How to Switch Texas Electricity Providers

In regulated energy markets, you’re required to buy electricity from your local utility company — which means you’re limited to their prices and plans. However, the energy market in most of Texas is deregulated, giving you the ability to choose your electricity provider, compare prices, and shop for a plan that aligns with your needs.

Whether you’re an existing customer searching for a cheaper electricity rate or you’re moving to the Lone Star State, Choose Energy is here to help. Our free online marketplace lets you find and compare energy rates from top-rated Texas electric providers and sign up for a plan all in one convenient place.

With that said, there are a few things you should know before you sign up or switch electricity providers in Texas. This guide will help you get comfortable with deregulation and the process of changing light companies.

Keep reading to learn more, or enter your ZIP code on this page to check current electricity rates near you.

Before you switch to a new energy provider in Texas, it helps to understand what the process entails. Here are a few tips to keep in mind as you search for a new Texas electric company.

• Consider early termination fees. Fixed-rate electricity plans may have early termination fees (ETFs) if you cancel or switch before your contract ends. These fees may come in the form of a lump sum or a fee for each month remaining on your contract. The details depend on the provider and length of your agreement. Review your plan’s Electricity Facts Label (EFL) for details.
• Be mindful of when you can switch. Some companies will let you lock in a rate up to 90 days in advance, so you don’t necessarily need to wait for your contract to expire before beginning the process of changing providers.
• Don’t worry about cancelling your current service. There’s no need to contact your electric company before switching to another provider. In fact, disconnecting your electricity can cause a lapse in service. When you sign up for a new plan, your new provider will manage the transfer process and coordinate with your utility company to ensure a seamless transition.
• Assume your renewal rate will be higher than your current one. Introductory rates are typically lower than renewal ones — which is why many customers switch power suppliers when their initial plan ends. If your current provider offers a renewal rate that seems cheaper than what other electric companies are advertising online, read the EFL carefully. The new plan may have hidden fees that could cost you more in the long run.
• Understand your provider’s satisfaction guarantee. If you change your mind, many energy providers will let you cancel or switch — without charging an ETF — within a few days of receiving your Terms of Service agreement.

Now that you understand how changing energy suppliers might affect your current plan, let’s talk about how to find a new provider through Choose Energy. Our marketplace is free to use, so you can compare Texas electricity providers and rates at any time without payment.

• Explore our marketplace. Get started by submitting your ZIP code on this page. We’ll use that information to give you a list of the latest rates in your area.
• Select a plan and sign up. You can filter and sort the results to find what you want in an electricity plan — whether that’s a low rate, green energy, or no-deposit. Then, when you’re ready to switch light companies, click “Check Availability” on your preferred plan and go through the online sign-up process. You can also call the number on your screen to get help from one of our energy experts and sign up over the phone.
• Sit back and relax. Your work is done. Your new electric company will take it from here, so you can sit back and enjoy your Texas energy plan.

Choose Energy makes it easy to switch electric plans in Texas. To make the process even simpler, we recommend the following tips to help you switch to the best energy plan for your needs.

• Know your monthly usage. Your monthly energy usage is listed on your electricity bill and is the most important piece of information to have when shopping for a plan. Providers charge different rates based on how much energy you consume in a billing period, and plans are generally advertised based on 1,000 kilowatt-hours (kWh) of usage. If you use significantly more or less energy per month, you can filter for your typical usage on our marketplace and find the cheapest rates available for your tier.
• Research providers. There are dozens of energy providers operating across Texas. Some have decades of experience, while others are newer to the market. Some companies offer a wide variety of plans, while others specialize in specific plan types. Before switching to a new plan, research the new provider to make sure the company is the right fit for you. To make the research process easier, our team at Choose Energy has rated and reviewed the best energy providers in Texas.
• Understand different plan types. Providers offer a few different types of energy plans, including fixed-rate, variable-rate, and no-deposit options. Understanding the differences between plan types is important when switching to a new plan.
• Consider what features you prefer. Popular plan features include 100% renewable energy, bill credits, or free usage periods. Before switching to a new plan, it can be helpful to know whether there’s a specific plan feature that matters most to you during your search.
• Review the EFL. Each plan has an EFL that outlines important details, including your energy rate, term length, renewable energy content, and more. We recommend thoroughly reading the EFL before enrolling in a new plan. To find a plan’s EFL on Choose Energy, click “more details” on a specific plan card, then navigate to “plan documents.” There you’ll find “access the EFL”.

What is Choose Energy?

Choose Energy is an independent marketplace dedicated to helping customers learn about energy deregulation and find an electricity plan that meets their needs and budget. If you’re searching for a new electricity plan (or even if you’re just curious what’s available near you), our marketplace makes it easy to browse rates, compare plans, and switch energy suppliers — all at no cost to you. To do this, we partner with trusted providers like TXU Energy, Frontier Utilities, and Reliant Energy, among other top-rated companies.

Where does Choose Energy operate?

Choose Energy serves electricity and natural gas customers in several states, including Georgia, Illinois, Maryland, Massachusetts, New Jersey, New York, Ohio, Pennsylvania, and Texas.

Enter your ZIP code on this page to discover rates and plans near you.

Why should I use Choose Energy?

To put it simply, our marketplace takes a lot of the hassle out of looking for a new energy plan. Instead of visiting individual providers’ websites and hunting for their rates and features, Choose Energy pulls together plans from multiple providers — all in one place (and for free). All you have to do is submit your ZIP code, and you can start comparing your options to find the perfect plan for you.

Is there a fee to switch light companies in Texas?

If you have a fixed-rate plan, your provider may charge an ETF if you switch providers while your contract is still active. However, some will let you switch within the last 14 days of your agreement with no ETF. You also won’t incur an ETF if you cancel because you’re moving. Reach out to your electric company if you’re unsure about their policy.

When should I switch electricity providers in Texas?

You might want to switch if you’re unhappy with your current service, want to lock in a lower rate, or your energy needs or priorities have changed. It’s also common for customers to change providers instead of renewing their current plan because renewal rates can be higher than new plan rates. Whatever the reason, make sure to read your current plan’s EFL before switching. If it’s a fixed-rate plan, there may be penalties for switching or canceling during your contract period.

How can I switch my electric company in Texas?

The most straightforward way to switch energy suppliers is by using a marketplace like Choose Energy. Our website makes it easy to find rates, compare plan features, and sign up with a new provider in minutes all in one place.