Electricity Guide
How to Shop for Electricity in Texas
Shopping for electricity in Texas gets easier when you know what to compare. Learn how to check rate type, contract length, fees, usage assumptions, and delivery charges before you choose a plan.
A simple way to compare plans
Use this checklist to narrow your options and avoid surprises that only show up after enrollment.
01
Start with your usage
Estimate how much electricity your home uses in a typical month. Many advertised rates are based on specific usage levels, so your real cost can look different from the headline number.
02
Check the rate type
Look at whether the plan is fixed-rate or variable-rate. Fixed plans can offer more predictability, while variable plans may change from month to month.
Plain-English shopping matters because the lowest advertised rate is not always the lowest real bill.
03
Read the plan details
Review the Electricity Facts Label, contract term, early termination fee, renewable content, and any bill credits or minimum-usage rules that could affect your total cost.
04
Compare delivery charges
Remember that TDU delivery charges are part of the total price. Compare plans based on the full estimated bill, not just the energy charge.
What to compare
Focus on the details that change your bill
A smart electricity shopper looks past the headline rate and compares the parts of a plan that affect real monthly cost and flexibility.
Usage assumptions
Check the average price at the usage level closest to your home, such as 500, 1000, or 2000 kWh.
Contract length
Choose a term that fits your timeline. Longer terms may offer stability, but they can also lock you in.
Fees and credits
Watch for early termination fees, minimum-usage charges, and bill credits that only apply in narrow situations.
Delivery and taxes
Separate supplier pricing from TDU delivery charges and understand that taxes and other items may also affect your bill.
Avoid surprises
Why the EFL matters
The Electricity Facts Label is one of the most useful documents when shopping for a Texas electricity plan. It helps you compare pricing structure, renewable content, fees, and usage-based examples in one place.
Before enrolling, read the EFL alongside the Terms of Service so you understand how the plan works in real life, not just how it is advertised.
Ready to compare with more confidence?
Use what you learned here to review plans more carefully, ask better questions, and choose an option that fits your home and budget.
Texas New Energy is built to help first with clear educational content and transparent next steps.