Texas electricity rates

Electricity rates change frequently based on the time of year, wholesale costs, and global consumer demand. Texas electric rates are usually steady through the spring and higher as temperatures rise. The hotter the temperature outside, the more you use an air conditioner. Most of Texas is a deregulated energy market, which means you can pick an electricity provider and plan that best fits your energy needs. Signing up for plans during seasons of lower demand helps you secure lower rates. Regularly comparing rates is also an excellent way to ensure you get the best price. 

The ChooseTexasPower marketplace makes it easy to compare and sign up for energy plans all in one place. Get started by entering your ZIP code or calling the number on your screen.

Current Texas energy trends (updated April 2023)

The National Oceanic and Atmospheric Administration (NOAA) expects Texas to experience above-normal temperatures for the upcoming summer. Last summer, the state reached record-hot months, with the hottest July since 1895. 

Based on the latest Energy Information Administration (EIA) data, the average electricity rate in January 2023 was 14.18 cents per kilowatt-hour. Electricity rates in Texas have decreased versus the previous month and are 8.3% lower than the national average. 

As Texas heats up, the natural response is to lower the temperature on your thermostat, which can raise electricity bills. Heating and air professionals recommend setting your thermostat within 20 degrees of the outside temperature to save energy and reduce electricity costs. 

How weather affects Texas rates

Due to temperatures reaching triple digits in many parts of the state, electricity rates in Texas are often highest during the summer months, between June and September. Avoid high electricity rates by locking in lower rates during the spring and fall. 

Power to Choose Texas

PowerToChoose.org, run by the Public Utilities Commission of Texas (PUCT), displays every provider and plan in your area, but the wide selection makes choosing a provider difficult. 

ChooseTexasPower keeps the decision-making process simple by displaying energy plans in your area from vetted providers. You can narrow the results with helpful filters to find the best rates or different term lengths. Signing up for a new plan or switching providers is easy; start by entering your ZIP code. 

How to switch electricity providers

You might switch providers if you’re unsatisfied with your current plan, your contract is ending, or you’re moving outside of your current provider’s service. You could be charged an early termination fee (ETF) if your contract is not over. Read your plan’s Electricity Facts Label (EFL) to find the fee details. Many providers will waive the ETF if you are moving outside the service area. 

Follow this simple step-by-step process to switch electric providers. 

• Check your status. Ensure you live in a deregulated area and review your current provider and rate to make comparisons. 
• Enter your ZIP code. Filter and compare available plans based on price, plan type, terms, and more. 
• Pick a plan and sign up. Sign up on ChooseTexasPower or call the number on your screen to speak with an energy advisor. 

Energy Companies and Utilities in Texas

In deregulated areas, energy providers and utility companies have different roles. Providers sell and manage your energy plan, while utilities deliver the energy to your home and maintain power lines. You choose your electricity provider and energy plan, but your utility company is based on location.

Texas power outages

If you experience a power outage in Texas, contact your utility company to report the outage or request updates. 

• Houston: CenterPoint Energy 
• Dallas: Oncor Electric Delivery
• Corpus Christi: AEP Texas Central  

Electricity rates in my area

Electricity rates fluctuate based on demand, location, and time of year. ChooseTexasPower makes finding and comparing energy plans simple. Enter your ZIP code and secure the best rates near you.

Frequently asked questions

Why are Texas electricity rates so high?

The latest electricity rate in Texas is 14.18 cents/kWh, lower than the national average. Electricity rates in Texas are at a steady rate for the spring because of mild demand. 

Where can I compare electric rates in Texas?

ChooseTexasPower is a marketplace to search, compare, and sign up for the best electricity plans in Texas. Enter your ZIP code and compare plans. Sign up online or call the number on your screen to get started. 

Who has the best electricity rates in Texas?

Electricity rates vary by provider and location. The best rates depend on your energy interests. After entering your ZIP code, you can filter the available plans by features, rate type, and length to find the best rate for you. If you’re interested in a 100% renewable energy plan, explore available options from Gexa Energy. If you’re searching for the lowest rates, check out available 4Change Energy or Flagship Power plans in your area. 

Will Texas electricity rates go up?

Texas electricity rates tend to rise in the summer between June and September. Shopping for electricity plans in the spring and fall helps you secure the lowest rates.