What is the power to choose energy in Texas?
In 2002, Texas deregulated its energy market, allowing residents and business owners to select their power plan and provider from an array of options. As a result, energy providers compete to win customers by offering low rates and unique incentives. This benefits Texas customers because they have more control over their electricity than in traditional energy markets, where consumers have fewer options.
To help you navigate Texas’ energy market, Choose Energy lets you filter by rate type, plan length, provider, renewable energy, and more to narrow your options. Once you find a plan that suits your needs, you can sign up online in minutes. Enter your ZIP code to explore today’s best electricity options.
What is PowerToChoose.org?
The Public Utility Commission of Texas (PUCT) operates PowerToChoose.org, which displays electricity plans and providers across the state. However, you cannot sign up for an electricity plan directly on PowerToChoose.org. After you select a specific plan, the site directs you to the provider’s website, where you’ll have to restart your search for the plan you selected.
ChooseEnergy.com is not affiliated with Power to Choose, powertochoose.org, or the PUCT.
Why you should shop on Choose Energy
Choose Energy is a free and independent marketplace that enables you to compare your options and sign up in one easy place. We have two decades of experience working in deregulated energy markets and a team of energy experts ready to help you. On our marketplace, you’ll find straightforward plan details and all-inclusive pricing, empowering you to choose the best power plan for your home or business.
We also create valuable resources to help you understand deregulation and make the most out of your energy choices. Here are some popular guides:
How to compare providers on Choose Energy
We aim to make it easy to match with the best provider in your area. Our shopping experience only takes three steps:
- Enter your ZIP code. You’ll find a list of available plans and providers in your area.
- Find the right plan. Filter your search to find the best plan for your needs. You can also read each plan’s Electricity Facts Label for details on early termination fees, renewable energy incentives, and more.
- Enjoy your new service. Once you choose your power plan, you can sign up online or call the number on the screen. Your new provider will activate your service after you sign up.
Power to choose for business electricity
Texas’ deregulated energy market also includes businesses. Choose Energy’s commercial electricity experts can help business owners shop for energy plans tailored to their company’s needs. Head to our business electricity page to connect with our energy experts and secure a custom energy plan for your business.
Texas energy providers
The main advantage of deregulation is the ability to choose your energy provider. Dozens of providers operate across Texas and other states to sell competitive electricity plans directly to consumers. Choose Energy partners with a handful of trusted providers we have personally screened for reliability and quality customer service. Here are a few of our top energy providers in Texas:
Texas utility companies
Although you can choose your energy provider in deregulated areas, your utility company is based on your location. This company delivers electricity to your home or business and maintains the local electrical infrastructure. Your utility also restores power when there is an outage. If the power goes out in your area, contact your utility company – not your energy provider.
Types of deregulated energy plans in Texas
Customers in deregulated areas can enjoy a variety of plan options. Here are a few popular plans you’ll find on our marketplace:
- Fixed-rate plans: With fixed-rate plans, you lock in your energy rate for the duration of the contract — usually lasting 12, 24, or 36 months. This plan is a great option if you value predictable energy bills. However, you may receive an early termination fee (ETF) if you want to end your contract early.
- Variable-rate plans: A variable rate changes every month depending on the wholesale price of electricity. You can save money during low energy demand, but you may have to pay more when demand spikes, which is common in the summer. Variable-rate plans let you avoid an ETF because they don’t require a contract.
- No-deposit plans: Energy providers check your credit when you sign up. If you don’t meet their credit threshold, they may require you to pay a deposit before activating your service. However, if you have low credit, you can sign up for a no-deposit or prepaid plan to skip the deposit. Under this type of plan, you preload your account and top it off as needed throughout the month.
- Renewable energy plans: Texas is a nationwide leader in renewable energy sources like wind and solar power. Due to this, all Texas electricity plans contain a percentage of renewable energy. However, some providers, such as Gexa Energy, are dedicated to 100% renewable energy plans. Consider a renewable energy plan if you want to reassess your home’s carbon footprint.
Texas electricity rates
Browse some of our top energy plans to get an idea of what you can find on our marketplace.
Please note: All rates above are accurate as of 6/08/2025, 8:52:16 PM CDT for ZIP Code 75001. Rates may have changed since this date/time. For the most up to date rates in your area, please enter your zip code above.
*All pricing shown in cents per kWh
Contact the Public Utility Commission of Texas
The Public Utility Commission of Texas (PUCT) regulates energy companies to ensure fair pricing and reliable service. If you need to report an issue with your provider, here’s how to get in contact with the PUCT:
Do you need to contact the PUCT to report an issue? Here are three contact methods:
- Mail: 1701 N. Congress Avenue // P.O. Box 13326 // Austin, TX 78711-3326
- Phone: 512-936-7000
- Email: customer@puc.texas.gov
Regardless of which electricity company supplies power to your home, your local utility will deliver the electricity. The PUCT also regulates utility companies. If you experience a power outage, contact your utility.
Frequently asked questions about the power to choose in Texas
How do I choose electricity in Texas?
Independent marketplaces, like Choose Energy, help consumers understand their options and choose the best plan. You can filter between contract length, rate type, no deposit, and other features to find the best fit. When deciding which plan to choose, consider the features most important for your home’s electricity, such as price, flexibility, or stability.
Who has the cheapest electricity rate in Texas?
Electricity rates fluctuate often in Texas’ deregulated energy market. At the time of writing, some of the cheapest electricity providers on our marketplace are Gexa Energy, 4Change Energy, and Frontier Utilities. Keep in mind that rates are location-specific. Enter your ZIP code to learn your city’s cheapest providers.
What type of energy plan is best?
The best plan is relative to what each customer needs for their home or business. Our energy experts generally recommend fixed-rate plans because they have a set rate that protects customers from price spikes. However, the best plan for you will depend on your living situation and energy habits.
Energy deregulation gives you the power to choose
About 85 percent of Texans enjoy energy deregulation. This means they live an area where they have the power to choose their electricity provider. Texans should take advantage of energy choice by shopping around for an electricity provider. Switching suppliers can help residents save money on their monthly energy bills.
Choose Energy® helps Texans choose an electricity provider through its marketplace, which shows rates from trusted providers. Users can check rates in their area and sort by price, term, rate type, and more to narrow their search.
To start a search for cheap electricity rates in Texas, shoppers should enter their ZIP code to see whether their home or business is in a deregulated energy zone.
What is PowertoChoose.org, and how is Choose Energy different?
The Public Utilities Commission of Texas runs a website called Power to Choose. It shows electricity plans and rates across the state. Choose Energy also allows residents to compare electricity rates to exercise their Texas power to choose. But the easy-to use online marketplace offers additional benefits. Enter a ZIP code above to get rates in a particular location.
Many Texans find the official Power to Choose site confusing. Our marketplace allows shoppers to compare plans, see real-time rates, and make a switch all in one place! With PowertoChoose.org, consumers can compare plans, but that’s about it.
Power to choose in Texas
State residents have the power to choose Texas electricity plans because lawmakers authorized energy deregulation beginning in 2002. Energy deregulation is just a fancy term for energy choice – meaning consumers can compare rates and plans and select a provider most suited to their needs.
About 85 percent of residents across the state have the power to choose. TX electricity providers that work with ChooseEnergy.com include TXU Energy, Gexa Energy, Frontier Utilities, and many more.
The power to choose isn’t just for the larger cities such as Dallas, Fort Worth, Arlington, and Houston. It extends to cities of all sizes, including the following:
For a larger list of deregulated cities, click here. One thing to remember: Regardless of which provider customers choose, the utility company for the area is in charge of getting the electricity to their home and maintaining the infrastructure to deliver power.
Power to choose Houston
Houston residents are among those with the power to choose an electricity provider. The city is the largest in Texas and the fourth-largest in the U.S. There are great temperature extremes in Houston, with temperatures occasionally hitting triple figures during the summer and dipping to the low 30s in winter, though they can go lower. That was proven during the February 2021 winter storm.
Those extremes mean it’s a good idea to exercise power choice. Heating and cooling a home account for about 30 percent of a typical home’s electricity use, according to the Energy Information Administration. Houston power to choose means residents can find a plan that suits their usage throughout the year.
Power to choose Dallas
The 1.3 million residents of Dallas experience similar temperature extremes as those in Houston. That means they have familiar reasons to be happy about the power to choose an energy provider.
Some providers are great for plans in which the customer uses less than 1,000 kilowatt hours (kWh) per month. Others are great for consumers who use more than 2,000 kWh each month. Choose Energy can help electricity shoppers figure out the sweet spot between those two levels, which is where typical users fall. That’s why power choice is so important in Dallas and other cities.
Power to choose Fort Worth
Fort Worth and Dallas are only about 33 miles apart, but residents of each city pride themselves on the differences between the two. Dallas says it has more of a big-city feel, and it is the larger of the two. Fort Worth says it has more charm. Both, of course, are great places and both benefit from the power to choose electricity providers.
Power choice allows consumers to sign up with electricity providers that offer plans to meet their specific needs. Among the needs that ChooseEnergy.com help with is the desire to purchase a renewable energy plan in Fort Worth. Power to choose expands options for Texans.
Why shop with ChooseEnergy.com?
The power to choose a Texas electricity provider is a great opportunity, but only if it is exercised properly. At ChooseEnergy.com, we don’t just show what the rates and plans are in a specific area. We provide the tools to make a good choice, including the following:
We allow shoppers to sort plans by rate, term, rate type, and more. They can customize usage, plus we’ll show estimates for monthly bills, and ratings for every provider.
We make the power to choose electricity providers work for consumers.
How to shop with ChooseEnergy.com
Exercising the power to choose with Choose Energy couldn’t be easier. There are just three simple steps:
- Enter a ZIP code. We’ll show plans from top providers serving that area.
- Find the right plan. Sort by rate, rate type, term length, green energy availability, and more. Call one of our power pros to clear up any confusion.
- Exercise the power to choose. Customers may sign up online or over the phone. Either way takes only minutes. The new provider will handle the switch.
Start now by entering a ZIP code. There’s no cost to use our marketplace.
How to contact the Public Utilities Commission of Texas
The Public Utility Commission of Texas authorizes licenses for electricity suppliers to ensure they have met strict requirements for doing business in Texas.
Need to contact Texas’ electricity watchdog? Here are three ways:
Mail: PO Box 13326, Austin, TX 78711-3326
Phone: 512-936-7000
Email: customer@puc.texas.gov
Regardless of which electric company supplies electricity to a home, the power will continue to be delivered by the local utility, which is regulated by the PUCT. When residents experience a power outage, they should call their utility company.
Disclaimer: ChooseEnergy.com® is operated by Choose Energy Inc. and is not affiliated with Power To Choose, powertochoose.org or the Public Utility Commission of Texas (PUCT).
updated 3/25/2021