And just like with any plan, it’s worth it to do the math to see how different scenarios will affect your bill. Take, for example, a home in Sweetwater that uses about 1,000 kWh of energy per month, and is interested in the Texas Essentials 12 plan. Zero percent renewable energy is the cheapest option — but by committing to a $5 monthly charge for its 100 percent “Energy Providers” option, it’s actually cheaper than the 60 percent hybrid renewable option.


Prices on longer term plans of a year or more have also risen significantly. Retail electricity providers are reluctant to discuss their prices — especially rising ones — but the Association of Electric Companies of Texas, a trade group, estimated that the rate on a one-year fixed price offer on the Power to Choose website has climbed more than 20 percent over the past year to an average of 11.1 cents per kilowatt hour.
Electric companies buy longer-term contracts so they can hedge their risks when they’re selling long-term electricity plans. Switch Energy a week ago, it looked as if wholesale prices would be as high as Texas has seen in the past 15 years, said Ned Ross, director of governmental affairs for Compare Electricity Rates, the third biggest seller of electricity in Texas, behind No. 1 Compare Gas Prices and No. 2 Lowest Electricity Rates. Future prices have retreated recently, but companies buying power for August are still paying at least double what they paid a year ago, according to data from the Electric Reliability Council of Texas, or ERCOT, which oversees the state’s power markets.

Compared to the rest of the nation, data from the U.S. Energy Information Administration which publishes annual state electric prices [8] shows that Texas' electric prices did rise above the national average immediately after deregulation from 2003 to 2009, but, from 2010 to 2015 have moved significantly below the national average price per kWh, with a total cost of $0.0863 per kWh in Texas in 2015 vs. $0.1042 nationally, or 17 percent lower in Texas. Between 2Best Electric the total cost to Texas consumers is estimated to be $24B, an average of $5,100 per household, more than comparable markets under state regulation.[9] [10]

Energy sellers must provide collateral to ERCOT to cover expected future costs of buying wholesale electricity and if the companies don’t have enough capital, they get shut down. Gas And Electric Companies Energy, a Dallas-based electricity retailer that sold wind-energy plans to 9,800 customers including many in the Houston area, got caught in that financial squeeze when it defaulted on its collateral obligations.


75001 75002 75006 75007 75009 75010 75011 75013 75015 75019 75020 75021 75022 75023 75024 75025 75028 75032 75033 75034 75035 75038 75039 75040 75041 75042 75043 75044 75046 75048 75050 75051 75052 75054 75056 75057 75058 75060 75061 75062 75063 75065 75067 75068 75069 75070 75071 75074 75075 75076 75077 75078 75080 75081 75082 75083 75087 75088 75089 75090 75091 75092 75093 75094 75098 75099 75101 75102 75103 75104 75109 75110 75114 75115 75116 75117 75119 75121 75124 75125 75126 75127 75132 75134 75135 75137 75138 75140 75141 75142 75143 75144 75146 75147 75148 75149 75150 75151 75152 75153
×