Get the best electricity rates in Texas with electric companies verified by energy experts.
Texans have the freedom to choose their energy provider thanks to energy deregulation.
There are deregulated energy markets in many parts of Texas. A deregulated electricity market is one where customers have the ability to choose which energy provider they want to use. This allows customers to shop around for the cheapest electricity rates and most flexible plans from different providers.
Often, deregulated electricity markets in Texas can offer better rates and electricity plans than national average electricity because of competition among electricity suppliers. It is important to note, however, that not all cities in Texas have deregulated electricity markets.
Deregulated cities include Houston, Dallas, Fort Worth, Corpus Christi, Arlington, Galveston, Waco, and many more. The complete list below shows all the cities and towns in Texas with deregulated electricity markets.
- Abilene
- Addison
- Alamo
- Albany
- Aledo
- Alice
- Allen
- Alpine
- Alvarado
- Alvin
- Alvord
- Andrews
- Angleton
- Anson
- Aransas Pass
- Archer City
- Argyle
- Arlington
- Arroyo City
- Aspermont
- Athens
- Atlanta
- Aubrey
- Austwell
- Azle
- Bacliff
- Baird
- Balch Springs
- Ballinger
- Balmorhea
- Barksdale
- Bay City
- Baytown
- Bedford
- Beeville
- Bellaire
- Bellmead
- Belton
- Benbrook
- Big Lake
- Big Spring
- Bishop
- Blooming Grove
- Bonham
- Booker
- Brackettville
- Brazoria
- Breckenridge
- Bronte
- Brookshire
- Brownwood
- Buffalo
- Burk
- Burnett
- Burleson
- Cameron
- Canton
- Carrizo Springs
- Carrollton
- Cedar Hill
- Cedar Park
- Centerville
- Channelview
- Childress
- Christoval
- Cisco
- Clarendon
- Clarksville
- Cleburne
- Clifton
- Clute
- Clyde
- Collinsville
- Columbus
- Colorado City
- Columbus
- Comanche
- Commerce
- Comstock
- Cooper
- Coppell
- Copperas Cove
- Corpus Christi
- Corsicana
- Cotulla
- Crane
- Crockett
- Crosby
- Cross Plains
- Crossroads
- Crowell
- Crystal City
- Cypress
- Dallas
- De Leon
- De Soto
- Decatur
- Deer Park
- Del Rio
- Denison
- Denton
- Devine
- Diboll
- Dickens
- Dickinson
- Dilley
- Donna
- Dublin
- Dumas
- Duncanville
- Eagle Lake
- Eagle Pass
- Early
- Eastland
- Eden
- Edgewood
- Edinburg
- Edna
- Edom
- Egypt
- El Campo
- Eldorado
- Electra
- Elgin
- Ennis
- Escobares
- Etoile
- Euless
- Eustace
- Falcon Heights
- Falfurrias
- Farmers Branch
- Flint
- Flo
- Forest Hill
- Forney
- Fort Davis
- Fort Stockton
- Fort Worth
- Freeport
- Freer
- Frisco
- Fulton
- Gainesville
- Galena Park
- Galveston
- Gatesville
- George West
- Goliad
- Graford
- Graham
- Granbury
- Grand Prairie
- Grandview
- Grapevine
- Gun Barrel City
- Hallettsville
- Haltom City
- Hamilton
- Hamlin
- Harker Heights
- Harlingen
- Haskell
- Hebbronville
- Henrietta
- Hidalgo
- Hillsboro
- Hitchcock
- Houston
- Hubbard
- Hudson
- Humble
- Huntington
- Hurst
- Hutchins
- Ingleside
- Iraan
- Irving
- Italy
- Jacksboro
- Jersey Village
- Jewett
- Johnson City
- Jourdanton
- Junction
- Karnes City
- Katy
- Kaufman
- Keene
- Keller
- Kemah
- Kenedy
- Kermit
- Killeen
- Kingsville
- Knox City
- La Feria
- La Marque
- La Porte
- Lacy Lakeview
- Ladonia
- Laguna Park
- Lajitas
- Lake Jackson
- Lake Whitney
- Lake Worth
- Lamesa
- Lancaster
- Laredo
- League City
- Leakey
- Leona
- Lewisville
- Lindale
- Liverpool
- Log Cabin
- Los Fresnos
- Lufkin
- Lytle
- Mabank
- Magnolia
- Malakoff
- Malone
- Manor
- Mansfield
- Marfa
- Mathis
- McAllen
- McGregor
- McKinney
- Memphis
- Menard
- Mercedes
- Merkel
- Mesquite
- Midland
- Midlothian
- Milano
- Milford
- Mineral Wells
- Mission
- Monahans
- Muenster
- Munday
- Nacogdoches
- Nassau Bay
- Neches
- Nocona
- North Richland Hills
- Northlake
- Odem
- Odessa
- Olney
- Orange Grove
- Ozona
- Paducah
- Paint Rock
- Palacios
- Palestine
- Palmer
- Palmview
- Paris
- Pasadena
- Pearland
- Pearsall
- Pecos
- Penitas
- Perryton
- Pflugerville
- Pharr
- Pilot Point
- Plano
- Pleasanton
- Port Aransas
- Port Isabel
- Port Lavaca
- Port Mansfield
- Port O’Connor
- Portland
- Pottsboro
- Prairie View
- Premont
- Presidio
- Quanah
- Quinlan
- Quintana
- Rachel
- Rainbow
- Rancho Viejo
- Ranger
- Rankin
- Raymondville
- Red Oak
- Refugio
- Reklaw
- Richardson
- Richland
- Richland Hills
- Richmond
- Rio Grande City
- Rio Hondo
- Riviera
- Riviera Beach
- Roanoke
- Robert Lee
- Rockdale
- Rockport
- Rocksprings
- Rockwall
- Roma
- Rosenberg
- Rotan
- Round Rock
- Round Top
- Rowlett
- Royse City
- Ruidosa
- Rule
- Sabinal
- Saginaw
- Saint Jo
- Salado
- San Angelo
- San Benito
- San Juan
- San Leon
- Sandia
- Santa Anna
- Sargent
- Seabrook
- Seadrift
- Seagoville
- Sealy
- Seguin
- Shamrock
- Sheffield
- Sherman
- Sinton
- Snyder
- Sonora
- South Houston
- South Padre Island
- Spearman
- Spring
- Springtown
- Spur
- Stafford
- Stamford
- Stephenville
- Sugar Land
- Sulphur Springs
- Surfside Beach
- Sweetwater
- Synder
- Taft
- Taylor
- Temple
- Terlingua
- Terrell
- Texas City
- The Colony
- Three Rivers
- Throckmorton
- Tivoli
- Tomball
- Tuleta
- Tyler
- Uvalde
- Van
- Van Alstyne
- Vernon
- Victoria
- Waco
- Waxahachie
- Webster
- Wellington
- Weslaco
- West Columbia
- West Tawakoni
- Westlake
- Wharton
- White Settlement
- Whitewright
- Whitney
- Wichita Falls
- Wills Point
- Wimberley
- Winters
- Wolfe City
- Woodway
- Yantis
- Yorktown
- Zapata
- Zavalla
While many parts of Texas are deregulated, several areas are not. This is because deregulation was mandatory for investor-owned utilities and remained optional for some municipal utilities and electric cooperatives. Some of those organizations have not opted to participate.
The list below identifies some of the larger cities in Texas that remain regulated.
- Austin
- Brownsville
- Bryan
- Brenham
- Burnet
- College Station
- Cuero
- Denton
- Fredericksburg
- Garland
- Georgetown
- Greenville
- Kerrville
- New Braunfels
- San Marcos
- San Antonio
Energy deregulation in Texas has increased competition for electricity supply and offers more options for customers, which can result in lower rates and better energy plans.
Simply put, in a deregulated market, retail electric providers (REPs) are companies that purchase electricity and resell it to customers. These REPs offer competitive plans and rates to customers, while the transmission and distribution of electricity remain regulated by the state and are the responsibility of the local utility company.
There are over 300 retail electricity providers in Texas, including:
- AEP Texas
- Centerpoint Energy
- Champion Energy
- Cirro Energy
- Constellation
- Direct Energy
- Frontier Utilities
- Gexa Energy
- Oncor
- Reliant Energy
- TXU energy
Each REP offers different types of energy plans, such as:
- Fixed-rate plans
- Prepaid plans
- Variable-rate plans
- Incentives like bill credits
- deposits, “free electricity” or “free nights”
The options for energy plans and rates are endless and can be overwhelming. Let us make the process easier for you to navigate.
5 Digital Energy’s experts have implemented a thorough vetting process to carefully evaluate and pre-select the best energy companies with the most competitive rates and plans, making it easier to choose the lowest rates possible.
The way electricity prices are determined in Texas is different from California to Connecticut and everywhere in between.
To get power for your business, you’ll be interacting with different parties, depending on which electric service area you are in. If you live in a regulated part of the state, your one-stop shop is the co-op or utility.
For areas of the state and country that are in deregulated energy markets, however, there are many retail electricity providers to choose from. That’s where we can help! Our 850 years of combined energy experience has already helped thousands of clients just like you. We can connect you with the most competitive suppliers who provide energy services in that area.
Spoiler: We don’t have one.
Better stated, we don’t have just one. The best electricity plan for you is going to be different from the best electricity plan for your neighbor.
There are many considerations that go into selecting the right retail electric supply agreement for a business. Our mission is to arm you with the knowledge and confidence to make an informed decision about your energy.
There is no additional cost to you to have an award-winning energy advisor sit on your side of the table and advocate for you. We get paid a commission from retail electricity providers in Texas to evaluate all supplier offers that would otherwise be paid to an internal sales person at that individual energy provider. In addition to helping you find the right plan for your business, we also help you enroll in the plan and set everything up.
Navigating electricity and natural gas markets is a full-time job that many business owners do not have time to do. Energy suppliers often rely on that lack of time to take advantage of customers. Energy providers generally make most of their profits when customers don’t understand the Electricity Facts Label (EFL) and forget to renew their contract. Energy providers then roll customers into a pricey month-to-month holdover rate.
We don’t want that to happen to you. We want to help you switch to the right plan that makes sense for your business.
Some think the term “switch” may suggest that you change from one supplier to another, but all this really means is that you are switching to a new plan once your current plan has expired. The best way to stay on top of electricity rates and work with the best electricity provider for your needs is to partner with an advisor like 5 Digital Energy.
It is important to note that switching suppliers will not affect the reliability or safety of your electricity service, as the transmission and distribution of electricity (the transportation and distribution utility, or TDU) is still regulated by the Public Utility Commission of Texas (PUCT).
Here’s what 5 Digital Energy helps you consider when it’s time to switch energy providers:
The electricity and natural gas markets experience more volatility than any other commodity. Energy rates change every day, sometimes more than once per day. The market fluctuates based on supply and demand and is influenced heavily by weather and government regulations.
5 Digital Energy has a team of experts with over 850 years of combined energy experience. We help our clients navigate these power markets and empower people like you to make informed energy decisions.
Knowing your electric usage can help narrow down the appropriate rates for your business.
Texas electricity rates are measured in cents per kilowatt-hour (kWh). You can find your current kWh by looking at the Supply portion of your energy bill.
Once you know how to measure electric usage, you can choose the type of plan that works for you. Your options can include:
- Fixed-rate plans: These plans offer a fixed price per unit of electricity for the entire contract length. The customer’s rate is not affected by changes in the market price of electricity.
- Variable-rate plans: These plans offer a fluctuating price per unit of electricity that is based on the current market price. The customer’s rate can change from month to month (meaning monthly electric bills can vary widely each month), and is affected by changes in the market price of electricity.
- Time-of-use plans: These plans offer different prices for electricity at different times of the day or night, based on the time of use like “free nights.” The customer’s rate is higher during peak demand periods and lower during off-peak periods.
- Green energy plans/renewable energy plans: These plans provide electricity that is generated from renewable sources, such as solar energy or wind power. They help reduce a businesses’ carbon footprint and can provide a backup source of electricity in the event of a power outage.
- Flat-rate plans: These plans have a fixed rate per month regardless of energy consumption, usually making them best suited to businesses with high energy usage.
When searching online for electricity rates, different websites can show a mix of these different plans without clearly identifying the differences between contract terms, which are essential to consider when choosing a retail electricity supplier.
We’ll let you in on a secret:
Lowest electric rate does not always equal lowest electric bill.
There are many different cost components in an electricity rate. Rates differ among retail electricity suppliers because they value those cost components differently. Additionally, some suppliers will choose to pass certain costs through and not include them in their contracted rate. This means a rate from a supplier that is much lower than other offers may be passing through costs that will ultimately appear on an invoice as an additional charge.
With over 850 combined years of experience, the experts at 5 Digital Energy can help you navigate these contracts, plans, and rates, so you know exactly what you’re getting and can plan your electricity budget accordingly.
An early termination fee (ETF) is a fee for customers who terminate their retail electricity agreement before the end of the contract term.
For most commercial contracts, the early termination fee is based on the amount of months remaining in the term of the agreement. When you sign an agreement with a new energy company, they estimate your monthly energy usage to determine how much electricity to purchase from the wholesale market. If you cancel your agreement early, the energy provider will calculate the damages they incurred due to the lost revenue and assess the customer that fee.
Alternatively, some energy providers may charge a fixed-dollar amount for each month remaining in the contract. For example, if the ETF is $50 per month and the contract has 12 months remaining, the ETF would be $600.
It is important for business owners to review the ETF terms and the calculation in the retail electricity agreement before signing the contract, to ensure that they understand the terms and the potential financial impact of early termination.
Switching Texas electric providers is easy. By following a few simple steps, you can secure the best electricity rate.
Select your energy usage details and your zip code. We’ll analyze your energy habits and needs so we can match you with the most suitable—and verified—energy providers.
5 Digital Energy has vetted reputable energy providers in Texas to ensure there are no hidden fees, “introductory rates,” gimmicks, or unfavorable contract language. You won’t have to deal with any unfavorable terms and conditions.
Once you have chosen your new supplier and energy rate, we will take care of all the paperwork and set up your new energy plan. We will keep you informed every step of the way and let you know when your electricity service is fully activated.
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