Electricity Companies in Waco Texas

Electric Companies in Waco, Texas: How To Find The Best One For Your Energy Needs

So, you’re looking to set up electricity in your home or business in Waco. By now you might have realized there are many electricity companies in Waco.

This is good news, but it can also make things complicated.

Finding the best electricity plan doesn’t have to be so hard.

In this guide, we’ll give you all the ins and outs of the electricity business, to make sure you’re able to find the very best deal.

Can I Choose Any Electricity Company In Waco?

Absolutely.

In most states, electricity is only offered by one giant utility company. But Waco is special. There are tons of electricity companies here.

This gives you the freedom to choose any one of them that suits you.

But, why is the energy market in Waco, TX different from other places?

Electric Companies In Waco Exist Because Of Deregulation

In 2002, a new law passed that changed the way the electricity market works in parts of Texas.

The government no longer would have high regulations on the sale of electricity, and prices would be determined by supply and demand.

This might seem very complicated… and it is.

Luckily, you don’t need to be a legal expert or economics major to understand the impact of deregulation on your household or business.

The bottom line is this:

Deregulation of the energy market in Texas paved the way for private companies to start selling electricity to individual consumers like you.
When dozens of Retail Electric Providers (REPs) sell energy, they compete to bring you lower prices.
Over the years, REPs have gotten creative with pricing structures on individual electricity plans. This can make it challenging to compare rates directly.
Oftentimes, REPs have special promotions and they use advertising gimmicks such as “free” or “cheap” to entice customers when better pricing might actually be found elsewhere.

So, how exactly do you find the best electricity companies in Waco?

How To Choose The Best Electric Company In Waco

There are two options to go about finding the best electricity plan for you in Waco.

There’s a hard way, and there’s an easy way.

Let’s review both.

Option 1: Manually Search For The Best Electricity Company in Waco:

DIY Projects can be fun. Sewing your own pillows or building a coffee table can be very satisfying. However, you might not find Do-It-Yourself electricity plan shopping to be quite as rewarding.

In order to shop for an individual electricity plan amongst the sea of energy companies in Waco, you’ll need a large time commitment to achieve the following steps:

Collect a list of all REPs that service your area. You’ll need to contact each one individually.
Study the types of rates that electricity companies offer.
Examine your own energy usage to pare down the type of plan you need.
Get rate quotes from dozens of companies by contacting each directly. It might help to make a spreadsheet.
Read the fine print on each contract option, making sure you don’t miss any hidden fees or terms.
Make a decision quickly, as rates can change throughout the day.

Luckily, there is a much better and faster way to shop for electrical plans.

Option 2: A Step-By-Step Process To Simplify Your Electricity Shopping in Waco

Now that you’re familiar with the hard way to shop for electricity, let us fill you in on the easiest way to find your perfect plan.

Introducing, Power Wizard.

We aren’t a REP, and we don’t sell electricity plans.

We offer an unbiased algorithm that pairs your specific energy needs to the best plan in Waco, in order to save you the most money.

You only have to spend five minutes providing your zip code and information in our Free Savings Estimate.

When you become a Power Wizard member, we will even handle your new contract and set up bill pay so you don’t have to spend any more valuable time setting up your electricity.

Power Wizard can save you from having to do any more research and guarantees that you will find the very best rate without jumping through hoops.

So, What Is The Cheapest Electricity Company In Waco?

The cheapest electricity plan in Waco is almost impossible to quantify without taking into consideration your personal energy footprint.

Rates are all structured differently. The plan that will save you on the bottom line of your energy bill won’t necessarily suit your neighbor in the same way.

Electricity Rates In Waco:

Understanding electricity rates in Waco can get confusing. Rates change daily, based on market values and demand, which makes it difficult to keep up.

Just Seeing the Rate Won’t Tell the Whole Story

Your contract with a power company will include a rate per kWh. In order to find your total cost, you should be able to multiply the kilowatt-hours that you use times the rate.

This number might seem straightforward but it doesn’t tell the whole story of the final cost of your bill. You could be in a rate structure that changes depending on the time of day, or the time of year. Or, you might be subject to fees at the end of the month or minimum usage requirements.

To get a better picture of the bottom line, you’ll need to get familiar with your usage and the fine print in the contract.

Hidden Fees

It is crucial to understand the fine print in your electricity contract.

Hidden fees that you weren’t expecting can negate other savings from a seemingly low rate per kWh.

Contract Renewal Upcharge

Contract renewal upcharges can also take customers by surprise.

Let’s look at Sarah’s story for example.

Sarah went shopping for electricity plans in Waco. She tried to contact all the energy providers individually for rate quotes but, when she realized the vast number of plans and companies available, she decided the easiest answer was to pick the plan with the lowest rate per kWh.

The company she ended up choosing was having a special promotion for new customers. For signing a 6-month contract, Sarah received a very low rate and it seemed like a great deal.

Unfortunately, her agreement stipulated that after 6 months the contract would automatically renew with a new rate. Since she was no longer a new customer, she wouldn’t qualify for the low promotional rate and she would be stuck paying a premium.

After the initial 6 month period, Sarah found herself in the same predicament of not knowing how to find the best rate on her electricity bill.

She could either:

Settle for the higher rate with her current company.
Start the extensive shopping process all over again.

Luckily, Sarah found Power Wizard.

Our system monitored her contract terms and found her a better deal after the time period was up, without her having to do any more research.

Minimum Usage Requirements

To explain minimum usage requirements, let’s use Frank’s example.

Frank signed up for a one-year contract that had a great low rate per kWh.

He thought he was getting a great deal because the rate was lower than what other companies were offering.

Unfortunately, Frank didn’t read the fine print.

His rate seemed low but, there was a minimum usage requirement. This meant that the company would charge him a flat fee if he didn’t meet the minimum electricity usage each month.

If he had known his average monthly usage, he would have seen that he almost never consumes enough energy to meet the minimum, because he lives in a 750 square foot condo and is almost never home.

So Frank ended up paying a much higher average rate than he originally anticipated. The savings that he thought he would have was negated because of the structure of the rate.

What is the Best Electricity Company in Waco

There are many factors that go into deciding which electricity company is the best for you.

Finding a low rate is equally as important as finding the right type of rate.

Factor 1: Finding The Lowest Rate In Waco

When you use Power Wizard, our system compares all electricity rates at one time to find you the rate that works best for your personal needs.

Electricity rates change every day so it’s important to get quotes quickly.

Factor 2: Finding the Right Rate in Waco

More important than finding the lowest rate per kWh, is finding the rate structure that will save you the most money over time.

For example:

Let’s say you signed a 12-month contract that used a variable-rate structure.

The current price might look very low but, because of the way your rate is structured, the cost could go up during peak demand months.

This might cost you more long-term than if you had signed a contract for a fixed rate with a slightly higher price per kWh.

Types of Electricity Plans

At any given time, there are hundreds of types of electricity plans and promotions available from dozens of REPs.

A few of them that could save you money include:

Free Nights and Weekends
Prepaid Plans
No Deposit Plans
Free Gifts
Unlimited Plans

Free Nights and Weekends

Free Nights and Weekends is a popular promotion that REPs use to entice customers.

It sounds like a great deal, especially for people who work a nine-to-five schedule at an office.

The way these plans are usually structured, the rate is high during the day on the weekdays, and then drops to zero after a certain time and on the weekends. There are a few factors that could keep you from saving money with this type of plan.

If you aren’t aware of how many kWh you use when you’re not home, you could run up a large bill because the rate during the day is very high, to make up for the free evenings.

Also, if you don’t know your schedule or if you’re in and out of the house unexpectedly, you could end up using electricity that you weren’t expecting to use.

If you don’t have a schedule where you are home in the evenings and weekends, this type of promotion probably won’t save you the most money.

Prepaid Electricity Plans

Prepaid electricity plans are a pay-as-you-go option which is sometimes helpful for people who are in transition.

For example, if you are in temporary housing or have a short-term lease and are planning to move soon, a prepaid plan might be good for you. You simply load your account with funds before you use electricity, and you reload it when it gets low.

There are several pros and cons to these types of plans that you should take into consideration.

Pros:

These plans are usually very flexible
You can choose when to pay your bill
There’s no surprises at the end of the month
Usually they don’t require a credit check
No deposit is required
You can budget easier by paying in advance for your energy
No contract

Cons:

The rate might be high due to the flexibility of the plan
Your rate will be subject to change each month
Most plans have a minimum balance requirement
High fees and penalties for letting account get too low in funds
You have to keep track of your account meticulously

Prepaid plans might not be the best way to save money on your electricity bill, but they offer flexible options for specific situations. If you need to have a firm grip on your budget each month, this type of plan could help you.

No Deposit Electricity Plans

Electricity plans that don’t require a deposit might be convenient for you. However, there is usually a trade-off.

If the company isn’t asking for a deposit, they might be charging a higher rate, or have hidden fees that aren’t apparent right away.

You should always be aware of the terms of the contract and read through the fine print thoroughly to avoid any surprises on your bill at the end of the month.

Free Gifts

Many companies offer free gifts when you sign a contract. They might give you a Google Home or an Amazon Gift Card.

While free gifts are nice and can be beneficial, they usually don’t play into your monthly savings on electricity.

It’s important to consider all aspects of the plan and the rate before signing up for a contract with any type of promotion.

Unlimited Plans

Unlimited electricity plans aren’t offered everywhere. They are only offered in places where the company can collect usage history on your home, so they can set a fixed price every month for unlimited electricity.

These types of plans can be expensive, but they are great for people who need to know what their bill will be each month, no matter how much energy they consume.

Unlimited plans are for people who use a lot of electricity.

For example, Bob runs a business out of his home. He is a master gardener and grows the best and biggest tomatoes in all of Texas.

Bob uses grow lights inside his home to start his plants. He has dozens of high-energy growing lights for his plants and they are switched on most of the day and night, whether Bob is home or not.

Bob would probably make an excellent candidate for an unlimited electricity plan. He can easily budget his business expenses this way, with no surprises at the end of the month.

Are you ready to save hundreds on your electricity bill?