Compare Texas Electricity Rates & Energy Prices

You can find various types of energy plans on the Choose Energy marketplace. Learn more to help you determine the right Texas energy plan for your needs. 

• Fixed-rate plans: Get a consistent rate on your monthly energy bill with a fixed-rate plan. These plans are perfect if you want a predictable bill to avoid unexpected energy cost spikes. 
• Variable-rate plans: These plans offer flexibility without a long-term contract, but your rate will change based on market conditions. While you may save during low demand, you will experience increased rates during high demand. 
• Prepaid and no-deposit plans: You might need to pay a deposit if you don’t meet a provider’s credit requirements. Our marketplace offers no-deposit electricity plans like prepaid energy plans that allow you to skip the deposit and pay for your electricity upfront.
• Renewable energy plans: All Texas energy plans include a percentage of renewable energy. Some providers specialize in only offering 100% green energy plans, including Gexa Energy. 
• Commercial energy plans: Texas businesses can benefit from low rates, competitive plans, and green energy options. Call the number on your screen to receive a custom business electricity quote tailored to your company. 

In Texas, you have several energy provider options. Consider your priorities and preferences to choose the best provider for your energy needs. For example, if you want a 100% green energy plan, choose a provider such as Gexa Energy or Green Mountain Energy. If you want the cheapest Texas electricity plan, consider Frontier Utilities. The following table lists various energy companies in Texas, the lowest rates, and what it’s best for. 

Provider	Lowest available rate	Best for…
	$0.108 / kWh	Community involvement
	$0.145 / kWh	Electrical protection plans
	$0.140 / kWh	Low early termination fees
	$0.155 / kWh	Nationally recognized provider
	$0.109 / kWh	Variety of plan types
	$0.108 / kWh	Deferred payment plans
	$0.134 / kWh	Cheap electric prices
	$0.108 / kWh	Variety of competitively priced plans
	$0.108 / kWh	Green energy plans
	$0.158 / kWh	100% renewable energy
	$0.150 / kWh	Energy savings app and reward program
	$0.184 / kWh	Prepaid electricity plans
	$0.145 / kWh	Moving assistance
	$0.164 / kWh	Customer-centric approach
	$0.145 / kWh	Energy monitoring and bill credit reward programs
	$0.139 / kWh	Overall experience

Energy suppliers

In deregulated states, utility companies and electric providers have different roles. Residents have the power to choose their Texas electricity provider, who is responsible for selling electricity to consumers. With deregulation in Texas, there’s more competition among energy providers. You can choose from various providers to save money on your energy bills at a lower rate. 

Utility providers

The utility company is responsible for transmitting electricity, maintaining electrical infrastructure, and restoring power during an outage. Your address determines your utility, and you cannot change it. Here are the main utility companies serving residents and businesses across the Lone Star State:

• AEP Texas Central 
• AEP Texas North
• Centerpoint Energy
• Oncor Electric Delivery
• Texas-New Mexico Power

The Price to Compare (PTC) in Texas is your utility company’s default rate if you do not sign up for a specific energy plan from an independent provider. You can save money by choosing your own plan since utilities often charge more expensive rates. 

In Texas, the average monthly electricity bill for residential customers is $168.57/month. The total is calculated by multiplying the average electric usage of 1,178 kWh by the average electric rate (14.31 cents/kWh). The average monthly bill in Texas is about 16% higher than the national average bill of $144.74/month.

About 85% of Texas has a deregulated energy market, giving residents and businesses the power to choose their electricity provider. With deregulation, energy suppliers compete to offer you the best electricity rate and customer service. As a result, you can save money on your energy bills and find a plan that fits your electricity usage. The term “power to choose” is common in deregulated markets. It is also the name of the official website of the Public Utility Commission of Texas (PUCT), the regulatory body overseeing the Texas electricity market. 

Choose Energy is not affiliated with Power to Choose, powertochoose.org, or the PUCT.

PowerToChoose.org allows customers to browse available providers and plans in their area. However, consumers are redirected away from the site when they attempt to sign up for a plan. 

Choose Energy is different: Our easy-to-use online marketplace displays electric rates, plans, and providers in your area — all in one place. We list independent electricity provider ratings, term lengths, rate types, and more to make signing up for a new plan quick and easy. We also have useful buying guides and resources to help you understand the energy industry.

Choose Energy can help you sign up or switch to a cheap light company near you. Compare and choose a plan that fits your needs in a few easy steps.

• Enter your ZIP code. Compare plans and rates in your area on the free Choose Energy marketplace to find what works for you. Use the filters to find tailored results, like a specific rate type, term length, or amount of green energy.
• Pick a plan. When you find one you like, sign up online in a few minutes. If you need help choosing, call the number on your screen for an agent.
• Enjoy your new plan. Your Texas energy supplier will handle the set-up so you can relax without power interruption. 

If you are moving to Texas, you can keep your current energy plan if your provider serves your new address. You can switch electricity providers if you want a new provider or if your current one does not service your new location. You will not pay an early termination fee if you move to an address your current provider does not cover.

Shop Texas energy plans on Choose Energy’s marketplace up to 90 days before moving, and select your move-in date when you sign up. Your provider will handle the rest. Most Texas homes have smart meters, meaning you will not need to schedule a technician visit to begin electricity service. Instead, your new provider will activate your service remotely on your selected date.

Are Texas electricity rates going up?

Texas energy prices typically increase in the summer and decrease as temperatures decline in the cooler months. According to the latest EIA energy outlook, oil prices are expected to rise due to lower oil production, leading to higher electricity rates in Texas. Electricity prices fluctuate daily based on market prices. You can use the Choose Energy marketplace to explore the lowest energy rates in Texas at any time of the year.

Why does Choose Energy run a credit check?

Our partners require a soft credit check (which doesn’t affect your score) to determine if your credit meets their requirements. The provider may ask for a deposit to begin service if your credit score falls below that threshold. We’ll check your score with all providers on our marketplace at once so you can find the best electricity rates in Texas. Check out our no-deposit guide for more information about the credit check process. 

How do I find cheap electricity plans in Texas?

The lowest electricity rate in Texas on our marketplace is 10.7 cents/kWh from Express Energy, 4Change Energy, and Gexa Energy. These providers frequently offer some of the cheapest electricity rates in Texas. Energy rates fluctuate, but Choose Energy can help you find the best cheap energy company any time of year. Enter your ZIP code to compare rates and electricity plans all in one place.

How quickly can I set up electricity service in Texas?

If you are signing up for a new plan and have a smart meter installed at your home (most Texans do), you might start service the same day you sign up. Some providers have the option for same-day electricity if you order before 3 p.m. CST. Switching electricity providers could take up to five business days.

What should I do if my power goes out?

Your local utility company handles restoring power during a power outage. If you lose power, contact your utility, not your provider. To learn more about your utility company and how to contact them, visit our complete list of utility companies.

Where does Texas electricity come from?

Most of Texas’ electricity comes from natural gas. Nuclear, solar, and wind energy also contribute heavily to the state’s energy mix. As Texas continues to invest in different power sources, electricity rates could decrease as capacity grows.

How can I lower my electricity bill in Texas?

One way to lower your monthly electricity bill in Texas is to switch electricity plans with a lower rate. Securing low rates is often easier during seasons when demand is lower, such as spring and fall. Rates can change daily, so check the Choose Energy marketplace today to find out which company has the best electricity price for your usage. You can also lower your energy bill by using less electricity each month.