Compare electricity rates from 25+ providers serving Houston. Save $450+ annually with our free AI-powered bill analysis. Find the best electricity plans for your Houston home or business.
Data Updated: September 2025
Current rates verified from PowerToChoose.org • Houston market analysis updated monthly
Houston residents have the power to choose their electricity provider thanks to Texas deregulation. With over 25 retail electricity providers (REPs) competing in the Houston market, rates can vary dramatically—from as low as 9.4¢/kWh to over 15¢/kWh for similar plans.
The average Houston household uses 1,350-1,500 kWh monthly due to humidity and extended cooling needs, meaning a 3¢/kWh difference in rates costs an extra $40-45 per month, or $480-540 annually. With electricity bills averaging $185-205 monthly in Houston, choosing the right provider can reduce your costs by 20-30%.
Houston Humidity Impact: June-September electricity usage can increase by 60-80% due to cooling costs and humidity. Locking in a low fixed rate before summer saves even more.
Power plants across Texas generate electricity from natural gas, wind, solar, and other sources through ERCOT's grid system.
CenterPoint Energy owns and maintains the power lines, transformers, and infrastructure that delivers electricity to Houston homes and businesses.
Retail Electric Providers (REPs) like TXU, Reliant, and Constellation compete for your business with different rates and service plans.
Octopus Lite 12
The Lone Saver 12
Rhythm Saver 12
Sustainable Lifestyle - 5
Sustainable Simply Days - 5
| Provider | Rate (¢/kWh) | Contract Length | Cancellation Fee | Green Energy % | Monthly Cost* |
|---|---|---|---|---|---|
| Octopus Energy | 9.8¢ | 12 months | $150-200 | 100% Renewable | $132 |
| Energy Texas | 10.1¢ | 12 months | $150-200 | 100% Renewable | $136 |
| Rhythm | 10.1¢ | 12 months | $150-200 | 100% Renewable | $136 |
| Amigo Energy | 10.9¢ | 5 months | See terms | 31% Green | $147 |
| Amigo Energy | 10.9¢ | 5 months | See terms | 31% Green | $147 |
*Monthly cost based on 1,350 kWh usage including estimated TDU charges (~$52/month). Rates from PowerToChoose.org updated every 5 minutes.
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Houston's 60-80% humidity levels force air conditioners to work harder and longer. This "feels like" temperature effect can increase summer electricity usage by 60-80% compared to drier climates.
CenterPoint Energy delivers electricity to all Houston-area homes regardless of your retail provider choice. These TDU charges are the same across all electricity companies.
Important: CenterPoint charges are identical regardless of whether you choose TXU, Reliant, Constellation, or any other retail provider.
✓ Your retail electric provider sets the energy rate (9-15¢/kWh)
✓ CenterPoint Energy adds delivery charges (~$53-55/month)
✓ Total typical Houston bill: $185-205/month (1,350 kWh)
✓ Savings focus: Compare retail rates, not TDU charges
A 9¢/kWh plan with high base charges might cost more than a 10¢/kWh plan with lower fees. Calculate total monthly cost for your usage level.
Houston electricity rates often increase in spring before high-demand summer months. Lock in low fixed rates during winter/early spring.
Required disclosure shows actual costs at 500, 1000, and 2000 kWh usage levels. Use these for accurate cost comparison. Learn how to read your Texas electric bill for detailed guidance.
Variable rates may start low but can increase significantly. Fixed rates provide predictable billing, especially important for Houston summers.
Beat the heat and high bills with these Houston-specific strategies
💡 Pro Tip: These strategies can reduce your Houston summer bills by $40-60 monthly!
The cheapest electricity rates in Houston currently range from 9.4¢ to 11.8¢ per kWh for fixed-rate plans. Providers like Champion Energy, Gexa Energy, and Express Energy often offer the lowest rates. However, be sure to compare the total monthly cost including base charges and fees, not just the per-kWh rate. Variable rates may start lower but can increase significantly over time.
Houston is primarily served by CenterPoint Energy, the TDU (Transmission and Distribution Utility) for the Houston metropolitan area. CenterPoint owns and maintains the power lines, transformers, and electrical infrastructure that delivers electricity to your home. TDU charges appear on your bill regardless of which retail electricity provider you choose, and these charges are regulated and identical across all providers in the CenterPoint territory.
Houston residents typically save $350-550 annually by switching to a lower-rate electricity provider. With average monthly usage of 1,350-1,500 kWh due to Houston's humidity and rates ranging from 9¢ to 15¢ per kWh, the difference adds up quickly. For example, switching from a 15¢/kWh plan to a 12¢/kWh plan saves $40-45 per month, or $480-540 annually. Summer savings are even higher due to increased air conditioning usage.
Over 25 electricity providers serve Houston, including major companies like TXU Energy, Reliant Energy, Direct Energy, Constellation, Green Mountain Energy, Champion Energy, Gexa Energy, Stream Energy, Express Energy, Just Energy, and many others. Each provider offers different rates, contract terms, renewable energy options, and customer service features. The competitive market gives Houston residents many choices to find the best plan for their needs.
The average electricity bill in Houston is approximately $185-205 per month for residential customers using 1,350-1,500 kWh. This includes energy charges (varies by provider), TDU delivery charges (~$52/month), and taxes. Bills are typically higher in summer months (June-September) averaging $235-315 due to air conditioning usage and Houston's high humidity, and lower in spring/fall months averaging $145-165 when weather is mild.
Join over 75,000 Houston residents who have found better electricity rates with ElectricSave TX. Upload your current bill for instant analysis and comparison information.