Editorial note: Homefront (defined in the Disclosure below) may earn a commission from affiliate partner links featured on our site. This commission does not influence our editors’ opinions or evaluations.
Carter Gaddis is a senior writer at USA TODAY Homefront. He is an experienced journalist who has written about roofing, sunrooms, title insurance and other home service topics. Carter has contributed to the TODAY SHOW parenting section, CBS SPORTS and ESPN, among other publications. He lives with his family in Central Florida, where he spends most weekends at theme parks or watching English soccer on TV.
Thanks to the deregulated electricity market in Texas, Fort Worth residents can choose their electric company. But with that freedom comes the responsibility to shop for the best electricity rates and plans.
Even longtime Fort Worth residents familiar with deregulated energy owe it to themselves to find a plan that keeps their monthly energy bill as low as possible. Yet, finding the best electricity plan doesn’t necessarily mean settling for cheap electricity.
Below, we provide tips and recent energy costs to help guide you through the process of finding the best Fort Worth electricity plan available.
Choosing an electric plan might initially seem confusing, but separating the energy plan shopping process into three manageable steps helps ensure smooth sailing.
Find the website for a retail provider that interests you. Examples can be found in the cost table above and the ratings table below. Most have a form that allows you to enter your ZIP code, producing a list of the company’s energy plans. Type in your ZIP code and read through the plans.
You’ll also get additional information about each plan, including the contract length, changes in cost by electricity usage, the provider’s customer rating, the cancellation fee, rate type (fixed, variable or prepaid) and the percentage of your energy that will come from renewable sources such as wind or solar.
If you find a plan that appeals to you, move on to the details. Many plans offer tiered pricing, usually lower per kilowatt-hour (kWh) if you use more energy. Rate tiers are often measured at thresholds of 500, 1,000 and 2,000 kWh per month.
Check your current electric bill for your average monthly energy usage, then use that to estimate your monthly kWh usage. The price can change based on your electricity usage.
In most cases, providers charge the highest rates for 500 kWh per month of energy usage and the lowest for 2,000 kWh per month.
Most providers allow you to sign up immediately by providing your address and payment method. So, once you find a plan you like, you can initiate service. Read your terms of service to learn how soon you can expect your power to be activated.
While Fort Worth electricity rates vary from company to company, choosing an energy provider is not only about finding the lowest rate. Your circumstance is unique. In addition to price, your choice might depend on additional services or a company’s reputation.
Here are the factors to consider when deciding what retail energy provider is best for you.
The cost of electricity plans is based on the rate per kWh. The average rate per kWh for residential electricity in Texas is 14.3 cents as of April 2024, according to the Energy Information Administration (EIA).
In the Fort Worth area, the average rate per kWh in March 2024 was 17.5 cents per kWh, according to data from the Bureau of Labor Statistics. However, many Fort Worth electric companies offer lower rates than the statewide average.
Your monthly bill reflects your base rate, your rate per kWh, and additional fees and taxes.
Your bill might also reflect rebates in the form of renewable energy buybacks — this refers to a company buying back unused electricity from consumers who use renewable sources.
You may owe a prepaid deposit if your credit score reveals that you might be a payment risk. Most providers run a credit check before you sign up to determine whether to charge a prepaid deposit.
If you switch electric companies before the end of your contract, you may be charged an early termination fee. Our research shows providers charge between $20 and $300 for early termination.
Most Fort Worth electricity providers show the term length, the electricity rate, transmission and distribution price, and other recurring fees within their plans’ details. They might not include nonrecurring fees or taxes, so ask about that before you sign your agreement — or read the electricity facts label (EFL) and full terms of service.
Energy plan types offered by most Fort Worth electric companies:
Some power companies have served Texas for generations. Others were founded shortly after the state’s energy market was deregulated in 2002.
No matter how new the provider is, you should look deep into the company’s reputation with your fellow consumers.
Ask your friends and neighbors for their favorite Fort Worth retail electricity providers (REPs). Look at the company’s Better Business Bureau (BBB) page, where you’ll find a BBB-assigned letter grade (or NR for Not Rated) and any consumer alerts about the company.
The Public Utilities Commission of Texas (PUCT) also tracks consumer complaints it receives about every REP. The PUCT tracks the complaints ratio per customer and assigns ratings on a 5-star scale.
While price, plan variety and reputation are the most important factors for selecting a REP, many companies offer additional options that improve the customer experience and add value to the deal.
If you are worried about sudden loss of AC or heat, check if your REP provides surge protection or backup power options. If saving energy is your priority, determine if your REP offers smart thermostat installation or automated usage monitoring.
The chart below shows how our top 12 Fort Worth retail electricity providers compare in terms of our star ratings, PUCT complaint scorecard ratings and BBB ratings.
The three REPs listed below serve Fort Worth and other Texas cities and have earned 5-star and 4-star customer ratings from the PUCT’s Power to Choose site. These three Fort Worth energy providers are also our highest-rated out of the two dozen we’ve reviewed.
Green Mountain Energy has built a reputation in Fort Worth and beyond for its commitment to renewable energy sources. Its residential and commercial plans are billed as “pollution-free” and its pricing is at or near industry standards.
Based on its reasonable rates, excellent reputation among consumers and quality customer service, we rated Green Mountain 4.5 out of 5 stars — the highest among the two dozen Texas electric companies we’ve reviewed.
TXU Energy is one of the largest electric companies in Texas and, like many prominent REPs, it shows a strong commitment to renewable energy. Its offerings include a basic 12-month plan for 14.9 cents per kWh.
One of TXU’s plans offers free at-home charging for electric vehicles between 7 p.m. and 1 p.m. daily. Any electric vehicle charging that takes place outside of those hours will cost the full per kWh rate.
We gave TXU Energy 4.4 out of 5 stars — tied with Reliant Energy for our second-best score.
Like TXU, Reliant Energy is a venerable energy company that successfully transitioned to the deregulated market. Even though the company is not rated by BBB, Reliant earned 4.4 out of 5 stars based on our review standards.
Also like TXU, Reliant offers a variety of renewable options. Most of its plans include some sustainable energy sources.
Reliant also offers a wide range of additional services, such as air conditioning and heating systems protection, surge protection and portable backup power.
The biggest difference between consumers who want to switch electric companies and those new to deregulated energy is familiarity with the process, contract language and industry terms.
If you are a new deregulated energy customer in Fort Worth, you should know that many electric companies require you to use a minimum amount of electricity each month. Some charge a fee if your usage falls short of that predetermined minimum.
When an electricity contract expires, some companies automatically renew every month. This can affect your rate, so familiarize yourself with renewal policies.
Most Fort Worth electric companies charge an early cancellation fee — also called an early termination fee — if you decide to switch companies before the end of your contract.
Some electric companies require a security deposit, sometimes spread out in payments over time and almost always refundable. Providers might waive the deposit if your credit history is favorable.
However, an electric company might require an upfront deposit paid in full if your payment history is inconsistent.
Retail electricity providers are required to provide an electricity facts label (EFL). The EFL is usually a one- or two-page document that includes sections on pricing, key terms and questions, and disclosures.
The pricing section breaks down costs related to electricity delivery. In addition to listing the price per kWh, this may include a list of costs based on monthly usage, the amount your provider pays the utility company, meter fees, taxes and other charges.
The terms section includes details about the length of your contract, the deposit policy and other associated fees.
The disclosure section covers cancellation fees, the percentage of renewable energy you’ll receive in your plan, and whether the plan is considered a prepaid or pay-in-advance plan.
Most retail providers in Texas include some renewable energy sources for the power they sell to consumers. Renewable sources include wind, solar, biomass, landfill gas or hydroelectricity.
Electricity providers in the state can designate Texas-produced natural gas as a green energy source in Texas.
The challenge Texas faces now is that it needs more dispatchable power generation — natural gas or nuclear, for example — yet the investment into power plants of this type is risky. Brandon Young
The challenge Texas faces now is that it needs more dispatchable power generation — natural gas or nuclear, for example — yet the investment into power plants of this type is risky.
About a quarter of all the electricity plans available in Fort Worth guarantee that 100% of the energy they deliver comes from renewable resources. Approximately half of companies guarantee that some of your power will be generated using green energy sources.
Many prominent electric retail providers — such as Reliant, TXU Energy and Constellation — offer multiple plans built on renewable energy sources. Two electric companies in Texas stand out in the green energy market: Green Mountain Energy and Gexa Energy.
Green Mountain is a well-known green energy leader in Texas. The provider offers seven wind-powered plans over 12, 24 or 36 months with rates between 14.5 cents and 16.9 cents per kWh. It offers two solar plans for 18 months at 15.9 cents per kWh or 12 months at 16.9 cents per kWh.
Green Mountain also offers wind energy plans that include no charges for electricity used between 8 p.m. and 6 a.m., with fixed rates of 16.9 cents per kWh for 12 months or 16.5 cents per kWh for 24 months. The company offers renewable energy buyback plans, which allow you to earn credits for solar energy you don’t use.
Gexa is another electric company with a deep selection of green energy plans. All of Gexa’s 17 plans are categorized as renewable energy. Its energy sources include wind, solar, nuclear power and natural gas. The company also offers electric vehicle owners solar energy buyback options and specialty plans.
A deregulated energy market differs from a regulated market because residents can choose which company to buy electricity from. In regulated energy markets, consumers must use the electric company assigned to them based on where they live.
Deregulated energy means that in addition to consumers and government agencies, there are three major players. These include the following:
In Fort Worth, the TDU is Oncor Energy Distribution. Every electricity plan in the Dallas–Fort Worth metroplex (officially called Dallas–Fort Worth–Arlington) relies on infrastructure managed and monitored by Oncor.
Whether you are a longtime Fort Worth resident who wants to switch electric companies or a new resident navigating deregulated energy for the first time, Texas provides a useful tool called Power to Choose.
This state-run website provides a detailed list of available electricity plans when you type in your ZIP code. Along with the name and star rating of the REP, the displayed results include the length of the plan in months, the price per kWh, any cancellation fee and other information to help you make an informed decision.
The cost of electricity in a specific state or city depends on multiple factors, such as local fuel source availability and the maintenance cost of infrastructure.
Electricity prices fluctuate with the seasons. At the beginning of the summer, cost per kWh often ticks up slightly based on the anticipation of increased demand as temperatures warm.
“Deregulation has led to periods of extreme price volatility, often driven by fluctuations in natural gas prices or spikes in demand due to weather conditions,” explained Don Whaley, who served as president of numerous REPs in deregulated markets and currently serves as an advisor to OhmConnect, a REP that services Dallas and other Texas cities.
“Despite these challenges, taking a long-term view reveals that the commodity price paid by consumers in Texas has remained remarkably stable,” he said.
Fluctuations in Texas’ wholesale energy market present a challenge for price consistency. Dallas, Arlington and Fort Worth are not immune.
“Electricity prices are increasing in Dallas because [the Electric Reliability Council of Texas] wholesale market is now the most expensive and most volatile in the nation,” said Ed Hirs, energy fellow, lecturer and energy economics expert at the University of Houston. “Transmission costs are up and are being passed through because of the buildout necessary for renewable energy supplies, [and] Oncor has been required to harden their grids to service their growing communities.”
Legislation related to the Texas electricity industry influenced more than just cost.
“Over the 20-plus years of deregulation, consumers have become far more knowledgeable about the market,” said Whaley. “This has led to greater residential solar adoption and demand for more sophisticated rate offerings from [REPs] serving the competitive sections of the state.”
One example is adopting plans that provide customers with 100% renewable energy, which has placed Dallas and Houston at or near the top of the Environmental Protection Agency’s list of greenest cities for nearly a decade.
Based on data from the EIA, Texas is the second most likely state to see power outages behind Louisiana. Texas residents saw more hours of power interruption in 2021 than all but two states.
“The challenge Texas faces now is that it needs more power generation that is dispatchable — natural gas or nuclear, for example — yet the investment into power plants of this type is risky,” said Brandon Young, CEO of Payless Power.
“The Catch-22 is that everyone wants clean energy and, likewise, reliability,” he added. “At present, clean energy is not reliable because it is hard to predict when the wind will blow or when the sun will shine without clouds.”
Familiarizing yourself with energy industry terms is important, especially if you are new to Texas’ deregulated energy market. Here are a few acronyms and terms you should know:
The Public Utility Commission of Texas provides a form that allows consumers to file official complaints directly to the commission. The PUCT asks that consumers contact their electric companies to seek a resolution before filing a complaint.
Yes — if you are moving to a home in the same service area as your former home. If you are moving to another delivery area, you must sign a new agreement. You might be charged an early termination fee, as well.
During extreme weather events, such as deep freezes or heatwaves, PUCT consumer protection rules prohibit providers from shutting off the power because of nonpayment. For example, a winter moratorium is triggered if a customer’s local temperature is at or below 32 degrees Fahrenheit for 48 hours.
When selecting a Fort Worth electric company, there’s no need to feel trapped in a deal. Even if you have to pay an early termination fee, you always have the option to switch to another provider.
The best strategy is to ensure you know every detail about your plan before agreeing to a contract. To avoid surprises on your monthly electric bill, read your EFL and terms of service.
Check your past electric bills to find out your average electricity use and use that to estimate your future usage. Then, make an effort to monitor and manage your electricity usage over time to make sure you find the best electric company for you in Fort Worth.
We review and rate retail electricity providers in Texas to provide the information you need to select the electric company that fits your budget and home energy needs. The best retail electricity providers offer a variety of plans at reasonable rates, as well as consistent, helpful customer service.
Our ratings are based on our detailed methodology. We score companies out of 100 points using review standards based on the plan types offered, the cost of those plans, the companies’ reputations and the customer service features they offer. We then divide their total scores by 20 to determine a rating out of 5 stars.
BBB and PUCT customer ratings are accurate as of May 2024.
Editorial note: The name “Homefront” refers to the alliance between USA TODAY and Home Solutions that publishes review, comparison, and informational articles designed to help USA TODAY readers make smarter purchasing and investment decisions about their home. Under the alliance, Homefront provides and publishes research and articles about home service and home improvement topics.
Homefront has an affiliate disclosure policy. The opinions, analyses, reviews or recommendations expressed in this article are those of the Homefront editorial staff alone (see About Homefront). Homefront adheres to strict editorial integrity standards. The information is believed to be accurate as of the publish date, but always check the provider’s website for the most current information.
The deregulated electricity market in Texas means Dallas residents have choices when it comes to electric companies. You might begin your search by comparing electricity rates, but it’s not only about that monthly bill. You should dig deeper than the cheapest electricity rates to find the best electric company in Dallas. Here are tips and…
TXU Energy is a highly regarded electricity company in Texas, rated 4.7 out of 5 stars based on over 7,000 Google reviews. Positive reviews routinely praise the company for providing a positive customer experience and excellent communication. However, TXU has a price tag to match. According to March 2023 data from the Texas Public Utility…
Many municipalities in Texas switched to deregulated energy in 2002, giving residents of those areas a choice among electric companies. The Electric Reliability Council of Texas (ERCOT) manages about 90% of the power load for those deregulated regions, accounting for about 26 million Texans. But each Texan can choose their own electric company — also…
If you live in Texas and have seen a rise in your electricity bill, it may be time to switch your energy company. That’s because Texas is one of the 14 states that has deregulated energy — meaning that instead of being locked into a power supplier that is owned and operated by the government,…
TEST Our editorial team is committed to creating independent and objective content focused on helping our readers make informed decisions. To help support these efforts we receive compensation from companies that advertise with us.
The compensation we receive from these companies may impact how and where products appear on this site. This compensation does not influence the recommendations or advice our editorial team provides within our content. We do not include all companies, products or offers that may be available.