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Electricity Rates: Plano, TX - Current Rates and How to Find the Best One

“My electricity rates are too high. I know I should spend hours doing research to find the most affordable electricity plan, but I just don’t have the time. HELP!”

If this feels like you, we understand. The Texas power market can be overwhelming. Luckily, you’ve stumbled onto the one solution that can make your life a whole lot easier.  

Introducing… Power Wizard

With our service, all it takes is a few clicks, and that’s it. In no time at all, we match your electricity needs to the best plan for you. Stop wasting your time and let our magic do the hard work for you. 

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Find the Best Plan

 

Electricity rates in Plano may vary from provider to provider and from plan to plan offered by each provider.

You shouldn’t sign up for the first plan that looks like a great deal. First, you need to understand a few things:

• How are electricity rates determined in Plano?
• How do they compare to the rest of Texas?
• What is the best way to find a great rate and plan that meets your needs?

You’re in the right place. We’ll cover these topics and more—giving you the tools and confidence to shop Plano electricity rates quickly and with ease.

What is the Average Electricity Rate in Plano?

According to Electricity Local, the average residential electricity rate in Plano is 11.1¢ per kWh. But, depending on the type of electricity plan you have, you may pay more or less than this average rate.

There are at least 20 certified retail electric providers (REPs) offering electricity in Plano. Each of these REPs will have different plans, rates, and incentives for their customers to choose from.

Additionally, electricity rates in Plano, like all other deregulated cities in Texas, vary by zip code.

What does this mean for you?

You may pay 9.9¢ per kWh while your sister, who lives across town, may use the same REP and pay a different rate.

How do Plano Electricity Rates Compare to Texas Overall?

Electricity Local also tells us that the average residential electric rate for the state of Texas is 10.98¢ per kWh.

This means electricity rates in Plano are very close to the state average, with a difference of only .13¢ per kWh — higher by only 1.18%.

How do Plano Electricity Rates Compare to Surrounding Cities?

With a population of over 288,000, Plano is a moderately-sized city located in the greater Dallas-Fort Worth Metropolitan area.

To get a true idea of how Plano’s electricity rates compare to surrounding cities, let’s look at the populations and average electricity rates of a few larger and smaller cities not too far from Plano:

As you can see, even with a population range of 54k to 1.3 million, electricity rates in cities around Plano are relatively similar.

The reason for this is, in part, because all of the cities in the table above are serviced by the same transmission and delivery utility (TDU).

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Let’s take a closer look at the TDU that provides electricity to Plano and how it plays a role in Plano’s electricity rates.

Who Provides Electricity to Plano Residents?

As previously mentioned, there are multiple REPs with varying electricity rates in Plano.

While REPs sell electricity to Plano consumers (and all deregulated areas of Texas), TDUs account for the transmission and distribution of electricity to Texas consumers.

What is a TDU?

TDU stands for Transmission and Distribution Utility. TDUs partner with REPs to deliver electricity to your home or business.

The maintenance of poles, wires, and meters is the responsibility of the TDU that services your area.

Additionally, TDUs read your electricity meters and respond to power outages to restore service.

While TDUs aren’t involved in setting base energy rates per kWh, they do have a direct impact on the overall electricity rates you will pay in Plano. We’ll get into this a little later.

Which TDU Provides the Distribution of Electricity in Plano?

There are five major TDUs that operate in the deregulated areas of Texas:

• AEP Central
• AEP North
• ONCOR
• Centerpoint
• TNMP

Plano (and the entire Dallas-Fort Worth Metropolitan Area) is serviced by ONCOR.

ONCOR is the largest TDU in the state of Texas and serves more than 10 million customers.

How Does ONCOR Affect Electricity Rates in Plano?

The price you pay for electricity in Plano starts with the market rate of electricity and the price REPs pay when they purchase electricity from power generation companies.

Here is a brief, simplified explanation of the electricity industry in Texas:

1. Power generation companies generate electricity
2. Electricity is purchased by REPs for resale to you and all other Texas electricity consumers
3. REPs partner with TDUs to deliver electricity to your home or business

a. TDUs charge delivery fees that are eventually passed on to you

4. You choose the REP you wish to purchase electricity from

• REPs compete for your business by offering varying types of plans and accompanying rates

TDUs are not involved in the generation of electricity. Nor are they involved in setting the market rate for electricity.

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So, how does ONCOR affect the electricity rate you’ll pay in Plano?

TDU Delivery Fees

Delivery fees charged by ONCOR will account for approximately one-third of your electric bill on average.

Each electricity provider in Plano will display these charges on your bill differently, but you will typically see two different TDU fees:

1. A TDU charge per month
2. A TDU charge per kWh

How do these charges ultimately affect your Plano electricity rate?

Let’s say you’re considering a Plano REP that is advertising an electricity plan with a rate of 7.1¢ per kWh.

Your ONCOR delivery fees may look something like this:

• $3.42 per month AND
• 3.54¢ per kWh

If you use 1400 kWh per month, your rate will actually be around 10.88¢ per kWh:

• .071 + .0354 = .1064
  • REP rate + TDU charge per kWh = total rate per kWh
• .1064 x 1400 = $148.96
  • Total rate per kWh * usage = base electricity charges
• $148.96 + $3.42 = 152.38
  • Base electricity charges + TDU monthly charge = total electricity charges
• $152.38 / 1400 = .1088
  • Total electricity charges / usage = true rate per kWh

*This doesn’t account for any other fees charged by your Plano REP

Every residential consumer in Plano (and all areas served by ONCOR) will pay the same TDU delivery fees, no matter who your REP is.

But, these fees can fluctuate and may vary from one month to the next.

Best Electricity Rates in Plano, Texas

When shopping for electricity rates in Plano, you might reason that the cheapest rate would be the best rate, right?

If only that were the case. Choosing an electricity plan would be so easy.

There’s a major issue with taking electricity rate advertisements at face value — unless the rate is “all-inclusive” of any additional fees, it’s almost guaranteed that you’ll ultimately pay a higher rate than advertised.

Some fees that are often added to your electricity rate are:

• TDU delivery fees
• Minimum usage fees
• Base charges
• Energy efficiency cost recovery fees

Additional fees aren’t the only factor that might affect your electricity rate in Plano.

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You’ll also need to consider the following variables:

• Monthly kilowatt usage
• Contract length
• Plan type

Let’s take a closer look at these variables in the following sections.

How Does Kilowatt Usage Affect Electricity Rates in Plano?

Some REPs in Plano adjust the rate you’ll pay per kWh based on your kilowatt usage.

If you have very consistent electricity usage from month to month, you may be able to find a great usage-based plan that suits your needs.

But, what happens if you go on a long vacation and your home is empty for two weeks? Or, what if you have surgery and spend significantly more time at home for an extended period of time?

If you have a plan that provides a great electricity rate based on a very particular kilowatt usage, you could be looking at an exceptionally high electric bill for months when your usage varies from the norm.

We’ll examine some plans offered by a few Plano REPs to see how kilowatt usage can affect your electricity rates in Plano.

Example #1 – Frontier Utilities

Frontier Utilities offers various plans in the Plano zip code of 75023. One of these plans is called Easy Bill 12.

This plan offers a flat monthly electric bill of $72 for usage up to 1000 kWh per month. At 1000 kWh per month, the electricity rate you’ll pay in Plano with this plan is about 7.2¢ per kWh.

Not bad. Quite a deal, honestly.

But what happens if you go over 1000 kilowatt-hours?

Your rate for usage above 1000 kilowatt-hours jumps up to 19.9¢ per kWh.

You’ll always pay that $72 for your first 1000 kilowatt-hours. And on top of that fee, you’ll pay the higher rate for every kWh over 1,000.

So, that knee surgery that kept you away from the office and on the couch for three weeks? It’ll cost you.

For example, an increase to 1350 kWh would result in an average electricity rate of 10.5¢ for the month — and raise your predictable $72 electric bill to over $141.

Example #2 – Gexa Energy

Gexa Energy also offers services for electricity in Plano. One plan available in the zip code of 75023 is called Gexa Saver Supreme 12.

This plan offers a rate of 7.2¢ per kWh. But here’s the (big) catch. You’ll only pay this rate if you manage to use exactly 1000 kilowatt-hours per month.

The base rate for this plan is actually 11.84¢ per kilowatt-hour, but they offer an $85 bill credit for usage between 1000-2000 kilowatt-hours. This bill credit essentially lowers the average price per kWh you’ll pay.

How will your electricity rate change if you use more or less than 1000 kWh per month? Here are a few examples:

• At 500 kWh per month, you’ll pay an average of 16.1¢ per kWh
• At 1300 kWh per month, you’ll pay an average of 9.1¢ per kWh
• At 2100 kWh per month, you’ll pay an average of 15.5¢ per kWh

All of these VERY different electricity rates are possible with the SAME Plano electricity plan.

Are you scratching your head yet? Wondering how in the world you’ll find the best electricity rate in Plano for your particular kilowatt usage?

Power Wizard makes the process simple and free of head-scratching. Use our Shopping tool to find the electricity rate in Plano that truly matches your kilowatt needs.

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How Does Contract Length Affect Electricity Rates in Plano?

Do you know you’ll be in Plano for years? Or is your current living situation fluid?

Longer contracts may offer electricity rate stability (and make future budgeting easier)…but what if you ultimately find a much better plan and want to break that contract? What do termination fees look like?

Below, we’ll review two REPs who offer both short-term and long-term contracts to see how contract length affects electricity rates in Plano.

Example #1 – Green Mountain Energy

Green Mountain Energy is an REP that offers service in Plano. Two plans they offer are the Pollution Free e-Plus 12 and e-Plus 36 Preferred plans.

The Pollution Free e-Plus 12 Preferred is a 12-month plan. Depending on kilowatt usage, you will pay an average electricity rate of 12.7¢ per kilowatt-hour in Plano. This plan has a cancellation fee of $150.

The Pollution Free e-Plus 36 Preferred is a 36-month plan. Depending on kilowatt usage, you will pay an average electricity rate of 12.1¢ per kilowatt-hour in Plano. This plan has a cancellation fee of $250.

Example #2 – Pulse Power

Pulse Power is another REP that offers short and long-term electricity rates in Plano. Two plans Pulse offers are the Texas Fixed 12 and the Texas Fixed 36

The Texas Fixed 12 is a 12-month plan. Depending on kilowatt usage, you will pay an average electricity rate of 10.4¢ per kWh in Plano. This plan has a cancellation fee of $20 per month remaining.

The Texas Fixed 36 is a 36-month plan. Depending on kilowatt usage, you will pay an average electricity rate of 10.6¢ per kWh in Plano. This plan also has a cancellation fee of $20 per month remaining.

Signing a long-term contract can be beneficial for your electricity rate. But, if you don’t actively monitor the market, how will you know if you’re missing out on a much better rate in the middle of your contract?

Power Wizard will continuously assess the market. If a better rate becomes available and you’ll save money by switching (including termination fees), we’ll alert you. Automatically.

How Do Electricity Plan Types Affect Rates in Plano?

The type of plan you choose can also affect your electricity rates in Plano.

There are several types of plans available in Plano, but we’ll review three of the most commonly available plans and discuss how the type of plan you choose can affect the electricity rate you’ll pay in Plano.

Fixed-rate Plans in Plano

Fixed-rate plans are pretty self-explanatory. The electricity rate charged by your Plano REP will remain the same for the length of your contract.

Don’t forget that the average rate you pay overall may fluctuate due to TDU delivery fees and kilowatt usage stipulations laid out in your contract.

But, your base rate established by your REP will remain the same.

To provide an idea of an electricity rate in Plano for a fixed-rate plan:

• Pulse Power offers a 12-month fixed-rate plan with an average rate of 6.3¢ per kWh

Variable-rate Plans in Plano

Variable-rate plans are essentially the opposite of fixed-rate plans. You typically will not have a contract period. Your rate may fluctuate monthly based on the market price of electricity.

Electricity rates for variable-rate plans in Plano will usually be higher than fixed-rate plans. But you’re not locked into a contract. You can switch at any time without paying a termination fee.

To provide an idea of an electricity rate in Plano for a variable-rate plan:

• TXU Energy offers a variable-rate plan with an average rate of 11.6¢ per kWh

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Prepaid Plans in Plano

Prepaid plans operate similarly to a prepaid cell phone plan. You pay for your kilowatt usage in advance. As your “bank” of kilowatt-hours depletes, you can purchase more kilowatt-hours.

If your electricity account runs out of money, you risk a lapse in service.

These plans are ideal for individuals who have poor credit or do not want to pay a deposit for electricity service.

To provide an idea of an electricity rate in Plano for a prepaid plan:

• Payless Power offers a prepaid plan with an average rate of 14.5¢ per kWh

How to Compare Electricity Rates in Plano, TX

Comparing electricity rates in Plano is no easy feat. To be sure you’re finding the rate that meets your needs, you must be thorough.

There are two ways you can ensure you’ve covered all your bases:

1. You can manually complete comprehensive research OR
2. You can let Power Wizard do the research for you

Method One: Manually

Manually researching all the available electricity rates in Plano will take time. And not just a little bit of time. Likely days. Or weeks. It will depend on your level of perseverance and how much time you can spend on the task in one sitting.

If you choose this method, be sure to complete each of the following steps:

1. Identify all REPs offering service in your zip code

2. Identify every plan offered by each REP and make a note of:

a. The rate
b. The type of plan
c. The optimal kilowatt usage
d. Minimum usage fees
e. Incentives offered
f. Time-of-use stipulations
g. Cancellation fees

3. Compare each and every plan against your unique electricity needs. Consider your:

a. Usage
b. Home size
c. Home age
d. Lifestyle
e. Other factors that affect your electricity needs

4. Choose a plan (and hope you chose the best option)

5. Ensure your plan still works for you for the length of your contract by:

• Continuously monitoring the market for a better electricity rate that will save you money.

Method Two: Power Wizard

How would you like to complete all five of the steps above in about five minutes? That’s the Power Wizard difference.

Provide a few details about your home and your energy usage, and we’ll identify a plan that matches your particular electricity requirements in minutes.

We choose the plan for you, take all the guesswork and research out of your hands, and complete the enrollment process.

And we don’t stop there.

As long as you’re a member, we will monitor your usage. We’ll monitor the market. If a different plan saves you money, we’ll give you the option to switch. And do all the work for you. Again.

Power Wizard—it’s so easy; it’s like magic.