Learn About Texas Energy Choice

Before deregulation in parts of Texas that allows for electricity choice, a single company provided the supply and delivery for entire regions. However, on Jan. 1, 2002, Senate Bill 7 went into effect and many Texans gained the power to choose their electricity providers. With energy choice, the generation and distribution of electricity are handled separately from the selling of energy supply plans.

Energy choice affects about half the United States in some form. While some states have the option to shop electricity rates, such as Texas, others have the choice to shop for natural gas supply. Some states allow consumers to shop for both natural gas and electricity – many of which are located in the continental Northeast.

Understand the ins and outs of Texas energy

In energy choice markets where you can choose your electricity rates, retail electricity providers buy wholesale electricity from a generation company such as a power plant or wind farm. Retailers then sell the electricity to consumers like you. The local utility company owns and maintains power lines where it distributes electricity to homes and businesses. This means that during a power outage or any type of electrical emergency, you should contact the utility company, not your retail provider.

Despite the changes that come with energy choice, electricity still reaches your home the same way as always. More importantly, energy choice gives you many options for Texas energy providers. Retail providers now compete with one another for your business, meaning more electricity rates to choose from without sacrifices to customer service.

Deregulation doesn't mean zero regulation

Despite reforming the Texas energy market, deregulation does not mean that the energy industry has abandoned all regulations. The power to choose your retail energy provider gives you electricity choices, but a governing body still regulates the providers fighting for your business. This ensures that providers offer fair service for customers. Ultimately, the change in the electricity market in Texas means that supply rates are based on competition, not prices set by the state utility board.

The power to choose creates opportunities to save

If you live in an area with energy choice, you have the ability to choose Texas energy supply plans. The best way to take advantage of your power to choose is to understand your current budget and energy needs. Using this information, you can make the electricity choices that best fit your lifestyle. Thanks to energy choice, getting a new supply plan from a Texas energy provider may be as simple as entering your ZIP code.

Take advantage of your ability to choose your retail electricity provider and shop today!

Select your city to learn more:

Abilene Dallas Killeen Plano
Allen Denton Laredo Richardson
Arlington Desoto League City Round Rock
Atascocita El Paso Lewisville San Antonio
Baytown Flower Mound Lubbock Spring
Beaumont Fort Worth McAllen Sugar Land
Brownsville Frisco McKinney Temple
Carrollton Garland Mesquite The Woodlands
College Station Grand Prairie Midland Tyler
Conroe Harlingen Odessa Victoria
Corpus Christi Houston Pasadena Waco
Cypress Irving Pearland Wichita Falls

Disclaimer: ChooseTexasElectricity.org and SaveOnEnergy.com are operated by Save On Energy LLC, which is not affiliated with Power To Choose, powertochoose.org, or the Public Utility Commission of Texas (PUCT).

Updated: 7-18-16.