Compare Houston Energy Providers and Find the Best Electricity Rates

Texas typically experiences very hot summers. Last summer brought particularly high temperatures, resulting in a sharp spike in energy demand and Texas electric rates. However, cooler temperatures this fall and winter have brought down energy rates.

It’s usually best to shop for Houston energy rates during milder seasons with lower demand, such as the fall, winter, or early spring. Electricity rates in Texas are typically stable in the winter unless there is a sharp rise in demand due to extremely cold weather or snowstorms.

Choose Energy simplifies the process of finding the best rates for you at any time of the year. Our marketplace allows you to easily compare affordable energy rates from reputable power companies in Houston and sign up for your preferred plan in one place. Enter your ZIP code today to find cheap electricity in Houston.

In Texas’s deregulated electricity market, utility companies and electricity providers play different roles. Utilities deliver power to homes, maintain electrical lines, and respond to power outages and other emergencies. CenterPoint Energy is Houston’s utility company.

On the other hand, energy providers sell electricity to residents through different rate plans and handle account details like billing and usage. Popular electricity providers in Houston include 4Change Energy, Discount Power, Frontier Utilities, and TXU Energy. Use the Choose Energy marketplace to compare energy rates and plans from over a dozen leading electric companies in Houston. You can filter for plans by rate type, term length, provider, and more.

In a deregulated electricity market, the ability to choose your electric provider can offer more freedom and savings than in a traditional market where you can only buy electricity from the local utility. Thanks to deregulation, you can shop and compare Houston electricity rates from various providers in your area to find the one that fits your needs and budget.

Choose Energy offers a simple and streamlined platform to explore electricity providers in Houston and pick a plan that meets your needs. You can benefit from affordable electricity in Houston by entering your ZIP code on our marketplace and signing up for an affordable new plan.

You’ll likely encounter several different plan types when shopping for electricity plans in Houston. The common ones are fixed-rate, variable-rate, and no-deposit electricity plans. Energy rates and plan types on the Choose Energy marketplace include base fees and transmission and distribution (TDU) charges. Remember, taxes are not included, and rates may vary based on your monthly energy usage. Filter by energy usage to make sure you’re comparing rates within your usage tier.

Discover more about the types of available energy plans in Houston today with Choose Energy.

Fixed-rate plans

Fixed-rate plans protect you from market price changes and provide a more stable electricity rate than other types of plans. These plans typically last from six to 36 months. Your rate remains constant during the contract. If you cancel your contract early, you may have to pay an early termination fee (ETF). However, your provider should waive this fee if you move outside the coverage area.

Variable-rate plans

Variable-rate plans come with risk as your monthly rate changes based on the market cost of electricity. You may get lower rates in milder seasons like spring and fall. However, rates can increase during periods of high demand in extreme temperatures or weather events. The benefit of a variable-rate plan is that you aren’t locked into a contract, meaning you can switch plans anytime.

Prepaid and no-deposit plans

Depending on your credit score, your provider might require a deposit before starting electricity service. If you want to bypass the credit check and deposit, consider light companies with no-deposit energy plans. A popular no-deposit option is a prepaid electricity plan, which lets you pay for your power upfront. When your account runs low on funds, your provider will remind you to add more money.

Enter your ZIP code and filter for “all credit-approved” plans on the Choose Energy marketplace to find prepaid plans in your area.

Time-of-use plans

With a time-of-use plan, the time of day and season determines your electricity rates. Your costs increase during peak demand hours and decrease during low demand. With this type of plan, you can reduce your electricity bill by using energy during low-demand periods, such as night, early morning, or on weekends and holidays.

Houston green energy

Texas leads the nation in green energy, ranking first in wind energy and second in solar power generation. Every Texas power plan includes a percentage of green energy. Check the Electricity Facts Label (EFL) for a plan’s specific amount of green energy.

In Houston, residents can choose from various renewable energy plans from several electricity companies. Gexa Energy and Green Mountain Energy are two electric companies in Houston focused on offering 100% green energy plans. Enter your ZIP code and filter for green energy plans available near you.

Business electricity rates

Houston businesses can also use the Choose Energy marketplace to find low-cost commercial electricity rates. Our energy experts can compare electricity rates from top Houston providers and help you build a customized business electricity plan. Visit our commercial electricity page to request a quote for your Houston business or enter your ZIP code to compare rates in your area.

When comparing energy rates in Houston, be sure to search for plans in your ZIP code because prices can vary by location. The local utility company charges delivery and transmission fees that vary based on where you live. Houston residents in one area may pay a different rate than those living in another area, even if they have the same plan.

The Choose Energy marketplace lets you accurately compare energy rates and plans near you. Enter your ZIP code on this page to find the current electricity rates from energy providers in Houston.

Want to choose a new electricity company in Houston? Choose Energy provides accurate, up-to-date information about the Houston electricity plans and energy providers near you. Follow these steps to sign up for a new plan today.

1. Compare energy providers and plans. Enter your ZIP code to compare energy rates, plans, and electricity companies in Houston. You can filter your search by provider, term length, rating, and more.
2. Review plan details. Be sure to review the details of your new plan before signing up. Use the Choose Energy marketplace to explore plans and check the Electricity Facts Label (EFL) for details of each plan. Check for delivery fees, contract length, and more.
3. Begin your new plan. When you’re ready to sign up, Choose Energy makes the process simple. Click “Check Availability” on your chosen plan card and follow the steps. Your new provider will set up your electricity service without interrupting your power.

Some Houston electricity providers on the Choose Energy marketplace offer same-day electricity service. You can power your home within 24 hours after setting up your account without any service disruption. Choose Energy can help you find providers with same-day electricity rate options in Houston.

Finding a budget-friendly Houston electricity rate is simple with the Choose Energy marketplace. To compare rates and plans near you, follow these easy steps:

• Enter your ZIP code. Discover the top Houston power rates and plans on our marketplace. You can filter for your preferences and compare your options.
• Sign up for a plan in minutes. Once you find the right Houston electricity plan, we’ll walk you through the signup process in minutes.
• Enjoy your new electricity plan. Your new Houston electricity provider will work with your utility company to set up your service. You shouldn’t experience any service disruptions during the transition.

If you experience a power outage or encounter a downed power line, follow safety procedures to avoid damage to yourself or your property. Visit our power outage safety resource to learn more about how you can prepare for a power outage in Houston.

If you lose power in Houston, contact CenterPoint Energy at 1-800-332-7143 or report an outage online. You can receive updates on when your service will resume. Do not contact your electricity provider — it is not responsible for restoring energy during a power outage

Houston is the most populated city in Texas, located in the southeast near Galveston Bay and the Gulf of Mexico. Its public parks, theater centers, museums, and Space Center make it a popular destination. 

If you’re moving to Houston, you’ll need to sign up for an energy plan from an available electric company in the area. The Choose Energy marketplace is here to help. You can enter your ZIP code to explore your electricity options, discover affordable light companies in Houston, and sign up for a new plan today.

What is the cheapest electricity rate in Texas?

At the time of writing, the cheapest price in Houston is 12.3 cents per kWh. The Choose Energy marketplace helps you compare energy plans by listing low to high prices, making it easy to identify the best electricity prices in Houston, Texas.

Who has the best electricity rates in Houston?

The best Houston energy rate on the Choose Energy marketplace right now is offered by Gexa Energy and Frontier Utilities. You can also find competitive rates from Express Energy, 4Change Energy, and Discount Power. Energy rates can change daily, so enter your ZIP code to discover current rates in your area.

When is the best time to buy electricity in Texas?

Houston electricity rates often increase in the summer due to extreme temperatures and external factors like politics and environmental changes. However, rates typically drop during times of the year when energy demand is lower, like in the fall and early winter. You may secure a better rate by buying an energy plan during times of lower demand.

How much electricity does Houston use?

While city-specific usage is difficult to pinpoint, data from the EIA shows Texas has a high average residential energy usage. Most Texas households consume about 1,178 kWh every month, much higher than the U.S. average of 899 kWh per month. The high average usage in Texas is likely due to the hot summer months when residents rely more on air conditioning. 

How do I choose an electric company in Houston?

You can use the Choose Energy marketplace to find top providers in your area and compare their plans to find the best electricity rates in Houston. Enter your ZIP code and narrow down your search using our marketplace filters to find energy plans that fit your needs. Check for sign-up bonuses, usage discounts, customer loyalty programs, and additional plan features to pick your ideal option.