Texas Electricity Rates 2026 — Cost per kWh & Savings
The average electricity rate in Texas (TX) is $0.1324/kWh, ranking #15 among US states. The average monthly bill is $148 for 1118 kWh of usage.
Calculate Your Texas Electric Bill
Electricity Savings Tips for Texas
Texas has a deregulated electricity market where you can choose your provider and plan. Fixed-rate plans protect against price spikes. Solar is excellent in Texas with 5.5 peak sun hours and no state income tax complicating the federal tax credit. Watch out for summer demand charges — rates can spike during heat waves on variable plans.
Primary Utility: Various (deregulated)
Texas has a deregulated electricity market. This means you can shop for competitive electricity supply rates from third-party providers while your local utility (Various (deregulated)) still handles delivery. Shopping for a lower supply rate can save 10-20% on your bill.
Solar Energy in Texas
Texas receives an average of 5.5 peak sun hours per day. This is excellent for solar energy production. A typical 6 kW system would produce approximately 9636 kWh per year, potentially offsetting your entire electric bill. At $0.13/kWh, a solar system that produces 9636 kWh/year saves approximately $1276/year. With the 30% federal tax credit, typical payback is 8-12 years.