Texas offers a wide range of electricity plans to fit just about every type of household or business. Whether you live in a high-rise in Dallas or a single-family home in Houston, there’s a plan that fits your usage habits, budget, and risk tolerance. From short-term contracts to multi-year fixed-rate options, the Texas market gives you the flexibility to choose what works best for you.
| Provider | Plan | ¢/kWh | Est. Monthly Bill | Term | Rating | Checkout Link |
|---|---|---|---|---|---|---|
| Frontier Utilities | Frontier Saver Plus 12 | 8.7¢ | $87 | 12 months | 4.8 | Checkout |
| Gexa Energy | Gexa Eco Saver Plus 12 | 8.7¢ | $87 | 12 months | 4.8 | Checkout |
| 4Change Energy | Maxx Saver Value 24 | 8.8¢ | $88 | 24 months | 4.9 | Checkout |
| Express Energy | Flash Value 12 | 8.8¢ | $88 | 12 months | 4.7 | Checkout |
| Chariot Energy | GridEdge 12 | 9.4¢ | $94 | 12 months | 4.4 | Checkout |
| APG&E | SimpleSaver 12 | 9.5¢ | $95 | 12 months | 4.2 | Checkout |
Below are the most common electricity plans offered in deregulated areas in Texas:
Texas deregulated its electricity market in 2002, allowing residents in most areas to choose their retail electricity provider (REP). That means you’re not locked into one provider—you can shop around for the best rate and plan for your needs.
Deregulation brings benefits like more plan options, competitive pricing, and the ability to switch providers. However, it also means rates can change, especially during high-demand seasons such as summer and winter.
Today’s trends indicate an increasing emphasis on green energy options, time-of-use plans, and smart technology upgrades. With so many choices, using a tool like Power Wizard can help you avoid overpaying and find a plan that fits your home and habits.
Electricity rates in Texas are shaped by a mix of usage habits, market dynamics, and where you live. That means rates can vary between households and businesses across the state.
Residential electricity rates are usually based on total kilowatt-hour usage and include fixed fees from your TDU. These rates are designed for homes, which often have variable usage patterns that change from month to month. Homeowners can benefit from fixed-rate plans that offer pricing stability over the term of their contract, even when market prices fluctuate.
Commercial electricity rates work a little differently. Businesses often use more electricity on a consistent schedule, which allows providers to offer lower rates per kilowatt-hour. However, commercial plans may include additional charges based on peak demand usage. The more energy a business uses during high-demand times, the higher those charges can be.
Every electricity plan has an Electricity Facts Label (EFL) that outlines its pricing structure and details. Carefully review the EFL before enrolling to make sure you understand what you’re signing up for.
An Electronic Facts Label (EFL) is an online and physical document designed to provide Texans with a comprehensive set of facts and figures about their electricity plans. Developed by the Public Utility Commission of Texas (PUCT), the EFL gives customers easy access to important information like electric rates, plan fees, and contract details before they sign up with a retail electric provider.
Understanding an Electronic Facts Label (EFL) for electricity plans in Texas can seem intimidating and complex but breaking it down section by section helps make the process easier. The Texas EFL comprises four main sections:
There’s no shortage of REPs for Texas residents and businesses to choose from. With dozens of providers competing in the market, you’ve got plenty of options when it comes to rates, contract terms, and plan features. Below is a list of active REPs serving deregulated areas of Texas, so you can get a feel for who’s out there before comparing plans.
Want to know which providers are available in your area? Enter your ZIP code into Power Wizard’s comparison tool!
3.86
3.30
4.19
4.83
2.75
3.72
4.28
4.67
2.36In Texas, your electricity service comes from two separate players: the utility and the provider. Your utility, also called a Transmission and Distribution Utility (TDU), owns and maintains the power lines, poles, and meters. They’re responsible for delivering electricity to your home and handling outages, no matter which plan or provider you choose.
Retail Electric Providers (REPs), on the other hand, sell you the electricity. They set your rate, offer contract terms, and send your monthly bill. You can shop around and switch providers, but your utility stays the same based on where you live.
Utilities charge separate fees for their services that will appear on your monthly electricity bill as TDU or TDSP (Transmission and Distribution Service Provider) fees. These are set by the utility and will not change if you switch to a different REP. However, they may be updated throughout the year, so don’t be surprised if they change.
The Public Utility Commission of Texas (PUCT) oversees the state’s electric, water, and telecommunications utilities. They monitor providers, handle complaints, and make sure companies are clear about pricing and contract terms. If a provider breaks the rules, the PUCT can issue fines, revoke licenses, or take legal action.
ERCOT, or the Electric Reliability Council of Texas, manages the flow of power on the Texas grid. It balances electricity supply and demand in real-time and ensures the grid remains stable and reliable. Together, the PUCT and ERCOT keep the lights on and the market fair.
The deregulated electricity market in Texas offers consumers more choice, but it also comes with regulations to ensure fairness and transparency. The PUCT is the agency that oversees these regulations.
Texas electricity customers have several built-in protections, including but not limited to:
For a complete list of all regulations and protections, visit the Public Utility Commission of Texas website.
Tired of jumping from one provider website to another just to compare rates, fees, and contract terms? Power Wizard makes it easier. Our online tool puts all your plan options in one place so you can compare them side by side—no digging, no guesswork.
Here’s how it works:
With Power Wizard, you get all the information you need up front, so you can shop smarter and lock in an electricity plan with confidence.
A TDU (Transmission and Distribution Utility), also known as a TDSP (Transmission and Distribution Service Provider) like Centerpoint or Oncor, is a utility company. Utility companies charge a delivery fee that consumers in Texas will see on their monthly bill simply passed through from the utility. This fee is used to help cover the costs associated with delivering electricity from generation sources to homes and businesses. It will be shown as the monthly fixed rate plus an additional rate per kWh. It varies in the way it’s charged per provider.
The fee covers the costs of maintaining the electrical grid, such as poles, wires, meters, and other equipment. Furthermore, it covers expenses for customer services, meter reading and maintenance, safety inspections, and keeping records. These charges are mandatory and not something that is chosen. It’s based on the TDU serving the area where you reside. The TDU delivery fee is set by the PUCT and updated multiple times per year. Retail electricity providers are not allowed to charge any kind of markup for delivery chargers.
In the state of Texas, the rate per kilowatt-hour (kWh) for electricity plans is largely determined by the type of plan and provider.
The rate for various plans in Texas depends on several factors. These include wholesale prices, market forces, customer usage patterns, and the season. For example, during summer months air conditioning usage is higher. So plans are typically much more expensive if you’re shopping for a new plan. Any contracts that include summer months will often be more expensive than say a six-month plan that runs from October to March.
Terms of Service (TOS) for an electricity plan in Texas entail several key points that both the provider and customer must abide by. This is a legal contract after all, and important to understand before signing.
The TOS for an electricity plan in Texas outlines the costs associated with the service. It also outlines any applicable fees you may see on your plan along with a breakdown of how these affect your rate. It explains ways to pay, fees associated when there is a failure to pay and how long you will have electricity before losing power.
You can switch providers at any time, but you might have to pay an early termination fee (ETF) if you’re still under contract. Check your Electricity Facts Label (EFL) or call your provider to find out when your contract ends. If you’re within 14 days of your contract expiration or are moving, you can switch without penalty.
Some Texas electricity providers require a deposit to start service if you have a poor or limited credit history. However, some providers, like Payless Energy, offer prepaid and no-deposit electricity plans. These can be great options for anyone who wants to skip a deposit or cred
Most Texas cities, including Houston, Dallas, and Corpus Christi, are deregulated. However, some areas, like Austin, San Antonio, and certain co-ops, are still regulated. To determine whether you live in a deregulated area of Texas, you can enter your ZIP code into Power Wizard’s comparison tool or visit the Public Utilities Commission of Texas (PUCT) website.
Yes, Texas has one of the largest renewable energy markets in the country, and many electricity providers offer green plans. These plans vary in how they source or support renewable energy. Some are 100% renewable, meaning the provider purchases renewable energy credits (RECs) to match all of your usage. Others are partial-renewable plans, which offset only a portion of your usage. Every plan’s renewable content is listed in its Electricity Facts Label (EFL), so you can see exactly what you’re signing up for.
4.9
4.83
