Texas Commercial Electricity: Deregulated since 2002, Texas has 300+ licensed suppliers in the ERCOT market. Average commercial rate: 8-10¢/kWh (2026). Businesses in Houston, Dallas, and North Texas zones can save 15-25% through competitive procurement.
The largest competitive electricity market in the US. Compare rates across Houston, Dallas, Austin, and all ERCOT zones. No monopoly utility—you choose your supplier.
EIA Average • Supply + Delivery
ERCOT Real-Time LMP • ¢/kWh
ERCOT operates a nodal market with settlement point prices (SPPs) that reflect real-time wholesale costs. Commercial customers typically buy fixed-rate contracts that are 10-25% below the utility's "price-to-beat" rate.
West Texas often has the lowest prices due to abundant wind generation, while Houston and Dallas zones may be higher due to transmission congestion and higher demand. South Texas benefits from proximity to gas plants.
Texas isn't just an electricity powerhouse—it's the heart of the US natural gas industry. Businesses in Texas benefit from proximity to Permian Basin production, often resulting in lower basis costs compared to the Northeast.
Commercial gas deregulation in Texas allows businesses to choose suppliers for the commodity portion of their bill, separate from utility distribution charges (CenterPoint, Atmos, Texas Gas Service).
Your pricing hub matters. West Texas (Waha) prices can sometimes go negative due to pipeline constraints, while Houston Ship Channel trades closer to Henry Hub.
Read our Gas Procurement Guide →See how much your business could save in the ERCOT market
All commercial customers in competitive areas (most of Texas except Austin Energy, CPS San Antonio, and municipal utilities) can choose their electricity supplier.
Fixed-rate (1-5 years), indexed (tied to hub prices), block-and-index (hybrid), and real-time pricing options are available for commercial accounts.
Texas leads in wind power. Many suppliers offer 100% renewable plans, often at competitive rates due to abundant West Texas wind generation.
Our reverse auction process gets multiple ERCOT suppliers competing for your business, driving down rates by an average of 18%.
Get Competitive Quotes →Latest news affecting Texas commercial energy buyers
Texas doubled battery storage to 14 GW (from 7.8 GW in Jan 2025). New RTC+B market design dampens evening price spikes. Solar surpasses coal at 14% of generation. But 14% demand growth forecast from data centers threatens to absorb gains.
US adds record 86 GW new capacity in 2026: 43.4 GW solar, 24.3 GW batteries. Market-by-market analysis of how this reshapes commercial electricity prices.
ERCOT unveils new Batch Zero requirements for data center grid interconnection in Texas. Projects not selected face years-long waits as transmission expansion lags behind demand.