Texas Electricity - Power To Choose

Texas residents seeing better prices due to electric deregulation and competition

Texas is well known for its controversial policies, and few policies have been as controversial as electric deregulation. In 2002, the Texas state legislature voted to pass electric deregulation, opening up the electricity market to a variety of competitors. Many of these competitors, called Retail Electric Providers or REPs, offer electric power at lower prices than previous, municipal-owned or monopoly providers.
Electric deregulation is controversial because it places an important national necessity – electric power – in the hands of
corporations. In recent years backlash against electric deregulation has been especially strong as people have become resentful of oil companies’ hold on the fuel industry. People worry that if electric power is deregulated, electric companies will behave similar to the oil companies, which many see as greedy and wasteful corporations.
This hasn’t been the case in Texas. In the years since electric deregulation was passed, the gradual switch to private providers has created an overall drop in electric prices. Texas residents are now able to get their electric energy more cheaply than before as competition drives down prices. Texas electric deregulation has seemed to make residents more willing to shop around,
as 85% of Texans have switched electric providers at least once since the Texas electric deregulation experiment began in 2002.
One important feature of Texas electric deregulation was the creation of a price floor. The state legislature set a rate below which energy could not be sold – a minimum price per kilowatt hour. This prevented new companies from predatory pricing, a process in which prices are set extremely low in order to destroy competitors. The company with the ability to take
losses by selling electricity at a loss for the longest time will put all competitors out of business and be able to establish a monopoly. If this were allowed to happen, electric deregulation would be pointless, because new private monopolies would replace the government monopolies and people would end up at the mercy of private companies. Texas’ price floor prevented this and made electric deregulation a great success.
Texas consumers seem to be happy with the deregulation of their electric service, as they receive similar quality of service at a lower price. Electric deregulation can work especially well in a state like Texas, which is large enough to support independent electric companies. Smaller states, like Delaware, and those with low population like Wyoming, would struggle to support their own electric companies. But, after a decade, Texas electric deregulation has been a great success.

A Breakdown of Residential Electricity Usage

Many of us have problems seeing the electricity bill when it arrives, and with good reason. Like many other commodities, electricity prices raise and lower from moment to moment and there are many affecting factors, such as the time of the day, year, as well as the prices for fuel, just to name a few.

Other factors that affect the price of electricity are whether you live in a place where energy has been deregulated, and there is much more competition, especially from providers using alternative power sources, such as solar and wind.

When you are looking at your bill and wondering where all this energy is being used, here are some things you should know. Most people think that their air conditioner, water heater, even their home’s heating is what is taking up most of this energy. It is true that the air conditioner does use a lot of energy, it isn’t the largest source of the problem. If you are using space heating, this can actually consume the smallest percentage, just 6% of the total residential consumption.

Refrigerators are just 8%, and your water heater just 9%. Your air conditioner takes up only 16 percent. What takes up the other 60% of your energy uses? All the other smaller appliances and your lights. While each of these may only use a small amount, together they consume a lot.

There are some aspects of your home’s usage you can’t always control. You need hot water for an example, as well as the heater and air conditioner. However, you can lower the percentage by upgrading your water heater, lowering the thermostat and only operating the cooler when you absolutely have to.

There are many ways you can reduce the sixty percent of your home’s usage as well. Making sure that your lights are turned off when not in use, as well as changing the bulbs over to more efficient bulbs. Your electronic components, even when turned off still use electricity. Why do you think that there is a light on when you turn the television off? Same goes with your computer, gaming platforms, and stereo components. In order to stop this wasted energy, plug all of these electronics into a power strip that has a surge protector and an off switch. Keep it somewhere you can access it easy, and when you go to bed, turn off the power strip. At the very least, when you are finished on your Xbox or other game console, unplug it from the large power supply box.

It may be a good idea to make a habit of checking your home a few times a day to make sure there aren’t any unused lights on. When you go on vacation, or know you are going to be out of your house for a few days, unplug everything but what is essential while you’re gone, refrigerator, fish tank, rechargeable phone, etc. This way clocks and other small devices aren’t running while you are out. You can also find a lot of helpful tips and information about how you can save money on your electricity bill online.

The Benefits of Energy Efficiency for Consumers in Texas

The governing body of Texas has given a directive to each electric utility to present some energy efficiency programs to cut at least twenty percent of the total energy demand –in bills and consumption – for the state. This efficient use of energy has been a contributing factor to the economic growth in Texas, and in America as a whole, and has led to the reduction of the total amount of energy needed to generate a degree of output (energy intensity) in the past years. Although more energy is being used these days, thanks to the increased use of technology, the energy efficiency programs have, to a great extent, reduced the costs of energy. As a result more energy can be availed – making it possible for the Texan society to become more affluent and comfortable.

Most businesses and homes in this state have made improvements that would contribute to the efficient use of energy. These improvements include the following:

Proper insulation of floors, walls and attics to help lower the cooling and heating expenditures.
Accurate sealing of air condition ducts.
Weather-stripping doors and caulking windows to lessen the leakage of air.
Replacement of heating and air conditioning units with ones having 16 SEER or higher and a HSPF of 8.2 energy ratings.
Making use of household equipments such as refrigerators, washing machines, dishwashers that are energy efficient.
Setting up renewable energy supplies like solar water heating or solar panels.

Moreover, the different energy providers offer their clients different incentives like rebates, technical assistance and guidance and even loans. The increase cost-effective use of energy has led to around $56 million of net savings in 2009 alone.

Aside from increasing the savings in electrical consumption, the different energy efficiency programs also help in creating more jobs and as a whole, improve economic development in the state. Moreover, the reduced energy consumption benefits the Texas environment since it would bring down the emissions of different environmentally hazardous elements such as carbon dioxide, nitric oxide and sulfur dioxide. Air quality would be improved and consequently improve the health of its people.

The promotion of these cost-effective measures have been proven by several studies to be more reliable in lowering electricity costs and more economic benefits than building additional power plants. Nowadays, consumers in Texas are now feeling the benefits that results from these various energy efficiency programs.

What Makes Up Your Price For Electricity?

When you look at your Texas electric bill, some wonder about the long list of costs. Many of us have trouble figuring out why we’ve been charged, how we’ve been charged but we simply just pay our bill and ignore it. However, you don’t have to go through life without understanding why you pay what you do for your Texas electricity. Let’s take a look at how this price is determined. It’s really relatively simple and once you know how your bill is put together, you can take steps to pay less.

The price of your electricity is going to vary not just according to your usage, but according to where you live, how the power was generated and when it was generated, and how it was delivered. Other factors may include whether or not new plants have recently been constructed in your area, plus the cost of maintaining and operating your local power plant and the price of fuels. The utility will spread its costs out among its customers, and if its costs go up, so do your rates.

Supply and demand and season can also have a huge effect on Texas electricity and related items, with gas and oil prices often rising in the summer and winter and dropping in the fall and spring, and eletricity doing the same in most cases. In areas with high demand like Texas, time of day can even have an effect. After all, the power company can offer only so much electricity at it’s peak times. If demand exceeds supply, brownouts will occur like they did earlier this year, but the utilites have an investment in not letting that happen.

Since the Texas utilites can only supply so much at a time, they’ll encourage people to enroll in programs to help manage demand with time of use savings. If you’re in one of these, in the afternoon and the early evening, you may pay more, since this is the time when most people need power, but at other times, especially early or late at night, you’ll get a discount. Many people do their laundry or other electricity intensive chores at off peak hours to take advantage of this lower rate but also because it helps take some stress off our power grid.

While your Texas power may seem expensive, it’s cheaper today than it was in 1960. In real terms, adjusted for inflation, we pay an average of four cents less per kilowatt hour than we did then. Of course, prices have fluctuated over the years, due to economic situations, supply of fuel, and new methods of generating power. In general, your residential rate is going to reflect how much it costs the utility to produce or buy the power you receive.

Before taxes and other services, your total bill for a given month is simply the price of your electricity per kilowatt hour, times the number of kilowatt hours you’ve consumed that month. Since most residences have a lot of appliances that use electricity, some even when they’re off, your bill could climb when you’re not paying attention. In addition to your electricity, your bill may also feature the price of gas service. This is calculated by therm.

So, how can you reduce the amount you’re paying? Your rate per kilowatt hour is going to stay the same unless you shop for a lower rate by researching lower residential electricity rates, plus you can cut down on your usage. After all, about nine percent each of the average bill is paying for heating water and lighting. Ten percent is space heating and sixteen percent is air conditioning. Computers, electronics, freezers, dryers and other devices make up the remaining forty percent.

Improving efficiency and conserving energy are some of the best. Turn off or unplug appliances and lights when they’re not being used. Insulate doors and windows, and when the time comes to replace an appliance, choose the most efficient one you can. Older refrigerators are particularly bad culprits when it comes to energy use, as are older air conditioning systems.

Think about enrolling in a lower electricity rate with a competitive retail electric provider. If you start out paying less for the same power – you’re already ahead of the game. Then take advantage of the other energy saving tips and you will start to see a dramatic improvement in your Texas electric bill.

Solar Power Arrays – The New Texas Electricity?

Texas electricity is leading the way in wind energy – will they also lead in solar power? First, let’s take a look at solar power arrays. Solar energy is not a new concept, in fact is has been around for a few hundred years. However, it has been over the last fifty years or so that solar panels and power arrays have become more efficient, and more powerful. The whole thing starts with photovoltaic cells, which gather the sun’s energy and turn it into low voltage electricity. The ingenious thing about new cells is that they can be integrated into just about any surface, and can even be applied to roofing tiles, and exterior wall structures.

What this means is that if you are building a home or commercial structure, you can add solar cells to power your electrical needs. Of course this energy has to be converted to AC power, but this is done with a simple inverter. Any electricity that is not utilized can be stored in batteries to be used later. Now there are also solar panels, and whole power systems that can be set up to track the sun as it moves across the sky. These grids can be set up on the roof of just about any building, or free standing, to power a home or a business.

What you may not know is that there are also huge solar arrays, with banks of hundreds of solar panels, set up on tracking systems. These arrays are used by power plants to provide energy to whole communities and Texas is investing in these as well. These arrays can generate hundreds and even thousands of megawatts of power, depending on how large they are. Again, using inverters, and batteries, any power that is not immediately consumed can be stored for later use.

There are many different advantages for plants using solar power. One of them is that these arrays have very little maintenance needs, making them cost much less to operate. Since they use the power of the sun, there is no need to transport fuel to the plant, or use products in the production of electricity that are harmful to the environment. In some areas of the country there is new energy deregulation, so you can pick whether or not you want you power coming from these plants.

If you don’t live in one of these areas, you can still utilize solar power arrays by buying or building your own solar power arrays instead. There are many websites that offer DIY kits, complete with lists of materials needed, where to buy the photovoltaic cells for pennies on the dollar, as well as the converters, batteries, and all the other components you need to develop your own power systems. Not only does this get you off and away from the high costs of utility companies, but in many cases, any electricity you don’t use can be sold back to the utility company.

With all the concerns over the environment, some of which are right in front of your face, like the crisis in the Gulf of Mexico, it is important that we eliminate our reliability on fossil fuels. The only way to do this is to embrace other alternatives, ones that are abundant, renewable, and produce not toxins or pollutions into our atmosphere and Texas is once again leading the charge – thanks in part to Texas electricity deregulation.

Wind Turbine Farms

Wind power has been used for thousands of years, for grinding grain, and pumping water, but over the last few decades, more and more large wind turbines have been springing up in massive numbers. You may have seen these in your travels around the country. What are they and what are they doing? These massive wind turbine structures are producing massive amounts of energy, to supply power to many communities. While they are not totally infallible, they have taken much of the burden off of our consumption of fossil fuels. Each one can produce more than a mega watt of electrical energy, some as much as four or five, depending on the type of turbine, and how it is geared.

This means that a wind farm of just 10-20 in a single area can generate enough electricity for the local community they serve. Any energy that is not immediately consumed can be stored in massive battery banks for later use as well. While these turbines can take up more than an acre of land, there are many advantages to having them set up.

One of them is that any farm or property that has one or more of these turbines set up get paid to put them there, as well as have access to the energy they produce. Even though they have to have a certain amount of space around them for safety purposes, this doesn’t mean that the land can’t still be utilized for crops or animals or other farming needs.

There are many other benefits as well from using wind turbine farms. While they have moving parts, they don’t need as much man power to keep them running. They use renewable energy, wind energy, so they don’t use petroleum products, or fossil fuel, and therefore don’t produce pollution, keeping the environment clean. For the most part they are quiet, and extremely safe, and have many systems in them to keep the blades from turning too fast.

There are of course some drawbacks to wind farms. They can only be placed in areas that have a lot of wind, and it takes a certain amount of wind to make them turn in a manner that will produce electricity. They have difficulty with changing direction, and when there is no wind, they don’t produce energy. However, because of their height, they pick up more wind than is close to the ground, and can automatically set their speed, to catch winds as low as fifteen miles an hour.

When you pass these by, you may think what a wonderful thing to have one of these to power your home, if only they were a bit smaller. In fact, some of these same companies also make smaller turbine generators that can be set up on your property, whether on a pole, or attached to the roof of your home. These are not that expensive, and some fully turbine kits can be just around a few thousand dollars. Even if this is a little high for your budget, don’t fear. There are many DIY kits available and free online sites that can help you start building your own wind turbine.

In fact, with some bicycle rims, some PVC pipe, a metal pole, an alternator and a frame of some kind, you can start generating your own electricity for under a hundred dollars.

Get the Facts on Business Electricity

In regards to paying electricity to run a business, it is very simple to be burned by expensive utilities. In reality, the rate of electricity has been specified as one of the major issues for small business owners as mentioned in a survey done by the National Federation of Independent Business. This is the reason why it is imperative that you know what to search for when you are looking for a supplier of electrical power for your Texas Business.

Here are some things to consider when deciding where to purchase Texas business electricity:

So, how can you pick whether a fixed or variable rate of electricity is the best for you? Often a fixed rate is the ideal choice if your business will be agreeing to a long-term contract. The reason for this is that eventually, energy prices will go up in accordance to the cost of inflation. Nonetheless, your electricity costs will not go up for the duration of the contract.

So, how can you decide whether a fixed or variable electricity rate is right for you? Generally, a fixed rate is the best option if your business will be entering a long term contract. This is because over time, energy prices will rise according to the cost of inflation. However, your per unit electricity cost will not increase for the life of the contract. In practical terms, this means that you will be paying less than market rate for your electricity as the contract progresses. On the other hand, if market rates drop, you may be locked into a long term contract and unable to renegotiate at a lower fixed rate.

If you are considering a shorter term contract, a variable rate may be the way to go. While pricing can be somewhat unsteady, you are likely to get lower prices in the short term than you would with a fixed rate electricity contract. Plus, this allows you the flexibility to enter into a long term contract in the event that electric prices take a drop that warrants locking in a fixed rate.

Contract Terms – Many providers of Texas business electricity offer month-to-month plans, mid-term contract terms of up to three years, and in some cases, even longer term contracts of three years or more. It’s important to choose the plan that best meets your needs, and to carefully review all facets of any written agreement. In particular, you should be aware that you may have to pay a cancellation fee if for any reason you terminate a contract before the full term is completed.

Environmental Responsibility – In the end, several Texas businesses buy energy that is made from renewable resources such as solar, wind, and geothermal energy as well as others. If you would like to know if the electricity that you buy is “green” energy, just ask your electric provider, or check their Electricity Facts Label.

If you consider all these points, you will be in a better place to decide what kind of Texas business electricity is best for your needs. This will save you money, give you a better understanding of the terms of your contract, and makes you use resources in a responsible fashion.

Business Electricity Savings

The late Milton Friedman was one of the greatest economic minds in history. It was Friedman who coined the term a business? number one priority is to earn a profit. Most people understand this. After all, a business that is not profitable will not be operational for long. However, most people look at profits from a narrow perspective. That is, they see profits exclusively in the form of revenues. This, however, is not completely the case. Profits are how much you have earned over your expenditures. That means a business can increase its profits by reducing its expenditures. And, without a doubt, the biggest expenditure drain a business often deals with is energy costs. That is why it is critical to cut back on energy costs if you wish you business to remain profitable. Thankfully, there are a number of easy ways to do this.

One way to dramatically reduce your business energy costs is to use different light bulbs. Many light fixture can operate with lower wattage bulbs or even LED light bulbs, which while costing a little more initially will produce a lot of savings in the long run, as will compact fluorescent bulbs if it is possible to use them in your existing fixtures.

Using timers for appliances which use a lot of energy can also save your business a lot of money on energy. Many businesses simply leave electrically powered items on over the weekend, resulting in a lot of wasted resources (not to mention money). Putting these items on a timer which will automatically shut them off will save a great deal of money in a relatively short amount of time. Timers are inexpensive and easily installed as well, so there is really no reason not to use them in your office.

Insulating a building is a very common way to cut down on expenses. It costs a lot of money to heat an office and when heat is escaping due to poor insulation then it is escaping needlessly. Insulating an office is not an expensive proposition and, like most LED lights, insulating ultimately pays for itself over time.

Having an energy audit performed can be very helpful. There are professionals who are expert in helping businesses save money on energy costs by finding problem areas where energy is going to waste. By implementing their suggestions, your business could save untold amounts of money over time with some simple and generally cheap steps.

In addition to saving a great deal of money for your business, there is an ancillary benefit as well. Namely, your business will be contributing greatly to the environment. By taking part in energy conservation, our natural resources will not be depleted at an accelerated rate. This connects to Milton Friedman?s assertion that the greatest social justice a company can perform is earning a profit. In this particular instance, boosting profits by cutting energy expenditures creates the ancillary effect of a cleaner environment. Any company that contributes to such a cause truly is deserved of acclaim. Why not let your business be among these companies?

Texas Electric Deregulation – What You Need To Know

Thanks to the deregulation laws that came out in 2002, the state of Texas now offers several of their citizens the chance to choose an electricity provider. This allows competition to take shape and keep the big named companies at bay that have held your service for so long. It doesn’t matter if you’re looking for better customer service, lower rates, or just a choice of using renewable resources, it’s out there.

If you remember right only one company would manage distribution in the past. This means they gained all the profits, no matter how satisfied or dissatisfied you were with them. While this was a major disadvantage, today you can deal with companies that actually offer you what you need. However, to make sure the energy distribution doesn’t accumulate a ton of issues, the Public Utility Commission oversees everything.

Keep in mind, the entire state of Texas doesn’t necessarily have this option. The good news is that about 75% do, which means the electric company doesn’t have complete control over those bills. In fact, places like San Antonio and Austin still have the same rules as year’s past. If you’re trying to figure out what side of the fence you’re on, just speak with your city utility or co-op to get a concrete answer.

Even though this law has been in effect for just about eight years, the future still looks brighter. Even though deregulation can help with customer service issues or prices, the main benefit will be having the option to use renewable resources. In fact, if you take a Sunday cruise around the state you would find that there are tons of wind farms being built to fight constant air and water pollutants.

We recommend that anyone living in Texas shops for the best product and service. Since you actually have a choice, it’s a lot easier today. The best thing to do is find all the informative websites that are out there, and do a little research so you can figure out which company suits your family’s needs the best. Thanks to today’s innovations, the advanced sites will even allow you to compare power prices in real time. This way you don’t have to leave the website to place orders.

So if you’re looking to switch providers, you will be happy to know that the process is quite simple. All you have to do is the research, pick a company, have them accept your order, then just wait for all the information. Probably the best part is you don’t have to call up your current REP and let them know you’re leaving. This keeps away from the hassle of exiting questions, discount sales, and tons of overall frustration. When everything is complete, the meter reading will switch hands and you’ll receive a new bill from your new provider. Just keep in mind the old company will keep sending bills until you’ve paid them in full.

It’s a wonderful thing to have choices, and this is all it takes to have one with your electric companies. The new company’s electric will be just as reliable as the old since everything happens in the same frequency. What you will find is that change isn’t something to be afraid of in regards to your Texas electric. You will get the rates, how the energy is produced, and the support you need to make life easier. So you can see why having more control over this is important for you and your family.

Take the time to find out if you have the option to change your power supplier – you could really benefit. It’s not hard to do, and your service can only get better. Companies now have an incentive to offer better pricing, cleaner energy, and better quality service. After all, you could always try your luck with someone else.

Texas Leads The Nation In Low Energy Costs

Texas Energy Market News

You now have the POWER TO CHOOSE your Texas electric provider. ElectricityTX is here to guide you through the process and help you utilize your power to choose the Texas electric provider that fits your budget and your lifestyle.

Here are some helpful articles and tips on how you can lower your Texas electric costs.

Everything is bigger in Texas, except for their energy bills. Texas is leading the nation in energy because with every home built the use of natural gas to heat that home has become more economical. Electricity is still used for appliances and air conditioning. More efficient home appliances and central air instead of window units helps to keep those costs down as well.

When a state is able to lower their energy costs other states often look towards them for solutions to their energy problems. Texas has utilized natural gas to heat instead of using propane, heating oil or electricity. 43% of the homes in Texas heat with natural gas compared to 51% of the U.S. homes.

People in Texas are building homes which are larger than was previously the norm, making heating these new dwellings using economic energy sources an important consideration. Natural gas is of course the most popular choice in newly constructed Texas homes than any other energy source.

Texas does have the advantage of a warmer climate compared to much of the nation, with some regions being warm enough year round to make heating costs a minor concern. However, this doesn’t change the fact that natural gas is a more economical fuel for heating and cooling homes, plain and simple. Natural gas has always been a less costly energy source than electricity or heating oil.

In a southern state like Texas, cooling is often a more important issue than heating. Given the high temperatures which are a common occurrence in the state, it can be costly for Texans to cool their homes. As far as air conditioning is concerned, electricity is still the best way to go – yet Texas is right in the middle as far as US electricity usage by state is concerned.

Because Texas sets in the southern region it battles heat more than anything. Cooling a home can be expensive, especially when you consider how many hot days are recorded in Texas. Electricity is the best option for those who want to cool their homes and based on the data Texas keeps it right in the middle when it comes to energy consumption.

The Clean Cities program promotes lower consumption of gasoline, through encouraging people to limit unnecessary driving, choosing more energy efficient vehicles and using cleaner fuels. Electricity, ethanol and other alternative fuel sources are becoming more popular in Texas; like everyone, Texans are well aware of the importance of making the switch to cleaner fuels. It is predicted that Texas will lead the nation in alternative energy in the near future.

The Clean Cities program is always looking for ways to cut down on fuel consumption. Alternative fuels such as electricity, ethanol and hydrogen are staples in Texas. They understand the need for clean burning fuels; a lot of heads are turning towards Texas when it comes to these types of alternative fuels.