Who Has the Cheapest Electricity Rates in Texas?

TL;DR:

Save on your energy bill by exploring Texas's deregulated electricity market. This guide outlines the top electricity providers, renewable options, and tools to find the cheapest rates. Use energy marketplaces like EnergyPricing.com to compare rates and switch providers easily.

Key Points:

• Understanding Energy Rates: Rates are measured in kWh; compare your current rate to find savings.
• Market Fluctuations: Electricity rates vary daily; use tools for the latest updates.
• Top Providers: Includes TXU, Reliant, Ambit, Green Mountain, Direct Energy, Gexa, Just Energy, Constellation, and Stream.
• Renewable Options: Providers like Green Mountain and Gexa excel in affordable green energy plans.
• Energy Marketplace Tools: Compare rates quickly and switch providers in minutes via EnergyPricing.com.

Texas is one of several states with a deregulated energy market. That gives home and business owners the freedom to choose their own electricity supplier. If you do your research, you can potentially save big on your energy bill. You can even opt to prioritize greener energy options available in your area.

If money saving is the goal, tracking down the cheapest electricity rates in Texas makes sense. However, not every electricity supplier provides the same options or levels of service. Details other than price may factor into your decision.

Which suppliers provide Texans with the best balance between service and price? We’ve created this guide to cheap electricity providers in Texas to help you begin the search. Continue reading to find cheap electricity in Texas and make the switch today.

The measurement we use to calculate the price of energy is kWh or kilowatt-hour. This is a measure of how much electricity is consumed over time. It is equivalent to the amount of energy a 1,000-watt electrical device uses in one hour.

This is the unit you’ll find on your electricity bill. You can calculate your rate by multiplying your kWh usage by the sum of your energy cost.

The higher the rate of power of a device and the longer it is used, the more electricity it consumes. The average amount of electricity utilized in the average US household is 30 kWh per day. That’s equivalent to about 900 kWh per month.

So, what determines a good electricity rate? As of 2025, the national average is about 17 cents per kWh. However, the average rate in Texas tends to be slightly lower. In 2024, it was 12% lower than the national average.

When using an energy marketplace tool, consumers can often save up to 30% on their monthly energy bill.

To find the lowest rate, compare your current rate per kWh with a supplier’s current rate. The lower rate will provide the most savings.

Electricity rates in Texas are constantly changing based on market fluctuations. Thus, the cheapest electricity companies in Texas change by the day. Sometimes, bigger-name electricity companies like Constellation have the lowest rates. Other times, smaller providers are more competitive.

While we’ll provide an overview of the most competitive suppliers, we recommend using an energy marketplace. Tools like EnergyPricing.com provide accurate, up-to-date rates and allow you to compare and switch providers in minutes. It’s the best way to discover the most current rates and instantly lower your bill.

For now, we’ll share our list of the top cheap electricity companies in Texas below.

TXU is an established energy provider with a long history in Texas. They’ve developed a strong customer service reputation and have a high Public Utilities Commission (PUC) rating to match.

However, they have limited renewable options. Likewise, their rates can often be higher than less established competitors. It’s up to consumers to determine whether they wish to pay slightly more for the company’s reputation.

Many users report that their favorite part of working with Reliant is their user-friendly mobile app. Likewise, Reliant has a high PUC rating and a positive reputation in the Texas energy market. Their rates are typically competitive, depending on market fluctuations. However, like TXU, their renewable options are currently limited.

Ambit is a national name, providing energy in a range of states. With that said, their customer service has mixed reviews. Likewise, some customers complain about early termination fees. However, if you find an excellent rate from Ambit and can finish your contract, the lower bill may be worth it.

We recommend researching customer reviews in your area to determine if the service meets your expectations.

Green Mountain is unique in its focus on 100% renewable energy plans. Thus, this supplier tends to appeal to environmentally conscious consumers. They offer some of the most competitive pricing for green energy options in Texas. Likewise, they have a strong reputation for their sustainability efforts.

While rates can be higher than non-renewable plans, they can help you achieve your sustainability goals affordably.

Direct Energy is one of the largest energy providers in the state of Texas. Like others, their rates tend to be competitive and fluctuate based on market factors. If working with a large, reputable supplier is appealing, keep your eye on your preferred energy marketplace.

Gexa offers a range of both renewable and non-renewable energy plans, including 100% renewable plans. They also offer a broad range of plans based on usage levels. Those who prioritize sustainability can anticipate affordable green energy options through this supplier.

Just Energy is another supplier that services multiple states. Like others, they offer both renewable and non-renewable options.

In some locations, Just Energy offers higher prices than others. Likewise, as with other larger companies, their customer service can vary from state to state. It’s always worthwhile to do your research to determine the current rates.

Constellation consistently offers some of the cheapest electricity in Texas. Uniquely, they even offer a 90-day trial period on some of their plans. This allows you to make a change and then determine if you’re satisfied. That said, they have some of the highest customer satisfaction ratings in Texas.

Stream is another supplier offering service in a variety of states. Likewise, they offer both renewable and non-renewable options. Though they rarely have the cheapest electricity rates in Texas, they are often competitive.

When selecting an electricity provider, consider your energy usage patterns, contract preferences, and the importance of renewable energy options. We also recommend speaking to neighbors and reading recent customer reviews. If you do your due diligence, you can find an affordable provider offering superlative customer service.

Where can you compare cheap electricity in Texas with no deposit? The best place to start is on EnergyPricing.com’s online energy marketplace. Just enter your zip code to instantly compare energy rates per kWh in Texas. You can switch providers in as little as two minutes.

Compare Texas electricity rates and switch today!