Electricity deregulation is coming to Lubbock in early 2024. After years of having just one choice for electricity, consumers in Lubbock will choose from multiple suppliers. Here’s your guide to Lubbock deregulation and how to choose an electricity supplier.
When Does Lubbock Deregulate Electricity?
Deregulation in Lubbock was supposed to start in August 2023 and be complete in October 2023.
However, it’s been held up by the Federal Energy Regulatory Commission (FERC) as they review the agreement between LP&L and the Southwestern Public Service Company.
Basically, FERC is reviewing the whole deal to make sure it’s in everyone’s best interests — LP&L, the Southwest Power Pool, ERCOT and citizens.
LP&L expects the FERC review to be resolved by the end 2023. Then electric choice in Lubbock can happen in first quarter of 2024.
So hold on to your saddles everyone! And sign up to get updates on Lubbock deregulation, so you’ll be among the first to know the plans.
Deregulation Basics – Lubbock Electricity Choice
Electricity deregulation separates the generation, supply and delivery of power into different companies.
Instead of a single electricity company in your area? You can choose from many different Retail Electricity Providers (REPs).
No matter what provider you choose, your local delivery company still delivers the power to your home and responds in the case of an emergency.
The biggest benefit of deregulation is choice. Instead of paying a set rate from the local utility company, you can choose from fixed rate electricity plans, renewable energy, free nights and weekends or other options. Competition between these electricity providers helps keep prices down.
Why did Lubbock Deregulate Electricity?
For years, Lubbock Power & Light operated as a city owned utility company under the Southwest Power Pool (SPP) electrical grid. Lubbock operated their own power plant and also purchased power from the SPP grid.
But population growth and increasing demand led LP&L to a decision point. They would either have to invest in a new power plant, costing local taxpayers millions of dollars. Or they could join the Electric Reliability Council of Texas (ERCOT) the grid operator that runs the Texas grid.
By joining ERCOT, they would have access to a larger electricity market and more competitive pricing.
Frequently Asked Questions about Lubbock Electricity Deregulation
Lubbock consumers will have the power to choose their electricity provider in early 2024.
No. All electric meters in LP&L will transition to a competitive market early 2024. If you fail to choose an electricity supplier during the enrollment period, you will be assigned to the Provider of Last Resort (POLR). POLR rates are typically the highest in the market. It’s to your benefit to shop and choose a supplier.
Electricity choice in Lubbock has been delayed until early 2024.
Once electric choice is open, you can find the cheapest electricity plan for your Lubbock home or business by shopping online. We recommend shopping only the no gimmicks fixed rate electricity plans. We call these Basic Electricity.
Plans that have tiered rates, bill credits and flat bill amounts look attractive. But the fine print behind them may leave you paying more than you expected. To find the cheapest electricity rates, always shop based on your monthly electricity usage. Sites like ElectricityPlans.com let you enter your usage to compare rates.
Business owners in Lubbock will have to choose their electricity supplier under LP&L deregulation in early 2024. You’ll be able to lock in a fixed electricity rate plan to help with your budgeting. The process of electricity shopping may be confusing at first, since deregulation is new.
Working with an advisor or electricity broker can help you better understand the process. Businesses that spend under $2500 monthly can shop commercial electricity rates online once electric choice starts. Businesses that spend over $2500 monthly can work with an energy advisor to find the best electricity supplier.