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Choosing Your Own Energy Plan

May 17, 2016
by dmirza

Having the power to choose your own energy provider is an immense benefit for your home. Years ago, Texas residents could only get their energy from one organization: their local utility. The utility purchased shares of electricity from generation facilities, and then sold it to consumers. As a result, electricity rates were often high and offered little benefit outside the direct use of electricity.

Now, with deregulation, the power is in the hands of the people. We get to choose who we buy our electricity from. The electricity comes from various generation facilities like wind or solar farms, coal plants, and natural gas plants. Retail energy providers (REPs) buy shares of this electricity and sell it to consumers. The utility no longer sells electricity, but they do transmit it to consumers as well as maintain the transmission lines.Choosing Your Own Energy Plan

Being that there are several REPs selling electricity, and that each one wants to bring in customers, they compete with each other for the customer’s business. This results in lower prices, because it can be very difficult to attract new customers if you have the highest prices in town. Even further, REPs offer different kinds of plans as well. These plans vary in length, energy content, and some may have other incentives.

Having the power to choose between not just different providers, but also different plans means you can tailor the electricity for your home. Do you plan to live in your home for a very short time, or want to wait for rates to drop? Variable rate plans are month to month with no contract, so you can switch at any time. Found a good rate and want to keep it long term? Fixed rate plans let you lock in your rate for up to three years. Want to use 100% renewable energy? There are plans available that let you have that.

Choices are the heart of a society, and making the choice to have cheap, effective energy is a benefit to you and your family. Bring the power to your home by exercising your power to choose, and search through dozens of plans for the one that will brighten your home and keep your bank account happy.

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