Compare electricity rates in Texas and find the right fit for you.

When it comes to keeping the lights on, we all need reliable, affordable electric plans. Our quick rate comparison tools put the power to lower your home electric bills in your hands.

Texas energy rates

Find the best electricity and natural gas rates in the state.

With tremendous fields of natural gas and the largest amount of wind-generated electricity in the nation, we all know everything is bigger in Texas. But your electric bill doesn’t have to be.

Price To Compare makes it easy for Texans to compare energy rates and make the smartest choice for their homes. Own a business, too? You can get a free quote on commercial energy rates and keep the bottom line low on your electricity or natural gas bill.

Texas Electricity Rates

With the most competitive rates on the market, 90% of Texas residents are serviced through a deregulated energy market. Since 2002, most Texans gained the power to choose a Retail Electric Provider (REP). This has pros and cons for the Lone Star state. It means sorting through energy providers is complicated and overwhelming. We’re here to simplify things.

With our easy-to-use energy marketplace, you can find and compare electricity rates in Texas quickly, so you can switch electricity providers in less than 5 minutes! Search your zip code here.

Average price of residential electricity in Texas12.74 ¢/ per kwh

Pro Tip: Have your current electric or natural gas bill handy to compare suppliers and rates.

(updated February 2021 with most recent data available)

U.S. Energy Information Administration

Find a better rate

Compare the top green energy plans in Texas

Texas has one of the most abundant supplies of renewable resources in the United States - and we’re here to help you find the best green energy prices on the market.

Price To Compare can connect you to highly competitive renewable energy plans across the state of Texas. Power your home while supporting local eco-friendly electricity initiatives in just a few clicks.

Find a better rate

Keep your Texas business energy rates lower

Need a better rate on electricity or natural gas for your Texas business? Price To Compare can help. Get a free quote on commercial energy rates for your business and switch commercial energy suppliers today.

Find a better rate

Texas Electric Suppliers

Did you know there are more providers in Texas than anywhere else in the US due to the deregulated energy market? Also called energy providers, they’re responsible for either generating or purchasing electricity before selling it to you. Here are some of the most popular ones.

Texas Utility Companies

Now don’t get confused. Your energy provider and utility company are two different things. Texas utility companies are responsible for managing and distributing the energy produced by suppliers.

For instance, the utility company must ensure the power reaches your home by installing and maintaining electricity and natural gas lines. They’re also in charge of responding to power outages.

There are four major utility companies that service Texas. Which one services your home? (This part is dictated by location, not choice.)

About energy deregulation in Texas

Because Texas is the only state that is fully deregulated for electricity, homeowners have the power to choose their electricity provider - and they have more choices than the day is long.

While 30% of the state is still vertically integrated - meaning the generation, transmission, and retail sectors are still connected - the remaining 70% of the state is required to opt into their default electric provider or choose a competitive Retail Electric Provider (REP).

The Texas residential electricity market became deregulated following the approval of Texas Senate Bill 7 on January 1st, 2002. With this bill also came the Electric Utility Restructuring Legislative Oversight Committee, which was designed to aid in the integration of the new law. The implementation of deregulation was then staggered over the following few years.

Since 2002, around 40% of homeowners and other residential consumers in deregulated communities have switched to a competitive REP.

Natural gas, however, remains deregulated for commercial and industrial energy customers only.

Pro Tip: Always call your utility company rather than your energy provider in a power emergency.

Hunting for the Best Electricity Plan and Rate

If you’re looking for the most affordable electricity rates to power your home, we’ve got you covered. Today, the average price of residential electricity in the Lone Star state is 12.74 cents/kWh. This changes regularly, so let’s walk through the different plans available and find the one that’s right for you.

  • Fixed Rate Plans: Fixed electric rates are locked in through a contract, keeping your rate consistent regardless of the current electric rate. While the wholesale cost of electricity varies, these plans help keep your budget predictable and affordable, giving you the energy security you need.
  • Variable-Rate Plans: These rates are determined by the current state of the energy market. You get a cheaper rate when energy is abundant but pay higher rates in times of high demand or low production. These plans offer the flexibility of no contract but are high in risk.
  • Pre-Paid Plans: Using a smart meter, the customer pays in advance. Then the provider adjusts the account as energy is used. When the balance runs low, the consumer adds additional funds to an online account and no contract is required.
  • Green Energy Plans: With a consistent western wind and long sunny days, this great state has one of the most abundant supplies of renewable resources in the United States. In fact, Texas produces more wind power than any other U.S. State and is only 5th in solar production! This makes opting for green energy an excellent way to go.

And we’re here to help you find the best prices available. Price To Compare can match you with competitive renewable energy plans so you can power your home, help the environment, and support eco-friendly electric initiatives at the same time.

Understanding Your Electric Fact Label (EFL)

Your EFL is a document you can use to help compare electricity rates in Texas and make the best decision for your home. It’s similar to a food label, offering a standard format for sharing energy information with consumers, like yourself.

While your EFL sheet might not seem like it’s worth a close read, the opposite in true. To avoid an alarming electricity bill after signing up, you want to make sure you thoroughly review your EFL before making a commitment. Here’s a breakdown of how to read it.

  • Electricity Price: Reflects all prices billed to a customer, including generation, transmission, distribution, fuel and customer service. Cost is presented in cents per kilowatt-hour (kWh). Electrical usage levels shown represent average usage amounts for residential customers. Read your current electric bill to see your monthly usage.
  • Contract: Shows the minimum term of the contract in months.
  • Source of Generation: Identifies source of electricity offered by the REP. Columns compare the specific REP to statewide electric generation.
  • Emissions: Shares type and percentage of emissions released during production. Columns compare the specific REP to average emissions statewide.

Pro-Tip: Review all aspects of the EFL before signing up, with special attention to price per kilowatt-hour, early termination fees, % renewable energy sourcing, and other unexpected charges. Need more insights? Read the Public Utility Commission of Texas Electricity Fact Label Guide.

Which Rate is Right for You?

We’ve been in this industry for over a decade and have one of the largest national networks of commercial energy suppliers. Keeping your home or business bright, comfortable, and functioning smoothly should be easy.

Let Price to Compare eliminate the complications and dig through the details for you. If you're not sure where to start, contact one of our experienced Energy Consultants today!

Not sure where to begin?

Talk to an energy consultant today.

energyteam@pricetocompare.com