Category: Learn

Learn about Texas electricity companies, energy plans, and rates and how to save money on your electricity bill.

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The Hidden Costs Driving Up Your Texas Electricity Bill

When Diane, a hard-working single mom from Houston, opened her electricity bill, she was stunned. Her monthly statement had skyrocketed from $120 to an eye-watering $185 – and she had no idea why. Diane felt frustrated, confused, and worried about how this unexpected expense would impact her tight budget.

Unfortunately, her story is all too common in Texas. Countless residents pay “holdover rates” without even realizing it. In this article, we’ll explain holdover rates, why they exist, and—most importantly—how to protect yourself from falling victim to this costly trap.

What Are Holdover Rates?

In the Texas electricity market, a holdover rate is a variable rate that your Retail Electricity Provider (REP) automatically applies to your account when your fixed-rate contract ends and you are in electricity limbo (i.e., between contracts).

These rates are inextricably tied to the real-time market price of electricity, which can fluctuate wildly and soar during high demand.

While holdover rates are legal, many Texans find this practice misleading and unfair, taking advantage of their busy lives and limited time.

Read: Texas Electricity Contract Expiration Guide →

Retail Electricity Providers

In the Lone Star State, power generators are paid for their electricity in an energy-only market. You (the consumer) don’t purchase electricity directly from power generators. Instead, you rely on a Retail Electricity Provider as an intermediary.

Your REP is tasked with forecasting demand and purchasing the right amount of electricity in advance, often through fixed-rate contracts, to meet projected needs. When your fixed-rate contract with your REP expires, and you haven’t chosen a new plan, you may unknowingly be placed on a holdover rate.

Read: How Electricity Contract Renewals Work in Texas →

The Holdover Rate Trap

For REPs, holdover rates safeguard against the uncertainty of not knowing how much electricity to purchase for customers whose contracts have expired. By switching these customers to a variable rate, REPs can adjust their purchases based on actual consumption, minimizing their risk of buying too much or too little power.

However, this risk-mitigation strategy comes at a steep cost for consumers, who are left exposed to the volatile whims of the real-time electricity market.

Your Electricity Plan

If you’ve ever been shocked by a sudden spike in your Texas electricity bill, you might be one of the many Texans who have been switched to a “holdover rate” without realizing it.

So, how can you tell if you’re on a holdover rate? Start by scrutinizing your latest electricity bill or logging into your REP’s online portal. Look for terms like “variable rate” or “month-to-month” in your plan details. Also, look for the contract expiration date. If your contract has expired, you’re likely on a holdover rate.

Read: How to Switch Electricity Companies in Texas

Avoiding Holdover Rates

The good news is that you can take control of your electricity costs and avoid falling victim to holdover rates. To protect yourself from the financial burdens of holdover rates, start by marking your contract expiration date on your calendar and setting a reminder to begin shopping for a new plan at least a month in advance.

Better yet. Schedule a reminder now, and we’ll email you when it’s time to shop.

As your contract nears its end, dedicate time to researching and comparing plans from various REPs. Utilizing comparison tools, like those offered by ComparePower, can help you find the most competitive plan based on your unique usage patterns.

In Texas, you can switch electricity providers without incurring early termination fees within 14 days of your contract expiration date. 

Texas Administrative Code, Title 16, Part II, Chapter 25, Subchapter R, §25.475

Make your switch within this window to avoid being rolled onto a costly holdover rate. Repeat this process annually to ensure you always secure a competitive electric rate for your home.

Stuck in a contract? Schedule a reminder, and we’ll help you find a better plan before your contract expires.

How ComparePower Helps

We empower you (the Texas energy consumer) with the tools and information to make informed decisions and avoid costly pitfalls like holdover rates. ComparePower gives you access to:

  • Transparent pricing information: We offer all-inclusive pricing and break down the costs of each plan, including hidden fees and discounts, so that you can make apples-to-apples comparisons.
  • Personalized recommendations: Live Link™ analyzes your unique usage data to identify the plans that will save you the most money based on your electricity consumption.
  • Unbiased advice: As an independent marketplace, we’re not beholden to any particular electricity company. Our sole focus is helping you find the best plan for your needs and budget.
  • Step-by-step guidance: Our friendly Texas-based customer service team will walk you through the switching process and ensure a seamless transition to your new plan.
  • Reminders when it’s time to switch: ComparePower will remind you to switch plans at the right time.
Eric Eldridge

Easy to use, helped me choose the right power plan for me.

Eric Eldridge

Say Goodbye to Holdover Rates

After reading about the shocking truth behind holdover rates and how to avoid them, you may wonder how to choose the best electricity provider in Texas.

Switching electricity providers is one of the easiest ways to save money on your energy bills in Texas. Don’t let holdover rates drain your wallet for another month. Start comparing plans today and take control of your energy costs with ComparePower.

Take Control of Your Energy Costs

The following article will guide you through selecting the best provider and plan for your home. You’ll learn:

  • The role of retail electricity providers and how they differ from utility companies
  • Why price should be the primary factor in choosing a provider
  • How to calculate the true cost of an electricity plan based on your usage
  • The difference between fixed-rate and variable-rate plans
  • How to use ComparePower’s tools to compare plans and find the best deal

With this knowledge, you can confidently shop for a new electricity plan and take control of your energy costs.

Read: How to Choose the Cheapest Electricity Provider in Texas →

Don’t spend another month overpaying for electricity. Take control of your energy costs today by comparing plans and making the switch with ComparePower.

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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.

Calculate Costs for Texas Electric Plans

Choosing the right electricity plan can be daunting, especially when comparing different providers and understanding the potential costs based on monthly kWh usage.

In this guide, I’ll walk you through a step-by-step process of manually calculating the cost of any electricity plan in Texas using a spreadsheet.

I’ll explain every thought process and step in detail so you can follow along and calculate the costs confidently, even if you’ve never done this.

TL;DR: Regardless of your chosen method, always analyze each plan individually to ensure an accurate comparison. Manually calculating Texas electricity plan costs using a spreadsheet is the most accurate way to compare plans, but it can be time-consuming and complex. For a quicker and easier way to compare plans based on your actual usage, try ComparePower’s savings calculator.

It’s Your Choice

Comparing electricity plans in Texas can be daunting, especially when trying to make sense of the complex language and calculations found in the Electricity Facts Label (EFL). You have two options:

Option 1: The Long Hard Way
Follow the step-by-step guide in this article to manually calculate the cost of each electricity plan using a spreadsheet. This approach requires time, effort, and a keen eye for detail as you navigate the EFL and input the necessary data into your spreadsheet. While this method can help you understand the components that make up your electricity bill, it can be tedious and time-consuming.

Option 2: The Faster, Easy Way
Skip the manual calculations and let ComparePower’s savings calculator do the work. Enter your zip code, follow the prompts to enter your usage, and instantly find plans tailored to your unique usage patterns. See each plan’s monthly and annual costs and get the necessary information.

Easily Compare Electric Plans & Rates

Before You Begin

To get started, you’ll need the following information:

  1. The Electricity Facts Label (EFL) of the plan you’re considering
  2. Your monthly kWh usage data for the past 12 months
  3. A spreadsheet application (e.g., Microsoft Excel or Google Sheets)

Electricity Facts Label (EFL): Below is an example of the Electricity Facts Label (EFL) we’ll use throughout this guide. You can find the EFL for the plan you’re considering on the provider’s website or by contacting them directly.

TXU Energy EFL
Sample Electricity Facts Label

Pro tip: You can easily access your monthly electricity consumption data from past bills, online accounts, or Smart Meter Texas.

Mock kWh Usage: If you want to follow along, use this kWh usage profile:

Jan 972

Feb 928

Mar 821

Apr 921

May 1032

Jun 1402

Jul 1947

Aug 2432

Sep 1892

Oct 1432

Nov 1213

Dec 1003

Step-by-Step Guide

Step 1: Open up a spreadsheet
Google Sheets or Excel, it doesn’t matter. To manually calculate Texas electricity plan costs, basic to intermediate Excel or Google Sheets skills, including entering data, creating formulas with IF statements, and using the SUM function.

Step 2: Set up the column headers
a. Open a new spreadsheet and create the following column headers: Month, kWh Usage, Base Charge, Energy Charge, TDU Delivery Charges, Bill Credit, and Total Monthly Cost.

Screenshot 2024 03 13 at 5.04.33 PM

Step 3: Enter the months
a. In the “Month” column, enter the names of the months from January to December.

Screenshot 2024 03 13 at 5.19.35 PM

Step 4: Enter the kWh usage data
a. Locate your monthly kWh usage data for the past 12 months.
b. In the “kWh Usage” column, enter the corresponding usage data for each month.

Screenshot 2024 03 13 at 5.22.15 PM

Step 5: Determine the base charge
a. Open the EFL for the plan you’re considering.
b. Look for the “Base Charge” or “Customer Charge” in the EFL. In this example, it’s listed as “$9.95 per month.”
c. In the “Base Charge” column, enter $9.95 for each month.

Screenshot 2024 03 13 at 5.23.53 PM

Step 6: Calculate the energy charge
a. In the EFL, find the “Energy Charge” section. In this example, it’s listed as:
0-1200 kWh: 10.9000¢ per kWh
>1200 kWh: 17.8000¢ per kWh
b. To calculate the energy charge, we’ll use an IF statement in the spreadsheet:
=IF(B2<=1200,B20.109,12000.109+(B2-1200)*0.178)
If the usage (B2) is less than or equal to 1200 kWh, multiply the usage by $0.109.
If the usage is greater than 1200 kWh, multiply the first 1200 kWh by $0.109 and the remaining kWh (B2-1200) by $0.178, then add the two results together.
c. Enter this formula in the “Energy Charge” column for the first month and drag it down to apply it to all months.

Screenshot 2024 03 13 at 5.24.47 PM

Step 7: Obtain the TDU Delivery Charges
a. In the EFL, look for the “TDU Delivery Charges” section.
b. The EFL states “**For updated TDU delivery charges go to txu.com/tducharges.” Click on this link.
c. On the page, find the charges for your specific TDU. In this example, we’re using Oncor.
d. Note down the “TDU Delivery Charges per Month” ($4.23) and “TDU Delivery Charges per kWh” ($0.045403).

TDU Delivery Charges (Oncor):

Screenshot 2024 03 13 at 6.01.55 PM

Step 8: Enter the TDU Delivery Charges per Month
a. To calculate the TDU Delivery Charges for each month, we’ll use the following formula:
=(B2 * $0.045403) + $4.23
Multiply the monthly kWh usage (B2) by the TDU Delivery Charges per kWh ($0.045403) and add the TDU Delivery Charges per Month ($4.23).
b. Enter this formula in the “TDU Delivery Charges” column for the first month and drag it down to apply it to all months.

Screenshot 2024 03 13 at 6.02.57 PM

Step 9: Determine the bill credit
a. In the EFL, look for any bill credits. In this example, it states “A bill credit of $30 will be applied for each billing cycle in which usage is 800 kWh or more.”
b. To calculate the bill credit, use an IF statement: =IF(B2>=800,-30,0) c. Enter this formula in the “Bill Credit” column for the first month and drag it down to apply it to all months.

Screenshot 2024 03 13 at 6.03.42 PM

Step 10: Calculate the total monthly cost
a. To calculate the total monthly cost, we’ll add up the base charge, energy charge, and TDU Delivery Charges, then subtract the bill credit:
=C2+D2+E2+F2
b. Enter this formula in the “Total Monthly Cost” column for the first month and drag it down to apply it to all months.

Screenshot 2024 03 13 at 6.04.36 PM

Step 11: Calculate the total annual cost
a. To calculate the total annual cost, sum up the “Total Monthly Cost” column with this formula: =SUM(G2:G13)

Compare Every Plan This Way

When comparing electricity plans, it’s important to recreate the spreadsheet for every plan you’re considering.

Each plan has its unique pricing structure, discounts, and additional charges, which can significantly impact your total annual cost.

By inputting the specific details of each plan into the spreadsheet, you’ll be able to compare the costs and make an accurate, informed decision.

Don’t rely on general assumptions or limited pricing information from the EFL.

Total Annual Cost

When comparing different electricity plans, consider the total annual cost rather than the monthly expenses.

The total yearly cost considers any discounts or additional charges that may apply in certain months but not others, as your usage will differ monthly in any given year.

Focusing on the annual cost gives you a more accurate picture of each plan’s overall expense.

To compare plans using this spreadsheet method:

  1. Create a separate spreadsheet for each plan you’re considering.
  2. Follow the steps outlined above to calculate the total monthly cost for each plan.
  3. Calculate the total annual cost for each plan by summing up the monthly costs.
  4. Compare the different plans’ total annual costs to determine which offers the most savings based on your usage.
Electric Plans List Sort Low to High
Plans are listed by total yearly cost.

Detailed Pricing Breakdowns

If you’re calling providers directly, asking a representative, or using a shopping site like Power to Choose, be wary if they can’t produce a detailed pricing breakdown for your specific usage patterns.

A reputable provider or comparison marketplace should be able to give you a clear picture of your total monthly and annual costs based on your home’s unique energy consumption.

If they can’t provide this level of detail, it may be a sign that they’re not being fully transparent about their pricing or that they lack the tools to calculate your costs accurately.

Personalized Savings Calculator

In this guide, we’ve discussed manually calculating the cost of an electricity plan in Texas using a spreadsheet.

While this approach gives you a detailed understanding of how your electricity bill is calculated, it can be time-consuming and requires navigating complex language and calculations.

Alternatively, you can use ComparePower’s savings calculator to compare and save on your electricity plan without the hassle.

Enter your usage and instantly see the true cost for any plan.

Get pricing details for your specific monthly usage, including total charges, the average price per kWh, and a detailed breakdown of how your bill is calculated.

The pricing is all-inclusive, so your electric bill will have no hidden charges or surprises.

This approach lets you see the exact price for each plan based on your home’s unique energy consumption patterns instead of the limiting prices in the EFL.

Screenshot 2024 03 14 at 12.49.47 PM
Personalized Electricity Savings Calculator on ComparePower
Plann Details Bill Estimate 1
Detailed bill breakdown on ComparePower.

Compare Plans with Your Usage

To save time and effort, ComparePower’s savings calculator lets you compare plans based on your usage in just a few minutes.

Watch this 2-minute video to see how easy it is:

Your Next Steps to Finding the Best Electricity Plan

Following this detailed, step-by-step guide, you can manually calculate the cost of any electricity plan in Texas using a spreadsheet.

Double-check your formulas and use the correct EFL and TDU Delivery Charges page values.

When comparing plans, focus on the total annual cost to get a more accurate picture of the overall expense.

Remember, whether you calculate costs manually or use an online comparison tool, always recreate the process for every plan you’re considering to ensure an accurate comparison.

Understanding your electricity costs and carefully evaluating your options can help you make an informed decision and save hundreds of dollars on your annual electricity expenses.

If you have more questions or need help finding the right plan for your household, contact ComparePower’s local experts.

You can shop confidently and control energy costs with personalized recommendations and transparent pricing.

Easily Compare Electric Plans & Rates

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Texas Energy Assistance

The Texas Energy Assistance Program, part of the Comprehensive Energy Assistance Program (CEAP), is designed specifically for low-income households.

From immediate relief to long-term stability, this guide equips you with everything you need to regain control and keep your home powered.

What is the CEAP?

CEAP is a critical support system provided by the Texas Department of Housing and Community Affairs (TDHCA). Aimed at Texans grappling with energy expenses, CEAP offers immediate aid, crisis intervention, and long-term energy management support. It’s more than financial aid; it’s a commitment to Texans in need.

How to Apply

You can apply through your local community service agency. The TDHCA’s website offers information on this and other valuable community programs. It’s your gateway to discovering the support available to you.

Program Eligibility

Review the LIHEAP guidelines to understand the specific criteria, including income levels and household requirements. Understanding these guidelines ensures that you know exactly what support you qualify for.

Available Assistance

CEAP’s comprehensive aid includes:

  • Immediate assistance with energy bills
  • Crisis support for urgent needs
  • Co-payment solutions for ongoing expenses
  • Utility-related home repairs to keep you comfortable

These multifaceted benefits are tailored to help Texans navigate energy costs with confidence.

Other TDHCA Resources

Beyond energy assistance, the TDHCA provides a variety of support services, including housing assistance. Be sure to explore the full range of programs that can benefit you and your family.

Your Path to Energy Relief

The Texas Energy Assistance Program is here to empower Texans struggling with energy costs. With this guide, you’re now equipped to tap into the resources that will keep your home energized and comfortable.

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How to Choose the Best Electricity Plan in Texas

Are you overwhelmed by the myriad of electricity plans in Texas?

You’re not alone. As a Texas resident, I’ve been there.

But don’t worry. I’m here to share my personal experiences and insider knowledge.

This will help you navigate this complex market and find the best electricity plan in Texas.

TLDR: This guide provides a step-by-step approach to choosing the best electricity plan in Texas based on your unique energy needs.

It highlights the benefits of using ComparePower, a trusted platform that simplifies the process and offers usage-based shopping.

By understanding your consumption and entering your usage history, you can find a plan that closely matches your energy patterns, saving you hundreds of dollars annually.

Step-by-Step How to Choose Guide

This guide helps you choose the best electricity plan in Texas using ComparePower’s usage-based shopping, potentially saving hundreds of dollars a year. It concludes with the ease of online enrollment in just ten minutes.

Total Time: 10 minutes

Understand Your Energy Needs

Step-1

Before diving into the sea of energy plans, it’s crucial to understand your energy needs.

Your electricity consumption will vary based on the size of your home, the number of family members, and your lifestyle.

Read How to get your kWh usage for more details.

Use ComparePower.com

Step-2

Next, turn to ComparePower.

A highly-rated energy marketplace that simplifies finding your best electricity plan.

With over 73,909 five-star reviews, it’s a trusted platform for Texans to shop, compare, and select the right energy provider.

Embrace Usage-Based Shopping with ComparePower

Step-3

One of the unique features of ComparePower is its focus on usage-based shopping.

This approach allows you to find the best electricity plan that closely matches your unique energy consumption patterns.

By understanding your consumption and how it fluctuates throughout the year, you can identify areas for reducing energy waste and make adjustments to optimize your usage.

Read Usage-based shopping on ComparePower for more details.

Enter Your Usage History

Step 4

Here’s where ComparePower shines.

By entering your usage history into their user-friendly platform, their advanced algorithms analyze the data to generate a tailored plan list that aligns with your energy needs.

This eliminates the guesswork and saves you time and effort comparing different options.

This approach can lead to significant savings, saving you hundreds of dollars annually.

Choose the Best Plan for You

Step 5

Now comes the decision-making.

When choosing an electricity plan, consider the rate type (fixed or variable), contract length, and any additional features or incentives.

A fixed-rate plan offers a guaranteed price per kilowatt-hour, providing stability and predictability in electricity costs.

On the other hand, a variable-rate plan offers flexibility, allowing you to benefit from market price decreases.

Enroll Online with ComparePower

Step 6

The final step is the easiest of all – enrolling in your chosen plan.

With ComparePower, this process is quick and straightforward.

I enrolled online in five minutes without calling endless electric companies or deciphering difficult sales pitches and jargon.

This is a task I only do once a year, and ComparePower makes it a breeze.

Supply:

  • A device with internet access (computer, iPad, or mobile phone).

Tools:

  • Access to the ComparePower website and its usage-based shopping tools.

Materials: Your energy usage history or your homes square footage.

Up Next: How to Shop with Your Usage

In this next article, we’ll explain how to use your energy consumption data to find the most cost-effective electricity plan.

How to Choose Texas Electricity Plan FAQs

We understand that navigating the Texas electricity market can be complex.

We’ve compiled a list of frequently asked questions to help you better understand the process and make the most informed decision.

What is usage-based shopping?

Usage-based shopping is where you compare and select electricity plans based on your specific usage patterns.

Instead of relying on predetermined usage levels, such as 500, 1,000, or 2,000 kilowatt-hours (kWh), usage-based shopping considers your energy consumption.

How can usage-based shopping save me money?

Using usage-based shopping and selecting a plan that aligns with your specific energy needs, you can optimize your electricity expenses and save money on your bills.

How does ComparePower help me find the best plan based on my usage?

ComparePower is your partner in navigating the complexities of the Texas electricity market.

They offer the tools, resources, and support you need to find the best plan based on your usage.

How can you find the best electricity plan in Texas?

To find the best electricity plan in Texas, follow these steps:

Understand Your Energy Needs: Your energy consumption will depend on factors like the size of your home, the number of occupants, and your lifestyle. If you’re moving into a new home and don’t have past usage data, you can estimate your usage with ComparePower’s kWh usage calculator or shop based on your home’s square footage. Knowing your average monthly usage will help you find a plan that fits your needs.

Use ComparePower: This platform simplifies finding the best electricity plan. It offers usage-based shopping, allowing you to find a plan that closely matches your energy consumption patterns.

Enter Your Usage History or Estimated Usage: By inputting your usage history or estimated usage into ComparePower’s platform, you can get a list of plans tailored to your energy needs. This can save you time and effort when comparing different options.

Choose the Best Plan for You: When choosing an electricity plan, consider factors like the rate type (fixed or variable), contract length, and any additional features or incentives.

Enroll Online with ComparePower: The final step is to enroll in your chosen plan. With ComparePower, you can complete this process online in five minutes without calling multiple electric companies or deciphering complex sales pitches and jargon.

Remember, the best plan for you depends on your specific needs and usage profile. Take your time, do your research, and make an informed decision.

Can I enroll for a plan directly on ComparePower?

Yes, ComparePower offers a seamless online enrollment process. You can find and enroll in a plan without leaving their platform.

Why should I trust ComparePower?

ComparePower is a trusted marketplace that lists electricity plans and rates from vetted Texas electricity providers.

Over 73,909, Texans have rated ComparePower five stars, attesting to their commitment to helping consumers find the best electricity plans for their needs.

Your Turn to Save

Now that you have the knowledge and tools to navigate the Texas electricity market, it’s your turn to save.

Remember, understanding your unique energy needs and using ComparePower’s usage-based shopping approach is the key to finding the best electricity plan.

Take the time to enter your usage history, compare plans, and make an informed decision.

With just a few clicks, you can enroll in your chosen plan on ComparePower and start saving today.

Don’t let the complexities of the electricity market overwhelm you. You have the power to choose and save.

Compare Rates Near You👇

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Save On Texas Electricity with Your Usage

Your electricity usage history can save you hundreds of dollars annually on your Texas energy bills.

Live Link™ automates this process, instantly retrieving and analyzing your data to find the best-fitting plans.

Try Live Link Now

Why Your Usage History Matters

Imagine buying groceries without knowing how much your family typically eats.

You’d likely overspend or end up short. The same principle applies to electricity plans.

Without understanding your usage patterns, you’re essentially shopping in the dark.

Your kWh usage history reveals:

  • Seasonal fluctuations in your energy consumption
  • Peak usage months
  • Your average monthly consumption

Without this data, you risk overpaying or facing unexpectedly high bills.

How Live Link™ Works

Live Link™ eliminates the need to collect and analyze your usage data manually.

  • Automatically retrieves your historical usage
  • Analyzes consumption patterns
  • Compares plans based on your actual usage
  • Calculates estimated bills for each plan option

Automated Usage Retrieval

Gathering your usage history traditionally meant sifting through old bills or navigating clunky utility websites.

This tedious process often deterred consumers from making informed decisions.

Enter Live Link™, a groundbreaking tool that’s revolutionizing how Texans shop for electricity.

This innovative tool automatically retrieves your historical usage data, eliminating the hassle of manual collection and ensuring pinpoint accuracy.

Find your best electricity plan in minutes. Use Live Link Now

Effective Plan Comparison

When comparing plans with Live Link™, consider the following:

  • Total cost based on your usage, not just advertised rates
  • Plan structure (fixed-rate, variable, tiered)
  • Contract terms
  • Hidden fees

Compare Personalized Plans with Live Link

Switching Providers: Your Path to Savings

Many Texans hesitate to switch electricity providers, fearing it’s complicated or won’t yield significant savings.

However, switching can often lead to substantial cost reductions—if done right.

This is where Live Link™ shines. It’s explicitly designed for Texans looking to switch providers and save money. Here’s how:

  • Precise Comparisons: Live Link™ uses your actual usage data to calculate potential savings with different providers, ensuring accuracy.
  • Timing is Everything: It alerts you when your contract is nearing expiration—the perfect time to switch without incurring fees.
  • Eliminates Guesswork: No more estimating your usage or falling for misleading advertised rates. Live Link™ shows you precisely what you’d pay based on your consumption patterns.
  • Reveals Hidden Savings: It might uncover that a plan with a higher per-kWh rate saves you money due to your specific usage pattern.
  • Streamlines the Process: Once you’ve chosen a new plan, Live Link™ simplifies the switching process, making it nearly effortless.

Remember, the Texas electricity market is dynamic. A plan that was best for you last year might not be the most economical choice now. You could save hundreds annually by leveraging Live Link™ to switch providers strategically.

Ready to Switch and Save? Try Live Link Now

Moving to a New Home

If you’re new to an address:

Estimate Your Home kWh Usage

Business Customers

While Live Link™ isn’t available for businesses yet, energy advisors can analyze your usage patterns and industry-specific needs.

Shop Business Electricity

Understanding and leveraging your kWh usage is the ultimate step in getting unscrewed. It’s how you move from feeling confused and overcharged to being an informed, savvy energy consumer.

Frequently Asked Questions

Live Link™ retrieves your actual historical usage data directly from your utility company, ensuring high accuracy. This is the same data used for billing purposes.

If you’re moving, Live Link™ can’t retrieve usage for the new address. However, you can use our kWh Calculator to estimate usage and choose a plan with a satisfaction guarantee. After accumulating 12 months of data at your new address, you can return to shop with Live Link™ for more accurate comparisons.

Currently, Live Link™ is not available for business customers. However, our business representatives can assist you in acquiring or estimating your usage data and finding the best plan for your commercial needs.

We recommend using Live Link™ at least annually or when your current contract is nearing expiration. Energy rates in Texas can change frequently, so regular checks ensure you’re always on the most cost-effective plan.

Yes, we employ industry-standard encryption and security protocols to protect your data. We do not sell or share your personal information with third parties.

Live Link™ can work with a partial usage history. However, the more data available, the more accurate the comparisons will be. If you have less than a year of data, consider seasonal variations.

Yes, Live Link™ not only retrieves your data but also analyzes it to show patterns such as seasonal fluctuations and peak usage periods. This insight helps you choose the most suitable plan structure for your needs.

Get Unscrewed

The Texas electricity market is dynamic. Taking control of your energy costs can lead to significant savings.

Review your usage and compare plans annually using Live Link™ to ensure you’re always on the most cost-effective energy plan.

Remember:

  • Your usage history is the key to unlocking substantial savings
  • Live Link™ makes accessing and analyzing this data effortless
  • Regular comparisons ensure you’re always on the most cost-effective plan

The Texas energy market is complex, but you don’t have to navigate it alone. Live Link™ is your guide to finding a plan that fits your energy habits and budget.

Join our mission to Unscrew Texas and take control of your energy costs.

Start Saving with Live Link Today

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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.

How to Compare Texas Electricity Rates

Are you moving to Texas or looking to switch your electricity provider?

Either way, you’ll likely find yourself amid a sea of options.

Texas has a deregulated energy market, which means you have the power to choose your electricity provider.

But with great power comes great responsibility, and comparing electricity rates can seem daunting.

But fear not. We’re here to guide you through the process.

TLDR: This guide helps you navigate the Texas electricity market with ComparePower. Learn how to understand rates, compare plans, and enroll online. Make informed decisions and find the best electricity plan for your needs.

Understanding Texas Electricity Rates

As a Texas resident myself, I’ve been in your shoes. I remember the first time I had to choose an electricity provider.

The number of options was overwhelming, and I had no idea where to start.

However, after using ComparePower, I realized that comparing electricity rates doesn’t have to be daunting.

It can be quite straightforward.

Before you compare rates, it’s important to understand what you’re looking at.

In Texas, electricity rates are typically presented in cents per kilowatt-hour (kWh).

These rates can vary based on several factors, including location, time of year, usage patterns, and your specific plan.

Identifying Your Electricity Needs

The first step in comparing electricity rates is understanding your own needs.

How much electricity do you typically use in a month?

Do you use more during certain times of the day or year?

Understanding your kWh usage patterns can help you identify which plans best fit you.

Using ComparePower to Compare Rates

At ComparePower, we make comparing electricity rates as simple as possible.

To use your Power to Choose, enter your zip code, and we’ll list your area’s best electricity rates and plans.

You can filter and sort these options based on your specific needs and preferences, making it easy to find the perfect plan for you.

Looking Beyond the Price

While the price is important, it’s not the only thing to consider when comparing Texas electricity rates.

Also, consider the contract length, early termination fees, and additional perks or incentives, such as usage discounts or bill credits.

Remember, the cheapest plan isn’t always the best plan. Shop with your kWh usage to find the best plan and price.

Reading the Electricity Facts Label

Every electricity plan in Texas comes with an Electricity Facts Label (EFL).

This document provides important information about the plan, including the price, contract length, and any additional fees or charges.

Reading the EFL can help you understand exactly what you’re signing up for.

Considering Green Energy Options

If you’re interested in reducing your environmental impact, you might want to consider a green energy plan.

These plans source their electricity from renewable resources like wind and solar.

At ComparePower, we provide information on each plan’s green energy content, making it easy to make an eco-friendly choice.

Scheduling Service in Advance

One of the things I love about ComparePower is the ability to schedule service in advance.

My contract was set to expire in a few months, and I was worried about the rates going up.

But with ComparePower, I could lock in a rate today for a future start date.

This feature is a game-changer for those who like to plan.

Starting Your New Service or Making the Switch

Whether you’re moving into a new home and need to start electricity service, your contract is ending, and you’re looking to switch electricity companies, ComparePower has you covered.

Once you’ve compared rates and chosen a plan, starting your new service or making the switch is easy.

Sign up for the plan through ComparePower, and we’ll take care of the rest.

We’ll notify your old provider if you’re switching from another company.

Seamless Online Enrollment with ComparePower

One of the standout features of ComparePower is the seamless online enrollment process.

We understand your time is valuable, and we’ve designed our platform to make the sign-up process as quick and easy as possible.

You can enroll in your chosen electricity plan on our website without leaving ComparePower or navigating to another site.

This means you can go from comparing rates to confirming your new plan in just a few clicks.

Plus, our platform is designed to be user-friendly on mobile and desktop devices so you can sign up at home or on the go.

With ComparePower, starting your new electricity service or switching providers has never been easier.

Your Turn to Save

Comparing Texas electricity rates might seem daunting, but it doesn’t have to be.

You can find your best electricity plan with some knowledge and the right tools.

So why wait? Start comparing rates with ComparePower today and take control of your electricity bill.

Next Steps: How to Choose the Best Texas Electricity Company

Learn how to choose the best electricity company in Texas and find the right fit for your home ⤵️

Compare Texas Electricity Rates FAQs

Whether you’re just starting or looking to switch providers, our FAQs are here to help you find the right electricity plan.

What is the best site to compare Texas electricity rates?

ComparePower is a trusted platform that allows you to compare electricity rates from various providers in Texas. It offers a user-friendly interface, up-to-date information, and a seamless online enrollment process.

What is a good price per kWh in Texas?

The lowest fixed-rate electricity plan today starts at 12.30¢/kWh, significantly lower than the average Texas residential rate of 14.51 ¢/kWh.

Who has the cheapest electricity per kWh in Texas?

The provider with the cheapest electricity per kWh can vary based on current market conditions and the specific plan. ComparePower allows you to compare rates from various providers to find the most affordable option.

Is TXU free nights worth it?

Whether TXU’s free night plan is worth it depends on your specific electricity usage habits. If you use most of your electricity at night, this plan could potentially save you money. However, it’s important to read the terms and conditions carefully and consider your daily usage before deciding.

What are the cheapest electricity rates in Texas?

The cheapest electricity rates in Texas can vary based on the provider, plan, and current market conditions. ComparePower allows you to compare rates from various providers to find the most affordable option.

What are the best electricity plans?

The best electricity plan depends on your specific needs and usage habits. Some people might prefer a plan with a low rate, while others might prefer a plan with renewable energy. ComparePower allows you to compare various plans based on your specific needs.

How can you find the best electricity rate in Texas?

ComparePower can help you find the best electricity rate in Texas. The platform allows you to compare rates from various providers based on your specific usage and needs.

How do you compare Texas electric plans?

You can compare Texas electric plans using ComparePower. The platform allows you to input your specific usage information and compare plans, ensuring you find an affordable plan that suits your particular needs and usage habits.

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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.

How to Choose Your Electric Provider

As a consumer advocate covering Texas electricity, I’ve witnessed countless struggles to navigate the complex world of retail electricity providers.

In this article, I’ll share my insights on choosing the best electricity provider for your needs and saving money on your annual electricity expenses.

TLDR: In Texas, choose the electricity provider with the best price for your usage. Retail providers don’t affect reliability, so find the cheapest plan that fits your needs.

More Than Just Billing Companies

First and foremost, it’s important to understand the role of your retail electricity provider.

These companies primarily function as a billing service, purchasing electricity from generators at wholesale prices and reselling it to consumers at retail.

With around 100 retail electric providers in Texas, household names like TXU and Reliant compete for your business alongside smaller retailers, who often compete on price with the lowest rates.

Many Texans are wary of smaller retailers, wrongfully assuming that switching their retailer will affect the reliability of their electric service.

In reality, switching retailers will not impact your service reliability, and spending a few minutes comparing plans based on your home’s kWh usage can save you hundreds on your electric bills.

This is one of the easiest ways to save on your electricity costs in Texas, and it’s what energy deregulation was designed for – competition.

But you must use the free market and switch providers to realize these savings.

Learn how to switch electricity providers in Texas.

Are you moving in?

If you’re moving into a new home, you won’t have a usage history to rely on when choosing a plan.

A kWh calculator can help you estimate your usage and find the best plan for your needs.

Learn how to start service in Texas.

Electric Utility Companies

Many Texans mistakenly believe that their retail electricity provider is responsible for the reliability of their electricity service.

In reality, the utility company maintains the infrastructure, including the wires and poles that deliver electricity to your home.

If you experience a power outage, your utility company should be your first point of contact, not your retail provider.

Utility companies in Texas, along with their service areas:

The Key Factor in Choosing a Provider: Price

When selecting the best electricity provider, price should be the primary consideration.

While some companies may tout their eco-friendliness or charitable contributions, your retailer does not determine the quality of your electricity service.

As a consumer, your goal should be to find the provider that offers the most competitive electricity rates for your specific usage profile.

Calculating the True Cost of an Electricity Plan

To find the cheapest plan for your household, calculate the total monthly cost of each plan you’re considering for an entire year.

This process involves using your previous year’s kilowatt-hour (kWh) usage data and the pricing information provided in each plan’s Electricity Facts Label (EFL).

You can manually calculate the cost of any electric plan using a spreadsheet by inputting your monthly kWh usage data, the plan’s base charge, energy charge, TDU delivery charges, and any applicable bill credits.

Following a step-by-step guide, you can determine each plan’s monthly and annual costs.

While this method is time-consuming, comparing plans based on your specific usage patterns is the most accurate.

As a shortcut, you can save hours using online tools like ComparePower’s savings calculator to compare plans quickly based on your usage.

Enter your zip code and compare plans tailored to your unique needs. Here’s how it works:

Making an Informed Decision

I advise Texas energy consumers to focus on price when choosing an electricity provider.

Be cautious of marketing claims and compare the projected annual costs of various plans based on your specific usage patterns.

Additionally, consider contract terms, cancellation fees, and customer service, as these can impact your overall experience.

Taking the time to understand the role of retail electricity providers, the importance of utility companies in maintaining reliable service, and calculating the actual cost of an electricity plan, you can make an informed decision and potentially save hundreds of dollars on your annual electricity expenses.

How to Choose Provider FAQs

Choosing the right electricity provider can be daunting, especially given the numerous options available in the Texas market. Here are some frequently asked questions to help you make an informed decision.

How do I start shopping for an electricity provider in Texas?

Start by understanding your energy needs. Look at your past electricity bills to determine your monthly usage.

Use tools like ComparePower.com’s proprietary usage history tool and kWh calculator to find the best-priced plan for your specific usage pattern.

What should I consider when comparing electricity plans?

Consider factors like price, contract length, renewable energy content, customer reviews, and additional features and benefits.

Remember, the cheapest plan isn’t always the best if it doesn’t suit your usage patterns or values.

What is the difference between fixed-rate and variable-rate plans?

Fixed-rate plans have a set price per kilowatt-hour that remains constant for your contract, providing stability and predictability.

Variable-rate plans can change from month to month based on factors like demand, fuel prices, and weather, offering potential savings when energy prices are low but can be unpredictable.

How do I choose between a fixed-rate and a variable-rate plan?

Consider your risk tolerance and ability to handle fluctuations in your electricity bill. A fixed-rate plan might be the best choice for stability and predictability.

A variable-rate plan could be a good fit if you’re comfortable with some risk and want the potential to save when prices drop.

Are there any green energy options available?

Yes, many Texas electricity providers offer plans that include energy from renewable sources like wind and solar.

Choosing a green energy plan can help reduce your carbon footprint and support the transition to a more sustainable energy future.

Make an Informed Decision

Armed with your usage information, you’re now ready to make an informed decision.

ComparePower lets you compare plans based on your specific usage, ensuring you find the best deal.

Whether you’re switching or starting a new service, we’re here to help you save time, reduce stress, and potentially save hundreds of dollars a year on your energy bills.

We provide the tools and information you need to make an informed decision and create a plan that will brighten your life.

Compare Rates Near You👇

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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.

Stay Ahead of Rising Prices

Hey there, energy-savvy Texan! Are you wondering when is the best time to switch electricity providers in Texas?

Timing is key to maximizing your savings and avoiding potential price hikes.

In this guide, we’ll explore factors you should consider to help you stay one step ahead of rising prices.

TLDR: The best time to switch electricity providers in Texas depends on various factors, including contract expiration, promotions, usage patterns, and life changes.

Timing your switch to anticipate price increases, particularly before the summer or winter season, can help you secure a better rate.

Stay informed about market trends, carefully review plan details, and switch providers before your contract expires to maximize your savings.

The Best Time to Switch

The best time to switch electric providers in Texas depends on your specific situation and goals. Here are a few factors to consider:

  1. Contract Expiration: If your current contract is nearing its expiration date, it’s a good time to explore your options and compare electricity plans from different providers. This allows you to take advantage of potential savings and benefits offered by other providers.
  2. Rate Comparison: Regularly comparing electricity rates is a smart practice. Keep an eye on the market and compare the rates offered by various providers. If you find a plan with a significantly lower rate or better terms than your current provider, it might be a favorable time to make the switch.
  3. Promotions and Special Offers: Keep an eye out for promotions and special offers from electricity providers. They often introduce competitive rates or additional perks to attract new customers. When you come across a compelling offer that aligns with your needs, it could be an opportune moment to switch providers.
  4. Change in Usage Patterns: If your energy usage has significantly changed, such as an increase or decrease in consumption, it’s worth considering switching providers. Some providers offer plans tailored to different usage patterns, so finding a plan that aligns with your current energy needs can help optimize your savings.
  5. Life Changes or Moving: Life events such as moving to a new home or a change in personal circumstances can be an ideal time to evaluate your electricity provider options. Take advantage of these moments to review your energy needs and seek out providers that offer plans suitable for your new situation.

Anticipating Price Increases

Timing your switch to anticipate price increases is crucial to securing a better rate. Keep an eye on news and rumors about possible electricity price hikes.

As the summer or winter season approaches, there’s often speculation and buzz surrounding potential increases.

Energy experts and industry insiders may start forecasting higher prices based on factors such as increased demand, fuel costs, or regulatory changes.

By monitoring these indicators, you can gain valuable insights into when prices are likely to rise, signaling the ideal time to switch providers.

Lower Prices in Shoulder Months

Traditionally, the summer and winter periods are characterized by heightened electricity usage due to air conditioning and heating demands.

As a result, energy prices tend to be higher during these peak-demand seasons. Therefore, switching providers just before these periods can be a strategic move to secure a more favorable rate.

By switching during the shoulder months leading up to summer or winter, you can take advantage of lower prices before they surge with increased energy consumption.

Frequently Asked Questions

What time of year is electricity cheapest in Texas?

Electricity demand is lowest in the spring and fall, so electricity usually costs less during these seasons. 

Electricity market rates are higher in the summer and winter when people use more electricity for air conditioning and heat.

Rates also go down at night and on weekends, with the lowest rates occurring on Sunday morning between 7 a.m. and 10 a.m. Off-peak electricity hours in Texas typically fall between 10 p.m. and 6 a.m. 

This is when electricity demand is at its lowest, so utilities can offer cheaper rates to encourage customers to use power during these times.

You can also consider switching Texas electricity providers between December and March/April.

Can I switch electric providers before my contract expires?

Yes, you can switch providers before your contract expires. However, keep in mind that there may be an early termination fee. In Texas, you have up to 14 days prior to your contract expiration date to switch providers without being assessed an early termination fee.

How far in advance can I schedule electric service in Texas?

Most providers offer the option to sign up at a preferred rate and schedule service to begin in 30, 60, or 90 days, but this may vary by provider.

What if I enroll in an odd-number contract like 3 or 9 months?

Enrolling in odd number contracts like 3 or 9 months may seem tempting due to their low rates.

However, it’s important to note that these plans may place your future switch date on a month when electricity demand is high and prices are typically higher.

To avoid potential price spikes, it’s generally recommended to switch providers just before the summer or winter period when prices are more likely to increase.

It’s Your Turn to Save

Remember, at ComparePower, we’re here to help you navigate the electricity market and find the best plan for your needs and budget.

Explore our website, compare rates, and take control of your energy future. Start saving today!

ComparePower 57500 5-Star Ratings Reviews

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.

Why wait? Lock in a Favorable Rate Today

Hey there, energy-savvy Texan! Are you wondering if you can lock in a favorable electricity rate for a future start date?

Planning ahead can be a smart move when it comes to your electricity service.

By starting or switching your electric service in advance, you have the opportunity to lock in a favorable rate before prices potentially change.

How far in advance can I schedule electric service in Texas?

Most providers offer the option to sign up at a preferred rate and schedule service to begin in 30, 60, or 90 days, but this may vary by provider.

Enrollment Timeframe by Electric Company

Check out the enrollment timeframes of popular providers in Texas.

Electric CompanyDays Out
4Change Energy*45 days
TXU Energy*90 days
Amigo Energy*60 days
Tara Energy*60 days
Just Energy*60 days
Cirro Energy*60 days
Discount Power*60 days
Green Mountain Energy*60 days
Reliant*60 days
Direct Energy*60 days
Frontier Utilities*90 days
Gexa Energy*90 days
Constellation*60 days
Payless Power*60 days
Pulse Power60 days
New Power Texas60 days
Flagship Power60 days
Please note that these timeframes are subject to change and may not encompass holidays or weekends.

*Providers with an asterisk offer service on Saturdays.

Frequently Asked Questions

Why schedule electricity service in advance?

This proactive approach allows you to secure a competitive rate and enjoy long-term savings.

Whether you’re moving to a new home or considering a switch from your current provider, taking action ahead of time can help you take control of your energy costs and ensure you’re getting the best deal possible.

So, don’t wait until the last minute – start or switch your electric service in advance to lock in a favorable rate and enjoy peace of mind.

Can I sign up for electric service before my current contract expires?

Yes, you can sign up for electric service before your current contract expires.

However, it’s important to note that if you switch providers prior to the 14-day window before your contract expiration date, you may be subject to an early termination fee.

Review the terms of your current contract to understand any potential fees or penalties involved.

When is the best time to switch electricity providers in Texas?

The best time to switch electricity providers in Texas depends on various factors, including contract expiration, promotions, usage patterns, and life changes.

Timing your switch to anticipate price increases, particularly before the summer or winter season, can help you secure a better rate.

ComparePower 57500 5-Star Ratings Reviews

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.

How to Get Electricity Turned Back On

Has your electricity been turned off? The silence of a home without power can be deafening, and the inconvenience, frustrating.

People find themselves in this situation, often due to an unpaid bill or a contract issue.

But what if I told you that this could be an opportunity to reassess your electricity needs and potentially save money?

TLDR: This article will guide you through the process of getting your electricity turned back on, from paying your bill and clearing any debt to considering switching providers for better rates.

If your electricity has been turned off, you’ll need to take the following steps to get it turned back on:

Total Time: 10 minutes

Pay Your Bill

Step 1 How to

If your electricity was turned off due to non-payment, you’ll need to pay your outstanding bill. Contact your electricity provider to find out how much you owe and make a payment.

Clear Any Debts

Step 2 How to

If you have any unpaid debts with your electricity provider, you’ll need to clear these before your service can be reconnected.

Reconnection Fee

Step 3 How to

Some electricity providers may charge a reconnection fee. You’ll need to pay this fee before your service can be restored.

Power On

How to Step 4

Once you’ve cleared your debts and paid any necessary fees your electricity provider will arrange for your service to be turned back on.

Supply:

  • Your Address
  • Drivers License
  • Social Security Number

Tools:

  • A desktop, laptop, tablet or mobile phone with internet access.

Materials: ComparePower is all you need to turn your power back on in Texas.

Consider Switching Electricity Providers

If you’re having difficulty managing your electricity bills, it might be worth considering switching to a different provider.

Some providers offer plans with lower rates or more flexible payment options.

ComparePower can help you compare rates and plans from different providers, making it easier to find a new contract that fits your needs and potentially saves you money.

Remember, it’s important to communicate with your electricity provider if you’re having trouble paying your bills. They may be able to offer assistance or arrange a payment plan to help you manage your costs.

Restoring Power for Different Scenarios

  1. Power Outage: If there’s a power outage in your area due to weather conditions or technical issues, you should contact your local utility company. They are responsible for maintaining the electricity infrastructure and will work to restore power as quickly as possible. You can usually find updates on their website or by contacting their customer service.
  2. Safety Reasons: Sometimes, power may be turned off for safety reasons, such as during maintenance work or due to a fire hazard. In these cases, power will be restored once the issue has been resolved.
  3. Moving to a New Home: If you’ve moved to a new home and the power is off, you’ll need to set up a new account with your electricity provider or switch to a new provider. ComparePower can help you compare rates and plans from different providers.
  4. Violation of Provider’s Terms: If your power has been turned off due to a violation of your provider’s terms and conditions, you’ll need to resolve the issue with your provider. This might involve paying a fine or adhering to certain conditions.

Assistance Paying Your Energy Bill

If you find yourself struggling to manage your energy bills there are supportive programs available to lend you a hand.

Check out the Low Income Home Energy Assistance Program (LIHEAP) at acf.hhs.gov, a federal program that aids families in need with their energy costs. Or, visit benefits.gov to navigate various government benefits that might suit your specific situation.

Turning Power Back On FAQs

Whether your power has been disconnected due to non-payment, a power outage, or any other reason, these FAQs will provide you with the information you need to get your electricity back up and running.

How long does it take for the power company to turn the power back on after disconnection?

Once full payment is made and verified, the power company will issue a service order to restore the service. The time it takes can vary, so it’s best to contact your provider for specific information.

How much is the reconnection fee?

Reconnection fees can vary depending on your electricity provider. It’s best to check with your provider for specific information.

Can the power company shut off my power for non-payment?

Yes, power companies can shut off your power for non-payment. However, they are typically required to provide notice before doing so.

How late can you be on your electric bill before they shut it off?

The timeframe can vary depending on your location and the policies of your electricity provider. It’s best to pay your bill as soon as possible to avoid disconnection.