What Is a Provider of Last Resort?
Learn what happens when your Texas energy provider goes out of business.
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What is a provider of last resort?
A provider of last resort (POLR) is a backup energy provider in case your current provider goes out of business or your plan expires. This system is a temporary safety net to ensure Texans receive reliable electricity when the previous provider can’t meet their responsibility to serve customers. Unfortunately, this default service can be pricey and drive up your energy bill. Luckily, you can easily resolve this by switching providers on Choose Texas Power.
What does a POLR plan entail?
A POLR plan typically contains the following features:
This variable-rate service is often very expensive, so you’ll want to act fast and pick a new plan if you find yourself in this situation. The good news is that you are usually not committed to a contract with the POLR and can switch without penalty.
Enter your ZIP code on our marketplace to shop for affordable electricity options and sign up in minutes.
Your provider of last resort by utility company
The Public Utility Commission of Texas (PUCT) has designated POLRs for each Texas utility service area.
Utility company |
Provider of last resort (POLR) |
|---|---|
| Oncor Electric Delivery | TXU Energy |
| CenterPoint Energy | Reliant Energy |
| AEP Texas Central | Reliant Energy |
| AEP Texas North | Reliant Energy |
| Texas-New Mexico Power | Reliant Energy |
Choosetexaspower.org is not affiliated with Power to Choose, powertochoose.org, or the PUCT.
How to avoid this price trap
There are two main ways to avoid this price trap: plan ahead or switch providers quickly. Here’s what you need to know.
Plan ahead
As soon as your current electricity provider notifies you that it is going out of business, you’ll want to sign up for a new plan with a different provider to avoid a pricey variable-rate plan. In this situation, early termination fees are typically waived. However, be sure to read the details your provider sends about going out of business to verify this information. The POLR will then typically give you 60 days’ notice to choose a new provider before its basic default service ends.
Once you’re prepared to sign up for a new plan, here’s how you can use our marketplace:
- Enter your ZIP code on our marketplace to explore plans in your area.
- Filter your results based on your energy needs and enroll in a new plan.
- Your new provider will switch your service without interrupting your power.
If you have questions about this process, call our team for assistance.
Act fast and switch providers
If your provider went out of business, getting out of a POLR plan is easy. Since this service is designed to be temporary, you can switch to a new plan without penalty. Choose Texas Power helps you compare rates in your area and sign up for a new plan in minutes. We also partner with same-day energy providers to streamline the process. Here’s what to do:
- Compare plans on our marketplace and pick your favorite option.
- Review our same-day electricity guide to find out your chosen provider’s cutoff time.
- Make sure your home has a smart meter and enroll by the cutoff time to get your plan activated within 24 hours.
Shop Texas electricity rates on Choose Texas Power
| Plan Name | Term Length | Rate per kWh |
|---|---|---|
| APG&E - SimpleSaver 12 | 12 months | 7.2¢ / kWh |
| Discount Power - Bill Credit Bundle 24 | 24 months | 7.4¢ / kWh |
| 4Change Energy - Maxx Saver Value 12 | 12 months | 7.4¢ / kWh |
| Cirro - Bill Bonus 24 | 24 months | 7.4¢ / kWh |
| Express Energy - Flash Value 12 | 12 months | 7.4¢ / kWh |
| Frontier Utilities - Frontier Saver Plus 12 | 12 months | 7.4¢ / kWh |
| Gexa Energy - Gexa Eco Saver Plus 12 | 12 months | 7.4¢ / kWh |
| Rhythm Energy - Rhythm Saver 14 | 14 months | 7.9¢ / kWh |
| Octopus Energy - Octopus Lite 12 | 12 months | 8.0¢ / kWh |
| Atlantex Power - Radiance1000 12 | 12 months | 11.0¢ / kWh |
| Reliant - Reliant Power Savings 12 plan | 12 months | 11.9¢ / kWh |
| Constellation - 12 Month Usage Bill Credit | 12 months | 12.5¢ / kWh |
| TXU Energy - Smart Edge 12 | 12 months | 12.9¢ / kWh |
| Veteran Energy - Valor 12 | 12 months | 13.2¢ / kWh |
| Direct Energy - Live Brighter Lite 12 | 12 months | 13.9¢ / kWh |
| TriEagle Energy - Real Deal 24 | 24 months | 13.9¢ / kWh |
| Green Mountain - Pollution Free Conserve 12 Preferred | 12 months | 16.9¢ / kWh |
| Payless Power - 12 MONTH - PREPAID | 12 months | 18.0¢ / kWh |
Please note: All rates above are accurate as of 5/08/2026, 9:49:55 PM CDT for ZIP Code 77032. Rates may have changed since this date/time. For the most up to date rates in your area, please enter your zip code above.
Provider of last resort FAQs
Who is my provider of last resort?
If you live in Oncor’s service area, your POLR is TXU Energy. If you live in any of the other four Texas utility areas, your POLR is Reliant Energy.
What is a POLR rate?
A POLR rate is the default rate for basic service from a backup electric company when your energy provider goes out of business.
Why does Texas have POLRs?
Texas established the POLR system to ensure deregulated customers don’t experience a lapse in service if their provider goes out of business. It’s meant to be a temporary solution while you establish a new contract.
