How to easily find your lowest electricity rate in Houston
With a bevy of electricity options available in Houston, picking the right one can be overwhelming for many consumers. It’s even worse as the deregulated electric bills are anything but easy to read.
Since the Texas electricity market opened to competition in 2002, the residents have had the chance to pick their electricity provider. Rather than depending on the local utility to supply electricity, Texans now have the power to select from a range of competitive providers, shopping around for the best plan that matches their needs and preferences.
If you are moving to Texas or are just out there seeking for a cheaper electricity rate, then you are in the right place. In this article, we will discuss how you can find electric rates in Houston that match your budgetary preferences. As with anything in life, it’s best to educate yourself upfront before diving in too deep. Otherwise, you might end up getting a raw deal – in this case, overpaying.
Here is how to easily find your lowest electricity rate in Houston:
Check your current contract
It’s easy to feel excited about a new deal in town and want to jump right into it. However, it’s not that simple when you are still in contract with another electricity provider. So, the first thing that you want to do is check your agreement to establish whether you’re still under contract with your current provider, and if so, how long you still have to go. Switching between providers when your contract is still on might mean paying an early termination fee. However, if you schedule the move at least 14 days before your current plan expires, then you may be exempted – according to the Public Utility Commission of Texas.
Consider your usage
Another essential thing to do is to check your usage – you can do this online or by looking at your electricity bill. Energy cost and prices can vary depending on usage – so being aware of the amount of energy you consume every month can help you establish the best price point for your property.
Be flexible with your contract length
The different electricity provider options also come with different term lengths, as well as price points. So, firstly, you want to determine what your preferred term length is, as it will guide you in choosing a provider. Please note that flexibility is the key to getting better rates here. If you don’t want to commit yourself for a long time, then you might want to go for a short term length, although the long term ones often offer the advantage of longer-term price stability.
Rewards can go a long way
With the steep competition in the market comes incredible deals – a quick head to head comparison of the different electricity providers will reveal this to be true. You can take advantage of the “refer-a-friend” or “free electricity” credits to save up some change on your electric bills. But hey, that doesn’t mean that you should fall for any reward – weigh your options to see which ones match your preference and would benefit you more.
Choose between variable and fixed-rate
You’ll have two plan type options to pick from the variable-rate and the fixed rate. In a variable rate plan, your electricity payment will shift depending on the energy price in the market. As you know, the energy price varies based on a range of factors, including demand, weather, fuel price, the market, and the distribution system. And since you won’t be locked down by a contract in a variable-rate plan, you’ll pay a higher price in high-demand seasons like summer. A fixed rate plan, on the other hand, allows you to pay a consistent amount throughout the term of your contract. Common term lengths are 6, 12 and 24 months.
Don’t settle for the first option
If you are just getting started with electricity shopping in Texas, it’s easy to fall for the first or second option that comes your way, partly because of too much noise in the industry – but don’t. Take time to read customer reviews and testimonials for different providers. You can also check authority sites like the Public Utility Commission or the Electrical Facts Label for more information.