Electricity & Natural Gas Rates in Texas
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About 85% of Texas has a deregulated energy market, giving residents and businesses the power to choose their electricity provider. Energy rates frequently shift due to changes in energy demand and seasonality. Texas energy prices have fallen recently thanks to milder fall and early winter weather. The National Oceanic and Atmospheric Administration (NOAA) forecasted a drier, warmer winter this year, meaning Texans shouldn’t worry about rising electricity prices. The Energy Reliability Council of Texas (ERCOT) also released a forecast explaining that it expects there will be enough capacity to meet demand this winter.
American Energy Choice is an independent electricity marketplace that helps you compare rates and plans in Texas from various providers. We also have useful buying guides and resources to help you understand the energy industry.
Enter your ZIP code to compare rates and cheap electricity plans in Texas today.
Customers receive their electricity directly from the local utility company in regulated states. However, in deregulated areas, utility companies and electric providers perform different roles. The utility company is responsible for transmitting electricity, maintaining electrical infrastructure, and restoring power during an outage. Your utility is determined by where you live in Texas.
Residents cannot choose their utility, but they do have the power to choose their electricity provider in Texas. The provider’s responsibility is to sell electricity to consumers. Because deregulation in Texas has increased competition among energy providers, it’s smart to compare rates to get the best electricity plan near you. Enter your ZIP code to explore available electric providers in your area.
The term “power to choose” is a common term in the deregulated energy market. However, it is also the name of the official website of the Public Utility Commission of Texas (PUCT), the regulatory body over the Texas energy market.
PowerToChoose.org allows customers to browse available providers and plans in their area. However, consumers are redirected away from the site when they attempt to sign up for a plan.
American Energy Choice is different: Our simple-to-use online marketplace provides users with the available providers, plans, and rates in their area — all in one place. We list provider ratings, term lengths and rate types, potential fees, and much more. Signing up for a new plan is quick and easy. Enter your ZIP code to get started.
You can find various types of energy plans on the American Energy Choice marketplace. Compare rates from the best energy plans in Texas by entering your ZIP code and selecting the right one for your needs.
Fixed-rate plans provide stability and predictability for monthly energy bills because you pay a fixed rate. Fixed-rate plans let you secure a rate for the duration of your contract, which can last between 12 and 36 months. The only variables with fixed-rate plans are your energy usage and government fees or taxes. Texas energy companies offer fixed-rate plans for customers who want reliability and protection from the highs and lows in the energy market.
Variable-rate plans are best for people looking to avoid a contract. You won’t need to sign a contract with variable rate plans, so you can switch electricity plans at any time. However, the electric rate you pay each month will fluctuate based on the electricity market and seasonal demand. Energy rates can increase when demand goes up.
When you sign up for an energy plan, you may be required to pay a deposit if you don’t meet a provider’s credit threshold. If you want to avoid the deposit and credit check altogether, American Energy Choice can help you find a no-deposit electricity plan. Our marketplace offers prepaid energy plans that allow you to skip the deposit and pay for your electricity upfront. Enter your ZIP code and use the filter feature to find no deposit and prepaid options in your area.
With an indexed rate, the rate you pay is calculated based on a commodity index for energy. Providers use various formulas to determine the rate you pay in an indexed plan, so carefully read the contract to ensure you fully understand your rate. Indexed rates are less common than fixed or variable rates.
Texas is a national leader in renewable energy. The Lone Star State produces the most wind energy in the country and is one of the top producers of solar power, which makes finding a green energy plan in Texas easy. Every Texas energy plan includes some percentage of renewable energy in the mix. Some providers specialize in only offering 100% green energy plans, including Gexa Energy. Enter your ZIP code on this page and filter for green energy to find renewable electricity rates in your area.
Texas businesses also have the power to choose their energy provider. Nearly three million businesses in deregulated areas across Texas have taken advantage of affordable rates, competitive plans, and green energy options. American Energy Choice can build a custom quote tailored to businesses of all sizes.
Contact our energy experts about your Texas business energy plan or request a quote to fit your commercial needs. Once we understand your energy needs, we’ll compare business energy plans in your area to help you find the best commercial electricity deal available.
Interested in signing up for a different energy plan? American Energy Choice can help you find the best electricity companies near you. Use these steps as a guide to choose the plan that fits your needs.
When you enter your ZIP code, the American Energy Choice marketplace will show you affordable rates and plans in your area. Use the filters to bring up tailored results, such as a certain rate type, term length, or amount of green energy.
Before choosing an energy plan, it’s important to understand the plan. Make sure to review the Electricity Facts Label, a separate resource included with every plan. You’ll find details such as the rate type, percentage of renewable energy, delivery fees, and more.
Once you’ve chosen the best plan for you, signing up is quick and easy. Our energy experts will guide you through each step and get you connected with your new plan. From there, your provider will set up service without any interruption in your power.
When shopping for a Texas electricity plan, it’s important to search for rates and plans specific to your area. Utility companies charge transmission and delivery fees (TDU), which vary by location and affect your rate. With the American Energy Choice marketplace, you can shop for the best providers, plans, and rates available in your area. Enter your ZIP code above to check for the most accurate and up-to-date energy rates near you.
If you are moving to Texas, you can keep your energy plan with your current provider if it offers service at your new address. If you are ready for a new provider or your current one does not operate in your new location, you can switch electricity providers without paying an early termination fee. Shop for a new energy plan up to 90 days before moving and select your move-in date when you sign up. Your provider will handle the rest.
Most Texas homes have smart meters, meaning you will not need to schedule a technician visit to begin service. Instead, your new provider will activate your service remotely on your selected date.
American Energy Choice works with trusted providers in Texas, including TXU Energy, Frontier Utilities, and Reliant Energy. Our independent marketplace allows you to compare rates and plans from top energy providers.
Founded in 2021, American Energy Choice is an unaffiliated marketplace offering all-inclusive pricing and straightforward, clear guidance for consumers. When you enter your ZIP code, you can filter for providers, rate types, contract lengths, green energy plans, and more. We’ll help you sort through your options to find the best electricity plan for your home or business. Here’s how:
Why does American Energy Choice run a credit check?
The providers we work with require a soft credit check that doesn’t affect your score to determine whether your credit score meets a set threshold. If your credit score falls below that threshold, they may require a deposit to begin service. We’ll check your score against all of the providers on our marketplace so you can see the best energy rates in Texas and find a plan to fit your needs. See our deposits guide for more information about the credit check process. Then, enter your ZIP code to find electricity plans near you.
How do I find the best electricity plan in Texas?
Going through all Texas providers, rates, and plans is time-consuming. The American Energy Choice marketplace allows you to select top energy plans and electricity rates in your area without visiting multiple provider sites. Enter your ZIP code to compare rates and electricity plans all in one place.
Who has the cheapest electricity rates in Texas?
Frontier Utilities and Express Energy frequently offer some of the cheapest electricity rates in Texas. Remember that electricity rates in Texas often fluctuate, so enter your ZIP code to find the most accurate rates in your area.
What is a good energy provider in Texas?
Texas has over a dozen energy providers to choose from. The American Energy Choice marketplace lets you compare rates from trusted energy providers side-by-side and pick the best provider that suits your home or business. Enter your ZIP code to find today’s rates and plans from electricity providers near you.
How quickly can I start service?
If you are signing up for a new plan and have a smart meter installed at your home (most Texans do), you could be able to begin service the same day you sign up for your plan. If you switch electricity providers, the process could take up to five business days.
What should I do if my power goes out?
Your local utility company is in charge of restoring power during a power outage. If you lose power, you need to contact your utility, not your provider. To learn more about your utility company and how to contact them, visit our complete list of utility companies.
How much will I be charged for electricity?
Your monthly electric bill depends on your electricity rate and the amount of energy you consume. It will also depend on the rate type your plan has, such as fixed rate or variable rate. When signing up for an energy plan, be sure to pay attention to the rate, the Electricity Facts Label (EFL), and the terms of your contract. Knowing how to read your electricity bill can lead to a greater understanding of your energy plan and charges. For a detailed walkthrough, see our guide to reading your bill.
How can I lower my electricity bill in Texas?
One way to lower your monthly electricity bill in Texas is to switch electricity plans with a lower rate. Rates can change daily, so check electricity rates in Texas today to find out which company has the best price that meets your electricity usage. You can also lower your energy bill by reducing the electricity you use each month.
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