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Electricity costs can vary throughout the year, with significantly increased prices in summer and winter when demand and usage is high. The U.S. average rate for energy in 2024 was 16.48 cents per kilowatt-hour (kWh), which is approximately $140.90 per month.
The latest data from the Energy Information Administration (EIA) shows that the current average residential electricity bill in Texas for 2025 is $170.63 per month. This is slightly up from 2024 when the average monthly electric bill was $165.94. This also shows that, while Texas rates may be lower than the U.S. average, Texas energy bills are overall higher, due to higher electricity consumption in the summers and winters.
Commercial electricity bills are typically more expensive than residential ones because businesses consume more power. As a result, commercial rates are generally lower since they are sold in bulk. Texas’s average commercial electric bill in 2024 was $766 per month. Nationally, the average annual commercial energy bill was $778.
Electric bills depend on energy consumption, which is measured in kilowatt-hours (kWh). The average kWh usage in Texas is 1,146 kWh per month, according to data from the EIA. Texas residents tend to use more electricity than the national average, which is 855 kWh per month. The state’s hot summers are the primary reason for Texas’ higher usage, as residents and businesses rely more on air conditioning during the summer months, driving up their energy consumption — and energy prices. Winters in Texas can also drive up energy costs due to icy conditions and periodic snow storms.
Several factors impact the cost of electricity bills in Texas, but one of the largest factors is the size of your home. Generally, homes with more square footage will consume more electricity because they rely on increased heating, cooling, lighting, and more.
The average electricity bill for a one-bedroom apartment in Texas is $74.45 per month. This calculation is based on the average Texas electricity rate in 2025 and the typical energy usage for a one-bedroom apartment (500 kWh per month).
Two-bedroom apartments will likely rely on more electricity than one-bedroom or studio apartments because they are larger and have more rooms. A two-bedroom apartment in Texas has an average electric bill of $96.78 per month, based on the average monthly rate and usage of a two-bedroom apartment (650 kWh per month).
The average monthly electric bill for a small- to medium-sized home in Texas is $148.90. This calculation multiplies the most recent electricity rate in Texas and the typical energy usage in a home of this size, which is 1,000 kWh per month.
Larger homes normally use more electricity, which increases their electricity bills. Based on the average energy rate and typical monthly usage of 1,800 kWh, large homes in Texas pay around $268.02 per month in electric bills.
Texas electricity bills also include utility company fees and taxes. The fees to your utility company may appear on your bill as UDC charges, or Utility Distribution Company. These fees are often twofold: a base charge, and a rate per kWh used in that billing cycle. Taxes go to your state and city governments, and may be listed as Miscellaneous Gross Receipts Tax (MGRT) or Public Utility Commission Assessment (PUCA).
Utility fees and taxes vary across Texas based on your utility company and location. Remember to factor these charges into your calculation when estimating your monthly energy bill. Take a look at past energy bills to see how much your utility charges you per month.
Here’s what you can expect to pay for electricity in some of Texas’ biggest metros, based on the average monthly usage of 1,146 kWh.
City |
Average rate |
Average electric bill |
|---|---|---|
| Dallas | 14.69 cents per kWh | $168.34 |
| Fort Worth | 14.12 cents per kWh | $161.81 |
| Houston | 16.64 cents per kWh | $167.77 |
Note: the rates in the table are reflective of the average rates for each city on the ChooseTexasPower marketplace within the 1,000 kWh usage tier. Actual rates in each area may vary.
If you want to lower your energy bill even further, consider switching to a cheaper electricity plan. Choose Texas Power partners with numerous providers across the Lone Star State to bring you more options for your home’s power. Here’s how to switch plans on our marketplace:
Call the number on your screen if you have questions about switching providers or need guidance from one of our energy experts.
Our marketplace data shows that the cheapest Texas electricity rate is currently in Duncanville. Keep in mind that electricity rates change often in deregulated states. It helps to use your ZIP code to regularly check our marketplace for the latest prices.
Heating and cooling account for the largest portion of residential electricity consumption, especially in states like Texas, which experience intense summers and winters. Therefore, if your home is larger, it takes more electricity to cool or heat compared to smaller apartments. The number of occupants in your home also plays a role in electricity consumption. More residents typically increases the number of devices, lights turned on, or hot showers.
Yes, your energy bill will most likely change throughout the year. In summer and winter, residents typically use their HVAC unit more to stay comfortable. For example, if you run your AC a lot in the summer, you may notice your bill go up as a result of the increased electricity usage.
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