Are Houston Electricity Rates Going Up?
In the first half of 2018, the average electricity rate for new customers climbed almost 20%. Amazingly, electricity prices jumped 10% from early May to early June. With above-average temperatures forecast and ERCOT’s reserve margin on the thin side, this summer’s retails electricity rates are expected to be some of highest and most volatile.
Texas is expected to reach record high temperatures this summer, and with that comes extreme load on power plants. When there isn’t enough power to meet electricity demand, the price electric companies must pay for your power can skyrocket as high as 4000% above the normal wholesale electricity price. Texas electricity companies are preparing for that situation by raising their rates now to mitigate some of that impact.
This is a double whammy for Houston residents who don’t have a fixed rate electricity plan. If you are on a variable rate plan, planning to move to a different residence, or your current plan is ending, your best move is to switch to a fixed-rate power plan. Experts do not anticipate rates going down in the short term, and if the current trend continues, Texans will experience record electricity prices.
Before prices increase more, now is the best time to choose an electricity plan that locks in your price for the long term.
What Are the Best Houston Electricity Rates this Summer?
Let’s look at the lowest priced Houston electricity plans for large apartments and small houses. Residents in these dwellings tend to use around 1,000 kWh of electricity per month, but the table below also shows the average prices for 2,000 kWh and 500 kWh usage.
|Plan||Term||2,000 kWh||1,000 kWh||500 kWh|
|Power Express #Smile12||12 months||12.9 cents||9.2 cents||17.8 cents|
|Gexa Saver Supreme 24||24 months||12.8 cents||9.3 cents||17.3 cents|
|Gexa Saver Supreme||12 months||12.9 cents||9.4 cents||17.4 cents|
All three of these Houston electricity plans have bill credits that kick in when a customer uses a given amount of electricity. The Power Express plan gives customers an $80 bill credit at 800 kWh in a billing cycle. The Gexa Energy plans give customers a $75 bill credit when usage falls between 1,000 kWh and 2,000 kWh in a billing cycle.
If your home uses significantly more or less than 1,000 kWh, you should explore other plans. You can find more competitive rates when you shop Texas Electricity Ratings.
Compare CenterPoint Houston Power Rates
You can find much more information on the plans discussed above on Texas Electricity Ratings. And if those plans don’t suit your needs, you can learn about dozens of other Houston electricity plans. Armed with this information, you can compare electricity prices and choose the best plan to power your home.