Any product or company names, marks, or logos shown on this page are the property of their respective owners. ComparePower is an unaffiliated, independent marketplace.Get unbiased, accurate information backed by our commitment to editorial integrity.
Smart Tips for Cool Summer Savings
Summer is upon us, bringing along the tantalizing aroma of backyard Texas barbecues and the joyous hum of neighborhood get-togethers
Of course, with the blazing sun, our electricity meters start to spin a bit faster, and those pesky energy bills start to rise.
But don’t worry, we’re here to help you stay cool while saving some cash on your electric bills.
The important point to keep in mind even before we dive into the tips is to regularly check your electricity contract’s end date.
We can’t stress this enough – getting stuck on a holdover rate during the peak of a Texas summer can take a hefty toll on your wallet.
So, be proactive and switch electricity providers when your contract is about to expire to avoid unpredictable high bills this summer.
Compare Rates Near You👇
Texas Summer Money-Saving Tips
Now that we’ve covered that essential tidbit, let’s delve into our handy guide to help you enjoy the Texas summer without the worry of high energy bills.
Thermostat Strategy: Your thermostat is more than just a temperature gauge – it’s your secret weapon against high energy bills. Set it a few degrees higher when you’re away or asleep, and see the savings add up. Want to make it even easier? Consider a smart thermostat to automate these adjustments.
Power of Shade: You don’t have to rely solely on the AC to escape the Texas heat. Close your blinds or curtains during the hottest parts of the day and take advantage of natural shade. If you have trees or shrubs near your windows, they can act as a natural sunblock, helping keep your house cooler.
Energy-Efficient Cooling: An energy-efficient air conditioner can be a game-changer if your current unit is showing signs of age. Look for models with a high SEER (Seasonal Energy Efficiency Ratio) rating. They keep you cool and help save on electricity costs.
Fans Are Your Friends: Ceiling fans and portable fans can aid in maintaining a comfortable indoor climate. But remember, fans cool people, not rooms, so turn them off when you leave the room.
Find Energy Hogs: Ever wondered which appliances consume the most power? Time to find out and consider replacing them with more energy-efficient models. Even small changes like swapping out incandescent bulbs for LEDs can result in significant savings.
Switch Electric Providers: Do not let your fixed-rate contract expire. There are hundreds of electricity plans in Texas. Do your homework and find one that suits your lifestyle and budget. If you’re environmentally conscious, many providers offer renewable energy plans.
Summer in Texas is all about warmth, joy, and priceless moments under the sun. We’re here to ensure that your energy bills don’t cast a shadow over your summer fun.
If you have any questions or need assistance finding the right plan our team of local energy experts is here to help!
Any product or company names, marks, or logos shown on this page are the property of their respective owners. ComparePower is an unaffiliated, independent marketplace.Get unbiased, accurate information backed by our commitment to editorial integrity.
Published on January 31, 2023
TLDR: Maximize winter energy savings by using your home’s historical kWh usage to find the best energy plan. Comparing energy plans with your electricity usage can lead to lower energy bills and more informed decision-making. Learning energy-saving tips and regularly reviewing your plan can also help reduce costs.
Maximizing winter energy savings
Winter months can bring great joy with the festive season, but they can also be harsh on your wallet due to increased energy consumption. Heating homes and offices can consume a lot of energy and significantly increases energy bills. With energy prices constantly fluctuating, finding an energy plan that fits your usage and budget is more important than ever. This is where your historical kWh usage comes in.
Understanding historical kWh usage
A kilowatt-hour is a unit of energy used to measure electricity consumption. Your historical kWh usage data records how much energy you have consumed over a specific period, typically one year. This data lets you find the perfect energy plan by comparing energy plans according to how you use electricity.
To access your historical kWh usage data, check your monthly energy bills or log into your energy provider’s account dashboard. Understanding this data is important in finding an energy plan that fits your usage and reduces energy bills.
How to use historical kWh usage to find the perfect energy plan
Comparing Texas electricity rates based on your historical kWh usage is easy. Start by collecting your historical kWh usage data monthly for one year. Enter your usage history on ComparePower’s historical usage calculator. Compare plan prices based on your historical kWh usage.
Comparing energy plans with your historical kWh ensures that you select a plan that fits your consumption pattern, reduces energy bills, and helps you make an informed decision based on your actual usage rather than just an estimated average.
Check out this short 2-minute video to learn how shopping with your usage works on ComparePower.
What length plan should I choose?
A common question we get when switching is the term length of the contract.
Is it best to choose a 12, 24, or 36-month plan? The length of your energy plan depends on your individual needs and preferences.
A 12-month plan offers stability, predictability, and the flexibility to shop again in 12 months.
A 24-month plan provides a longer period of stability in energy rates, but you may miss out on lower energy bills if rates go down.
A 36-month plan offers the longest period of rate stability. This term is ideal if you find a rate you like and prefer to lock that in for an extended period.
It can be difficult to predict electricity prices as supply and demand, fuel prices, government regulations, and weather conditions influence them. The energy market is highly dynamic and constantly changes, making it challenging to predict future prices accurately.
Ultimately, assessing your energy needs and considering the current market rates is best before deciding on a plan length. You may also want to consider the plan’s flexibility and the penalty fees for early termination.
When can I switch providers?
While you can switch electricity plans at any time, it is important to note that some providers may charge an early termination fee (ETF) if you end your contract before the end of the term.
The ETF is designed to compensate the provider for any losses they may incur from ending the contract early.
Before switching plans, be sure to review the terms and conditions of your current contract and consider the ETF fees involved.
In some cases, the potential savings from switching to a new plan may outweigh the ETF fees, so it’s important to do the math and weigh your options carefully. You can quickly do the math with ComparePower by plugging in your kWh usage and letting us crunch the numbers for you.
It is also worth noting that some providers may offer ETF-free plans, so be sure to consider all your options and choose the plan that best meets your needs and budget.
Starting service for a new home
If you don’t have access to the previous usage history for your new home, you can estimate your electricity usage. You can also ask the previous landlord for a copy of their kWh usage history for 12 months.
Tips to maximize savings this winter
Aside from finding the perfect energy plan, several other tips can help you maximize your energy savings this winter.
First, familiarize yourself with the different types of energy plans and rates available. There are fixed-rate, variable-rate, and prepaid plans, each with advantages and disadvantages.
Conserving energy and reducing usage during winter is another way to reduce energy bills. Simple changes, such as lowering your thermostat, sealing drafty windows, and using energy-efficient lighting, can help you save electricity.
Finally, it’s important to regularly review and adjust your energy plan to ensure you are always getting the best deal.
Any product or company names, marks, or logos shown on this page are the property of their respective owners. ComparePower is an unaffiliated, independent marketplace.Get unbiased, accurate information backed by our commitment to editorial integrity.
Fixed-Rate Electricity in Texas
Many different electricity plans are available in Texas, and it can be hard to know which one is best for you.
Fixed-rate electricity plans offer stability and predictability, which can be helpful if you’re on a budget.
We’ll compare some of the best fixed-rate electricity plans on ComparePower to help you decide which is right for your home.
What’s a good fixed rate per kWh in Texas?
The lowest fixed-rate electricity plan today starts at 8.80¢/kWh. That’s significantly lower than the average Texas residential electricity rate, which stands at 14.46 ¢/kWh.
Find the Best Fixed-Rate Plan
Hundreds of fixed-rate energy plans are available in Texas, so it can be challenging to choose one.
Shopping for a fixed-rate energy plan in Texas without knowing your home’s kilowatt-hour usage can cost you hundreds or even thousands.
The number one rule in finding the right power plan is to understand your usage.
This 2-minute video that explains everything you need to know ⤵️
It took me less than 5 minutes to enter my information, find a great plan, and get signed up! Super easy, super fast. I loved that I could enter my own kWh to see the prices too. Will definitely use this site again 🙂
This means that your rate will stay the same for the duration of your contract, even if energy prices fluctuate. That does not mean your electricity bill will be the same each month.
You will still need to pay the rate for the kWh you use each month, which can fluctuate with the seasons and the weather.
Fixed-rate plans often have early cancellation fees, so if you need to switch plans for any reason, you can do so without penalty.
Easiest way to compare power companies. They even remind right before your other contract expires. 2 years using this site , both years lower rates than on the actual companies websites!
Randy R. (TX, United States)
Fixed-Rate Electricity FAQs
What electric company has the lowest fixed rates in Texas?
Texas has a competitive electricity market, with over 60 electric companies offering hundreds of energy plans. But finding the best electricity provider with the lowest fixed rates can be challenging, especially if it’s your first-time shopping for an energy plan.
ComparePower takes the guesswork out of the equation by providing an accurate apples-to-apples comparison of fixed-rate energy plans tailored to your specific usage so you can be confident you’re getting the best electric rate and energy plan for your Texas home.
How do I find the cheapest fixed-rate electricity in Texas?
Easily find your cheapest rate on ComparePower with your home’s usage history.
You can save hundreds a year by comparing plans with your home’s usage history. It’s the best way to shop for a cheap fixed rate in Texas. Plus, with a quick and easy sign-up, you can enroll online in 5 minutes.
Any product or company names, marks, or logos shown on this page are the property of their respective owners. ComparePower is an unaffiliated, independent marketplace. Get unbiased, accurate information backed by our commitment to editorial integrity.
kWh Calculator: Estimate Your Usage
Are you looking to calculate or estimate your home’s energy consumption? Say hello to our powerful kWh Calculator and Estimator.
This easy-to-use tool takes the guesswork out of your energy usage, whether you live in a 500 sqft home or a sprawling 5,000 sqft mansion.
Let’s dive into how you can estimate your energy usage, find the best plans based on your kWh consumption, and make informed decisions as a savvy Texas electricity shopper.
The Ultimate kWh Calculator & Estimator
Introducing our handy kWh calculator – your new best friend in the electricity game. The tool will provide an estimated monthly kWh usage, making finding the best electricity plans easy.
To use the calculator, input the size of your home in square feet (sqft), the number of occupants, and your energy usage habits.
Let’s quickly find your best energy plan.
1. Size of home:
2. Number of residents:
3. Your energy habits:
Approximate average monthly usage: 690kWh
Disclaimer: This tool is for approximation purposes only. Accuracy is not guaranteed or implied.
The approximated monthly usage is based on an average over 12 months. Air conditioning and heating costs can vary and often account for up to 50 percent of your home’s energy use during different seasons.
Factors such as size of your home, weather, construction, heating and cooling equipment type, insulation, and family living habits will influence your actual usage.
Estimate Your Home’s Monthly kWh Usage
Curious about how much electricity your home consumes each month? We’ve created a handy table to help you understand your home’s monthly kWh usage based on its square footage.
Check out the table below to get started on understanding your home’s energy consumption:
Home Size (Sqft)
Estimated Monthly kWh Usage
1,000
500 – 1,000 kWh
1,500
750 – 1,500 kWh
2,000
1,000 – 2,000 kWh
2,500
1,250 – 2,500 kWh
3,000
1,500 – 3,000 kWh
3,500
1,750 – 3,500 kWh
4,000
2,000 – 4,000 kWh
4,500
2,250 – 4,500 kWh
5,000
2,500 – 5,000 kWh
Keep in mind that these estimates can vary depending on factors such as age, insulation, outside temperature, and your consumption habits significantly determine your energy consumption.
Moving to New Home: Starting Service
If you’re moving into a new home and need to start electricity service, but you don’t have access to historical energy usage data, don’t worry. Our kWh calculator can still give you a rough estimate of your monthly energy consumption.
Just enter the required information and let the calculator do the heavy lifting. Once you have a year’s energy usage data, you can make even more accurate decisions when selecting your electricity plan.
Switching Electric Provider: A No-Brainer
Did you know that letting your energy contract lapse or waiting until it expires can be costly? The good news is that switching electricity providers is easier than you might think.
Your new electricity company will handle everything, including cancellation. The switch only takes a few minutes, and you could start seeing savings in the first month.
Save Time & Money with Your Usage ⤵️
Shop Smarter, Not Harder: Find Savings
With the help of our kWh Calculator, you can now shop for electricity plans confidently. But how do you find the best plan for your specific kWh usage?
Learn how to compare rates with your kWh usage in 2-minutes ⤵️
Thank you for helping me find the best price based on how much energy I used in the last 12 months. This saved me a lot of time. We don’t use exactly 1,000 kWh every month, so using that number doesn’t show us the best price. I actually picked the second cheapest because I wanted 100% green energy. Great website, everything was easy to do!
Kristen H. (TX, United States)
Your kWh Questions, Answered
Find answers to frequently asked questions about your household energy usage.
What is the average kWh usage for a 2,000 sq ft home?
The average kWh usage for a 2,000 sq ft home can vary significantly depending on location, insulation, heating and cooling systems, appliance efficiency, and the occupants’ energy consumption habits.
In Texas, a 2,000 sq ft home might consume anywhere from 1,000 kWh to 2,000+ kWh per month, with higher usage typically occurring during extreme weather conditions in summer and winter months.
Reviewing your past electricity bills is best to assess your home’s energy consumption. These bills typically provide a detailed breakdown of your monthly kWh usage, which can help you understand your home’s energy consumption patterns.
By analyzing your past bills, you can identify seasonal fluctuations in your electricity usage, such as higher consumption during summer months due to air conditioning or increased usage in winter months for heating. This information is important for selecting an energy plan that fits your needs and usage patterns.
If you’re moving into a new home and can’t access past bills, consider asking the previous owner or tenant for their historical usage data. Alternatively, you can use our kWh calculator to estimate your home’s energy consumption based on size and other factors.
How to get the right energy plan for your home’s kWh usage?
To choose the right energy plan based on your home’s kWh usage, follow these steps:
Determine your monthly kWh usage: Review your past electricity bills or use a kWh calculator to estimate your home’s average monthly kWh usage. Consider seasonal fluctuations in usage due to heating or cooling needs.
Research available energy providers and plans: Enter your zip code on ComparePower.com to view energy providers in your area and the plans they offer. Look for plans with pricing structures that match your usage patterns.
Compare energy plans: Compare the available energy plans, considering factors such as price per kWh, fixed or variable rates, contract length, early termination fees, and any additional charges or incentives. Compare plans using your home’s specific kWh usage data for the most accurate cost comparison.
Evaluate green energy options: If you want to reduce your environmental impact, consider plans that include renewable energy sources, such as solar or wind power. Many providers offer green energy options or allow you to purchase Renewable Energy Certificates (RECs) to offset your electricity usage.
Read customer reviews: Look for customer reviews and ratings of the energy providers and their plans to learn about others’ experiences. This can help you identify potential issues or concerns with a particular provider or plan.
Sign up for the plan that best suits your needs: Once you’ve chosen the best energy plan based on your kWh usage and other preferences, enroll with the provider online or by phone on ComparePower.com in minutes.
Choosing an energy plan that aligns with your home’s kWh usage can optimize your electricity costs and ensure you’re only paying for your energy consumption.
How many Watts are in a kilowatt?
There are 1,000 watts in a kilowatt. The term “kilowatt” is derived from the prefix “kilo,” which means one thousand, and “watt,” a unit of power. So, a kilowatt represents 1,000 watts of power. This unit is commonly used to express the power consumption of electrical devices or the electricity generated by power plants.
What is a kilowatt?
A kilowatt (kW) is a unit of power used to measure the energy transfer or conversion rate. It is equal to 1,000 watts (W).
In electricity, a kilowatt is commonly used to express the power consumption of electrical devices or the electricity generated by power plants.
The term “kilowatt” is often used with a unit of time (kilowatt-hours, or kWh) to indicate the total amount of energy consumed or produced over a given period.
How many watts does a refrigerator use?
A refrigerator typically uses between 300 to 700 watts of electricity, depending on the unit’s size, model, age, and efficiency.
To determine how much power your specific refrigerator needs, check the small plate or label on the back or inside of the fridge, which should provide the wattage information.
Remember that energy-efficient models or those with ENERGY STAR certification tend to consume less power, resulting in lower electricity costs and a reduced environmental impact.
How many watts does a TV use?
The number of watts a TV uses can vary significantly depending on factors such as the type of TV, its size, and its age. Here’s a general overview of power consumption for different types of TVs:
Modern LED TVs: Between 30 to 100 watts, depending on the screen size. LCD TVs: Approximately 50 to 200 watts. Plasma TVs: Around 100 to 400 watts.
It’s important to note that these are approximate figures, and individual TV models may have slightly different power consumption rates. Additionally, TVs consume a small amount of power (typically 0.5 to 3 watts) while in standby mode.
To determine the exact wattage of your TV, you can refer to the user manual or the label on the back of the device, which usually provides the required information.
How many kWh does a house use?
The number of kWh a house uses can vary greatly depending on factors such as the size of the house, the location, the age and insulation of the home, the efficiency of appliances, and the individual energy consumption habits of the occupants.
On average, a house in the United States consumes about 877 kWh monthly, roughly 10,500 kWh per year. In Texas, the average monthly consumption is around 1,200 kWh.
However, it is important to remember that these are only averages and can differ from household to household. Consider using our kWh Calculator to estimate your house’s energy consumption more accurately.
How do I determine how much kWh I use?
Determining how many kilowatt-hours (kWh) you use involves several steps:
Review your electricity bills: The most accurate way to determine your kWh usage is by reviewing your past electricity bills. These bills usually display your monthly kWh consumption, allowing you to track your energy usage patterns over time and observe seasonal fluctuations.
Calculate your appliance usage: List your home’s electrical appliances, devices, and systems, and estimate the power consumption (in watts) and usage duration (in hours) for each item. Multiply the power consumption by the hours of usage to find the daily energy consumption in watt-hours (Wh) for each appliance. Then, convert watt-hours to kilowatt-hours by dividing by 1,000. Add up the daily kWh usage for all appliances to find your total daily usage. Multiply the daily usage by 30 to estimate your monthly kWh consumption.
Use a kWh calculator or estimator: Our online kWh calculators can help estimate your home’s electricity usage based on home size, occupants, and energy habits. While not as precise as actual usage data, these tools can provide a rough idea of your kWh consumption, which can be helpful when shopping for an energy plan or evaluating your energy efficiency.
Remember that your actual kWh usage may vary due to changes in your energy consumption habits, weather conditions, or the efficiency of your appliances and systems. Regularly monitoring your electricity bills and adjusting your usage patterns can help you manage your energy consumption more effectively.
Any product or company names, marks, or logos shown on this page are the property of their respective owners. ComparePower is an unaffiliated, independent marketplace. Get unbiased, accurate information backed by our commitment to editorial integrity.
PowertoChoose.org Reviewed
Why Texas’ powertochoose.org is a bad idea
Searching for the best electric rates and plans in Texas?
Here’s why powertochoose.org could end up costing you more than just time.
Open to Anyone
The State of Texas Public Utility Commission created powertochoose.org to list nearly every electric plan available in Texas. When we last checked, we found hundreds of plans from dozens of providers.
While at first, this may sound like an excellent place to search for your electric plan, the lack of provider screening and the single-purpose nature of this website may land you with a plan you wish you’d never signed up for.
As a state-run website, its service is open to every energy provider registered to compete in the deregulated Texas electricity marketplace.
Who are all these companies, you might ask?
Who knows!
They could have started the business a month ago. Power To Choose lists an Energy Score Card – but all that relates to is the number of formal PUC complaints filed per active customer.
Power To Choose allows every registered retail electric provider (REP) to list their plans on the website… even companies that have just started. And while you usually get notice and can find an alternate supplier, you could be left with a ridiculously high-priced plan from the local Provider of Last Resort (POLR) if your provider does go belly-up.
And how many random companies will have the infrastructure to handle a huge influx of customers?
OnPac energy decided to pull their plans down from Power To Choose because they could not handle the giant rush of customers signing up for the plans they listed on powertochoose.org.
Because there is no screening of the providers offered on the PUC website, they leave you on your own to ensure you sign up with a company that’s likely to stay in business and has the infrastructure to provide excellent customer service.
Look for providers your friends may use or those you’ve heard good things about. They’ve probably been around for a while. They probably know what it takes to survive in a competitive market: Great customer service, competitive pricing, and legitimate business practices.
Electricity Facts Label
The Electricity Facts Label and the Terms of Service are the most powerful documents available when shopping for electricity in Texas. These two documents contain valuable information about the plan you are considering, and every energy provider must disclose the information in these documents in a similar format.
The problem with powertochoose.org is in how these documents are accessed. Every time you want to see a facts label or the terms of service on that site, you’ll have to navigate to another webpage.
This means the document loads in a new tab or a new browser window. If that’s not annoying, I don’t know what is. And if keeping track of numerous open windows isn’t enough, having to go back and forth between them while shopping is tricky. How can you track which plan you were viewing when you have eight windows open, all related to different plans?
Getting back to consumer-focused service
There is no choice history, nothing personalized for you, nothing beyond a price list.
So let’s say you successfully sift through hundreds of plans from dozens of electricity companies, all fighting for that top position on pricing. You find a provider that suits your needs, and you sign up. Now what? You’re on your own. The state site is done with you.
You’re linked off, and there is no record of what you chose, how much you paid, or evidence of the plans agreements posted at the time of your signup. You get to start all over at the provider website by entering your zip code again, navigating another confusing pricing structure, and trying to find the same plan you signed up for.
This would be like shopping on expedia.com, finding your flight, choosing to buy it, and then starting the entire process again at the airline site, hoping that your flight is still there and that the pricing is still the same.
No screening, poor report card
How often do you call the government to tell them about your great experiences?
The PUC site displays a complaint ratio of total customers to the number of complaints.
Where are the actual details of the complaints?
How about those with positive experiences?
They’re nowhere to be found.
You’re probably interested in what others say – both good and bad, not just a generic “star” rating without any details, right? It’s important to research these numerous power companies from multiple angles. Yelp, the Better Business Bureau, verified customer reviews… all of these can help you better assess what you’re signing up for.
Overcoming these pitfalls is a click away
Fortunately, there is a much better option for quickly comparing the numerous electric providers and plans without a potential headache offered at the PUC website.
ComparePower offers a unique experience that will help make your life as a deregulated energy consumer much easier and straightforward.
Pre-screened providers and rate plans
Find the very best providers and their very best plans. You won’t have to wade through advertising gimmicks and make 27 phone calls to discover your cheapest electric rate from a reputable provider.
Facts labels and Terms of Service are embedded. When you want to review one of these important documents, you will see it right next to the plan you are reviewing. No new windows. No popups. Simple and easy.
You-centric
Keep track of your choices over time and store these important plan documents in your account, safe and sound. Keep track of your usage history if you’d like, which will help you find the lowest electric rate for your average usage level when it’s time to sign up again.
Review company information of the electric providers and read real consumer reviews. Access summaries of social and community feedback on the various energy companies in one place without hunting on the Internet.
ComparePower is the best PowertoChoose.org alternative in Texas. The key to getting the very best electric rate for your unique situation is educating yourself on the different facets of the deregulated energy industry. Whether we like it or not, this industry is a bit confusing, and it’s not getting any simpler. Educate yourself on how all this stuff works and use ComparePower’s consumer-centric comparison service to find a reputable, trusted supplier at the best possible rate.
PowertoChoose.org FAQs
What is powertochoose.org?
Powertochoose.org is a website operated by the Public Utility Commission of Texas (PUC) that provides a platform for consumers to compare and select retail electric providers (REP) and electric plans in the deregulated electricity market of Texas. The website allows users to enter their zip code to see a list of REPs and plans available in their area and to filter and compare plans based on factors such as price, contract length, and renewable energy options. It also provides information about the electric industry such as rules and regulations, consumer protection, and more.
How to use powertochoose.org?
Powertochoose.org is a website operated by the Public Utility Commission of Texas that provides a platform for consumers to compare and select retail electric providers and electric plans in the deregulated electricity market of Texas. Using the website, customers can enter their zip code to see a list of providers and plans available in their area, and filter and compare plans based on factors such as price, contract length, and renewable energy options. The website also provides information about the electric industry such as rules and regulations, consumer protection, and more.
What is the best powertochoose.org alternative in Texas?
There are several alternative websites to powertochoose.org that also provide a platform for comparing and selecting retail electricity plans in Texas. The most popular alternative is ComparePower.
ComparePower offers similar features to powertochoose.org such as the ability to compare plans and providers, filter plans based on specific criteria, and sign up for a new plan online as well as a unique feature that allows customers to enter their historical usage data to compare plans according to their specific usage profile. This can be a useful tool for customers looking to find the most cost-effective plan for their specific energy needs.
Powertochoose.org does not offer this feature, and customers are required to compare plans based on the average usage for their area. ComparePower.com also offers a user-friendly interface, making it easy for customers to compare plans and providers and make an informed decision.
Additionally, ComparePower.com provides other features such as filtering options, customer reviews, and guides, making it a great alternative to Powertochoose.org for customers in Texas looking to switch electricity providers.
Any product or company names, marks, or logos shown on this page are the property of their respective owners. ComparePower is an unaffiliated, independent marketplace. Get unbiased, accurate information backed by our commitment to editorial integrity.
Calculating Power Costs
Why your power costs may be more than you bargained for…
If you don’t know your average monthly kilowatt-hour (kWh) usage, you may be paying more on your electric bill than you originally thought you would when you signed up.
The average kWh usage level refers to the typical monthly energy your household consumes. Electric providers commonly charge different monthly rates and fees related to the usage level your household falls into. 500 kWh, 1000 kWh, or 2000 kWh.
Don’t be caught off-guard. The best way to ensure you aren’t overpaying is to start by understanding your household’s usage. Keep your power costs as low as possible by knowing this information when shopping for your electric plan.
Why your usage matters
Energy suppliers often advertise the rates associated with their highest usage level, as those tend to be the lowest prices offered.
However, these companies neglect to mention that the average household rarely consumes enough power in a given month to qualify for these cheap rates, leaving you paying more.
How much kWh does the average household in Texas consume?
The average household in Texas consumes between 1200-1500 kWh of electricity per month.
Some apartments may use far less, while some larger homes may use far more. But given that the average usage is less than the rates advertised at the highest tier of 2000 kWh, many people are left with a higher bill than anticipated.
While this rate is a very good deal for a household using 2000kwh, it is not appealing for those using under 800 kWh monthly (that’s the cutoff level for this particular plan’s $9.95 usage charge).
It’s a natural tendency for providers to advertise their lowest rate, so it’s important that, as a consumer, you are aware of the issue at hand and are armed with the knowledge of what to look for.
This real EFL Snapshot shows why it’s so vitally important you understand your usage and shop accordingly. 500kwh households will pay 11.4 cents per kWh, nearly 35% more than 2000kwh households (8.4 cents), for the same plan!
Don’t be misled by tricky advertising.
Take the time to do your due diligence, and you will save more on your power costs. There are even options available to consumers to make this whole process simpler.
Using our comparison tools instead of shopping directly with each provider can make selecting an electricity plan fast and easy.
ComparePower lists the average prices at 500, 1000, and 2000 kWh usage, including fees and taxes, so you can see the true rate that will appear on your bill.
Kilowatt-hours (kWh), usage levels, low-consumption fees – all the industry jargon is enough to make you want to tear your hair out. You shouldn’t have to be an electrical engineer to know how much you will spend each month on power costs.
Here are a few more statistics to help you calculate your energy consumption:
A 2-ton central air conditioner uses 1450 kWh per month
A typical water heater used by a 4-person household consumes 310 kWh per month
A dishwasher uses 30 kWh per month
An oven range uses 58 kWh per month
A microwave uses 16 kWh per month
A 17-20 cubic foot refrigerator-freezer uses 205 kWh per month
A washing machine uses 9 kWh per month
A dryer uses 75 kWh per month
Lighting for a 4-5 room residence uses 50 kWh per month
A television set uses 27 kWh per month
(The above statistics are all based on average home use)
Save your hard-earned money
If you have access to some previous bills, use that to help determine which usage level you should be shopping rates at. It can make a difference in the effective rate you end up paying for energy.
We have observed many plans advertised at very competitive 2000 kWh prices end up costing more than 35% higher for users at the 500 kWh usage level.
Be smart – grab those previous electric bills, figure out your average usage, and shop at your average usage level accordingly. This alone could save you hundreds of dollars a year and is quite possibly the most important aspect of shopping for electricity.
Kilowatt-hour Costs FAQs
Is the usage of 500 kWh per month high?
The usage of 500 kWh per month can depend on the context and on the household size, usage, and appliances. According to the U.S Energy Information Administration, the average monthly electricity consumption for a residential utility customer in the United States is about 914 kWh per month. So, usage of 500 kWh per month is considered lower than the average, however, it can still be considered high in comparison with the usage of a small apartment or a single person. It’s important to note that usage can vary depending on the location, season, and energy efficiency of the home. It’s always best to compare your usage with similar households in your area to have a better idea of whether your usage is high or not.
Is the usage of 800 kWh per month a lot?
The usage of 800 kWh per month can depend on the context and on the household size, usage, and appliances. According to the U.S Energy Information Administration, the average monthly electricity consumption for a residential utility customer in the United States is about 914 kWh per month.
