Last updated:
Here are real-time business electricity rates for Texas:
| Provider | Contract Length | Rate |
|---|---|---|
| NRG | 6 months | 6.02 ¢/kWh |
| Gexa Energy | 6 months | 6.24 ¢/kWh |
| Hudson Energy | 6 months | 6.50 ¢/kWh |
| Pulse Power | 18 months | 6.57 ¢/kWh |
| Direct Energy | 6 months | 6.57 ¢/kWh |
| AP GAS & ELECTRIC (TX) LLC | 6 months | 6.59 ¢/kWh |
| Pulse Power | 30 months | 6.75 ¢/kWh |
| NRG | 18 months | 6.78 ¢/kWh |
| Pulse Power | 12 months | 6.78 ¢/kWh |
| Freepoint Energy Solutions | 6 months | 6.78 ¢/kWh |
| Pulse Power | 36 months | 6.82 ¢/kWh |
| Pulse Power | 24 months | 6.82 ¢/kWh |
| NRG | 30 months | 6.89 ¢/kWh |
| NRG | 12 months | 6.92 ¢/kWh |
| NRG | 60 months | 6.95 ¢/kWh |
| NRG | 24 months | 6.95 ¢/kWh |
| NRG | 36 months | 6.97 ¢/kWh |
| NRG | 48 months | 6.98 ¢/kWh |
| AP GAS & ELECTRIC (TX) LLC | 18 months | 7.00 ¢/kWh |
| IronHorse Power Services | 6 months | 7.06 ¢/kWh |
| Hudson Energy | 18 months | 7.10 ¢/kWh |
| AP GAS & ELECTRIC (TX) LLC | 12 months | 7.12 ¢/kWh |
| Gexa Energy | 18 months | 7.18 ¢/kWh |
Data source: Direct from commercial energy providers and our own internal, proprietary data source, collection, and/or analysis.
Commercial Energy Providers
These are some of the larger commercial electricity providers in Texas. This list is not exhaustive and does not constitute an endorsement or recommendation of any particular business electric company.
| 4Change Energy | Amigo Energy |
| APG&E | Atlantex Power |
| Champion Energy Services | Chariot Energy |
| Cirro Energy | Constellation |
| Direct Energy | Discount Power |
| ENGIE Resources | Energy Texas |
| Flagship Power | Frontier Utilities |
| Gexa Energy | Green Mountain Energy |
| Just Energy | Payless Power |
| Pulse Power | Reliant Energy |
| Rhythm Energy | SFE Energy Texas |
| Shell Energy | STAT Energy |
| TriEagle Energy | TXU Energy |
| Veteran Energy |
Types of Commercial Plans
While fixed-rate energy plans are the most popular choice for businesses in Texas (and other deregulated states), businesses have a few different options:
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Fixed-Rate Plans: Businesses secure a consistent rate per kilowatt-hour (kWh) for the contract duration, typically 12 to 60+ months. Popular for its predictability, this plan shields companies from market price volatility, ensuring stable budgeting.
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Block and Index Plans: Designed for larger enterprises, this plan locks in a fixed price for a predetermined “block” of energy usage. Excess consumption is priced at the fluctuating market (index) rate, balancing cost certainty with potential savings during low market prices.
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Variable-Rate Plans: Rates adjust monthly based on wholesale market changes. While this may yield savings during low-demand periods, businesses face significant risks from price surges, such as during extreme weather events like Texas summer heatwaves.
- Time-of-Use Plans: Rates vary between peak and off-peak hours, rewarding businesses that shift high-energy tasks (e.g., manufacturing or electric vehicle charging) to nights or weekends with lower costs, optimizing savings for flexible operations.
Texas Commercial Electricity
Texas operates one of the oldest and largest deregulated electricity markets in the United States, where businesses and residents in certain areas can choose their Retail Electricity Provider (REP). Roughly 85% of the state’s population resides in a deregulated area equating to roughly 26 million people.
- Deregulated Market: Approximately 2.52 million businesses in Texas, or 85% of total businesses in Texas, operate in deregulated areas, allowing them to shop for electricity rates
- Competitive Pricing: Texas business electricity rates typically range from 8 to 12 cents per kWh. Lower rates are available with custom pricing and for larger commercial & industrial businesses.
- Deregulated Cities/Areas: Major business centers like Houston (CenterPoint Energy), Dallas-Fort Worth (Oncor), and Corpus Christi (AEP Texas) help make up 85% of the deregulated electricity market.
- Regulated Cities/Areas About 15% of businesses, located in areas like Austin (Austin Energy), San Antonio (CPS Energy), and El Paso, are served by regulated utilities without REP options.
- Market Oversight: The Public Utility Commission of Texas (PUCT) regulates the deregulated market and helps educate and protect businesses