FAQs About Power to Choose in Texas
Got questions about how electricity choice works in Texas?
You’re not alone. These FAQs cover the most common questions about Power to Choose, switching providers, understanding your bill, and other topics about your electric choice in Texas. It’s a quick reference for anyone navigating the deregulated electricity market.
Power To Choose
Most Texans living in deregulated areas can choose their electricity provider. These include cities like Houston, Dallas, Fort Worth, Corpus Christi, Galveston, Abilene, Midland, Lubbock, and many others. Some areas, such as Austin, San Antonio, and El Paso, still operate under a regulated model and do not offer electricity choice.
If you're not sure whether you live in a deregulated zone, you can:
Enter your zip code on our website
Contact the Public Utility Commission of Texas (PUCT)
Power to Choose is the policy that gives Texans the right to select their electricity provider. PowerToChoose.org is the official state-run website that helps consumers compare available plans. It does not offer enrollment but provides plan listings, filters, and access to EFLs.
No. Your utility, or TDSP, is assigned based on your location. They are responsible for delivering electricity, maintaining infrastructure, and restoring service during outages. You cannot choose or switch your utility company.
If you live in a deregulated area and don’t actively enroll with a Retail Electric Provider, you may be assigned to the Provider of Last Resort (POLR). These plans often come with higher rates and fewer options.
Choosing your own plan gives you more control over pricing and contract terms.
Many do, but not all. If clean energy is important to you, check the EFL to see the renewable energy percentage. Some plans are backed by 100% renewable sources like wind and solar.
Switching
No. Switching providers does not interrupt your service. Your local utility (TDSP) still delivers the electricity through the same lines and maintains your meter. The only thing that changes is who you pay and what plan you’re on.
No, you do not have to cancel service manually. When you sign up with a new provider, they will coordinate the switch. However, check your current contract for early termination fees or other terms that might apply.
There can be. Some fixed-rate plans include early termination fees if you cancel before your contract ends. These fees vary by provider and plan. The details are listed in your Terms of Service and the Electricity Facts Label (EFL).
If you are moving to a new address, many providers waive early cancellation fees—but always verify that with your current provider.
There is no limit to how often you can switch, but early termination fees may apply if you are under contract. Many customers review their options when their contract ends or if their current plan no longer meets their needs.
Don't overpay for electricity.
Contract
The EFL is a standardized document required by the PUCT that breaks down a plan’s pricing, fees, and other key details. It helps you compare plans side by side.
It includes:
Price per kWh at 500, 1000, and 2000 kWh usage levels
Contract term
Early termination fees
Any base or minimum usage charges
Renewable energy content
Always read the EFL before signing up.
If you don’t choose a new plan when your contract ends, many providers will move you to a month-to-month plan. These plans usually have a variable rate that may be higher than your previous fixed rate. It's a good idea to set a reminder and shop around before your contract ends.
