Quick Answer
Texas has over 100 licensed retail electricity providers competing for your business. That competition means lower rates, but it also means sorting through a lot of noise. This guide compares the major Texas REPs on rates, plan types, customer satisfaction, and PUCT complaint data so you can pick the right one.
The Texas Retail Electricity Market in 2026
Texas deregulated electricity in 2002 under Senate Bill 7. Today, over 100 PUCT-licensed Retail Electric Providers (REPs) serve the ERCOT grid, covering about 85% of the state's population.[1]
The average Texas residential rate sits around 14 cents per kWh according to the EIA.[2] But competitive plans regularly dip below 10 cents for customers willing to lock in a fixed rate. The spread between the cheapest and priciest provider can be 5-8 cents per kWh on the same usage.
Here's what matters: not all REPs are equal. Some have thousands of PUCT complaints. Others have near-perfect records. Some offer genuinely low rates. Others bury fees in the fine print. This comparison cuts through the marketing.
Major Texas Electricity Providers Compared
TXU Energy is the largest REP in Texas by customer count. TXU offers fixed, variable, and free nights/weekends plans. Rates typically range from 11-16 cents per kWh depending on contract length. Strong brand recognition, but higher PUCT complaint volume due to sheer size.
Reliant Energy (NRG subsidiary) serves Houston and statewide. Reliant is known for rewards programs and bill credits. Rates are competitive at 10-15 cents per kWh. Solid customer service ratings.
Gexa Energy (NextEra subsidiary) consistently ranks among the cheapest. Gexa offers 100% renewable plans at rates that beat many conventional providers. Plans start around 8-12 cents per kWh.
Green and Renewable Energy Providers
Green Mountain Energy pioneered 100% renewable electricity in Texas. Green Mountain has operated since 1997 and offers wind and solar plans. Rates run 11-15 cents per kWh—slightly above the cheapest conventional plans, but competitive for green energy.
Chariot Energy focuses on solar buyback plans. Chariot lets you sell excess solar generation back at retail rates. Plans start around 10-13 cents per kWh. Good option for homeowners with rooftop solar.
Rhythm Energy offers 100% renewable plans with a modern app experience. Rhythm rates range from 9-13 cents per kWh. The company has low PUCT complaint numbers and strong online reviews.
Budget-Friendly Texas Electricity Providers
4Change Energy donates a portion of each bill to Texas charities while keeping rates low. 4Change plans typically range from 9-12 cents per kWh. Fixed-rate plans come in 12 and 24-month terms with no gimmicks.
Frontier Utilities targets cost-conscious customers with straightforward fixed-rate plans. Frontier rates often sit between 9-13 cents per kWh. Bilingual support in English and Spanish.
Discount Power does exactly what the name says—low rates, simple plans. Discount Power rates range from 8-12 cents per kWh. Limited plan variety, but the trade-off is lower prices. Minimal complaints relative to customer base.
How to Compare Texas Electricity Providers
Every Texas REP must publish an Electricity Facts Label (EFL) for each plan. The EFL shows the rate at 500, 1,000, and 2,000 kWh usage levels. This is your apples-to-apples comparison tool.
Start with the rate at 1,000 kWh—that's close to the average Texas household usage. Then check for base charges, minimum usage fees, and early termination penalties. A plan advertising 8 cents per kWh might cost 12 cents after fees at low usage.
Contract length matters. Shorter contracts (6 months) offer flexibility. Longer contracts (24-36 months) lock in rates against summer spikes. Variable plans can save money in mild months but spike during August heat waves when wholesale prices surge.
PUCT Complaint Data: What It Tells You
The Public Utility Commission of Texas (PUCT) publishes complaint data for every REP.[3] Complaint counts alone are misleading—bigger providers naturally get more complaints. Look at the complaint ratio: complaints per 1,000 customers.
Providers with complaint ratios below 0.5 per 1,000 customers are doing well. Above 1.0 is a red flag. Check our Texas provider complaints dashboard for current data.
Common complaint categories include billing disputes, misleading rates, difficulty canceling, and poor customer service. PUCT investigates every complaint and can fine or revoke a REP's license. That regulatory teeth keeps most providers honest.
Choosing the Right Texas REP for You
For lowest rates: Gexa Energy, 4Change Energy, and Discount Power consistently rank cheapest. Check the EFL at your actual usage level.
For green energy: Green Mountain Energy, Rhythm Energy, and Chariot Energy offer certified renewable plans.
For brand trust: TXU Energy and Reliant Energy have the largest customer bases and longest track records.
For no-deposit options: Payless Power offers prepaid plans with no credit check.
Use our Texas rate comparison tool to see real-time rates for your ZIP code. Enter your address, and we pull every available plan from licensed REPs.
Frequently Asked Questions
How many electricity providers are in Texas?
Who is the cheapest electricity provider in Texas?
Can I switch electricity providers in Texas without penalty?
What is a REP in Texas electricity?
Are renewable energy plans more expensive in Texas?
Looking for more? Explore all our Texas Energy guides for more helpful resources.
About the author

Consumer Advocate
Enri knows the regulations, the fine print, and the tricks some suppliers use. He's spent years learning how to spot hidden fees, misleading teaser rates, and contracts that sound good but cost more. His goal: help people avoid the traps and find plans that save money.
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Sources & References
- PUCT Licensed REP List (Public Utility Commission of Texas): "Over 100 licensed Retail Electric Providers operate in the Texas deregulated market"Accessed Mar 2026
- EIA State Electricity Profiles (U.S. Energy Information Administration): "Average Texas residential electricity rate approximately 14 cents per kWh"Accessed Mar 2026
- PUCT Electric Complaint Statistics (Public Utility Commission of Texas): "PUCT publishes complaint data for every licensed Retail Electric Provider"Accessed Mar 2026
- ERCOT Market Information (Electric Reliability Council of Texas): "ERCOT manages the deregulated Texas electricity grid serving 85% of the state"Accessed Mar 2026
Last updated: March 26, 2026


