Xcel plans to lower electricity rates in Texas

Xcel Energy, the Minnesota-based utility company, announced earlier in March that it would be offering lower electricity rates for customers in its service area in Texas.

While it is one of the smaller utility companies in the state, Xcel provides electricity for many cities and towns in the Texas panhandle.

Those fortunate communities could see the monthly electricity bill for an average home, using about 1,000 kilowatt-hours, fall by around $3.53 starting on April 1. That amounts to a drop of 3.7 percent. But residents could save even more come June 1, when summer electricity rates come into effect, with typical bills falling around 4.5 percent.

"Our customers are benefitting from the lower cost of natural gas and from significant investments we have made, and are making, throughout our system," Riley Hill, president and CEO of Xcel subsidiary Southwestern Public Service Company, said in a statement.

While residents could save money with their utility companies, many people will be able to find even lower electricity prices with retail electricity providers. These companies tend to try to beat the prices being offered by utilities.