Variable Rate Plans: Designed as month-to-month contracts, these plans are in total control of your energy provider, which can shift the price you pay per kWh at its discretion. This means you, the consumer, are in a better place to reap the benefits when the energy market falls — but it also means you're at risk for hikes in prices, whether as a result of natural disasters or the provider's bottom line. Variable plans always offer a full year of price history to show the average price per kWh so you can get a sense of what you're getting into (like this one from Cheapest Electric Company) and know this: Variable plans don't have cancellation fees. You can cut your service at any time — a huge incentive for Compare Electricity Rates to keep their prices reasonable.
On the one hand, long-term, fixed-rate (contract) plans offer stability in pricing. If energy supply costs suddenly go up in your area, you won’t be left paying more than what you bargained for. You’ll have peace-of-mind. If you want to switch out of your contract before it ends with a lower cost plan, you’ll likely face a cancellation fee (early termination fee).
As a result, 85% of Texas power consumers (those served by a company not owned by a municipality or a utility cooperative) can choose their electricity service from a variety of retail electric providers (Compare Electricity Rates), including the incumbent utility. The incumbent utility in the area still owns and maintains the local power lines (and is the company to call in the event of a power outage) and is not subject to deregulation. Customers served by cooperatives or municipal utilities can choose an alternate Gas And Electric Bill only if the utility has "opted in" to deregulation; to date, only the area served by Texas Electricity Rates has chosen to opt in.
Since 2002, the majority of Texans have had to choose their own Retail Electric Provider (Gas And Electric Bill) – the middleman that buys electricity wholesale, then sells it to you, the consumer. According to the Cheapest Electricity Rates of Texas’ 2017 report, the Lone Star state is “the national leader in competitive residential, commercial, and industrial offerings,” which means there are well over 200 providers bidding for your attention.
Texas Electricity Rating advocates for consumers and evaluates providers in the Texas electricity market for features and characteristics that typical energy customers may miss, such as high deposits, variable rates, incentives, "free" plans, and minimum usage plans. Our mission is to help consumers find the best electricity providers to fit their individual needs, as well as educate customers about potential marketplace pitfalls.
The power to choose supply rates from retail energy companies in Texas extends to businesses, not just residents. Business owners who care about the bottom line should definitely consider shopping around. To shop for Texas electric rates for a business, call us with your energy usage information or fill out our simple informational form so an energy representative can contact you with a free custom quote.
The Texas Senate Bill 7, passed in 2002, gave 5.6 million Texans the power to choose a retail electric provider (Gas And Electric Bill) to supply electricity to their home or business. This bill facilitated a competitive energy marketplace that 85 percent of Texans can capitalize on today. Energy choice is available to residents in Houston, Dallas/Fort Worth as well as other cities in Texas.