Key Takeaways
- Understand the average cost of electricity in Texas and how the state compares to the rest of the U.S.
- Guide to types of Texas electricity plans so you have a core understanding of the details and fine print when shopping providers.
- Highlighting the best Texas electricity providers serving great rates, exceptional customers services and top notch reputation.
- A history of how Texas became a deregulated energy market and how it has shaped the electricity market today.
Wield your power to choose with ease on ElectricityRates.com! With fantastic Texas electricity rates from leading providers, you can find the perfect electricity plan for you in under a minute. Enter your ZIP Code above for…
- Great Rates – We partner with the best providers in the industry to bring you exceptionally low rates and a vast array of plans to suit any need
- A Simple & Secure Platform – Comparing made easy. See why 100,000+ have used ElectricityRates.com to enroll in their next electricity plan.
- Unmatched Transparency – No unwelcome surprises. Use past usage to see how much each plan will cost before you enroll.
Table of Contents
- Shop Affordable Texas Electricity Rates
- Finding The Best Plan For You
- Types of Electricity Plans
- The Best Texas Electricity Companies
- Understanding Texas Energy Deregulation
- Texas Utility Companies
- Business Electricity Plans
- Compare Electricity Rates in Popular Texas Cities
- Renewing Your Texas Electricity Contract
Shop Affordable Texas Electricity Rates
Select your utility provider to compare electricity rate offers from leading Texas electricity companies.
| Plan | Rate Per kWh At 1000kWh avg. usage |
|---|---|
| 4Change Energy Maxx Saver Select 24 24 Months | 10.5¢ Select |
| 4Change Energy Maxx Saver Select 12 12 Months | 10.5¢ Select |
| Frontier Utilities Frontier Saver Plus 12 Plan 12 Months | 10.5¢ Select |
| APG&E True Classic 6 6 Months | 12.3¢ Select |
| Constellation 12Mo Usage Bill Credit + A/C Protection 12 Months | 13.9¢ Select |
- 100% Renewable Sources
- A/C Protection Included
For 2022, the most recent data puts Texas's average residential electricity rate at 13.30¢ per kWh. The average home in Texas uses 1,132 kWh of electricity per month and the average residential Texas electricity bill is $132.59 a month. 14.26¢ Average Rate per/kWh 1,132 kWh Average Usage per month $132.59 Average Cost per month HOW DOES THIS COMPARE NATIONALLY? 22nd Highest Average Rate 6th Highest Average Usage 6th Highest Average CostAverage Texas Electricity Costs
Savings BIGGER Than Texas
Get personalized rates for your home from leading providers and switch today.
Finding The Best Plan For You
The number one rule of electricity shopping in Texas is to know how much electricity you consume each month.
The advertised rate on any Texas electric plan only applies at a specific level of usage. If you use more or less than that specific usage, you may end up with a significantly higher rate. This is why it's important to read a plan's Electricity Facts Label (EFL), which can show you how a provider will calculate your bill based on your consumption.
To estimate future consumption, take a look at your usage from past electricity bills. If you have just moved to Texas, you can ask the previous owners, your landlord, or your neighbors to get an idea of how much electricity you may use.
Types of Electricity Plans
Before you enroll, it's also important to know what type of plan you're signing up for. This will determine the type of rate you have, your energy sources and how much you pay upfront.
Fixed-Rate Electricity Plans
With a fixed-rate electricity plan, the terms of your contract are locked in for the duration of the plan. These plans offer stability and often cost the least amount of money over time. This is why ElectricityRates.com primarily offers fixed-rate plans.
The main thing you need to look out for with fixed-rate plans is an early termination fee. This fee is charged to you if you cancel your plan before the end of your contract.
Variable-Rate Electricity Plans
With a variable-rate plan, your provider can change your electricity supply rate each month. Since variable-rate plans are influenced by wholesale electricity prices, they are unpredictable and generally cost you more than fixed-rate plans.
100% Renewable Energy Plans
If you want to support green energy, get a renewable energy plan. These plans ensure that no matter how much electricity you use, an equal amount of renewable energy enters the grid. Most renewable plans are also fixed-rate plans.
Prepaid Electricity Plans
Prepaid plans let you purchase your electricity before you use it. These plans are sometimes called no-deposit plans because they don't require a security deposit.
The Best Texas Electricity Companies
There are dozens of electricity providers in Texas, but not all are created equal. The best combine great rates, fantastic service and more to deliver a customer-first experience.
ElectricityRates.com created the Provider Score rating system to assess providers based on these important criteria. To see how providers stack up against each other, check out our Best Texas Electricity Providers report.
Top Texas Electricity Providers
Constellation
Constellation
Provider Score
Service Areas
CT, GA, IL, OH, MA, MD, NJ, PA, TXProvider Bio
Constellation is the nation's leading provider of carbon-free energy with a commitment to be 100% carbon-free by 2040. They serve over 2.5 million residential and business customers across the United States.
TriEagle Energy
TriEagle Energy
Provider Score
Service Areas
TXProvider Bio
TriEagle Energy has been a well-respected leader in the Texas retail energy industry for to 20 years. Their focus is delivering value through energy cost savings, instilling trust by understanding the energy needs of its customers and providing customized solutions and products.
Rhythm
Rhythm
Provider Score
Service Areas
TXProvider Bio
Rhythm is a Texas electricity provider that provides renewable energy plans sourced from Texas wind farms. The company prides itself on its selection of plans with straightforward pricing and no hidden fees or gimmicks.
Direct Energy
Direct Energy
Provider Score
Service Areas
CT, IL, MA, MD, NH, NJ, NY, OH, PA, TX, DCProvider Bio
Serving nearly 4 million residential customers, Direct Energy is one of the largest electricity, natural gas and home services providers in North America. They are also one of the largest commercial and industrial electricity with over 240,000 business electricity customers.
Understanding Texas Energy Deregulation
Texas deregulated the electricity market back in 2002, giving residents and businesses under certain Texas utility companies the power to choose their electricity provider, aka Energy Choice. Under this system, utility companies distribute electricity, while electricity providers supply the electricity you use.
This system forces electricity providers to compete with one another for business, keeping prices low and giving consumers more control over their electricity. For example, consumers can choose a long-term fixed-rate plan to avoid unexpected rate hikes or get their electricity from renewable sources.
Since you cannot switch utility providers, the Public Utility Commission of Texas (PUCT) approves delivery rates for each utility. On top of that, the Electric Reliability Council of Texas (ERCOT) manages the grid and the wholesale electricity market to ensure it remains competitive.
Texas Utility Companies
There are four Texas utility companies that serve the vast majority of the state. If any of the following utility providers deliver electricity to your area, you have the power to choose your electricity provider.
Business Electricity Plans
Business owners in Texas can save big on their energy costs by partnering with a reputable electricity provider to secure lower rates and optimize their energy usage. Learn more about business electricity rates here, and request a customized quote today!
Compare Electricity Rates in Popular Texas Cities
Click through to learn more about comparing electricity rates in popular Texas cities.
- Abilene
- Arlington
- Big Spring
- Corpus Christi
- Dallas
- El Paso
- Fort Worth
- Frisco
- Garland
- Houston
- Humble
- Irving
- Katy
- Killeen
- Laredo
- League City
- McAllen
- Mesquite
- North Richland Hills
- Paris
- Pearland
- Plano
- Richardson
- San Angelo
- Sugar Land
- Tyler
- Wichita Falls
- Lubbock
Renewing Your Texas Electricity Contract
Once your original contract is up, it’s time to start thinking about where you want to go next. When it’s time to renew your Texas electricity contract, your current provider will start reaching out in advance with offers trying to get you to remain a loyal customer. If you don’t accept one of their offers, the provider will most likely roll you over to a variable rate where you’ll have little to no control over the price you pay for electricity.
When it’s time to renew, make sure you’re paying attention to the offers that are coming in from your current supplier and comparing them against other offers in the marketplace. You can see current electricity rates for Texas customers right here by using our Rate Comparison Tool at the top of the page.
Texas Electricity Rates FAQ's
- What is Texas energy deregulation?
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Texas energy deregulation allows consumers to choose their electricity provider, promoting competition and potentially lower rates.
- How do I compare electricity rates in Texas?
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Enter your ZIP code on website to view and compare rates from different providers available in your area.
- What types of electricity plans are available?
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Fixed-rate, variable-rate, and renewable energy plans are available to suit various needs and preferences.
- How do I switch electricity providers?
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Compare plans, select the best one for you, and follow the provider’s sign-up process, often facilitated through our site.
- What should I consider when renewing my electricity contract?
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Review your current rate, compare new offers, and decide whether to renew or switch providers based on the best available plan.