Texas Energy Save Programs: Assistance, Rebates & Savings (2026)

Switching to a cheaper electricity plan is the fastest way to save money in Texas. But it's not the only way. Texas offers a range of energy assistance programs, rebates, and savings initiatives that can cut your electricity costs even further.

These programs fall into three categories: bill payment assistance for qualifying low-income households, weatherization programs that make your home more efficient, and utility rebates that offset the cost of energy-efficient upgrades.

Many Texans don't know these programs exist. Others assume they won't qualify. The reality? Eligibility thresholds are broader than you'd think, and some programs are available to all Texas residents regardless of income. Let's break down every option.

The Low Income Home Energy Assistance Program (LIHEAP) is a federally funded program that helps eligible Texas households pay their electricity bills.^[1] The Texas Health and Human Services Commission administers the program through local community action agencies.

Eligibility is based on household income—generally 150% of the federal poverty level or below. For a family of four in 2026, that means annual household income under roughly $46,800. Priority goes to households with elderly members, disabled individuals, or children under six.

LIHEAP can provide one-time bill payment assistance, typically ranging from $200-$600 per household depending on available funding. Some years include a separate cooling assistance component specifically for summer electricity costs. Apply through your local community action agency—find yours at hhs.texas.gov.

The Weatherization Assistance Program provides free home energy efficiency upgrades to qualifying low-income Texas households.^[2] Funded by the U.S. Department of Energy and administered through Texas TDHCA, this program can make a real, lasting difference in your electricity bills.

Eligible improvements include insulation, air sealing, HVAC repairs or replacement, weather stripping, and duct sealing. The average weatherization job reduces energy bills by about $283 per year, according to DOE data.

Income eligibility is generally 200% of the federal poverty level. Homeowners and renters both qualify. The waitlist can be long—sometimes 6-12 months—but the upgrades are free and permanent. Contact your local community action agency to apply. These improvements stay with your home and keep saving money year after year.

Several Texas utilities offer energy efficiency rebate programs that reduce the cost of upgrading appliances, HVAC systems, and insulation. These programs are available to all customers regardless of income.

Oncor (serving Dallas-Fort Worth): Offers rebates on smart thermostats ($50-$75), high-efficiency HVAC systems ($200-$500), and insulation upgrades. Their Take-a-Load-Off program provides free direct-install energy efficiency measures.

CenterPoint (serving Houston): Provides rebates on ENERGY STAR appliances, smart thermostats, and home energy audits. Some programs offer free AC tune-ups during spring.

These rebate programs change annually based on available funding. Check your TDU's website directly for current offerings. The rebates can offset 20-40% of upgrade costs, making energy-efficient improvements significantly more affordable.

ERCOT and some Texas REPs run demand response programs that pay you to reduce electricity usage during peak grid stress events. When the grid is strained (usually hot summer afternoons), participating households reduce consumption in exchange for bill credits.

Some programs work through smart thermostats. Enroll your Nest or Ecobee, and during peak events, the program automatically adjusts your thermostat a few degrees. You earn credits of $20-$50 per season for participating.

ERCOT's Four Coincident Peak (4CP) program benefits commercial customers, but residential time-of-use plans offer similar incentive structures. Shift usage to off-peak hours and your rate drops.

Texas also promotes energy conservation through seasonal campaigns, particularly during summer. These don't provide direct financial assistance but include tips and resources for reducing consumption during peak months.

The smartest approach combines multiple strategies. Here's the order of impact.

Step 1: Compare and switch to the lowest-cost electricity plan that fits your usage pattern. This alone can save 10-30% on your supply charges.

Step 2: Apply for LIHEAP or weatherization assistance if you qualify. Free money or free home upgrades—take both if eligible.

Step 3: Claim utility rebates when upgrading appliances or HVAC. These are available to everyone.

Step 4: Enroll in demand response programs through your REP or smart thermostat platform for additional seasonal credits.

Step 5: Basic conservation—LED bulbs, programmable thermostats, sealing air leaks—reduces your baseline consumption permanently. Combined, these strategies can reduce your annual electricity costs by $500-$1,200 for a typical Texas household.