About Electric Choice

Did you know that most Texans have the option to choose their Retail Electric Provider? Just like you shop around for car insurance, you can shop around to find the company and product that best fits your electricity needs.

To find out if you are eligible to choose a new retail electric provider, click here.

The Public Utility Commission of Texas (PUC) is the best source for unbiased information and they are there to help you understand the choices available to you, and to obtain the information you need to help you shop for the Retail Electric Provider and electricity plan that's right for you.

Consumption x Rate = Electric Bill

Electric Bills are calculated by multiplying the amount of the electricity you use (measured in kilowatt hours) by the rate you pay per kilowatt hour (in cents). Other than government mandated taxes and fees, consumption and rate are the only two inputs in your electric bill.

This means there are only two ways to lower your electric bill - Use less electricity and buy the electricity you do use at a lower price.

TexasIsHot.org is here to give you accurate information on how to lower your electric bill by using both of these methods.

Reasons to Consider Switching

Millions of Texans have exercised their right to pick their Retail Electric Provider and a plan that is right for them. With a wide variety of electricity products and plans available in the marketplace, you may find a plan that provides you with significant savings or provide more certainty than your current plan.

You may also want to consider switching to an electricity product that uses primarily renewable energy.

Some Retail Electric Providers also have other value-added services like air conditioning maintenance, rewards programs, or other customer service benefits. However, switching may not be for you if you are happy with your current REP or are currently receiving service under a long-term contract.

To decide if switching is right for you, answer the following questions:

Am I satisfied with my current Retail Electric Provider?
If you are satisfied with the customer service and rates provided by your current Retail Electric Provider, then switching may not have much of an advantage for you right now. Even if you are satisfied with your current company, you may want to contact them to see if they have a different plan that could provide you with savings, allow you to lock in a price that would provide greater certainty, take advantage of other services or customer benefits or that uses renewable energy. Companies continually change their offers and develop new products in response to market forces, so you may want to check back with your REP several times a year to see if there is a better deal available for you.

Do I have a contract with my current Retail Electric Provider that includes a cancellation fee?
If you have a contract with your current Retail Electric Provider you should call your current REP to ask about cancellation fees. Depending on the amount of any cancellation fee, you may want to wait until your current contract has expired before switching. In some cases, however, the savings you may be able to obtain by switching may be greater than your cancellation fee.

I am on an average monthly payment plan - will it continue if I switch to a different Retail Electric Provider?
Your current balance will not transfer to your new Retail Electric Provider when you switch. If you owe your current REP money due to an average payment plan, you will have to pay the unpaid balance as part of your final bill with your current REP once you switch. However, all REPs are required by the PUC to offer a level or average payment plan to customers who are not currently delinquent in payment. You are most likely to owe money on your average payment plan during the summer months. Make sure you obtain your current balance prior to switching so that you know what to expect.

Will I have to pay a deposit?
Depending on your history of paying your utility bills on time, a new company may charge a deposit that could be more than what you might save by switching, although you will get that deposit back from your provider in the future, with interest calculated at a PUC approved rate. Deposits can be waived or paid in installments in some circumstances. Ask the Retail Electric Provider you are considering for more information.

What if I miss a payment?
Any Retail Electric Provider may disconnect your service for non-payment after providing you with notice. In some cases, your REP is required to offer you a deferred payment plan. If you have problems paying your electric bill on time and your current REP has been willing to work out a payment plan with you, be aware that a new company may not be as flexible when you miss payments.

Is there a cost to switch providers?
No, there are no costs to Retail Electric Providers. However, if you want to switch to your new REP before your next scheduled meter reading, you may be charged a fee for a special meter read to enable the switch. You may also need to post a deposit with your new REP or pay a cancellation fee or any remaining balance on a payment plan to your old company.