are no hidden fees.

Texas Commercial Electric Rate Search Engine:

Updated on 08-12-23

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Home » Business (April 2024)

Business Electricity Rates (April 2024)

As of March 2024, the average commercial electric rate in the United States is 11.93 cents per kilowatt-hour (kWh) .  You can find better electric rates — particularly in deregulated states like Texas — on Electric Choice.

Business energy rates can vary significantly from state to state.  The highest rates are typically found in Hawaii and Alaska, while the lowest rates are typically found in Texas and in the Midwest.

Business Electricity Rates in Texas

Texas is the largest market for commercial deregulated energy in the United States.  Since deregulation arrived in Texas in 2002 around 85% of the state has taken steps to provide customer choice to related consumers.

Prior to energy deregulation, utilities had control over all elements of energy from generation to customer service. This type of control created many challenges for consumers — especially business consumers. Companies had limited options when it came to their electricity related services because utilities provided services to businesses based on area, and gave little to no choice in terms of rates or plans.

In order to make electric rates more fair and reasonable, utilities in many areas of Texas separated their business into different elements. The result of this separation has had a very positive effect on business consumers because the supply element of electricity is no longer a utility only driven product.

Through energy deregulation, entities known as, Retail Electricity Providers (REPs) can now enter or establish themselves within the Texas energy market and offer supply services to business consumers.

Texas Commercial Energy Providers

Texas has a deregulated electricity market, which means that customers can choose their own electricity provider — formally known as retail electricity providers (REPs).  REPs are regulated and approved by the Public Utility Commission (PUC) of Texas.

This can help to keep rates competitive, as providers are constantly vying for customers’ business.

What makes up most of a business’ electricity bill? Electricity rates can vary depending on a number of factors, including the location, the type of business, and the amount of electricity used.

What determines the rate a business pays for electricity? The kWh rate (ie electric rate) a business pays for electricity can vary depending on a number of factors including the location of the business, the type of business, the amount of electricity that the business uses, as well as when electricity is used.

Which types of businesses use the most energy? As we mentioned before, the term “commercial” building can encompass a variety of buildings with different purposes. The top five types of commercial buildings use a little less than two-thirds of energy consumed by all commercial buildings.

Out of the different types of commercial buildings, retail and service buildings use the most energy — they use 20% of all energy consumed by all commercial buildings. Office buildings come in next at 17% of all consumption, followed by education (13%), health care (9%), and lodging (8% of consumption).

What types of electric plans offered by providers?

There are two main types of business electricity plans:

• Fixed-rate plans:  Fixed-rate plans come with an electric rate that is set (“locked in”) for a certain period of time (a term),  regardless of the wholesale price of electricity.   Common terms for such agreements are 6 months, 12 months, and 24 months.  The longer the term, the more 
• Variable-rate plans:   These rates fluctuate based on the wholesale price of electricity. Businesses that choose variable rates may be able to save money if the wholesale price of electricity is low. However, they can also expect higher rates (and in some instances, much higher) if the wholesale price of electricity increases.

What are Energy Choice Programs? States that are energy deregulated will typically offer energy choice programs or have energy choice organizations (like Electric Choice) that will help businesses to find an energy supplier. It is important to find the energy supplier that best suits the business needs, as in the long run; they can save a company money, time and more.

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Compare and Find the Best Electricity Rates in Houston for 2024

Looking to secure the most competitive electricity rates in Houston? Find the top energy suppliers in the area and evaluate their offerings to pinpoint the most economical options with EnergyPricing.com today!

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At EnergyPricing.com, we take pride in our  editorial integrity . Our content is not influenced by any energy supplier or provider. However, we may reference their products in our articles. Here's an explanation of how we make money .

Are you worried about expensive electricity bills for your new Houston home? Do you want to switch to a more cost-friendly energy provider?

If your answer to these questions is a resounding yes, look no further because our advanced trolls enable you to search for energy providers in Houston and compare their energy plans.

• Average Electricity Rates in Houston Today

Houston’s energy deregulation paves the way for numerous energy companies to offer their services at competitive prices. As a result, you, as the consumer, also stand to gain benefits from competitive pricing because it often brings down the average electricity rates in Houston. Houston’s average electric rates are as follows.

Current Avg. Electricity Rates  

Although Houston residents have a deregulated energy market, they are protected by the Public Utility Commission of Texas to ensure the companies offer fair energy pricing. Various factors can directly impact the electricity rates in Houston, and some of these significant factors are as follows.

• Cost of electricity generation 
• Energy transmission and distribution costs
• Profit margin of energy companies
• Supply and demand for electricity
• Government regulations and policies

As you can see, the above factors can change with time, making your electricity rates somewhat variable. Moreover, the average Houston electricity rates can also vary depending on your chosen provider and plan. Hence, comparing electricity rates in Houston is vital to ensure the best value for money. 

• Utilize Houston’s Deregulated Energy Market to Your Benefit

Houston residents have enjoyed the benefits of a deregulated energy market since 2002. The deregulation of the energy market enables Houston residents to choose from a broad range of energy providers and plans. If you live in Houston, you can search for competitive energy plans online and pick one that best suits your energy needs. Hence, deregulation enables you to boost your household savings and minimize unnecessary electricity expenses.

• Lowest and Best Electricity Plans in Houston

Switching to a more affordable electricity provider can significantly reduce energy expenses. Thanks to deregulation, Houstonians enjoy the luxury of choice regarding electricity providers. As a result, you can ensure you find the energy provider that offers you the best value-for-money energy plan.

Here are the top 5 lowest fixed electricity plans for your Houston home. We can also help you assess your energy requirements and suggest the best-suited energy plan for your unique needs. The right provider and plan help you ensure the lowest electricity bills for your household or business.

• Compare Electricity Plans in Houston

There are numerous energy companies with their headquarters and operations based in the city. It is no wonder Houston is called the world’s Energy Capital. Furthermore, the availability of leading energy providers in Houston provides the city’s residents with several dozen eligible electricity provider options.

With so many reliable energy providers in Houston, it can be confusing to pick a single provider. We will help you compare the best energy plans and rates in Houston and help you make more informed decisions. It is also advisable to check for unique benefits offered by electricity providers and assess your options before choosing your provider. 

Uncover exclusive offers on electricity plans from the leading Houston energy providers

• Tips for Effective Comparison of Houston Energy Plans

While advanced online tools and solutions may make Houston energy plan comparison significantly convenient, the process still needs streamlining. Effectively comparing electricity plans involves more than comparing the service changes of different plans from various electricity companies. The following tips can help you effectively compare Houston energy plans.

Check EFL or Electricity Facts Label

Residential electricity plans in Texas must have an EFL. It lets you learn valuable plan details, such as the average electricity rate per kWh, recurring charges, and early termination fees.

Check Your kWh Usage

Another effective way to ensure an accurate Houston energy plan comparison is to check your monthly household or commercial energy usage. Moreover, many promotional offers offer rewards or credits if you stay under the usage threshold.

Check for Additional Charges

It would be best if you also made it a point to check for hidden or additional chargers in the electricity plan. For effective comparison, monthly service fees, cancelation fees, and other add-ons must be transparent. 

Consider 100% Green Energy Plans 

Consider plans that offer 100% Green Energy. These plans are a perfect option for those prioritizing environmentally-friendly energy sources. 

Factor in the Contract Length

Electricity providers typically offer plans that range from one month to three years. A longer-term plan can help you save money if you commit to the provider.

• How do I Find the Best Electricity Rates in Houston?

Finding the best electricity rates in Houston can be challenging, depending on your definition of “the best .”While you can always take the easy option and look for the lowest electricity rates in Houston, it may not be your best choice in the long run. 

Understanding your usage requirements is the key to finding the best electricity provider and plan for your household or business. Besides that, you must also be careful about hidden charges some companies demand, even if they show attractive plans and rates upfront. 

A little precaution in choosing your electricity provider could save you from expensive utility bills. By determining your property’s monthly kWh usage, you can easily find the best electricity rates in Houston based on actual energy consumption habits.

• Types of Electricity Plans in Houston

There are two main classifications of electricity plans in Houston that you can choose from, and they are fixed-rate and variable-rate plans. Of course, you may often see many different types of electricity plans from innumerable energy companies, but all their plans and services fall into one of these categories.

Fixed-rate Electricity in Houston

With a fixed-rate electricity plan, you can set a price for the contract term with the supplier. It means you continue to pay a specific amount regardless of varying elements that impact energy production, such as the weather, natural events, and market volatility. Fixed-rate electricity plans have a typical term length of six, twelve, twenty-four, and thirty-six months. 

Variable-rate Electricity in Houston

Variable-rate electricity plans can charge you different or varying charges for electricity every month. Market factors cause the varying prices for electricity in such plans. While such plans give you greater flexibility, the electricity pricing can also become highly volatile occasionally. However, considering the plan’s overall flexibility, it is also the advisable type of energy plan for both commercial and residential purposes. 

• Best Electricity Companies in Houston

Electricity companies in Houston come in different types, and it can take time to differentiate them. Houston has two kinds of electric companies - utility and electricity providers. While both types of electricity companies may sound the same, their differences are more significant than you might think.

Houston Energy Providers

Energy providers in Houston are also called Retail Electric Providers or REPs. These companies are energy suppliers, meaning you buy your household or commercial electricity from these companies. In deregulated areas like Houston, you pay your electricity bills directly to these companies. 

Moreover, these are the same electric companies that appear when searching online for energy providers in Houston. You must compare the electricity rates from these companies to get a comprehensive picture of your energy expenses and pick the ideal provider for your needs. 

According to the report by the U.S. Energy Information Administration, the rank of the energy providers based solely on their customer count is as follows.

• TXU Energy Retail Co, LLC 
• Reliant Energy Retail Services
• Direct Energy Services
• Ambit Energy Holdings, LLC
• Green Mountain Energy Company

Houston Electricity Utility 

The job of the utility company is to ensure accurate and efficient transmission of power to your residential or commercial property. 

CenterPoint Energy  is the electricity utility company for the people in Houston and its surrounding areas. 

The electric utility company  is responsible for maintaining the power lines and other power distribution hardware. They are also the people you must turn to in case of a power outage caused by a downed line or blown transformer. 

• Steps to Switch Electricity Providers in Houston

You can conveniently browse for electricity providers in Houston with EnergyPricing.com. We bring you the flexibility you need to browse for a more suitable electricity provider and their best plans. You can use our site to access the electricity prices in Houston and all major cities in the US. Use the following steps to switch from your existing energy supplier to a new one. 

 Find Electricity Providers in Your Area

You can click the Get Started button to search for electricity providers in your area. You can view all providers by state or by typing in your ZIP code to see the best Houston electricity companies and their plans.

Compare and Review Plan Details 

You can use our tool to compare and review plan details from different electric providers in Houston. Our online tool also lets you comprehensively compare plans to make an informed decision. Make sure to review the plan details and double-check everything before you proceed further. 

Enroll With the New Electricity Provider 

It is smooth sailing from there after you decide on an energy provider. All you have to do is follow the prompts to enroll with a new provider. 

Would you like to see how it works in real-time? Watch the video below to learn how to shop online with EnergyPricing.com.

• Factors to Consider When Choosing a New Electricity Provider

Switching your electricity provider in Houston is easy with the help of Energy Pricing. However, there are certain factors you must consider before switching your electric provider, and they are as follows. 

• Average monthly electricity usage
• Early shopping (Don’t wait until the last minute to start shopping)
• Electricity plan comparison
• Contract exit fee 
• Online signup for new electricity provider
• Auto-renewing at higher rates
• Moving to Houston? Get Your Electricity Ready With Zero Hassle

Moving to a new home is challenging, even without finding an electricity provider. We help you make the move to your new Houston home a little more bearable by enabling you to choose an electricity company conveniently. 

You can even compare the electricity rates from different providers and find the most cost-efficient one before moving to the new Houston home. 

Furthermore, it is significantly easier to choose and access the services of an electricity company with our online tools, making the moving process slightly more manageable for you and your family.

• Easy Tips to Save Energy and Reduce Electricity Bills

Cost-savings are The most significant reason people switch to a new energy company. Following are some practical tips and tricks to save money on your electricity bills.

• Review your electricity provider and their plan in Houston
• Determine your monthly kWh usage for choosing the ideal electricity plan
• Percentage of renewable energy sourcing
• Factor in early termination fees for existing electricity providers
• Use a hassle-free electricity setup online
• Understand your electricity bill and energy usage habits
• Utilize smart home technology for lower electricity usage
• Learn the peak hours and off-peak rates in Houston
• Use renewable energies like solar power
• Access government incentives and rebates for renewable energy

Switch your energy provider and get the best electricity plans in Houston

• Best Commercial Electricity Rates in Houston

The deregulation of the energy market in Texas makes Houston one of the best places for commercial businesses, especially if they need a lot of electricity. Houston businesses can choose an electricity provider that best fits their requirements while offering pocket-friendly rates. 

Any business that spends over a couple of thousand dollars on electricity bills can consider switching to a more cost-efficient energy provider. Moreover, it can significantly contribute to your bottom line and save up to 20% on electricity expenses.

Houston Electricity Rates - Frequently Asked Questions (FAQs)

The deregulated energy market in Texas enables you to access competitive energy pricing from multiple Houston electricity providers. Rhythm, Good Charlie, etc, are some leading energy providers in Houston that provide you with cost-efficient energy services. However, you can use our online tool to view and compare electricity plans from various providers.

Various factors determine electricity rates, including the energy market condition and fuel costs. Besides that, infrastructure maintenance and government regulations can also impact the electricity rate in Houston. You can view the pricing of electricity plans from the leading suppliers in Texas with our online tools and choose a provider.

Electricity prices in Houston and other major Texas cities come down during spring and fall, making them ideal times to shop for new electricity plans. However, it would help if you also kept in mind the early termination fees for your current electricity provider. Hence, it would be best to always look for the lowest electricity rates after considering various dependent factors.

Finding the ultimate electricity plan for your home or business needs can be complex and requires a personalized approach. First, you should consider assessing your energy usage pattern. The best electricity plan for you depends on your energy usage habits and the kWh usage. Besides that, you can also review the plan’s terms and compare it with others.

The average monthly usage of electricity in Houston is around 1300kWh. However, this number can vary significantly based on your energy usage habits. The size of your home and the number of people in the household can also impact electricity rates. It is advisable to assess your electricity usage to understand your energy needs better.

You can easily find the best electricity plans for you with the help of our online tools. All you have to do is click on the Get Started button and choose your area of residence. Energy Pricing lets you view, compare, and buy energy plans from the leading suppliers in Texas. You must also assess your monthly energy usage to determine your best electricity plan.

Due to the high humidity, certain places like Houston use more electricity. Gulf Coast homes use more electricity to keep their ACs running overtime to compensate for the highly humid atmosphere, especially during the summer. With this excess electricity usage, Houston homes often have higher electricity bills than Dallas homes.

In most cases, people prefer choosing fixed-rate electricity plans in Houston. Since fixed-rate electricity plans are predictable, keeping a tight budget on your power expenses is generally reasonable. Variable plans have fluctuating payments that vary with market conditions, and you must assess risk tolerance and price stability before choosing one.

Saving money on your electricity bills in Houston takes much time and effort. Some steps include using energy-efficient appliances and practicing energy conservation habits. Besides that, you can also consider new energy plans that provide you with energy-efficient features and incentives from the Houston electricity provider.

Using our online tool, you can seamlessly switch to a new electricity provider in Houston with zero disruptions. You can browse for leading energy suppliers and their plans online and choose one that best suits your requirements. Moreover, you can switch your electricity provider early to avoid (unlikely) disruptions and ensure continuous access to electricity.

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Power to Choose Texas Electricity (2024)

Aniket Bhor is a solar engineer who has spent nearly a decade studying and working in the solar power sector in the European, Asian and North American markets. He is a climate enthusiast and avid cyclist, and he also loves to lose himself in books and cooking.

Kelly is an editorial leader and collaborator with over 13 years of experience creating and optimizing data-driven, reader-focused digital content. Before joining our team, Kelly was the cross-niche editor and Branded Content Lead at personal finance and fintech site Finder.

Since the deregulation of Texas’ energy sector in 2002, residents of the Lone Star State can choose the retail electric provider (REP) they want to purchase their electricity from and the type of electric plan.

Dozens of providers offer an array of electric plan options, bringing flexibility and freedom to homes and businesses in Texas. However, navigating the large number of plans and providers can be overwhelming.

To help simplify the process, the Public Utilities Commission of Texas (PUCT) launched an official website titled “Power to Choose.” This guide will look at what the platform offers and how homeowners can use it to compare plans, estimate consumption and choose the right electricity option.

What is Power to Choose Texas?

Power to Choose is an online tool created by PUCT to help Texans find the best electricity plan for their home or business. Available in English and Spanish, Power to Choose was born after Texas deregulated its energy market to foster competition and create options for customers and their needs.

Electric providers in Texas can list or update their plans and prices on the website for free. Power to Choose is an unbiased clearinghouse for reviewing and comparing plans and electricity rates. While there are other ways to compare plans and providers, Power to Choose offers a transparent and reliable medium to do so.

The majority of Texas, including Dallas, Fort Worth and Houston, is now deregulated, but certain areas are still regulated markets. Some examples of regulated areas are Austin and San Antonio, where choosing an electricity provider isn’t possible. The Power to Choose website will not help residents from regulated areas. However, you can still use the website to check if your city or town is part of the deregulated market.

Power to Choose Plan Comparison Process

Using the Power to Choose website is fairly simple – the homepage first asks for your zip code. If you don’t live in a deregulated area, a pop-up on the website will notify you that you cannot select your energy provider. 

If you live in a deregulated area, you will see the number of plans available in your location. You can view all plans by clicking “view results,” or narrow your results by answering a few simple questions.

If you choose the latter, the website will ask questions about your electricity usage, preference for fixed or variable rates and desired contract length. Based on those answers, the website will display several energy plans for your location.

Key Electricity Plan Pricing Variables

The average pricing offered by plans can vary significantly, from 12 cents to 20 cents per kWh. Most plans use a complex calculation mechanism, and the plan that looks the cheapest doesn’t always produce the lowest bills. As electricity customers, it is important to understand which factors impact the pricing of an energy plan. Here is a look:

• Fixed and variable-rate plans : Variable-rate plans offer flexibility – users can change a variable plan whenever they want without any cancellation fees. However, variable rate plans are generally more expensive. Fixed-rate plans bind the user for a contract length but are cheaper than variable-rate plans.
• Contract term lengths : Among fixed-rate plans, the contract length can also affect electricity prices. The pricing for shorter contracts is typically a few cents higher than for longer-term contracts.
• Free usage windows : Some plans offer zero charges for certain time windows. For example, several “night plans” offer free energy during night hours. Customers using maximum energy during this window will enjoy low electricity bills.
• Usage limits : The advertised price for most plans is for a certain number of kilowatt-hours. Crossing this limit can lead to higher charges and a steeper energy bill.
• Percentage of renewable energy : Energy in Texas comes from renewable and non-renewable sources. Residents who are conscious about the environment and opt for a higher percentage of renewable energy in their plan may have to pay a different price per kWh than other plans without any green energy. Some Texas power companies also offer 100% renewable energy plans.

Estimating Your Usage to Compare Rates

One of the essential factors to consider when choosing an electric plan is your energy consumption. An incorrect selection can mean high bills even on a plan with a low published rate. 

Check previous bills to find the monthly kWh consumption and choose a plan with a low rate for a similar value of kWh. It also helps to understand your energy consumption in different seasons and opt for a plan accordingly. 

You can find your energy usage on your bill or through web-based platforms or apps offered by multiple providers. Here’s a sample bill by TXU Energy – one of the highly-rated providers , with the consumed kWh highlighted:

Source: TXU Energy

Most Texas electricity providers offer different energy rates for 500, 1000 and 2000 kWh, and you need to choose a threshold based on your monthly values.

Confirming Plan Details With Providers

Power to Choose is a public website where retail electric providers can update their plans and rates. However, the provider’s website or customer service department can often be a more reliable source for information accuracy. 

When you have narrowed your search, confirm the contract specifics with the provider before signing up. Some things to check are the deposit amounts, early termination fees, equipment fees, bill credits and the Electricity Facts Label (EFL), which clearly shows all important details of the plan.

The Bottom Line

In the deregulated energy market of Texas, navigating the large number of electric plans and providers can be difficult. Power to Choose offers Texans an easy, unbiased and transparent way to find and compare electric plans and rates in their area. Its intuitive and thoughtful design also helps customers identify key variables that impact costs and determine the most suitable REP and electricity plan for their home.

FAQ: About Power to Choose Texas

What is power to choose texas for electricity.

Power to Choose is a web-based tool for Texas residents of deregulated areas to find electricity providers and plans in their area. It also allows them to filter, sort and compare plans based on various parameters, making it easy to find a plan that suits their needs best.

Is Power to Choose Texas legit?

Powertochoose.org is the official electric choice website of the Public Utilities Commission of Texas (PUCT). Power to Choose is a legitimate source for finding the right plan and provider.

What does the law say about Texas electricity customers’ “Power to Choose”?

In 1999, Texas passed a law allowing most residents to choose their electric company. “Power to Choose” was coined to reflect the rights granted to Texans residing in deregulated areas to choose their own REP and electric plan.

Is Power to Choose only in Texas?

The Power to Choose website is only available to Texas residents. However, Texas is not the only state with energy deregulation. Several other states in the U.S., particularly in the Northeast, have deregulated electricity markets for their residents.

Methodology: Choosing the Best Electricity Companies

To help you make the best energy-plan choices possible, we at the MarketWatch Guides team have researched over 25 of Texas’s top energy providers, from larger and well-known companies such as Constellation and TXU Energy to newer providers like Flagship Power. We surveyed 1,000 consumers in Texas, incorporating their feedback into our methodology. We also spent over 20 hours speaking with industry experts to better understand the market. The factors we use to score utility providers are:

• Plan Features and Options (31%) : Almost all providers offer fixed-rate electricity plans, so we award more points to companies that also offer variable-rate plans. Providers that include 100% green-energy plans powered by renewable energy (solar and wind) also earn more points. Companies that offer five or more plans score higher, as do providers that offer the three most popular terms — 12, 24 and 36 months.
• Overall Cost (19%) : Our cost rankings take into account whether providers offer sign-up bonus incentives, plus the presence or lack of base monthly charges, minimum usage fees, early termination fees and required deposits. Providers that offer the lowest costs and a full suite of incentives are awarded the full 19%.
• Brand Trust and Reputation (25%) : When shopping for a utility or electricity provider, consumers should consider a provider’s reputation and may favor companies that have been in business longer. To evaluate brand trust, we focus on each provider’s customer satisfaction ratings according to the BBB. Providers with the highest BBB star ratings and letter grades are awarded, as are companies that have been in business for over 15 years.  
• Customer Service (25%) : We’ve reviewed how easy companies are to work with and how they prioritize the customer experience based on the presence or lack of an app, 24-hour customer service, live chat and transparent pricing. 

Our rating system and company reviews are intended to help you make the best decision possible when shopping for an electricity plan. To learn more, you can read our full methodology.

If you have questions about this page, please reach out to our editors at [email protected] .

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Business Electricity Rates for Merchants

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Business energy rates and plans for merchants

If you’re a business owner, you’re likely aware of how costly energy bills can impact your company. Whether you run a nail salon, hair salon, or auto shop, choosing the best commercial electricity plan can help you maximize your budget. 

According to the Energy Information Administration (EIA), the average U.S. commercial electric rate is currently 12.81 cents per kilowatt-hour (kWh). Commercial electricity rates are typically cheaper than residential ones because businesses rely on a large amount of energy to keep their facilities running properly. For example, the cost of heating water in hair and nail salons can quickly add up. Likewise, keeping your auto shop cool during hot summer days can significantly increase your electricity bill. Lighting and equipment for large facilities also add up on energy bills.

Table of contents

How to find the best business electricity provider, importance of energy efficiency for small businesses in the service industry, energy conservation strategies for salons and auto shops .

As a merchant, one way you can save on business costs is by finding the best business electricity rates and plans near you. Choose Energy makes the process of finding the right commercial energy provider and plan simple. We partner with top commercial electricity providers to connect customers with their best options. To get in touch with one of our expert agents, fill out our business electricity form or call the number on your screen. 

When shopping for a business electricity plan, you’ll come across two common pricing structures on the market: fixed-rate plans and variable-rate plans. Here’s how each one works.

• Fixed-rate plans: These plans have a set rate for the duration of the contract, which usually lasts 12, 24, or 36 months. You’ll have a consistent rate, but you may incur an early termination fee (ETF) if you switch providers or plans before the end of your contract.
• Variable-rate plans: These plans have rates that change from month to month depending on the energy market. You may save on energy during low-demand periods, but you’ll also be more likely to pay more during peak periods like summer. 

Call (855)-404-2027 to speak with one of our energy specialists today. 

Small businesses can implement energy efficiency strategies to lower their electricity bills, help protect the environment, and boost their reputation. 

Lower operating costs

Energy efficiency can help your business decrease its operating costs. You can boost your bottom line by lowering how much energy you consume. You can also choose a 100% green business energy plan from a top provider in your area offering green energy plans sourced from wind and solar energy .

Better for the environment

Another benefit of energy efficiency is that it helps lower your company’s carbon footprint and reliance on fossil fuels. When you decrease your energy consumption, you help reduce the amount of emissions released from electric power generation.

Boost your reputation

Your commitment to a sustainable future can be a valuable boost for your company’s reputation to help you stand out to eco-conscious shoppers and business investors. Identify ways to save energy in your daily operations and shop for a green energy plan using Choose Energy to market your mission for sustainability to prospective customers.

While shopping for a cheap energy rate can help lower your expenses, energy conservation can help you save even more overall. Here are some basic energy conservation strategies for businesses in the nail salon, hair salon, and auto shop industries:

• Swap out incandescent light bulbs for LED lighting.
• Install motion-activated lighting with dimmer settings.
• Replace outdated appliances with ENERGY STAR-certified air conditioners, water heaters, washers, and dryers.
• Invest in routine appliance maintenance and tune-ups.
• Choose cleaning products, materials, and supplies from companies dedicated to sustainable business practices.
• Unplug electronics that aren’t in use.
• Lower your water heater to 120 degrees Fahrenheit.
• Invest in solar energy and solar battery storage solutions.
• Encourage staff to make energy-smart decisions, like turning the water off while applying shampoo and conditioner to hair.
• Wash towels at a lower temperature and shorter cycles.

If you’re ready to learn more about business electricity for your company, call the number on your screen. 

Compare electricity rates and plans in Arlington, Texas (2024)

Carter Gaddis is a senior writer at USA TODAY Homefront. He is an experienced journalist who has written about roofing, sunrooms, title insurance and other home service topics. Carter has contributed to the TODAY SHOW parenting section, CBS SPORTS and ESPN, among other publications. He lives with his family in Central Florida, where he spends most weekends at theme parks or watching English soccer on TV.

Editorial note: Homefront (defined in the Disclosure below ) may earn a commission from affiliate partner links featured on our site. This commission does not influence our editors’ opinions or evaluations.

Arlington residents have choices regarding electric companies, thanks to the 2002 switch to deregulated energy in many Texas markets.

While the decision-making process might seem complex initially, you have plenty of tools to help you choose the right Arlington electricity plan. Cost is the biggest differentiator among retail electric providers (REPs), but other factors — such as reputation and plan variety — should also influence your choice.

We offer you the following energy industry information and electric company shopping tips to help you navigate those factors and find the best electricity rates and plan for your needs and budget.

Arlington electricity rates

How do you select an electricity plan in arlington.

Choosing an electric plan might initially seem confusing, but breaking down the energy plan shopping process into three manageable steps makes more sense.

Step 1: Explore available providers and rates

Find the website for a retail provider that interests you. Examples can be found in the cost table above and the ratings table below. Most have a form that allows you to enter your ZIP code, producing a list of the company’s energy plans. 

You’ll also get additional information about each plan, including the contract length, changes in cost by electricity usage, the provider’s customer rating, the cancellation fee, rate type (fixed, variable or prepaid) and the percentage of your energy that will come from renewable sources such as wind or solar.

Step 2: Review your plan details

If you find a plan that appeals to you, move on to the details. Many plans offer tiered pricing, usually lower per kilowatt-hour (kWh) if you use more energy. Rate tiers are often measured at thresholds of 500, 1,000 and 2,000 kWh per month.

Check your current electric bill for your average monthly energy usage, then use that to estimate your monthly kWh usage. The price can change based on your electricity usage.

In most cases, providers charge the highest rates for 500 kWh per month of energy usage and the lowest for 2,000 kWh per month.

Step 3: Make the switch to your new provider

Most providers allow you to sign up immediately by providing your address and payment method. So, once you find a plan you like, you can initiate service. Read terms of service to learn how soon you can expect your power to be activated.

What are the key factors for choosing an electric plan in Arlington?

While Arlington electricity rates vary from company to company, choosing an energy provider is not only about your electric bill. Your circumstance is unique. So, in addition to price, your choice might depend on additional services or a company’s reputation.

Here are the factors to consider when deciding what retail energy provider is best for you.

How much will it cost?

The cost of electricity plans is presented to customers based on the rate per kWh. The average rate per kWh for residential electricity in Texas is 14.3 cents as of April 2024, according to the Energy Information Administration (EIA).

In the Arlington area, the average rate per kWh in March 2024 was 17.5 cents per kWh, according to data from the Bureau of Labor Statistics. Many Arlington electric companies offer lower rates than the statewide average.

Your monthly electric bill reflects your base rate, your rate per kWh, and additional fees and taxes.

Your bill might also reflect rebates in the form of renewable energy buybacks — this refers to a company buying back unused electricity from consumers who use renewable sources.

You may owe a prepaid deposit if your credit score reveals that you might be a payment risk. Most providers run a credit check before you sign up to determine whether to charge a prepaid deposit.

If you switch electric companies before the end of your contract, you may be charged an early termination fee. Our research shows providers charge between $20 and $300 for early termination.

What types of plans are available?

Most Arlington electricity providers show the electricity rate, transmission and distribution price, and other recurring fees within their plans’ details. They might not include nonrecurring fees or taxes, so ask about that before you sign an agreement — or read the electricity facts label (EFL) and full terms of service.

Here’s an overview of the energy plan types offered by most Arlington electric companies:

• Fixed-rate electricity plans: The consumer pays a predetermined rate for kWh used each month, plus any monthly fees. The rate is typically cents, such as 15.7 cents per kWh.
• Variable-rate plans: The amount paid each month fluctuates based on the market price of electricity in the area.
• Month-to-month and 3- to 18-month plans: Consumers can use shorter terms as a trial run with a power company. Apartment complexes typically use 6-month plans. Usually, longer plans with fixed rates come with lower kWh prices.
• Multiyear plans: Some companies offer discounts for years-long commitments.
• Custom plans: Some companies allow consumers to choose renewable energy-only plans (wind or solar, or wind and solar, for example). Another customization option is renewable energy buybacks. 

What is the electric company’s reputation with consumers?

Some power companies have served Texas for generations. Others were founded shortly after the state’s energy market was deregulated in 2002.

No matter how new the provider is, you should look deep into the company’s reputation with consumers.

Ask friends and neighbors for their favorite Arlington REPs. Look at the company’s Better Business Bureau (BBB) page, where you’ll find a BBB-assigned letter grade (or NR for Not Rated) and any consumer alerts about the company.

The Public Utilities Commission of Texas (PUCT) also tracks consumer complaints it receives about every REP. The PUCT tracks the complaints ratio per customer and assigns ratings on a 5-star scale.

What additional services does the electric company offer?

While price, plan variety and reputation are the most important factors for selecting a REP, many companies offer additional options that improve the customer experience and add value to the deal.

If you are worried about sudden loss of AC or heat, check if your REP provides surge protection or backup power options. If saving energy is your priority, determine if your REP offers smart thermostat installation or automated usage monitoring.

What are the top electric companies in Arlington?

In the chart below, see how our top 12 Arlington retail electricity providers compare in terms of our star ratings, PUCT complaint scorecard ratings and BBB ratings.

The three REPs listed below serve Arlington and other Texas cities and have earned 5-star and 4-star customer ratings from the PUCT’s Power to Choose site. These three Arlington energy providers are also our highest-rated out of the two dozen we’ve reviewed.

Green Mountain Energy

Green Mountain Energy has built a reputation in Arlington and beyond for its commitment to renewable energy sources. Its residential and commercial plans are billed as “pollution-free,” and its pricing is at or near industry standards.

Based on its reasonable rates, excellent reputation among consumers and quality customer service, we rated Green Mountain 4.5 out of 5 stars — the highest among the two dozen Texas electric companies we’ve reviewed.

TXU Energy is one of the largest electric companies in Texas and, like many prominent REPs, shows a strong commitment to renewable energy. Its offerings include a basic 12-month plan for 14.9 cents per kWh.

One of TXU’s plans offers free at-home charging for electric vehicles between 7 p.m. and 1 p.m. daily. Any electric vehicle charging that takes place outside of those hours will cost the full per kWh rate.

We gave TXU Energy 4.4 out of 5 stars — tied with Reliant Energy for our second-best score.

Reliant Energy

Like TXU, Reliant Energy is a venerable energy company that successfully transitioned to the deregulated market. Even though the company is not rated by BBB, Reliant earned 4.4 out of 5 stars based on our review standards.

Also, like TXU, Reliant offers a variety of renewable options. Most of its plans include some sustainable energy sources.

Reliant also offers a wide range of additional services, such as air conditioning and heating systems protection, surge protection and portable backup power.

What should new Arlington residents know about deregulated energy?

The biggest difference between consumers who want to switch electric companies and those new to deregulated energy is familiarity with the process, contract language and industry terms.

If you are a new deregulated energy customer in Arlington, you should know that many electric companies require you to use a minimum amount of electricity each month. Some charge a fee if your usage falls short of that predetermined minimum.

When an electricity contract expires, some companies automatically renew on a monthly basis. This can affect your rate, so familiarize yourself with renewal policies.

Most Arlington electric companies charge an early cancellation fee — also called an early termination fee — if you decide to switch companies before the end of your contract. 

Some electric companies require a security deposit, sometimes spread out in payments over time and almost always refundable. Providers might waive the deposit if your credit history is favorable.

However, an electric company might require an upfront deposit paid in full if your payment history is inconsistent.

How to understand the electricity facts label 

Retail electricity providers are required to disclose an electricity facts label (EFL). The EFL is usually a one- or two-page document that includes sections on pricing, key terms and questions, and disclosures.

Disclosures

The pricing section breaks down costs related to electricity delivery. In addition to the price per kWh, you may see a list of costs based on monthly usage, the amount your provider pays the utility company, meter fees, taxes and other charges.

The terms section includes details about the length of your contract, the deposit policy and other associated fees.

The disclosure section covers cancellation fees, the percentage of renewable energy you’ll receive in your plan, and whether the plan is considered a prepaid or pay-in-advance plan.

Green energy plans in Arlington

Most retail providers in Texas include some renewable energy sources for the power they sell to consumers. Renewable sources include wind, solar, biomass, landfill gas or hydroelectricity.

Electricity providers in the state can designate Texas-produced natural gas as a green energy source in Texas.

About a quarter of all the electricity plans available in Arlington guarantee that 100% of the energy they deliver comes from renewable resources. Approximately half of companies guarantee that some of your power will be generated using green energy sources.

Companies offering green energy plans

Many prominent electric retail providers — such as Reliant, TXU Energy and Constellation — offer multiple plans built on renewable energy sources. Two electric companies in Texas stand out in the green energy market: Green Mountain Energy and Gexa Energy.

Green Mountain is a well-known green energy leader in Texas. The provider offers seven wind-powered plans over 12, 24 or 36 months with rates between 14.5 cents and 16.9 cents per kWh. It offers two solar plans for 18 months at 15.9 cents per kWh or 12 months at 16.9 cents per kWh.

Green Mountain also offers wind energy plans that include no charges for electricity used between 8 p.m. and 6 a.m., with fixed rates of 16.9 cents per kWh for 12 months or 16.5 cents per kWh for 24 months. The company offers renewable energy buyback plans, which allow you to earn credits for solar energy you don’t use.

Gexa is another electric company with a deep selection of green energy plans. All of Gexa’s 17 plans are categorized as renewable energy. Its energy sources include wind, solar, nuclear power and natural gas. The company also offers electric vehicle owners solar energy buyback options and specialty plans.

How does deregulated energy work in Arlington?

A deregulated energy market differs from a regulated market in that residents can choose which company to buy electricity from. In regulated energy markets, consumers must use the electric company assigned to them based on where they live.

Deregulated energy means that in addition to consumers and government agencies, there are three major players. These include the following:

• The owners and operators of power plants, wind fields, solar arrays and other sources of energy generation
• The transmission and distribution utilities (TDUs), which administer the power lines and other facets of energy infrastructure
• The retail electric providers (REPs), which are customer-facing entities that bill consumers for electricity

In Arlington, the TDU is Oncor Energy Distribution. Every electricity plan in the Dallas–Fort Worth metroplex (officially called Dallas–Fort Worth–Arlington) relies on infrastructure managed and monitored by Oncor.

How Texas assists residents in choosing an electric company

Whether you are an Arlington resident who wants to switch electric companies or a new Arlington resident navigating deregulated energy for the first time, the state of Texas provides a useful tool called Power to Choose .

This state-run website provides a detailed list of available electricity plans when you type in your ZIP code. Along with the name and star rating of the REP, the displayed results include the length of the plan in months, the price per kWh, any cancellation fee and other information to help you make an informed decision.

We typed in Arlington’s most-populated ZIP code, 76010, and found 151 plans offered by 40 providers with a cost range of 9.4 cents per kWh (variable) to 19.3 cents per kWh (fixed rate).

Electricity trends in Arlington

The cost of electricity in a specific state or city depends on multiple factors, such as local fuel source availability and the maintenance cost of infrastructure.

The one certainty regarding Arlington’s electricity rates? The price will change soon.

“Deregulation has led to periods of extreme price volatility, often driven by fluctuations in natural gas prices or spikes in demand due to weather conditions,” explained Don Whaley, who served as president of numerous REPs in deregulated markets and currently serves as an advisor to OhmConnect , a REP that services Dallas and other Texas cities .

“Despite these challenges, taking a long-term view reveals that the commodity price paid by consumers in Texas has remained remarkably stable,” he said.

Fluctuations in Texas’ wholesale energy market present a challenge for price consistency. Dallas, Arlington and Fort Worth are not immune.

“Electricity prices are increasing in Dallas because [the Electric Reliability Council of Texas] wholesale market is now the most expensive and most volatile in the nation,” said Ed Hirs , energy fellow, lecturer and energy economics expert at the University of Houston. “Transmission costs are up and are being passed through because of the buildout necessary for renewable energy supplies, [and] Oncor has been required to harden their grids to service their growing communities.”

Legislation related to the Texas electricity industry influenced more than just cost.

“Over the 20-plus years of deregulation, consumers have become far more knowledgeable about the market,” said Whaley. “This has led to greater residential solar adoption and demand for more sophisticated rate offerings from [REPs] serving the competitive sections of the state.”

One example is adopting plans that provide customers with 100% renewable energy, which has placed Dallas and Houston at or near the top of the Environmental Protection Agency’s list of greenest cities for nearly a decade.

Weather conditions play a big role in prices and power availability, too.

“While events such as Winter Storm Uri and some extremely hot summer temperatures have distorted this perception [that deregulation is a positive thing], based on commodity pricing alone, competition has had a positive impact on the market,” Whaley said.

“Despite the relative stability in commodity prices, Texas consumers are paying more for their electricity.” Don Whaley

Since the 2021 winter storm that caused widespread blackouts throughout Texas, the PUCT, the Energy Reliability Council of Texas (ERCOT) and the state legislature have taken several steps to ensure the energy supply’s long-term stability, said Whaley.

“Unfortunately, each has come with a price and the result has been a steady increase in the monthly cost consumers pay,” Whaley said. “Despite the relative stability in commodity prices, Texas consumers are paying more for their electricity.”

Texas power outages

Based on data from the EIA , Texas is the second most likely state to see power outages behind Louisiana. Texas residents saw more hours of power interruption in 2021 than all but two states.

“The challenge Texas faces now is that it needs more power generation that is dispatchable — natural gas or nuclear, for example — yet the investment into power plants of this type is risky,” said Brandon Young, CEO of Payless Power . “The Catch-22 is that everyone wants clean energy and, likewise, reliability. At present, clean energy is not reliable because it is hard to predict when the wind will blow or when the sun will shine without clouds.”

What are some deregulated energy terms to know?

Familiarizing yourself with energy industry terms is important, especially if you are new to Texas’ deregulated energy market. Here are a few acronyms and terms you should know:

adding unauthorized charges to a utility bill.

electricity facts label. Similar to a nutritional values label on consumable items, this provides prices, contract terms and other details about your electricity contract. Allows for an “apples-to-apples” comparison among plans and companies.

Energy Information Agency, an agency of the U.S. Department of Energy that provides independent statistics and analysis of energy resources and costs, including costs by population centers.

Energy Reliability Council of Texas, an agency of Texas that oversees the state’s power grid.

the unit of measurement used by most power companies to break down the cost of electricity in a consumer contract. EIA’s definition: A measure of electricity defined as a unit of work or energy, measured as 1 kilowatt (1,000 watts) of power expended for 1 hour. One kWh is equivalent to 3,412 Btu.

the act of reading an on-site electric meter to determine power usage each month.

Public Utility Commission of Texas, an agency that administers economic regulation of the state’s electric and other utilities.

retail electricity provider; the electric company that sells your power.

changing energy providers without notice or authorization.

an industry term for consumers who change electric companies.

transmission and distribution utility; the company that controls the power delivery methods.

Frequently asked questions about electricity rates and plans in Arlington

How do i file a complaint about my electricity service.

The Public Utility Commission of Texas provides a form that allows consumers to file official complaints directly to the commission. The PUCT asks that consumers contact their electric companies to seek a resolution before filing a complaint.

Can I transfer my current contract with an electric company to a new address?

Yes — if you are moving to a home in the same service area as your former home. If you are moving to another delivery area, you must sign a new agreement. You might be charged an early termination fee, as well.

What is a disconnection moratorium?

During extreme weather events, such as deep freezes or heatwaves, PUCT consumer protection rules prohibit providers from shutting off the power because of nonpayment. For example, a winter moratorium is triggered if a customer’s local temperature is at or below 32 degrees Fahrenheit for 48 hours. 

What’s next?

When selecting an Arlington electric company, there’s no need to feel trapped in a deal. Even if you have to pay an early termination fee, you always have the option to switch to another provider.

That said, the best strategy is to ensure you know every detail about your plan before agreeing to a contract.

To avoid surprises on your monthly electric bill, read your EFL and your terms of service. Check your past electric bills to find out your average electricity use and use that to estimate your future usage.

Then, make an effort to monitor and manage your electricity usage over time to make sure you find the best electric company for you in Arlington.

Our rating methodology for deregulated energy companies

We review and rate retail electricity providers in Texas to provide the information you need to select the electric company that fits your budget and home energy needs. The best retail electricity providers offer a variety of plans at reasonable rates, as well as consistent, helpful customer service.

Our ratings are based on our detailed methodology . We score companies out of 100 points using review standards based on the plan types offered, the cost of those plans, the companies’ reputations and the customer service features they offer. We then divide their total scores by 20 to determine a rating out of 5 stars.

BBB and PUCT customer ratings are accurate as of May 2024.

Editorial note: The name “Homefront” refers to the alliance between USA TODAY and Home Solutions that publishes review, comparison, and informational articles designed to help USA TODAY readers make smarter purchasing and investment decisions about their home. Under the alliance, Homefront provides and publishes research and articles about home service and home improvement topics.

Homefront has an affiliate disclosure policy . The opinions, analyses, reviews or recommendations expressed in this article are those of the Homefront editorial staff alone (see About Homefront ). Homefront adheres to strict editorial integrity standards. The information is believed to be accurate as of the publish date, but always check the provider’s website for the most current information.

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Summer power prices seen surging for Texas, falling in California

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Reporting by Laila Kearney; Editing by Sonali Paul

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Death toll from Afghanistan floods rises to 315, Taliban ministry says

The Taliban-run ministry for refugees said on Sunday the death toll from flooding in northern Afghanistan was 315 with more than 1,600 people injured.

Heavy rain brought floods and landslides to Indonesia's province of West Sumatra, killing at least 28, with four still missing, authorities said on Sunday.