Texas Electricity Rates: Compare Plans, Prices & Provider
Electricity rates in Texas vary by ZIP code, energy usage, provider, and plan. Compare available electricity plans and understand your options in the Texas deregulated electricity market.
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Texas Electricity Rates at a Glance
Electricity rates in Texas are generally advertised in cents per kilowatt-hour (¢/kWh). However, the advertised rate is only one part of your total electricity cost.
Your monthly bill may also include TDU delivery charges, base charges, bill credits, taxes, and other plan-specific fees. That’s why comparing the complete cost of a plan is important when choosing electricity service.
Price
Rates are generally shown in ¢/kWh
Usage
Your usage affects your total cost
Plan
Plan types may have different pricing
Location
ZIP code determines available plans
How Much Does Electricity Cost in Texas?
The cost of electricity in Texas depends on more than the price per kilowatt-hour. Your total monthly bill can vary based on your electricity usage, home size, plan structure, location, TDU charges, and other applicable fees.
Two households in the same city can have very different electricity bills because they may use different amounts of energy or have different electricity plans.
What Affects Your Bill?
✓ Electricity rate
✓ Monthly usage
✓ TDU charges
✓ Base charges
✓ Bill credits
✓ Contract terms
What Is the Price Per Kilowatt-Hour in Texas?
Electricity is commonly priced in cents per kilowatt-hour (¢/kWh). One kWh represents the amount of energy used by a 1,000-watt appliance operating for one hour. When comparing Texas electricity rates, however, look at the complete plan cost rather than the advertised kWh price alone.
Compare Texas Electricity Rates
Comparing electricity rates isn’t simply about finding the lowest advertised number. Base charges, bill credits, usage requirements, TDU charges and contract terms can all affect what you actually pay.
The examples below illustrate how rates can vary by service area and usage.
Texas Electricity Rate Comparison Chart
TABLA
Example market rates. Rates and plan availability can change and vary by ZIP code, service area and usage. Review the current Electricity Facts Label (EFL) before enrolling. Updated: August 2026
// Why does the rate change?
Texas Residential Electricity Rates by Usage
The best electricity plan for your home depends partly on how much energy you use each month. A plan that looks attractive at 1,000 kWh may not provide the same value at 500 or 2,000 kWh.
500 kWh
Lower-usage households should pay close attention to base charges, minimum usage requirements and bill credits.
1,000 kWh
1,000 kWh is a common benchmark for comparing residential electricity plans, but your actual usage may vary.
2,000 kWh
Higher-usage households should compare energy charges and how credits or other plan terms affect their total monthly cost.
Texas Electricity Rates by Location
Electricity rates and available plans can vary depending on where you live. Your ZIP code helps determine the electricity providers, plans and TDU delivery area available to your home.
Explore electricity options in the Texas communities we serve.
DFW Metroplex
ONCOR ELECTRIC DELIVERY
Dallas
The heart of the deregulated Texas market
View electricity rates →
Grand Prairie
High-growth I-30 corridor
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Garland
East Dallas County
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Fort Worth
Tarrant County, west of the Metroplex
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Irving
The Hills and the DFW business hub
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Arlington
Between Dallas and Fort Worth
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Carrollton
Metroplex Tri-County Crossroads
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North Texas
ONCOR ELECTRIC DELIVERY
Denton
UNT and growth north of DFW
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Weatherford
Gateway to the west of Parker County
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Frisco
One of the fastest growing suburbs in the U.S.
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Plano
Corporate headquarters and young families
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Gulf Coast
CenterPoint Energy
Houston
The largest deregulated market in Texas
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Galveston
Island and Gulf Coast
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Cedar Hill
A Dallas-area city with electricity choice
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Sugar Land
South Fort Bend County
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Conroe
Montgomery County Seat
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Baytown
Industrial coast east of Houston
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The Woodlands
Master-planned community north of Houston
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Central & West Texas
ONCOR ELECTRIC DELIVERY
Killeen
Fort Hood area, Bell County
View electricity rates →
Lubbock
Llano Estacado Hub
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Midland
Capital of the Permian Basin
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South Texas
AEP Texas
Corpus Christi
Gulf Coast and industrial port
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McAllen
Heart of the Rio Grande Valley
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Texas Electricity Rates by TDU
Your electricity provider and your local Transmission and Distribution Utility (TDU) have different roles. Your provider supplies your electricity plan, while the TDU delivers electricity to your home and maintains the local power infrastructure.
Oncor
Serves a large portion of North and Central Texas.
CenterPoint Energy
Serves the Houston area and surrounding communities.
AEP Texas
Serves portions of South and West Texas.
TNMP
Serves communities across several areas of Texas.
Your TDU service area can affect the delivery charges included in your electricity bill.
Texas Electricity Rates by TDU
Fixed-Rate Electricity Plans
A fixed-rate plan generally keeps the energy rate stable during the contract term, subject to the plan’s terms and conditions. This can make energy costs easier to budget.
Good for:
✓ Predictable pricing
✓ Easier budgeting
✓ Longer-term planning
Variable-Rate Electricity Plans
A variable-rate plan can change according to its terms and market conditions. It may provide flexibility, but your electricity rate can change over time.
Consider:
✓ Rate changes
✓ Market conditions
✓ Plan terms
Always review the Electricity Facts Label (EFL) before enrolling.
Texas Electricity Rates by TDU
If you’re searching for cheap electricity in Texas, the lowest advertised rate isn’t necessarily the cheapest option for your household.
Your best option depends on your monthly usage, ZIP code, TDU service area, plan structure, contract terms, and applicable charges.
What Is the Cheapest Kilowatt Rate in Texas?
There isn’t one single cheapest electricity rate for every Texas household. Rates can vary by location, usage, provider, plan type and market conditions.
Looking for the lowest rate?
Compare plans based on your actual usage instead of choosing solely by the advertised ¢/kWh price.
Ambit Energy: Serving Texas Since 2006
With experience helping Texas residents navigate Texas electricity rates, an independent Ambit Energy Consultant can provide personalized guidance on comparing electricity plans, understanding pricing and usage charges, and evaluating energy providers based on location and individual energy needs.
With practical knowledge of the Texas deregulated electricity market, customers can better understand their options and make informed decisions when choosing an electricity plan.
22
Cities served
~4h
Express activation
1M+
Customers in Texas
$250
Covered fee collection
Why Choose Ambit Energy?
1M+ clients
With over a million customers, Ambit stands out as the preferred choice for electricity. Innovative plans and top-notch service await you at Ambit.
Go Green, Pay Nothing
Forget annoying bills. With Ambit, you could get your energy for free: refer 15 customers and enjoy up to 100% off your bill.
Flexibility at Your Pace
Not sure which plan is right for you? With Ambit, you have the freedom to change your plan whenever you want, up to once a year.
Access to Competitive Plans
Switch to Ambit and say goodbye to cancellation fees. We cover up to $250 of your fee on plans of 12 months or more.
Are Electricity Rates Going Up in Texas?
Texas electricity rates can increase or decrease over time depending on market conditions, weather, electricity demand, fuel costs, power generation and other factors.
Summer demand can be especially important in Texas because extreme heat can increase electricity consumption as homes and businesses use more air conditioning.
What Causes Texas Electricity Rates to Change?
WEATHER
Extreme temperatures can affect electricity demand.
DEMAND
Higher electricity demand can influence market prices.
FUEL COSTS
Changes in natural gas and other fuel costs can affect generation costs.
MARKET CONDITIONS
Supply, generation availability and other market factors can influence prices.
Texas Electricity Facts
DEREGULATED MARKET
Many Texas residents can choose their electricity provider.
ZIP CODE
Your location affects which plans may be available.
¢/kWh
Electricity rates are generally advertised per kilowatt-hour.
TDU
Local utilities deliver electricity to your home.
EFL
Review the Electricity Facts Label before enrolling.
USAGE
Your monthly consumption can affect your effective cost.
Frequently Asked Questions About Texas Electricity Rates
What are electricity rates in Texas?
Texas electricity rates are generally expressed in cents per kilowatt-hour (¢/kWh). The rate available to you depends on your ZIP code, provider, plan, usage and other pricing factors.
What is the average price of electricity in Texas?
Average electricity prices provide a useful market reference, but they don’t necessarily represent the rate available to your specific home.
What is a good electricity rate in Texas?
A good electricity rate depends on your usage and the complete pricing structure of the plan. Compare the estimated total cost rather than focusing only on the advertised ¢/kWh price.
Who has the cheapest electricity rates in Texas?
There isn’t one provider that is always the cheapest for every Texas household. Available rates depend on location, usage, plan structure and current market conditions.
Why are electricity rates different across Texas?
Different regions have different TDU delivery charges, and providers may offer different plans and pricing structures in each area.
Are Texas electricity rates going up?
Texas electricity rates can increase or decrease depending on market conditions, weather, demand, fuel costs and other factors.
How can I check electricity rates in Texas?
Enter your ZIP code to identify the electricity plans and rates available in your area, then compare the complete pricing details before choosing a plan.
How does my ZIP code affect electricity rates?
Your ZIP code helps determine your electricity service area, applicable TDU charges, and the plans and providers available to you.
What is the difference between fixed and variable electricity rates?
Fixed-rate plans generally provide a stable energy rate during the contract term, while variable-rate plans can change according to their terms and market conditions.
What is an Electricity Facts Label?
The Electricity Facts Label (EFL) provides important information about an electricity plan’s pricing, fees, contract terms and other conditions.
Ready to Find a Better Electricity Plan?
Electricity rates can vary depending on where you live, how much energy you use, and the plan you choose. Compare your options and find an electricity plan that fits your home and energy needs.
