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Cheapest Electricity Companies in Texas

The cheapest electricity company in Texas is 4Change Energy (8.9 cents/kWh at 1000 kWh). Runners-up: Discount Power, Cirro Energy.

Best for: Bill credit hunters
4Change Energy logo

4Change Energy

4

8.9¢/kWh at 1000 kWh - consistently among the lowest advertised rates

You want budget rates and a simple bill-credit plan structureYou prefer a set-it-and-forget-it provider backed by a Fortune 500 companyYou rarely call customer service and handle everything online
Price position: Competitive
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Best for: Straightforward savings
Discount Power logo

Discount Power

4

9.4¢/kWh with bill credit plans - competitive on actual usage

Price is your #1 factor--Discount Power regularly ranks among the cheapest in TexasYou want no-frills electricity without paying for rewards programs or fancy appsYou want Fortune 500 stability (NRG Energy) at budget-brand prices
Price position: Competitive
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Best for: Simple fixed rates
Cirro Energy logo

Cirro Energy

4

9.9¢/kWh fixed rates - straightforward pricing without gimmicks

You want green energy baked into every plan--no premium, no special tierYou prefer simple fixed-rate plans without free nights/weekends complexityYou want NRG's Fortune 500 stability without Reliant's upselling or Green Mountain's premium
Price position: Competitive
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Best for: Credit-challenged
Payless Power logo

Payless Power

4

Prepaid at 18.4¢/kWh - highest flexibility, no credit check

Your credit is rough and you need power without a deposit or credit checkYou want to budget electricity like a prepaid phone--pay as you go, daily trackingYou need same-day connection (sign up early, connected in 4-6 hours)
Price position: Competitive
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How This Was Decided

These companies are featured based on what matters for this category:

  • Actual rates at 500, 1000, and 2000 kWh usage levels (not just advertised 1000 kWh rates)
  • Base charges and monthly fees that add to total cost
  • Bill credit thresholds and whether you'll realistically hit them every month
  • Contract length vs rate stability (12-month fixed vs month-to-month)
  • Total annual cost for typical usage patterns, not just cents per kWh

No bias. Same treatment for every company.

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"Great experience made comparing energy companies easy and helped me get out of a bad deal."

— Yolanda D., Texas

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