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Navigating Houston Electric Rates

Find the Best Electricity Plans in Houston

Author: Justin Hardy | Reviewer: Jesse Shaver | Updated:

Key Takeaways

  • This comprehensive guide aims to equip Houston residents and business owners with the knowledge and tools necessary to navigate the complex landscape of electricity plans and providers.
  • By understanding the factors that influence energy costs, comparing available options, and leveraging helpful resources, readers will be empowered to make informed decisions that optimize their electricity savings.
  • Know the differences between plan types to ensure you get the best electricity rate in Houston. Electricity plan types include fixed-rate plans, the flexibility of variable-rate plans, the savings of time-of-use plans, or the eco-friendliness of renewable energy plans.
  • Know who is the best of the best when it comes to customer satisfaction, low rates and perks. We analyze, rate and rank the best electricity providers in Houston so you can find the one for you.

Table of Contents

Houston, we don’t have a problem—we have options—lots of them.

If you’re a homeowner, renter, or business owner in H-Town, you know that electricity bills can feel bigger than Friday night traffic on I-45. But here’s the good news: thanks to Texas’ deregulated energy market, Houston residents get to choose their electricity provider. That means you can shop, compare, and switch to lock in the best electric rates in Houston—instead of being stuck with whatever your utility company gives you.

Whether you’re looking for a short-term plan, a green energy option, or just want to slash your electric bill, we’ve got your back. Continue reading to discover how electricity rates work in Houston, the most popular plans, and how to select the best option.

Best Electricity Plans in Houston

What Are the Average Electric Rates in Houston?

Energy deregulation in Houston began with Texas Senate Bill 7 in 1999, which allowed multiple electricity providers to compete for customers and officially opened the retail electric market in 2002, letting consumers choose their electricity supplier instead of relying on a single utility. This Energy Choice aims to foster competition, drive down prices, and increase innovation across the Longhorn State.

The average Houston electricity rate is usually between 13 and 15 cents per kilowatt-hour (kWh), depending on the season, demand, and plan type. Today, Texas stands out as both the “Energy Capital of the World” and, with over 130 solar and wind companies, surprisingly a leader in renewables.

Best Electricity Provider in Houston

When selecting an electricity provider in Houston, it is crucial to consider factors beyond price alone. The best provider for your needs will offer a combination of competitive rates, exceptional customer service, flexible plans, and additional benefits that align with your lifestyle and energy consumption habits.

To gauge the reliability and service quality of potential providers, carefully review customer testimonials and ratings. Seek out providers that offer a diverse selection of plans, including renewable energy options, to ensure they can accommodate your evolving needs. Additionally, stay alert for special promotions or incentives that may provide added value.

Conducting thorough research and comparing available options is key to identifying the top electricity providers in Houston. Our Best Texas Electricity Providers page offers a comprehensive platform to evaluate and contrast the leading providers in the state.

By working and searching on our site, you are able to shop multiple providers at one time. Better than that? We do the hard work for you.

Lowest Rates in the Lone Star State

Shop tailored electricity recommendations from leading providers for your home or business. Here’s how to do it:

  1. Enter your ZIP Code on ElectricityRates.com.
  2. Compare Houston electricity rates side by side.
  3. Choose from the best electricity plans in Houston, including fixed-rate, green energy, or short-term deals.
  4. Enroll online in minutes.

Don’t let confusing fine print zap your budget. Use our comparison tool to find pre-vetted Houston power rates that make sense for your needs.

Types of Electricity Plans in Houston

When you shop for Houston energy rates, you’ll see a bunch of different plan types.

  • Fixed-Rate Plans Lock in your price for 12–36 months. Great for stability (and avoiding summer bill shocks).
  • Variable-Rate Plans Your rate changes monthly. Fun for opportunistic energy day traders, not always fun for your bank account.
  • Indexed Plans Rates tied to the wholesale market. It can save you money, or it could cost more than floor seats to the Rockets.
  • Prepaid Plans Pay-as-you-go electricity. Easy with no credit check, but rates may be higher.
  • Green Energy Plans Support wind and solar power, often with renewables straight from the Lone Star State.

Money Saving Tip: Most Houston residents go with a fixed-rate plan for peace of mind and consistent bills.

Which Company Has the Best Electric Rates in Houston?

To identify the most suitable and cost-effective electricity rate in Houston, it is essential to begin by examining your historical energy consumption patterns. Thoroughly review your past electricity bills to determine your average monthly usage, as this information will serve as a critical foundation for selecting an optimal plan.

Compare plans and providers to consider factors like pricing, plan type and contract terms. Read the fine print of the electric plan terms, commonly known as the Electricity Facts Label (EFL) to understand things like the contract length, renewal terms and any restrictions.

Last, make sure your electricity provider in Houston has strong customer reviews and actually answers the phone if you need help. Are they readily available for billing questions and provider prompt resolution of customer issues. It is also worthwhile to seek recommendations from family, friends or neighbors about their experiences with electric providers.

Money Saving Tip: Not all Houston electricity companies are created equal. When comparing, look for no hidden fees or expensive early termination charges. Electricityrates.com makes it easy by pre-verifying the best rates, plans, and providers in your area.
For a step-by-step guide, check out How to Compare Electricity Rates.

Moving or Switching Electricity Providers in Houston

If you are relocating to Houston, establishing electricity service should be a top priority. BUT… Where do you start? How do you know you are on the right plan? Why are you choosing your own plan? Begin by researching the providers servicing your new neighborhood. Utilize comparison tools, inputting your new ZIP code to view available plans and identify the most suitable option for your needs.

Once you have selected a plan, contact the chosen provider to schedule the installation of your new service. Many providers offer streamlined onboarding processes to ensure a seamless transition, allowing you to focus on settling into your new home.

Can I Switch Providers If I Find a Better Rate?

It’s simple to switch energy providers in Houston. Houston’s deregulated energy market means you can switch providers when your plan ends (or even before, in some cases).

  • If your plan has $0 termination fees, you can switch any time.
  • If you’re under contract, mark your calendar. You can usually switch 14 days before it ends without penalty.

You just need to choose a new electricity provider, and they handle the switch for you. For more information, see our guide on How to Switch Providers.

Money Saving Tip: Most of Houston is a deregulated market; this means you have the power to choose your own electricity provider. Ensuring you choose the right plan can have a serious financial impact (the difference between $100/mo vs $300/mo). Using a trusted site will allow you to maximize your savings.

Power Outages in Houston

In the event of a power outage in Houston, it is essential to contact your local utility company rather than your electricity provider. CenterPoint Energy is responsible for power delivery to most of the Houston area and should be your primary point of contact during an outage.

To report an outage, you can utilize CenterPoint Energy’s online portal, call their outage hotline at 713-207-2222, or text “OUT” to 78767. Familiarizing yourself with the appropriate contact channels and having an outage plan in place can help you navigate power interruptions more effectively.

For further information on managing power outages, visit the CenterPoint Energy website.

Business Electricity in Houston

Houston business owners also have the power to select their electricity providers. When choosing a provider for your commercial needs, consider factors such as competitive rates, tailored business plans, and additional benefits that align with your operational requirements.

To identify the most suitable plan for your business, analyze your electricity consumption patterns and peak usage hours. Utilize comparison tools to find providers offering the most competitive commercial rates and plans. Carefully review the Electricity Facts Label (EFL) to ensure a thorough understanding of all pertinent details, including rates and fees.

For more information on securing the best electricity rates for your business, explore our Business Electricity Plans page.

ElectricityRates.com Houston, TX Location

  • Address: 4201 Main St Suite 200, Houston, TX 77002
  • Phone: (832) 476-8721

Electricity Rates in Houston Neighborhoods

Find your neighborhood below to compare rates for your specific area

Electricity Rates in Houston ZIP Codes

Find your ZIP Code below to compare rates for your specific area

Electricity Rates in Popular Texas Cities

Learn more about electricity rates across the Lone Star State:

Houston Electricity FAQs

  • As of May 2021, the average Texas electricity rate is 13.15¢ per kWh. Various factors influence rates in Texas, including how much electricity you use each month.

  • You can compare electricity rates through a comparison shopping platform like ElectricityRates.com, which lets you compare multiple providers and rates in your area.

  • To find the cheapest electric plan in Houston, use your usage to calculate how much each plan will cost you. Our rate assistant, Tiler, can do these calculations for you and provide a transparent recommendation of what plan will be cheapest for you.

  • Who has the best electricity rates for you depends on how much electricity you use each month. You can find the cheapest plan at your usage by entering your ZIP Code and using Tiler, ElectricityRates.com’s rate assistant.

  • There are dozens of electricity providers in Houston, and Houston residents can choose which one they want to supply their electricity. However, the company that delivers electricity to all Houston residents is CenterPoint Energy, no matter who their electricity provider is.

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