Texas retail electricity providers: A plain-English guide to plans, rates, and switching

Disclosure: we may earn a commission if you switch or request a quote through this link, at no extra cost to you. It never changes which plan or company we recommend. How we make money.

Key Takeaways

A provider list can show you who sells electricity, but it may not explain how the list is ranked. Your usage, the plan terms, and the full bill give you a better way to compare.

• A REP sells your electricity plan; a TDU maintains the local delivery system.
• Official Texas resources can help you check providers and service options at an address.
• Plan rates can depend on your usage, credits, and contract terms.
• The Electricity Facts Label shows details that a headline rate can hide.
• Before switching, check contract fees, deposits, and move-in timing.

What a Texas Retail Electricity Provider Actually Does

A retail electricity provider, or REP, sells the plan you choose in parts of Texas where customers can select a provider. That does not mean the REP owns every wire or handles every part of delivery. Your bill can include separate charges for the plan and for getting electricity to your home. Knowing who does what makes the rest of the comparison easier to read.

REP versus TDU, in one sentence each

A REP sells you electricity under a plan and sends your electricity bill. A transmission and distribution utility, or TDU, maintains the local poles and wires and delivers power to your address. You may choose a REP in a deregulated area, while the TDU serving your location is tied to that area. The bill’s separate line items help you see which charges come from the plan and which relate to delivery.

Why Texas is deregulated for most of the state

In much of Texas, households can choose among retail electricity plans instead of taking a plan from a single local seller. The market is not the same everywhere, though. Some areas served by municipal utilities or electric cooperatives may not offer the same choice. ERCOT manages most of the state’s electric load, and the U.S. Energy Information Administration reported that ERCOT demand rose 5% to 372 terawatt-hours from January through September 2025 compared with the same period in 2024, as also reported by the U.S. Energy Information Administration, Today in Energy. Those statewide demand figures do not tell you which plan fits your own usage; your address and bill matter more.

How Many REPs Serve Texas and How to Find Yours

The number of providers available to you can change, and not every provider serves every address. A long list is not the same as a useful comparison. Start with official sources to confirm who is authorized and what options apply locally. Then check your own bill or service address before you compare plan offers.

Where the official list lives

The Public Utility Commission of Texas publishes information about retail electric providers. Its directory can help you verify a company’s status, while the state’s Power to Choose site is another place to review plans in participating areas. Treat a directory as a starting point, not a ranking: it can tell you who is listed, but it does not decide which plan works with your usage. If a provider’s offer looks attractive, read the plan documents before signing.

How to look up the provider at your address

Your current bill is usually the quickest place to start. Look for the REP name and the service address, then check whether your area lets you choose a different plan. If you are moving, use the new address rather than assuming the provider at your old home serves the new one. The Texas Electricity Plan Comparison from ChooseMyPower takes a ZIP code and shows plans available in that area, with filters for term, provider, plan type, and green energy. You can also compare plan options once you know the ZIP code for the service address.

Plan Types You Will See When You Compare

Plan labels are only a quick summary. The price can depend on contract length, how the rate changes, and how much electricity you use in a billing period. A low number in an ad may not describe the price at your actual usage. Read the plan details before you compare one offer with another.

Fixed, variable, and indexed, and what each one risks

A fixed-rate plan generally holds the energy rate steady during the contract term, but the total bill can still change when your usage or delivery charges change. A variable-rate plan can change over time under its terms, which makes future bills less predictable. An indexed plan ties some part of its rate to a stated market measure, so you need to understand what that measure is and how often the plan can change. The EFL spells out the rate structure and key charges. If one part is unclear, ask the provider to explain it before you enroll.

Wikipedia’s Electricity pricing entry describes how utilities structure residential rates: a simple rate that charges a flat amount per kilowatt-hour, a tiered rate that changes the price as use goes up, and time-of-use rates. The label on a rate does not tell you the total, so look at the whole plan.

Prepaid, bill credit, and green plans, in plain words

A prepaid plan asks you to pay ahead and track the balance as you use electricity. A bill-credit plan gives a credit only when the plan’s stated conditions are met, often around a usage level. A green plan describes an electricity offer connected to renewable energy content or renewable energy certificates, as explained in its terms. These labels do not tell you the full cost by themselves. To keep the moving parts straight, check these details side by side:

• The usage range used to show the advertised rate.
• The amount and conditions for any bill credit.
• Whether the rate can change during the agreement.
• The term length and any early exit charge.

A credit can make a plan look cheaper at one usage level and less appealing at another. Compare the same usage pattern across offers, and read how each plan treats months above or below its credit threshold.

How to Rank Providers by Your Real Bill

A provider name does not tell you what a plan will cost at your home. Your monthly use, the rate terms, and the fees all shape the bill. The Real-Bill Ranking is a way to compare offers against your own history instead of relying on one advertised rate. Keep the bill and EFL nearby as you work through it.

The U.S. Energy Information Administration reports that the cost of natural gas is a primary driver of wholesale power prices in many regions, which is one reason plan prices can differ from one contract to the next.

Pull your last 12 months of kWh from the bill

Use your bills or account history to gather your monthly kilowatt-hour use. One month can be misleading if your home’s use changes with weather, travel, or a change in routine. A full year gives you a more useful view of both lighter and heavier months. Note the usage, billing period, and any unusual change for each month. A simple record helps you make a fair comparison:

• Monthly kWh used.
• The dates covered by each bill.
• Any bill credits or added plan charges.
• Months when your usage was unusually high or low.

Once you have that record, compare plans at more than one usage level if your use changes a lot through the year. The Bill Estimator on ChooseMyPower estimates a bill from usage, which can help you think through the bill amount rather than focus on a rate alone. Your past use will not predict every future month, but it gives you a grounded starting point.

Read the EFL, not the headline rate

The Electricity Facts Label, or EFL, lays out how a plan’s price works and lists important terms. Check the average price examples, recurring fees, delivery charges, credit rules, contract length, and early termination fee. A headline rate may be based on a particular usage level, so it can differ from the rate at your home’s actual use. The EFL Decoder is the practical habit of checking those details before you enroll. ChooseMyPower’s Texas Effective Rate Decoder works out what a month-to-month rate is costing versus a fixed one; it does not replace reading the EFL for a new plan.

Why a teaser rate can beat you on month four

A plan can advertise a low price that only applies when you use a certain amount of electricity or receive a bill credit. If your usage falls outside the stated range, the effective price can be higher than the headline suggests. The Teaser Test is to check the offer at your likely usage, then see what happens at a lower or higher month. The U.S. Energy Information Administration reported that utility-scale solar generated 45 terawatt-hours in the first nine months of 2025, 50% more than in the same period of 2024; that grid-level change is described by the U.S. Energy Information Administration and is separate from the terms of any retail plan. For your decision, the EFL and your own use are the useful receipts.

Switching, Deposits, and What Changes on Move-In Day

Switching a plan is mostly paperwork, but the timing and contract terms deserve a close look. First confirm the service address and the date you need power. Then check the new offer against the old plan’s end date and any fees. If you are moving, do not assume your current plan automatically follows you to the new address.

The switch itself, in three steps

Start by checking which plans serve the address and comparing the EFLs. Choose an offer only after you understand its rate, term, and any credit rules. Then follow the enrollment steps and confirm the start date with the provider. Texas law gives a new electricity customer 3 business days to cancel a new contract without penalty after signing, according to the Public Utility Commission of Texas. Check the enrollment documents for the terms that apply to your situation, especially when a move date is close.

Early termination fees, deposits, and credit checks

A fixed-term plan may charge a fee if you leave before the contract ends, though the agreement explains when it applies. Providers may also ask for a deposit or review credit as part of enrollment. The amount and rules depend on the plan and your circumstances, so check before you sign rather than treating a deposit as certain. For a move, confirm the start date, whether a deposit is due, and what you need to provide to open service. A clear answer on those points can prevent a last-minute surprise.

Commercial and High-Usage Shoppers

A small business often has a different usage pattern from a home. Operating hours, equipment, and seasonal changes can all shape the bill. A plan that looks simple for a household may have terms that need a closer look for a business. Compare offers using the business’s own bills and operating schedule.

What a small business should weigh first

Gather several recent bills and note how use shifts across the year and across operating hours. Then check the contract term, rate structure, demand-related charges if listed, renewal process, and early exit terms. Ask how the plan treats changes in the service address or business use. For a business with uneven demand, comparing only a single monthly usage figure may hide important differences. The same rule holds for a household: use the bill as the basis, and check each term in the offer.

How This Site Ranks, and Why That Matters

A provider list is hard to judge when the ranking method is not clear. A comparison should show what is being compared and how usage affects the order. The goal is not to give every shopper the same answer. It is to make the assumptions visible so you can judge a plan against your own bill.

Ranked by your bill, not by commission

ChooseMyPower presents plans by real price at the usage level selected, and lets you filter by term, provider, plan type, and green energy. That gives you a way to inspect the same offer through the numbers that matter to your household. The position is plain: Ranked by your bill, not our commission. You can see the plan terms, compare the price at your own usage, and decide whether the offer fits. The Texas Electricity Plan Comparison takes a ZIP code to show plans available in the area.

Conclusion

A provider list can start your search, but the EFL and your usage are what make a plan comparison useful. Check the full terms, compare the bill at your likely usage, and confirm move-in details before you enroll. When you are ready, compare Texas plans by ZIP and review the offers available at your address.

Frequently Asked Questions

What is a Texas retail electricity provider?

A retail electricity provider sells an electricity plan to customers in areas where the market allows them to choose a provider. The local delivery utility maintains the poles and wires.

How can you find the REP for your address?

Check your current bill for the provider name. If you are moving, use the new service address to confirm which providers and plans are available there.

What is the difference between a REP and a TDU?

A REP sells the electricity plan. A TDU maintains the local delivery system and delivers electricity to the service address.

Is a fixed-rate plan always the same total bill?

No. A fixed rate may hold the energy rate steady during the contract, but the total bill can still change with usage and other charges.

Why can a bill-credit plan have a higher effective price?

The credit may apply only when you meet conditions listed in the plan. If your usage falls outside the stated range, the credit may not offset the bill as expected.

What should you read before switching plans?

Read the Electricity Facts Label and contract terms. Check the rate structure, fees, credit rules, contract length, and any early termination charge.

Can you switch electricity plans when moving?

You can compare plans available at the new address and enroll for the needed start date. Confirm the service date, any deposit requirement, and contract terms before completing enrollment.