Compare and Find the Best Electricity Rates in Houston (2024)

Houston’s energy deregulation paves the way for numerous energy companies to offer their services at competitive prices. As a result, you, as the consumer, also stand to gain benefits from competitive pricing because it often brings down the average electricity rates in Houston. Houston’s average electric rates are as follows.

Although Houston residents have a deregulated energy market, they are protected by the Public Utility Commission of Texas to ensure the companies offer fair energy pricing. Various factors can directly impact the electricity rates in Houston, and some of these significant factors are as follows.

• Cost of electricity generation 
• Energy transmission and distribution costs
• Profit margin of energy companies
• Supply and demand for electricity
• Government regulations and policies

As you can see, the above factors can change with time, making your electricity rates somewhat variable. Moreover, the average Houston electricity rates can also vary depending on your chosen provider and plan. Hence, comparing electricity rates in Houston is vital to ensure the best value for money. 

Houston residents have enjoyed the benefits of a deregulated energy market since 2002. The deregulation of the energy market enables Houston residents to choose from a broad range of energy providers and plans. If you live in Houston, you can search for competitive energy plans online and pick one that best suits your energy needs. Hence, deregulation enables you to boost your household savings and minimize unnecessary electricity expenses.

There are numerous energy companies with their headquarters and operations based in the city. It is no wonder Houston is called the world’s Energy Capital. Furthermore, the availability of leading energy providers in Houston provides the city’s residents with several dozen eligible electricity provider options.

With so many reliable energy providers in Houston, it can be confusing to pick a single provider. We will help you compare the best energy plans and rates in Houston and help you make more informed decisions. It is also advisable to check for unique benefits offered by electricity providers and assess your options before choosing your provider. 

Finding the best electricity rates in Houston can be challenging, depending on your definition of “the best .”While you can always take the easy option and look for the lowest electricity rates in Houston, it may not be your best choice in the long run. 

Understanding your usage requirements is the key to finding the best electricity provider and plan for your household or business. Besides that, you must also be careful about hidden charges some companies demand, even if they show attractive plans and rates upfront. 

A little precaution in choosing your electricity provider could save you from expensive utility bills. By determining your property’s monthly kWh usage, you can easily find the best electricity rates in Houston based on actual energy consumption habits.

There are two main classifications of electricity plans in Houston that you can choose from, and they are fixed-rate and variable-rate plans. Of course, you may often see many different types of electricity plans from innumerable energy companies, but all their plans and services fall into one of these categories.

Fixed-rate Electricity in Houston

With a fixed-rate electricity plan, you can set a price for the contract term with the supplier. It means you continue to pay a specific amount regardless of varying elements that impact energy production, such as the weather, natural events, and market volatility. Fixed-rate electricity plans have a typical term length of six, twelve, twenty-four, and thirty-six months. 

Variable-rate Electricity in Houston

Variable-rate electricity plans can charge you different or varying charges for electricity every month. Market factors cause the varying prices for electricity in such plans. While such plans give you greater flexibility, the electricity pricing can also become highly volatile occasionally. However, considering the plan’s overall flexibility, it is also the advisable type of energy plan for both commercial and residential purposes. 

Electricity companies in Houston come in different types, and it can take time to differentiate them. Houston has two kinds of electric companies - utility and electricity providers. While both types of electricity companies may sound the same, their differences are more significant than you might think.

Houston Energy Providers

Energy providers in Houston are also called Retail Electric Providers or REPs. These companies are energy suppliers, meaning you buy your household or commercial electricity from these companies. In deregulated areas like Houston, you pay your electricity bills directly to these companies. 

Moreover, these are the same electric companies that appear when searching online for energy providers in Houston. You must compare the electricity rates from these companies to get a comprehensive picture of your energy expenses and pick the ideal provider for your needs. 

According to the report by the U.S. Energy Information Administration, the rank of the energy providers based solely on their customer count is as follows.

• TXU Energy Retail Co, LLC 
• Reliant Energy Retail Services
• Direct Energy Services
• Ambit Energy Holdings, LLC
• Green Mountain Energy Company

Houston Electricity Utility 

The job of the utility company is to ensure accurate and efficient transmission of power to your residential or commercial property. 

CenterPoint Energy  is the electricity utility company for the people in Houston and its surrounding areas. 

The electric utility company  is responsible for maintaining the power lines and other power distribution hardware. They are also the people you must turn to in case of a power outage caused by a downed line or blown transformer. 

You can conveniently browse for electricity providers in Houston with EnergyPricing.com. We bring you the flexibility you need to browse for a more suitable electricity provider and their best plans. You can use our site to access the electricity prices in Houston and all major cities in the US. Use the following steps to switch from your existing energy supplier to a new one. 

 Find Electricity Providers in Your Area

You can click the Get Started button to search for electricity providers in your area. You can view all providers by state or by typing in your ZIP code to see the best Houston electricity companies and their plans.

Compare and Review Plan Details 

You can use our tool to compare and review plan details from different electric providers in Houston. Our online tool also lets you comprehensively compare plans to make an informed decision. Make sure to review the plan details and double-check everything before you proceed further. 

Enroll With the New Electricity Provider 

It is smooth sailing from there after you decide on an energy provider. All you have to do is follow the prompts to enroll with a new provider. 

Would you like to see how it works in real-time? Watch the video below to learn how to shop online with EnergyPricing.com.

Moving to a new home is challenging, even without finding an electricity provider. We help you make the move to your new Houston home a little more bearable by enabling you to choose an electricity company conveniently. 

You can even compare the electricity rates from different providers and find the most cost-efficient one before moving to the new Houston home. 

Furthermore, it is significantly easier to choose and access the services of an electricity company with our online tools, making the moving process slightly more manageable for you and your family.

The deregulation of the energy market in Texas makes Houston one of the best places for commercial businesses, especially if they need a lot of electricity. Houston businesses can choose an electricity provider that best fits their requirements while offering pocket-friendly rates. 

Any business that spends over a couple of thousand dollars on electricity bills can consider switching to a more cost-efficient energy provider. Moreover, it can significantly contribute to your bottom line and save up to 20% on electricity expenses.

EnergyPricing.com is an online marketplace that connects residential and commercial customers in deregulated electricity and natural gas states with energy suppliers.

As a registered electricity and natural gas broker with the Public Utility Commission in each state where we operate, energy suppliers pay us a small referral fee for connecting customers like you with them. Here is a full explanation on how we make money. 

You can rely on CenterPoint Energy, your local utility company, for delivering and maintaining your electricity. If there's a power outage, just contact them to get you back up and running.