Author

Graham Griffin

Editor

Enri Zhulati

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.

New to Texas? Start here…

They say Texas has two seasons: winter and summer. Usually, they alternate days within the same week.

Finding the right energy plan can be as challenging as predicting the Texas weather. That’s where we come in.

We have been helping Texans save money on their energy bills for over a decade.

You can count on us when finding low electricity rates for your Texas home or business.  

Simply enter your zip code, and you’ll be guided to your best energy plan and rate in minutes.

Shopping for your Texas business? Get a quote from 31+ Texas energy providers in minutes 👉

I’m brand new to the area, and was a little overwhelmed when I heard that I had to shop around to find an electric plan. I found Compare Power and most of the work was done for me! It’s user-friendly and pretty idiot proof 🙂 I’ll recommend to anyone who asks!

Amanda T. (TX, United States)

How to shop for Texas electricity

Shopping for the right electricity plan for your new home might seem daunting, but we’re here to help you win the game of electricity choice. 

The best way to shop for electricity is through your home’s historical usage profile, which you can view monthly throughout the year.

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 ⤵️

Was very simple to compare pricing for electricity providers. I loved that I was able to use my actual usage (that I had records of) to compare to all the different providers. It was so easy and eye opening! Thanks Compare Power!

Cathy H. (TX, United States)

Moving to Texas

If you are moving into a home that has been around for a while, you can contact your realtor or the previous owner to get a copy of the monthly usage profile.

With that profile, you can quickly jump into our historical usage tool and find a plan that is an excellent fit for your home.

Remember that your family size and electricity usage habits might differ from the previous occupants, which could affect your bill. 

With a rough estimate of your electricity usage, you can easily compare costs and find a plan for your home in minutes. 

Regardless, shopping based on your electricity usage is the best way to find the right plan for your home and avoid falling into traps.

If you don’t have access to a historical usage profile, you can use our energy usage calculator to get an approximation of your usage:

Apartment

After you find a great plan for your new apartment or rental, getting your service up and running is easy.

However, you were probably told you needed an electricity account number to get your keys. 

Luckily our enrollment process finishes with proof of service in your name so you can return to your leasing office and get your keys. 

Your new service will start on the date you selected during checkout, and you should be ready to move in. 

Be cautious, though, when you’re talking to any leasing agents.

Many apartment complexes have deals with certain providers to offer plans if you sign up. 

To drive our point home one more time, you should always pick a plan that fits the electricity usage profile of your specific apartment or rental and not the first deal in front of you. 

Learn about apartment electricity and find apartment electricity rates here.

Coming from the Northeast where we do not have any option to buy power from anyone other that Natgrid it was a breath of fresh air to see competitors in the marketplace ALL IN ONE PLACE to compare and keep them honest. The website was clean and concise and I was happy with my choice for power supplier for my new apartment in my new “home”.

Lori P. (TX, United States)

Homeowners

Congratulations if you’ve found yourself moving into a new home here in Texas!

Moving can be stressful, but starting your electricity is simple. 

Once you’ve picked a plan, go through all the checkout steps to complete your order.

You’ll receive a confirmation email that your order has been placed, and we will remind you of any deposit you may need to make to finish things up. 

Your chosen plan will be up and running for you right when you need it so you can have lights on during your move. 

Learn how to start service for your new home here.

Same-day electricity service

On a time crunch? If you order before 2 pm, you can get same-day service from any providers listed on ComparePower.

If you run into any issues, we have numbers for all providers so you can call in with any questions.

Check out our same-day electricity service page for more information.

Switching providers

Shopping with your usage history is the best way to save money on your electricity bill. When you shop with your usage, you can flatten out seasonal spikes and maximize your savings with discounts and bill credits.

ComparePower makes shopping with your usage easy.

Learn how to switch providers in Texas.

High bill

If you have a high electricity bill, one of the best ways to cut it down to size is to switch your electric provider with your home’s annual historical usage.

While that might sound like a daunting task, it is not.

Learn how to lower your electricity bill today.

Got a renewal notice?

If your electricity contract is about to expire, compare prices before renewing.

Electricity rates usually go up typically when it’s time to renew, and providers offer low introductory prices.

Most providers assume that once you sign up and start service, you won’t bother switching providers at renewal time and then jack up your rate to make it more profitable.

Get all the details on how electricity renewals work in Texas and save yourself some money.

Help Me Choose

Answer five questions, and we’ll guide you to the right plan.

Power to choose Texas

The great benefit of deregulation is that you, the consumer, can choose your electricity plan that matches your home and electricity usage. 

With REPs competing for your hard-earned dollars, the market has become flooded with competitive offers that give you plenty of opportunities. 

You still receive the same reliable electric service you would get in a regulated market, but you can save hundreds of dollars each year with the right plan. 

Choices are great, right? 

We love having the ability to pick out the perfect plan for our homes and have helped millions of Texans save money each year on their electricity bills. 

But not all electricity plans are created equal, and the REPs are out to swindle you out of as much of your hard-earned money as possible. 

Electricity plans frequently boast offers that seem too good to be accurate, and the sad fact is that many consumers fall prey to these offers.

They see plans with the word “free” splattered all over them and sign up without reading the fine print. 

ComparePower is here to help you find the right plan for your home in a simple and easy process that puts all the details in your hands right from the start. 

Electricity plan costs 

Now that you’re up to speed on shopping with your usage, you’re probably wondering what electricity is going to cost for your new home. 

The main determining factor in your electricity bill is your usage, measured in kilowatt-hours (kWh).

For most plans, you’ll see an advertised cost per kWh at three different usage levels. 

These are usually 500 kWh, 1000 kWh, and 2000 kWh, which providers will tell you are the typical usage amounts for apartments, small homes, and large homes. 

Hopefully, at this point, you have clued into the fact that each home uses a different amount of electricity each month and that there is no normal usage.

You’ll likely have higher usage in the summer and winter, and the number of people using electricity can impact your bill. 

The cost of your electricity can also change at different usage levels, so if you use 500 kWh one month, you’ll pay a different rate than if you use 1000 kWh the next.

REPs are happy to advertise a “teaser rate” that only applies if you use an exact amount of electricity each month. 

On top of that, some REPs also charge a fixed fee that is applied to your monthly bill regardless of your usage. This is called a base charge. 

Remember the middlemen of the system, the TDUs? 

They also want some of your hard-earned money, so you’ll see delivery charges on your electricity bill.

In most cases, you’ll see a fixed delivery charge and a rate you are charged per kWh. 

The delivery charges are regulated, so they should be static each month, but TDUs can get approval for rate changes twice per year. 

While you’ll see great rates upfront from most providers, they hide all the little details about base charges and rate structures in an electricity facts label (EFL). 

We have a full explanation of how to read your EFL, and we have the EFLs listed for every plan, so you always have the details you need to make an informed decision. 

And for you numbers people who might be wondering what most people pay, the average electricity rate in Texas is around 12.56 cents per kWh.

Types of electricity plans 

With the cost of plans out of the way, the next consideration you’ll want to make is the type of plan you choose. 

Electricity plans fall into four categories that determine how you are charged for the electricity that you use.

Most plans will have you sign a contract for a certain number of months, but there are some pre-paid options. 

Fixed-rate plans are structured around a fixed rate you pay for electricity throughout your contract, generally lasting between six and 36 months. 

Variable-rate plans allow your electricity provider to change their rates depending on the energy market and other factors.

As the price of electricity increases for your provider, you will see a larger bill. 

If you want to learn more about fixed vs. variable rate electricity, we have a full explanation of the benefits of each. 

Indexed plans are similar to variable-rate plans, but the price is tied directly to the pricing formula of the publicly available index.

If the index price goes up, so does your electricity cost. 

And finally, pre-paid plans allow you to get electricity without a contract.

You pay for your usage each month and must maintain a certain amount of money in your account to cover upcoming bills.

Electricity gotchas 

You might have heard about those free nights and weekend deals that providers blast all over social media and TV.

These deals are “gotchas.” In reality, the provider is pulling a fast one on you. 

They tell you that you’ll get all the electricity at night and on weekends for free, and then they charge you a high rate for your usage.

Any plans offering bundles or other free things will do the same. 

Ultimately, you pay more for electricity monthly unless you shift most of your usage to those free hours.

If you’re a night owl and work graveyard hours from home, these plans could work for you, but they’re a poor choice for most. 

Another common gotcha we like to steer new Texans away from is billing or usage credit plans.

These tell you you’ll get $100 off your bill if you use at least 1000 kWh monthly. 

When you move into a new home, you have no idea how much electricity you will use each month, and the amount can vary depending on multiple factors.

If you used less than 1000 kWh one month, you could pay a significantly higher rate for that electricity, and you won’t get that discount. 

For most new Texans, we recommend starting with a 12-month fixed-rate contract while settling into your new home.

This will balance the hassle of shopping for electricity, and you’ll still get a great price. 

Once you are more established and know your usage, come back to ComparePower, and we’ll help you find a plan that’s an even better match for your home based on your historical usage. 

Other considerations 

With green and renewable initiatives in everyone’s mind, you might also be interested in finding a renewable energy plan.

There are plenty of options for green energy plans that are a significant step toward reducing pollution and fostering cleaner energy usage. 

The cost of renewable plans is usually higher than those that utilize fossil fuels, but increased demand and tax incentives have started to reduce these costs. 

With more efficient renewable solutions popping up daily, providers have plenty of green energy plans for consumers. 

We have some of the best green energy companies and prices so that you can find an excellent plan for your home while still helping the environment. 

Another question we get regularly comes from new Texans moving into an apartment for the first time.

With most apartments having a lease term of 12 months, it would seem like the right move to choose an electricity plan with a 12-month contract. 

The great thing about deregulation is that there is no obligation to match your energy plan contract with your lease.

If you find a plan that fits your apartment but has a longer lease, go for it! 

Texas law protects you from early termination fees when you move out before your electricity plan contract ends.

An extended contract could save you hundreds of dollars a year, and you won’t have to worry about moving at the end of your lease. 

Texas energy companies

Over 60 energy providers in Texas can supply you with electricity.

The following are some of Texas’ top energy providers. Click on any of the brands to learn more.

Texas electricity rates

Compare the best Texas electricity rates and save money on your electricity bill.

These live rates for ONCOR ELECTRIC DELIVERY COMPANY service area were updated on June 9, 2023 at 8:28 pm CST. Pricing shown is based on an exact usage of 1000 kWh.