In the past, Texas electricity was only available from one company. This meant that Texans had no control over their rates or service quality. Now, thanks to energy deregulation, Texans have a choice and can take advantage of competitive pricing and great energy rates in Texas.
This blog post will answer some questions about deregulation- including what it is and how it benefits you as a Texan.
What is Energy Deregulation?
You may have heard the term “electricity deregulation” and wondered what it means. It’s a big topic, but we’re here to help! Electricity deregulation is when a state government removes restrictions on who can provide electricity service. In Texas, this happened in 2002. It means energy is no longer only provided by a single energy provider. Deregulation means energy companies can compete with each other to provide energy.
How Does it Benefit Me?
The energy market is no different than any other- when a seller competes with multiple buyers for the business, prices decrease and quality improves. Deregulation means energy companies are able to offer more competitive energy plans, which allows you to choose the right energy plan based on price, term length, rewards programs, or even lower ‘green’ energy products. There used to be only one company in Texas that provided energy service. Now there are many energy suppliers who can provide electricity service at competitive prices.
Under deregulation, electric providers give Texans the freedom and flexibility to choose their own energy provider. This means that if you’re not happy with your energy company, you can switch to a better energy provider. The energy market has been opened up to competition- and energy companies are competing for your business! This will allow energy customers the ability to choose which plan works best for them.
If you’re thinking about selecting an energy plan for your home or business, it’s important that you know what deregulation means.
5 Things to Know About Deregulation
Here is a quick rundown of some of the most important information on electricity deregulation in Texas:
1) There are energy providers that compete to provide energy in Texas.
2) Electricity plans aren’t the same as they used to be. You have more options than before- but it’s important to compare!
3) Deregulation began in 2002, and energy companies have been competing for business since then. However, electricity rates can fluctuate on a monthly basis so energy prices may increase or decrease at any time without warning if you do not choose the right energy plans. That is why energy comparison websites like Energy Outlet or Power to Choose can help you pick the right energy plan for your home or business.
4) Energy plans will provide energy for a contract period- typically 1 year, 3 years, or 5 years. At the end of your energy plan’s term, you will be sent a renewal energy notice to inform you about the possibility that your energy prices may change. You can choose whether or not to renew.
5) Texas energy providers must offer electricity services under certain rules and regulations set forth by the state government. Energy deregulation also means energy companies are held accountable for their pricing, contracts, and other factors which affect consumers in order to keep energy affordable and safe in Texas.
Energy deregulation means energy companies are competing for energy customers. It also provides the protection and peace of mind energy consumers need from their energy provider.
If you’re ready to find an energy plan your home or business can count on, visit Energy Outlet’s energy comparison tool! You’ll be able to see electricity providers and Texas’ energy plans- learn more about the plans, choose the best electricity rates, and sign up for great service!