What is deregulation?

With the passing of Senate Bill SB7, Texas electricity deregulation became effective in Texas on January 1, 2002 - giving you the POWER TO CHOOSE.  This has created competitive power choice, renewable energy choices, better customer service, and additional jobs for our Texas economy.

So what is the Power to Choose and who has it?  Well, about 75% of the state has the power to choose their own Texas electric company.  Instead of being told who to use and having zero control over your electric bill, you know have power choice.  That is - you can choose who sends you an electric bill and choose a lower Texas electric price for your home or business.

Power choice is what deregulation is all about.  This will lead to innovations in the Texas electric market, not seen in other parts of the country.  Texas is now the leading Wind Energy producer in the U.S. with many more wind farms in development it looks like Texas will always be the leader.  Without deregulation - this would not have been possible.  This is because many people want the power to choose wind energy for their home or business.  There is a big movement in the U.S. for cleaner energy - and Texas is leading the way.

When deregulation was passed, the Public Utility Commission developed powertochoose.org to foster awareness about Texas electric deregulation.  Now, companies like ChooseEnergy.com have introduced far more advanced sites that allow consumers to compare Texas electric prices in real-time from one site.  Customers don't even need to leave the website - since ChooseEnergy.com has developed technology like Travelocity allowing the orders to go directly to the Texas electric company of choice.

Texans are encouraged to shop for competitive electricity prices.

Prior to deregulation, one utility managed the transmission, distribution and sales of electricity to your home or business. Today, your local wires company still maintains the transmission and distribution of your electricity, while another company (Retail Electric Provider) handles the sales and billing of your electricity.

The Public Utility Commission assures the safety and reliability of the delivery of electricity is the same, regardless of the company you buy your electricity from.