Walking your dog through your neighborhood, you’ve started to wonder: How can my neighbors afford to have so many lights on every night?
Your electricity bill keeps rising, even though you are trying your hardest to turn off the lights whenever you can.
It’s not you. Your neighbors probably just have a better electricity rate than you. But how can you know how much you should be paying for electricity in your area?
Our innovative shopping tool was designed to make sure you have the best electricity plan on the block. So what are you waiting for?
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This guide will explain exactly what you need to do to compare rates and find the one that is best for you by simply entering your zip code.
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The electricity rates in your zip code are based on four specific factors:
Supply and demand refer to the fact that electricity rates depend on the amount of usage at any given time. During Texas summers, when we are using more power for air conditioning, mini fans, etc., the cost of electricity is going to be higher.
Your REP has to negotiate with generation companies to determine a rate to supply electricity to your zip code. Each company can charge a different rate depending on the current demand. And therefore, kWh cost by zip code could be substantially different depending on where you live in Texas.
Seasonality simply means that electricity companies are aware that there are peak times for usage depending on the season. In Texas, usage will likely spike during summer.
Energy companies must account for those highs as well as lows in months like January and February, and this will affect their calculation of rates in your zip code.
Transmission and Distribution are carried out by a separate entity outside of your REP. Your local utility company carries this responsibility and charges a fee to do so.
You won’t often see this as a separate fee on your monthly electricity bill, but it is factored into the electricity rates for your zip code provided by your REP.
Power Wizard finds you the best electricity plan and ensures you won’t overpay for electricity again.
Learn More in Under 2 MinsIt is important to note that electricity rates in your zip code could potentially change every 15 minutes.
Energy companies monitor prices every 15 minutes. They base their rates in your zip code on those costs measured in cents per kWh.
Your REP takes all of this into account when determining your rates over a specified contract period.
Electricity rates in your zip code are ultimately determined based on how much electricity your REP thinks that you will use, the time of year, and the cost of transmitting that electricity to your home.
Their goal is to be able to provide practical rates to customers like you, all while earning a profit for themselves.
The cheapest electricity rate in your zip code may not be the best rate for you.
There are several factors to consider when searching for the best electricity rates by zip code:
This list could go on and on.
With the number of electricity rates offered in your zip code, it could take weeks to manually find a rate that works best for you.
Power Wizard could reduce your search time from weeks to a matter of minutes.
When you enter your zip code into Power Wizard’s Shopping Tool, we will review the plans and rates available in your zip code and match you with the best plan and rate to meet your needs.
Your electricity rate will not be the same as your neighbors.
It’s not as easy as you think to determine your electricity rate by using a simple equation that utilizes cents per kWh.
Although most companies do utilize cents per kWh in their calculation of electricity rates by zip code, there are several other factors at play:
Power Wizard finds you the best electricity plan and ensures you won’t overpay for electricity again.
Learn More in Under 2 MinsElectricity rates are subject to change every 15 minutes.
Your electricity rate may or may not change depending on the type of electricity plan you choose.
If you choose a fixed-rate plan, your rate will remain the same for the length of your contract.
If you choose a variable-rate plan, your rate will vary from month to month.
Power Wizard’s technology works 24/7 to make sure that the rate you pay is always the best rate for you.
If we find a better rate for you after you become a Power Wizard member, we will automatically switch you over.
There are a number of factors that affect electricity rates by zip code:
The average price that people pay for electricity in Texas is 11¢ per kWh.
If you are paying less than the average cost of electricity in Texas, that’s probably a good price.
Power Wizard finds you the best electricity plan and ensures you won’t overpay for electricity again.
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Determining the best electricity rate is not the easiest thing to do.
It can be tedious, confusing, and time-consuming.
The best electricity rate would be one that works best for your needs and the needs of your family.
You would need to consider things like:
Have you considered that even if you find the best rate for your zip code, it may not be the best rate for your household?
Your electricity rate may not be the same as your neighbor’s, even though you both live in the same zip code.
Your rate is completely dependent on your personal needs.
When searching for an electricity company that has the best rates, it is important to keep in mind that the seemingly lowest rate may not be the best rate for you.
There are three ways that you can search for a company with the best rates in your zip code:
It is completely up to you as to which method you use.
The first two options require an in-depth knowledge of the industry. They also require that you know exactly what type of plan you’re looking for. And, there’s no way to have complete confidence that you choose the right plan.
Power Wizard has your back by doing all of the work for you.
Power Wizard will find the best electricity company and plan for you based on your usage.
Even after you are matched with the best company and plan, Power Wizard will continue to search for the best available plans and rates to accommodate your usage and budget.
Power Wizard finds you the best electricity plan and ensures you won’t overpay for electricity again.
Learn More in Under 2 MinsThere are thousands of electricity plans available in Texas.
The deregulated regions of Texas are currently the only regions that are allowed to choose their electricity provider.
In each deregulated area, there may be hundreds of REP’s to choose from.
Each REP may offer multiple plans.
This could all result in hundreds of plans to choose from in your area, but not all of the plans offered in Texas are available in your zip code.
The number of plans that you have to choose from is dependent on your zip code.
There could be 50 plans to choose from, or there could be 500.
However, there are only a few different types of plans to choose from.
Your zip code determines the plans that are available to you.
It can be extremely challenging to determine the best rate in your zip code based on the plans available.
You want to make sure that you choose a plan that fits your needs best and will save you money in the long run.
There a several types of plans in your zip code to choose from:
When looking for electricity rates by zip code, Choosing a fixed-rate plan simply means that your rate will not change for the duration of your contract.
You may, however still be subject to fees due to changes in administrative fees beyond the control of your REP.
If your household is on a budget, this may be the best plan option for you.
It’s important to note that if market prices should fall, you will have to wait until your contract is up to take advantage of a lower rate.
The rate that you pay with a variable-rate plan can vary from month to month.
The advantage of choosing a variable-rate plan is that there are no contracts or cancellation fees to worry about.
Power Wizard finds you the best electricity plan and ensures you won’t overpay for electricity again.
Learn More in Under 2 MinsYour electricity rates, by zip code, can fluctuate based on the market value of electricity. Your rate can also change at the discretion of your REP.
With a variable-rate plan, you can always take advantage of lower rates when market value prices fall. On the other hand, when market prices spike due to weather, market conditions, etc., your electricity rate will also increase.
Prepaid service allows customers to make electricity service purchases in advance.
Service is provided on a “pay-as-you-go” basis, with usage calculated daily.
Prepaid service may be provided as either a fixed, variable, or indexed plan.
Prepaid service may require upfront payment for electricity service.
Time-of-Use service or Free Nights and Weekends include incentives to use power during certain periods, such as nights or weekends.
The average price calculations are based on the REP’s estimation of the percentage of energy used during free or discounted hours versus the non-free or non-discounted hours.
These estimates and hours vary from REP to REP and from plan to plan.
The average price you pay will vary depending on your actual usage of energy during the free hours versus the non-free hours.
Shifting your usage to the discounted times will maximize your benefit from this type of plan.
If you do not shift your usage, your bill may increase.
Here are just a few things that make searching for electricity rates difficult:
With all things considered, here are a couple of things to keep in mind when comparing electricity rates by zip code:
Power Wizard finds you the best electricity plan and ensures you won’t overpay for electricity again.
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Deregulation of the electricity market in Texas has made it so that now there are thousands of individual electricity companies competing for your business.
Each of these companies has a number of plans and rates for you to choose from.
This means that there could be hundreds of plans and rates for you to choose from in your zip code.
Deregulation means that people who live in specific areas of Texas now have the opportunity to choose from a variety of plans with an assortment of rates, contract terms, and incentives.
As a result of deregulation, over 85% of electricity consumers can choose their REP in Texas.
A REP is a retail electricity service provider.
A Retail Electric Provider (REP) sells energy to retail customers in the areas of Texas where the sale of electricity is open to retail competition.
A REP buys:
Power Wizard finds you the best electricity plan and ensures you won’t overpay for electricity again.
Learn More in Under 2 MinsManually searching for electricity rates by zip code can be both frustrating and time-consuming.
If you were to manually search for electricity rates by zip code, the process would look something like this:
You can save lots of time and headaches by becoming a Power Wizard member.
Let Power Wizard take away the stress and anxiety of finding the best electricity rates for you.
Here’s how it works:
Let us find you the best electricity plan in seconds and start saving.
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