What do we homeowners want when it comes to utility bills? We want to pay the lowest cost for utilities but have reliable service too. Trying to find highly useful information about electric utilities and rate plans in Texas can be a bit daunting. First, you need to know how this utility deregulation works. When they say you can choose who you buy your electricity from in Texas, they do not mean that someone will come and hook up new wires to your house. No, the infrastructure is in place. You actually get the power delivered the same way you always have. You just pay a different company for generating it.
Look at it this way. If electricity was water and there was a giant tank, then all the electric providers would be putting water in the tank. The tank is the power grid. Every company knows how much power they are generating and how much they are selling. It would be like Company A putting in a million gallons and Company B putting in two million. There is three million for the customers to use, and when your meter is read they know how much you have used. You pay whatever company you sign up with according to how much they charge per kilowatt hour. Company A might be a lower price than B or vice versa. So, though you still get electricity over the same wires, you are paying the company of your choice for generating what you use.
Now there are different ways to get a lower price. Some people go with a variable rate. But, just as your costs may go low, they can go higher. A fixed low rate is often the best choice. You can always go with another company later on. You still get the same electricity, but you just are paying a lower price. Be sure to check out all of the useful information at the electricity provider’s website.