Cheapest Texas Electricity Rates and Plans (December 2024)

Finding the cheapest electricity rates in Texas doesn’t have to be a chore or require tons of research. Every month, we update our recommendation for the top three cheapest electricity companies in Texas, and our cheapest electricity rates for fixed rate plans. Here’s the December 2024 update.

Seasonality is in full effect, and prices are at affordable levels. We expect prices to remain low through December. Rates will rise in January or February if we have any extended cold snap.

Top 3 Cheapest Energy Companies in Texas Right Now

Who has the cheapest electricity rates in Texas? That changes often depending on how aggressive each company is with its pricing. And the cheapest electricity rate for you depends a lot on your usage and where you live.

Here are the energy companies that currently have the cheapest electricity rates in Texas, as of December 2024.

1. Rhythm Energy – Get 100% renewable energy at an affordable price, plus a 30-day satisfaction guarantee. Check out their 6 month contract for a great low rate.
2. Atlantex Power – This newcomer offers a 90-day satisfaction guarantee. Plus their 6 month contract is a great option.
3. OhmConnect Energy – OhmConnect Energy has some of the cheapest fixed rate plans. Plus you can earn rewards by conserving energy. Their 18-month contract gives you a low rate plus shifts your expiration to Spring 2026, a great time to shop again.

These recommendations are for fixed rate electricity plans (no bill credits or tiered rates) which we show below. If you are looking for bill credit or tiered rate plans, enter your zip code below to see all options.

Also, if you sign up for a 6 month plan, you’ll shop again in April for your May expiration. Rates typically start to rise in May, anticipating summer heat. Sign up for contract expiration reminders so you don’t miss your shopping window.

You can read more on how to shop for cheap electricity rates in Houston rates or Cypress electricity rates. Or review info on the average electricity bill in Houston. The plans above are true fixed rate electricity plans, or what we call basic electricity.

But if you want to look at plans with tiered rates, bill credits and free electricity plans, enter your zip code below.

These are the TRUE fixed rate electricity plans, where you pay the same rate per kWh of electricity no matter how much or how little you use.

You can check rates for all types of electricity plans, including tiered rates, bill credits and flat bill electricity plans.

Just make sure you enter your average electricity usage after you enter your zip code below! That’s the best way to see if a rate plan is a good match for you. You can also learn more about how to shop cheap electricity in Dallas, and how much is the average Dallas electricity bill.

How to Find the Lowest Electricity Rate in Texas

Shopping for electricity doesn’t have to be hard. You can check our detailed “Definitive Guide to Shopping for Electricity in Texas” for a full version. But here’s a quickie version of steps to find cheap rates.

1. Enter your zip code
2. Enter your average monthly electricity usage. (Don’t know it? The average house in Texas uses 1200 kWh a month.)
3. Sort by “Rates Low to High”
4. Pick the cheapest price for electricity, either based on price per kWh or the estimated monthly bill.

There are a lot of different options, but we suggest looking at Basic Electricity plans and just picking the cheapest rate. That’s how to get your lowest electricity bill.

Need help? You can email us your questions and a copy of your bill by using our PlanScan service. We’ll send you the three cheapest electricity plans for your home.

Not ready to lock in? Sign up for ElectricityPlans.com electricity shopping reminder service. We’ll send you reminders to come back and shop. And we’ll send you electricity price drop alerts when we find a good deal.

Other Tips for Lowering Your Energy Rates in Texas

Beyond researching energy rates and plans in Texas, learn more about the habits and practices that drive up your monthly bill. Make changes at home or set reminders to reduce your consumption based on the following:

• Passive electricity: You see all those appliances you have plugged in 24/7? From your laptop to your TV, they all generate vampire power, even when you turn them off. Unplugging these devices when not in use decreases passive consumption and helps lower your monthly bills. To streamline your efforts further, connect multiple devices to a power strip and turn it off at the end of the day or even over the full weekend.
• Lights off: Exiting a room? Be sure to flick off the light switch. This reminder delivers two-fold benefits: You not only decrease your energy consumption, but you also cut down on the heat inside your home.
• Bulbs: If you haven’t done so already, replace your incandescent or fluorescent lights with LEDs, known to last longer and consume 75% less energy. And for the outdoors, opt for solar lighting fixtures.
• Washing your clothes: It’s a myth: You don’t really need hot water to clean your clothes! So, adjust the setting on your washer to medium or cold. And to go a step further, skip the dryer for the clotheslines or drying rack.
• Doing your dishes: Although dishwaters now consume less power and water, hand washing and drying your dishes on a rack lessen your energy use even more. Or, if you’re concerned about wasting water, make sure you have an Energy Star-certified appliance in your home.
• HVAC: Optimize your HVAC system’s performance by regularly cleaning all filters and making sure air isn’t escaping around windows and doors. If you can, supplement your air conditioning with a fan to better circulate air and keep your home cool with less power. And make sure to cut off drafts and direct sunlight, as both can cause your system to turn on more frequently and consume more power.
• Track your energy consumption: Program your thermostat to activate only during certain times of the day. Also, watch how you use natural sources: Let air flow in during the cooler hours, and minimize sunlight during peak times.
• Hot water usage: Find you don’t regularly use hot water? Need to conserve how much you use? Implement a water heater timer, which decreases how frequently the water heater turns on.

Need more tips? Review our guide to lowering your monthly electricity bill.