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Compare Texas Electricity Rates and Plans
Texas electricity prices fluctuate monthly based on market conditions, weather, and demand, so locking in a competitive rate now can help you avoid spikes later.
According to the U.S. Energy Information Administration, the average residential rate in Texas is 15.49 ¢/kWh, about 1.98 (11.3%) lower than the national residential average of 17.47 ¢/kWh. For businesses, the Texas commercial average is 8.90 ¢/kWh, roughly 4.06 (31.3 %) below the U.S. commercial average 12.96 c/kWh.
Texas electricity rates are changing fast. With peak summer demand across the state, locking in a fixed rate today can help you avoid sky‑high bills tomorrow. Many fixed‑rate plans are available starting at 10.40¢/kWh—a significant savings for households using 1,000 kWh or more.
Whether you live in Houston, Dallas, Fort Worth, Corpus Christi, or Laredo, the right energy plan can make a significant difference when your AC is working overtime. Use our tools to compare plans, lock in a fixed rate, and avoid the volatility of variable pricing.
Key Takeaways
Locking in a fixed rate now can prevent summer bill spikes. With Texas electricity rates averaging 15.49 ¢/kWh and some fixed‑rate plans as low as 10.40¢/kWh, securing a fixed rate today can help you avoid higher costs during peak summer demand.
Know what you use. Electric plans list prices at three points—500, 1,000, and 2,000 kWh—but your cost per kWh can shift if you use more or less than those amounts. To avoid surprises, check your monthly usage and compare plans based on the published 500/1,000/2,000 kWh prices. That way, you’ll know which plan is a better deal for the way you use electricity.
Compare Power simplifies the process of finding the right plan. By comparing over 250 real‑time electricity plans side by side and offering tools like Live Link™, we help Texans find plans that match their actual usage, ensuring transparency and potential savings.
Texas is a fully deregulated electricity market. That means you get to choose your energy provider and plan, unlike residents in most U.S. states. But choice can be confusing. That’s why Compare Power exists.
We help Texans:
- Compare over 250 real-time electricity plans side by side
- See all-inclusive pricing (no gimmicks or hidden fees)
- Match plans to actual usage with Live Link™
- Sign up instantly online
You have the power to choose. We make it simple to choose wisely.
“Compare Power helped me find the right energy plan for my family. It was a great experience!”
Chuck Harris
“Found it easy to choose an electric provider with great rates.”
Shelby Cowger
Cheapest Electricity Rates in Texas Today
Check out the lowest rates available right now in some of Texas’ biggest cities (prices shown for 500, 1,000, and 2,000 kWh).
Plan Rate Types Available in Texas
Fixed-Rate Plans — Lock in your price per kWh for six to thirty‑six months. Great if you want predictable bills and protection from seasonal spikes.
Time-of-Use Plans — Pay less at night or on weekends. Ideal if you can shift your energy‑heavy chores to off‑peak hours.
Prepaid Electricity — Pay as you go and keep tabs on your usage with alerts—some prepaid plans offer no-deposit or credit check.
Flat-Rate Plans — Pay one flat fee regardless of your usage. Suitable for households that crave a consistent monthly bill.
Business Electricity Plans — Custom quotes for companies with big cooling loads. Get a tailored rate that fits your operation.
How to Choose Your Best Energy Plan
The lowest rate isn’t always the best choice. Here’s why:
Advertised Rates Can Be Misleading—Those low advertised rates you see are usually based on using exactly 500, 1,000, or 2,000 kWh. If you use 1,001 kWh or 999 kWh, your per‑kWh cost can be very different.
Usage-Based Credits Matter—Some plans give you a bill credit if you stay within a specific range. Go a bit over or under, and you can lose that credit, driving up your bill.
Seasonal Changes Affect Usage—You might burn through 2,500 kWh in July and only 600 kWh in March. Pick a plan that suits both your high‑ and low‑usage months.
Match your plan to your pattern. Our Live Link™ tool pulls your real usage history straight from the utility, so you can see how each plan would have priced your actual consumption.
With Live Link™, you get data-driven recommendations by pulling your real usage numbers directly from your utility. Skip the surprises and get a plan tailored to your actual energy habits.
Ready to see your options? Explore current offers tailored to your usage with Live Link →
Best Texas Electricity Rates for August 2025
Looking for the cheapest electricity rates in Texas right now? Based on 1,000 kWh usage in the ONCOR service area, current plan prices range from 10¢ to 16¢ per kWh, depending on the provider and plan type.
| Provider & Plan | Term | Rate per kWh |
|---|---|---|
| Frontier Utilities – Saver Plus 12 | 12 months | 10.1¢ |
| 4Change Energy – Maxx Saver Select 24 | 24 months | 10.6¢ |
| Just Energy – Power Plus 24 | 24 months | 12.5¢ |
| Reliant – Power Savings 12 | 12 months | 15.5¢ |
| Constellation – 12Mo Usage Bill Credit | 12 months | 16.3¢ |
Summer 2025 Energy Tips for Texans
Use Live Link™ to base your comparisons on real usage, not estimates.
Avoid late-summer renewals. Rates tend to spike in August and September.
Don’t get stuck on a variable plan. They can climb quickly when demand is high.
Texas Electricity Rates Chart
This chart tracks how residential and commercial rates in Texas rise and fall with the seasons. Notice the sharp jumps in summer when air conditioners across the state stress the grid. Business rates stay steadier, while residential customers feel the most pain. Understanding these patterns helps you choose when to lock in a rate and when to shop around.
Fixed‑rate plans can shield you from summer spikes, while variable holdover rates may leave you exposed when demand peaks.
Texas Electricity Rates FAQs
Confused about Texas electricity rates? Here’s what you need to know.
Should I lock in a rate now or wait?
Summer demand pushes prices up, which is why you see higher rates in July and August. If your current plan has expired or you’re on a month‑to‑month rate, locking in a fixed price now can shield you from those peaks.
If you’re comfortable riding out a couple more high‑usage months and staying on top of your bill, rates often ease in the fall when demand drops. Weigh how much you’ll pay in the meantime against the potential savings of locking in later.
What are the average summer electricity bills in Texas?
Bills vary widely. A typical home uses about 1,000 kWh in mild months but can hit 2,500 kWh in summer. At today’s rates, that’s roughly $250–$400 a month.
Should I switch plans before summer peaks?
If you’re on a variable rate or your contract has expired, switching now could save you a bundle. Summer usually brings the highest rates of the year.
Who has the cheapest electricity rates in Texas?
Gexa Energy, Frontier Utilities, and Rhythm Energy tend to offer some of the lowest rates.
For summer 2025, competitive fixed‑rate plans range from 11–16¢/kWh, but always compare based on your location and usage.
What is a good electricity rate in Texas?
In 2025, a solid fixed‑rate plan typically falls between 11 and 16 ¢/kWh. What’s “good” depends on how much power you use and where you live.
How do I compare electric rates in Texas?
Start by looking at past bills to see how much you use each month. Then compare plans that offer reasonable rates for that usage level and read the fine print on fees.
How do I find the best electricity rates in Texas?
Know your usage, review both fixed and variable options, and watch for additional fees. The best rate balances cost and flexibility for your needs.
Who has the best electric rates in Texas?
It varies by provider and location. TXU, Reliant, and Green Mountain Energy often have competitive rates. Read reviews and compare plans.
Why are Texas electric bills so high?
High bills often result from heavy AC use, fluctuating wholesale prices, and extra fees. Improving efficiency and shopping around can help.
Why is Texas electricity so expensive?
Demand spikes in summer, natural gas prices fluctuate, and the deregulated market all play a role. Picking the right plan helps you manage costs.
Will Texas electricity rates go down in 2025?
Rates often drop in the fall as demand eases, but summer 2025 may stay high due to new investments in renewable generation and grid upgrades. Locking in a low fixed rate now can be a smart move.
What is the current price of electricity in Texas?
Rates currently range from 11¢ to 25¢ per kWh. Most homes pay between 12¢ and 16¢, but variable rates can spike higher during summer.
Our Texas-based energy experts are here to help:
Live Chat (bottom right, Mon-Fri: 8:30 AM – 6:30 PM)
Call 855-441-3030 (Mon-Fri: 8:30 AM – 6:30 PM Sat: 9 AM – 4:30 PM)
Email [email protected]
Why Texans Trust Compare Power
With more than 81,590 five‑star reviews, Compare Power is Texas’ top electricity marketplace. We’re independent, transparent, and built to help you find value—not gimmicks. Enroll instantly online, and let’s lower that next bill together.
Stay Informed with Our Latest Articles
We regularly publish tips to help you understand your options, make wise choices, and avoid overpaying for electricity. Check out our latest posts to stay ahead of the curve.
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