The state formerly regulated electricity in Texas, power to choose and electricity rates were set by Texas’s Public Utility Commission (PUCT). There was only one company in charge of generating, billing, supporting, and selling energy to Texas consumers. As it was the only sole power provider of the state, it became a monopoly.
Due to the disadvantageous effects of a monopolistic market to consumers,power to choose the Texas Legislature passed a law that would eradicate electric company monopolies and reduce government control of electricity rates through deregulation. Generally, the idea behind deregulation is to create Retail Electricity Providers (REPs), and these multiple providers would be competition to help keep the prices low.
In 2002, the Texas Legislature finally passed Bill 7 (SB7) that deregulates its electricity market. This bill has provided consumers the opportunity to choose electric companies in Texas. The deregulation law has led to the separation of the company’s operation components (generation, billing, support, and sales of electricity). And with the stipulation of this law, the Texas electricity rates are expected to decrease and eventually result in cheaper power for consumers.
Electric companies in Texas are on a list that helped create one of the most successful competitive electricity markets in the United States of America. Texas is also one of the US states with the fastest development and generation potential in terms of the electricity market, with its power generation capabilities of over 25 gigawatts installed during the past few years. The dynamics of marketing the electricity to consumers in Texas are handled by Retail Electric Providers (REPs) licensed by the state. There are approximately 40 Texas electricity providers that offer different electric rates and plan to private and commercial customers. This signifies that the Texas electricity market is actively operating and being enjoyed by the consumers.
Choosing wisely an electricity provider in Texas can be tiring and a hassle to do for the casual consumer, especially comparing electricity prices between the various electricity companies.
When comparing electricity rates in Texas, there are essential points that should take into account. Most people consider the basic parameter of price per kWh, but this is not necessarily the wisest way to choose. Be sure not to miss taking a look at the rate plans offered by the different companies. The rate plans and electricity facts label often make a big difference in the overall rate consumers can get.
What to Consider When Looking for a New Power Company
Many states are deregulated, which means that the people living and working there can choose which power company they want to use. The good news is that people who live in these states will notice that the power companies compete and offer great deals and promotions. Whether someone is moving or simply looking to switch their provider, looking for a new electric company can be a complicated process with several things to consider. Here are some of the most important things to keep in mind during the search: they can expose problems in what otherwise seems like a great deal.
Price
Most people pay attention to when looking for a new power company is what price they offer for their services, but it is not as simple as that. In addition to looking at the rate, it is important to look at the details as well. Some companies will offer a low fixed rate but have fine print allowing them to charge additional fees that can make a big difference in the monthly bill. It is also important to pay attention to how long any special promotions last. There is no point in switching companies if it will only provide savings for a few months before the rate increases drastically.
Products
The next thing to consider when looking at power companies is what products they offer. Most will offer all of the basic power services, but some may have special plans or options available. When looking at the products and services, it is important to keep in mind which ones are actually necessary or make a difference. Most of the time, a power company will charge extra for additional services, and there is no point in paying extra money for a feature that those will not use.
Contract
Because most people focus on money when looking for a new power company, important details such as the contract are often overlooked. However, it is here that most of the fine print concerning money is found, such as additional fees. It is also essential to note whether the contract is for a fixed-term or variable term and, if so, what the penalty is for switching companies earlier. While not being able to switch companies may not be a problem for some people, it does make it more important to select carefully.Read more
Houston Electricity Rates and Power Plans
plan name Rate
Pulse Power – Texas Saver 12 12 Months $0.068/ kWh
Pulse Power – Texas Saver 24 24 Months $0.069/ kWh
Pulse Power – Texas Saver 36 36 Months $0.071/ kWh
Frontier Utilities – Best Value 12 12 Months $0.072/ kWh
Tara Energy – Base Saver III 12 Months $0.075/ kWh
4Change Energy – Free Energy 12 12 Months $0.081/ kWh
4Change Energy – Easy Saver 12 12 Months $0.085/ kWh
4Change Energy – Maxx Saver 12 12 Months $0.085/ kWh
Frontier Utilities – Beat the Heat 12 12 Months $0.089/ kWh
4Change Energy – Value Saver 12 12 Months $0.093/ kWh
Pulse Power – Texas Pass 24 24 Months $0.100/ kWh
Pulse Power – Texas Pass 36 36 Months $0.101/ kWh
Pulse Power – Texas Pass 12 12 Months $0.102/ kWh
Pulse Power – Texas Fixed 36 36 Months $0.102/ kWh
Discount power – Secure Plus 12 Preferred 12 Months $0.103/ kWh
Pulse Power – Texas Fixed 24 24 Months $0.103/ kWh
Entrust Energy – Entrust 24 24 Months $0.104/ kWh
Entrust Energy – Entrust 18 18 Months $0.104/ kWh
Power of Texas – Power of Texas 18 18 Months $0.104/ kWh
Power of Texas – Power of Texas 24 24 Months $0.104/ kWh
