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Comparing Electric Service In Texas For The Best Rates

Because of recent changes in Texas law concerning electric service, homeowners and business owners can now select from numerous companies that provide electricity. However, it is essential to understand that consumers only have the ability to control a portion of their monthly utility service. The power lines that are used to supply electricity to homes and businesses will still be maintained and operated by the community"s power distribution company. Their specific rates for delivery are still regulated by the state.

However, every Texan consumer now has the ability to select the company that generates electric power that will be delivered through the utility lines. It is here where the electric service becomes highly competitive. There are numerous options of how energy is generated that are available to consumers in many locations. Electricity can be created using the burning of fossil fuels, such as coal or natural gas. However, some companies are offering cleaner energy through a variety of renewable resources including wind, solar, biomass, landfill gas, hydro-power and others.

No matter which company the consumer selects, the distribution of electricity does not change. Typically, when switching from one provider to the other, there is no interruption in service at all. It is simply a billing process that will be reflected on the next utility bill.

Comparing Prices

The electric service provider selected by the consumer is simple. Generated electricity is sold by the kilowatt hour for a specific price. A kilowatt hour represents the amount of energy it takes to run specific fixtures or appliances. Consider that 25 light bulbs rated at 40W {watt} that burn together for one hour would consume 1 kWh (kilowatt hour).

The electric service that is billed to a home or business is a simple calculation of how many kilowatt hours are used every month. As an example, if the current supplier is charging nine cents per kilowatt hour, and a new supplier is offering the same service at eight cents per kilowatt hour, the consumer can save over 11% annually, by switching.

Through the process of deregulation, many Texans now have the ability to select exactly which electric service provider offers the best rates, to generate savings on their utilities every month.
Competing electric services in Texas offer a number of options for buying electricity that includes fixed, variable and hybrid solutions.

While signing contract with a Texas Power Company it is important to include the length of the contract, and any penalties involved if you need to quit the agreement before the contract expires.


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