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Electric Service Providers in Dallas, TX

Updated: 05/24/2023

If you’re new to Dallas, Texas, it’s very easy to get overwhelmed by all the different terms associated with the electricity market. And, just when you thought you had it all figured out, you discover that different names refer to the same entity. Electric service providers are among many entities that go by different names and terms.

Regardless of how confusing or overwhelming it can be, it’s essential to understand what electric service providers are and how they operate so that you can choose the right one.

What is an Electric Service Provider?

Electric service providers in Dallas are one of several names given to power companies that buy and sell electricity. These companies are also known as retail electric providers (REPs), competitive retail electric service providers (CRESPs), or certified electric providers. In this article, we’ll refer to them as electric service providers for the sake of confusion.

There are more than 120 electric service providers in Dallas, and regardless of how you refer to them, they all perform the same duty: to provide electricity to the residents of Dallas. They do this by purchasing electricity from power-generating plants at wholesale value and reselling it to homes and businesses at retail price.

Because Dallas has a deregulated electricity market, each electric service provider can determine their rates and set up plans. This differs from electricity providers in regulated areas where the government determines the rates and terms. Here’s a quick rundown of exactly how the buying and selling process works for electric service providers.

Step-by-Step Guide

    1. Someone with knowledge of the electricity market and enough overhead forms a business known as an electric service provider.
    2. This business then purchases electricity from local power-generating plants that create electricity from fossil fuels or renewable resources.
    3. Electric service providers then contact local utility companies and pay them to deliver electricity to your home.
    4. You pay your monthly electric bill to your electric service provider based on how much energy you use.

As you can see, although electric service providers buy and sell electricity, they don’t actually handle it at any point. They operate the same way that Wal-Mart, Best Buy, and other retail stores do. Rather than producing or delivering goods, they act as a middleman who sells goods to the good people of Dallas.

The Difference Between an Electric Service Provider and an Electric Utility

One of the most common mistakes people make regarding the electricity market is confusing electric service providers with electric utility companies. As we explained above, electric service providers buy and sell electricity to residential and commercial customers in Dallas.

However, the duty of ensuring that electricity arrives safely at its destination falls to electric utility companies. These utility companies are also referred to as transmission and distribution utilities (TDUs), Electric Distribution Utilities (EDUs), Transmission and Distribution Service Providers (TDSPs), or electricity delivery services. For the sake of confusion, this article will refer to them as TDUs.

A TDU’s job is to ensure that electricity arrives at its destination. To that end, TDUs manage the electricity poles, cables, lines, wires, transformers, and meters that carry electricity from your local power plant to your home or business. TDUs have a much more hands-on job than electric service providers, and the two entities work together to provide your electrical service.

What are the Duties of an Electric Service Provider?

While the primary job of an electric service provider is to sell you electricity, their duties also include the following.

  • Notifying your local utility service if there’s a power outage.
  • Informing you when your contract is about to expire.
  • Handle communications between you and your utility company if you have any questions for them and can’t reach them.
  • Offer renewable electricity alternatives, if any are available.
  • Operate in a way that’s honest and ethical by not raising prices after you sign a contract with them.

Who are the Best Electric Service Providers in Dallas?

Now that you have a good idea of what electric service providers are and what they do, let’s look at some of the best electric companies in Dallas. Check out our best electricity providers in Texas for a full rundown of the top names in the electricity business. Remember, Dallas is a big city with a deregulated market, meaning there are many providers. However, here are some of the best.

TXU Energy
Payless Power

To find out which electric service provider in Dallas is right for you, enter your ZIP Code into the free rate comparison tool at the top of the page.

How to Choose the Best Electric Service Provider in Dallas

If you’re looking for the best electric service provider in Dallas, the best way to compare rates and plans is with We’re an electricity comparison tool and website that helps you find the perfect plan for your needs. You know your electricity needs better than anyone, so we want to provide you with all the details you need to make an informed decision. Here’s how the process works.

  • Our intuitive marketplace shops for the best rates based on your exact home address, location, home size, and actual usage.
  • A list of all the electricity companies in your area will pop up, giving you a personalized list of plans tailored to your home.
  • You can go through the list of plans and check things such as the listed rate, the tiered rates based on usage, your estimated bill, the REPs reputation, hidden fees, perks and benefits, and anything else you need to know about the plan.
  • Once you find the plan you like, you can select it and enroll immediately.
  • There won’t be any service interruptions while we switch you from your old plan to the new one.

When choosing the best electricity plan in Dallas, is the way to do it. All you need to do is enter your ZIP Code into the free rate comparison tool at the top of the page to see all the top plans in your area quickly. From there, you can choose the right Dallas electric service provider in minutes rather than hours or days.