Extreme weather in Texas has a significant impact on electricity prices in the state, since heating and cooling drives electricity usage. Just the forecast of weather extremes – heat, cold, tropical storms or hurricanes – can send Texas electricity rates soaring.
It all comes down to supply and demand. In this article we review how weather impacts both supply and demand, how weather impacts electricity prices and why fixed rate plans are your best protection against weather risks.
Looking for the cheapest electricity rates in Pennsylvania? It’s no wonder. Standard offer rates from the utility change frequently. You may be able to lock in significant savings versus your current price to compare. And, a fixed rate from a PA electricity supplier protects you against rate increases.
Here is our recommendation on the 3 cheapest electric suppliers in PA, and the best deals on electricity rates for March 2024.
Texas electricity rate trends for 2024 show prices similar to 2023. Here’s our Texas electricity rates trend forecast, key factors driving electricity prices and what types of electricity plans will be popular this year.
Key Takeaways:
Texas electricity prices for 2024 will continue at levels seen in 2023. Residential electricity rates will average 14-16¢ per kWh including delivery costs.
Longer term contract terms (24 to 36 months) will be the cheapest electricity options.
When it comes to heating and cooling you home, you have options available. Instead of a traditional central air conditioning/furnace system, some homeowners are considering Air Source Heat PumpHVAC instead. In this article, we review the basics and the pro/cons of an heat pump HVAC system.
What is a Heat Pump HVAC System?
A heat pump HVAC system is a type of heating and cooling system that transfers heat from one place to another.
A heat pump HVAC system consists of two main components: an outdoor unit and an indoor unit. The outdoor unit contains a compressor and a coil filled with refrigerant. The indoor unit contains a fan and another coil filled with refrigerant. A reversing valve determines if it’s heating or cooling.
When operating in cooling mode, it’s removing heat and humidity from your home, and pushing the hot air outside.
When operating in heating mode, it uses the energy in the cold outside air to generate heat. (There’s a good explanation of the physics of this process here.)
Benefits of a Heat Pump HVAC system?
Installing an air source heat pump HVAC system offers some great advantages vs. a traditional heating and cooling setup.
Energy Efficiency. A traditional system uses energy to heat or cool air. A heat pump HVAC simply moves heat (energy) from one place to another.
Cost Savings. Higher energy efficiency can lead to savings on electricity and natural gas bills. Typical savings are 30% on cooling costs and 40-50% on heating costs according to Energy.gov. Since heating and cooling your home can account for 30% of your electricity usage, that’s a big impact.
Environmental Impact. Heat pumps contribute to a lower carbon footprint, especially if you’re currently heating with natural gas or home heating oil.
Tax Benefit. Thanks to federal tax credits you may be eligible for rebates or deductions toward your system installation. Low income households (under 80% of area median income) can recover 100% of the costs up to $8,000. Moderate income households (80-150% of area median income) can recover 50% of the costs up to $4,875. Higher income households can get a tax credit for 30% of the total cost of the system (including labor) up to $2,000.
TIP: Before installing a new heat pump HVAC system, have an energy audit completed (or do a DIY home energy audit). For maximum energy efficiency, you’ll want to ensure your home has the proper level of insulation, weatherstripping and double-paned windows.
Drawbacks to a Heat Pump HVAC System
While the energy efficiency, cost savings and tax benefits are clear, there are some drawbacks to a heat pump HVAC system.
Upfront Cost. The upfront cost of a heat pump system may be more than a traditional A/C and furnace combination. A typical heat pump installation cost is around $10,500 based on national averages. You will want to consider any tax benefits plus lower operating costs when making your decision.
Noise. A common complaint is that heat pumps are louder to operate than a traditional A/C condenser unit.
Suitability to the Environment. Air source heat pumps tend to work best in moderate climates. We’ll get into this more below!
Is a Heat Pump Right for My Home? (Where You Live Matters)
Heat pump technology has its limits. So it’s important to fully evaluate your home and your environment, and discuss options with your HVAC professional.
Cold Climates. If you live somewhere that temperatures routinely reach below 5° Fahrenheit, you may need an auxiliary furnace to boost the efficiency of your heat pump HVAC system.
Hot Climates. If you live somewhere that temperatures commonly reach above 90° Fahrenheit, you will need a high efficiency heat pump HVAC system with a higher SEER2 rating.
Here are a two examples, one in a cold climate and one in a warmer climate.
The key here? Talk to your HVAC professional about the system requirements and what’s right for the climate where you live. A heat pump system may be the right approach for your home.
We are often asked, what’s the best time to shop for electricity in Texas? The reality is, you don’t always get to choose when you shop for electricity, as it depends on your contract expiration. But if you have a choice? There are certain months to pick and certain months to avoid.
North and West Texas have their share of cold weather and even snow. But those on the Gulf Coast are less familiar with what to do when a Texas cold front is on the way. Here’s your checklist to prepare for below freezing weather in Texas.
Need the basics on how to shop for electric rates in PA? You’re in the right place. In this article, you’ll learn the 101 on deregulation, how to compare PA electric rates and how to select an electricity supplier.
Delivery rates for Texas electricity change twice a year, in March and September. And as of September 2023, the price you pay per kilowatt hour to get power to your home is at its highest level in five years.
March 2024: Utility delivery rates have dropped, but are still higher than previous years. Find current and historical delivery rates using the links below.
In general, you’ll need a minimum credit score of 580-600 with one of the major credit score companies (Experian, Equifax or Transunion) to get an electricity plan without a deposit requirement in Texas.
But there are ways around paying a deposit, including no deposit electricity, which is prepaid lights. But you can also get a deposit waived.
In this article we review no deposit electricity plans, how to get a deposit waived, prepaid electricity and minimum credit score for electricity.
You’ve probably heard that it’s important to change your home air filter regularly. But why is it so important? And what type of air filter do you need?
First, in our commitment to saving you time and energy, here’s a quick answer:
Change your home air filter every 30-90 days. If you have pets in your home, you should change your air filter every 30 days.