Use Your Power to Choose

In Texas, your electricity provider is up to you.

What Does the Power to Choose Mean?

As a Texas resident, you have the power to choose your electricity provider. But what does that mean? Before you start your shopping process, take some time to learn about the electricity market in Texas.

Below, we’ll explain deregulated energy and how it benefits you as a customer, along with your right to choose the electricity supplier that’s best for you. Whether you’re new to Texas or have been here for decades, we’ll demystify power to choose—making sure you feel like an informed consumer when you’re ready to buy.

Understanding Deregulated Energy

The Public Utility Commission of Texas made Texas a deregulated energy state in 2002. Now, most Texas residents can choose from a growing list of Retail Electricity Providers (REPs) when shopping for electricity. REPs buy electricity from wholesale suppliers and then sell it to consumers.

Energy deregulation encourages competition between REPs, which helps Texans. REPs compete for business, enticing some consumers with perks and others with energy from alternative sources. If you’re new to Texas, don’t settle for one provider because you think you have to. Shop around until you find the company that best meets your needs.

Exercise Your Power to Choose

As you begin shopping around, exercise your power to choose electricity by looking at a variety of REPs and what they offer to consumers.

If you’re switching providers to save money, consider rates, but read the fine print on contracts and plan types—variable versus fixed rates will affect costs over time.

Gift Icon Choose electricity providers who give extra incentives or rewards for signing up. One of the main perks of deregulated energy is competition—take advantage of it.

Think about alternative energy. If sustainability concerns you, choose an REP that offers green energy. Green energy usually refers to energy made from renewable sources, like wind or hydro, but the phrase means different things depending on the company.

Your Power to Choose in Texas

If you’re just moving to Texas, the information on this site might differ slightly from what you’re used to. Even if you lived in a deregulated energy state previously, do some research before you buy to make sure you understand the process.

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Check to see if your city is deregulated. Deregulated energy is legal across Texas, but participation varies by city. Unsure about your city? Give us a call.

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Make sure you understand the difference between utility companies, REPs, and Transportation and Distribution Service Providers (TDSPs).

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Generation Companies product electricity

REPs purchase electricity from utility companies, then sell it to consumers

TDSPs ensure consistent delivery of electricity to homes and businesses

How Does Your Power to Choose Work?

Getting the most out of your power to choose is pretty simple. As long as you live in a deregulated part of the state, you’re eligible to switch REPs whenever you want to. You have the right to get out of a contract that isn’t working for you and find a better solution. You may incur fees depending on the terms of your contract, but you aren’t legally bound to stay with a provider that isn’t working.

Ready to start shopping? Visit our Compare Providers page to get an overview of what you should consider when shopping for electricity plans.

Or, if you’re ready to see which plans are available in your area, head back to our homepage to get recommendations specific to your zip code.