Since the deregulation of the retail electricity industry in 2002 by the Texas legislature, millions of Texans have opted to compare electricity rates and switch electricity providers. Giving the power of choice back to Texans has been popular with roughly 90% of residents switching their own electricity plans. Many Texans have made significant electricity savings as a result. But Texas state legislation requires consumers in deregulated areas to buy electricity plans from electricity providers only. This is in contrast to other states with deregulation where consumers can buy from either their utility or a provider.

An electric company can now have three different roles:

· Generators – These are the electricity producers

· Transmission and distribution service providers (TDSPs) – Companies that maintain wires and the poles that deliver energy

· Retail Electric Providers (REPs) – They buy electricity from the Generators then resell to consumers and provide customer service and billing

It’s impossible for residents to choose the TDSP, though they can choose their desired REP.

Finding the Cheapest Electricity in Texas

Texans have the privilege of choosing from among dozens of competing electricity providers. They all offer various rates, contract lengths, and discounts. Each provider comes with own website laced with confusing offers, overlooked fine print and introductory rates. The legal terms and narrow usage level bill credits used for marketing purposes often confuse consumers. In the end, you may get unexpected fees and miss out on potential savings on your power bills.

When searching for an electricity provider, it’s important to choose a provider that best suits your needs. Due diligence will ensure you make the correct switch and avoid regrets later.

Basic Contract of an Electric Company

Before you sign the contract, it’s important to the read the fine print carefully. Some of the terms that appear on an Electricity Provider contract include:

Price Structure – Is the price fixed or variable? The Electricity Provider should provide the pricing structure information directly on the contract.

Supply Price – Providers offer different rates for each electricity plan. These rates represent the average rate you would pay for 500, 1,000 or 2,000 kilowatt-hours (kWh) per month. Texas electricity providers are required to display these three rates for each electricity plan. This gives the customers an idea of the rates for a specific usage level.

Length of Contract – Texas energy providers offer a wide range of contract lengths. They include month to month variable versions of long-term fixed-rate contracts that can last years. Besides, you could also choose prepaid electricity plans to avoid credit checks and deposits. The type and length of your contract will depend on the time spent at home and your specific budget.

Rate timing – Electricity providers’ change their energy rates monthly. This is to reflect their own costs for procuring electricity. Thus electricity rates follow a predictable pattern of rising and falling according to the seasons. Extreme weather and emergencies can sometimes change this.

Evol Power has done the hard work for you. By shopping with us to compare electricity rates, we can help you find the features of a plan that suit your needs. We have also partnered with some of the respected, reputable retail electricity providers in Texas. Our partnership provides us with a wide variety of excellent plans that help us maintain the highest levels of customer service.