Electricity deregulation is coming to Lubbock in mid 2023. After years of having just one choice for electricity, consumers in Lubbock will choose from multiple suppliers. Deregulation brings new options to the table. Here’s your guide to Lubbock deregulation and how to choose an electricity supplier.
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.
Lubbock Electricity Deregulation: When Does Electricity Choice Start?
Residents and business owners in Lubbock can shop for an REP starting in mid-July through the end of August 2023.
If you don’t choose a provider, you’ll be assigned to a default provider and served on a higher market rate. Make sure you compare providers and shop rates to make your selection.
In October, you’ll switch to your new REP on your October meter read. Oncor will become your electricity utility company and will ensure that power is delivered to your home or business.
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.
Connection to the ERCOT grid started in May 2021 and will be completed in May 2023.
Frequently Asked Questions about Lubbock Electricity Deregulation
Lubbock consumers will have the power to choose their electricity provider in mid-July 2023 to the end of August 2023.
No. All electric meters in LP&L will transition to a competitive market in mid-July 2023. 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 runs from mid-July to the end of August 2023. Your power will switch to your new supplier on your October 2023 meter read date.
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 mid-July to August 2023. 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.