Switching guide

How to Switch Electricity Providers in Texas

In most of Texas you can choose who sells you electricity, and switching is simpler than most people expect. Your lights stay on, your new provider handles the paperwork, and the main costs to avoid are termination fees and a plan that doesn't fit your usage.

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Step by step

How to Switch in Six Steps

Switching providers is mostly a shopping decision. The enrollment itself takes a few minutes; the work is in picking the right plan and the right timing.

  1. 01

    Check your current contract

    Find your contract end date and early termination fee on your bill or your current plan's Electricity Facts Label. If you are close to the end of your contract, you may be able to switch without a fee.

  2. 02

    Know your usage

    Pull your last 12 months of usage from your bill, your provider's portal, or Smart Meter Texas. The right plan depends on how much electricity you use and when.

  3. 03

    Compare plans at your usage, not the headline rate

    Shop on Power to Choose or provider websites, then check each plan's price at your own monthly usage. Bill credits, minimum-usage fees and time-of-use pricing can make the advertised rate misleading.

  4. 04

    Read the plan documents

    Before you enroll, read the Electricity Facts Label, Terms of Service and Your Rights as a Customer. Confirm the contract length, termination fee and when the price can change.

  5. 05

    Enroll with your new provider

    Sign up online or by phone with your service address or ESIID. Your new provider submits the switch and confirms the start date. You usually don't need to call your old provider.

  6. 06

    Confirm the switch

    Watch for the welcome packet and terms of service, then check that your final bill from the old provider and your first bill from the new one line up with the switch date.

Good to know

Switching doesn't change who delivers your electricity. Your utility still owns the poles and wires, reads your meter and restores outages, so there is no interruption in service when you switch.

Switch timing

When Does the Switch Happen?

Your new provider submits a standard switch, which is processed on the approximate date you agreed to, typically your next scheduled meter read. If you need a specific date, you can ask for a self-selected switch date instead.

Standard switch
The default. The switch lines up with your meter's regular read schedule, so there is usually no extra charge.
Self-selected date
Useful when your contract ends on a specific date. It can require an out-of-cycle meter read, so ask your new provider whether any fee applies.

Termination fees

How to Avoid an Early Termination Fee

Most fixed-rate plans charge a fee if you leave before the contract ends. The fee is listed on your Electricity Facts Label. There are two common ways to switch without paying it.

Switch near the end date

Texas rules do not allow a termination penalty on a residential fixed-rate contract in the 14 days before the contract end date. Your provider must also send an expiration notice before your contract ends, so use that notice as your reminder to shop.

Moving to a new home

A provider can't charge an early termination fee because you move, as long as you give a forwarding address and, if asked, reasonable evidence of the move.

Watch for this

If your contract ends and you don't pick a new plan, you are moved to your provider's month-to-month default product. Its price can change every month, so letting a contract lapse is one of the most common ways Texans end up overpaying.

Moving vs switching

Moving Is Different From Switching

A switch changes providers at the address where you already live. A move-in starts service at a new address. When you move, you choose a provider for the new home and stop service at the old one.

Some providers let you take your current plan to your new address, which can make sense if the plan still fits the new home. If you start fresh, set the start date before you move in so the power is on when you arrive, and keep in mind that the three-day cancellation right described below does not apply to move-in requests.

Your rights

Your Rights When You Switch

  • Three days to change your mind

    When you switch, you can cancel without penalty within three federal business days after you receive the new provider's terms of service.

  • Documents before you commit

    Providers must give you access to the Electricity Facts Label, Terms of Service and Your Rights as a Customer when you enroll.

  • Notice before your contract ends

    For fixed-rate contracts longer than four months, your provider must send a final expiration notice at least 30 days before the contract ends.

  • Protection from slamming

    Your provider can't be changed without your authorization. An unauthorized switch is called slamming and can be reported to the Public Utility Commission of Texas.

Source: Public Utility Commission of Texas customer protection rules, 16 TAC §25.474 and §25.475.

How to read the Electricity Facts Label

Questions

Frequently Asked Questions About Switching

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Before You Switch

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