Wow, 4.3 cents per kilowatt hour for Electricity

lightRight now the state shows some whopping low prices for electricity rates such as the 4.3 cent rate marketed by Pennywise Power.

Pennywise Power is owned by NRG Energy which owns Reliant Energy and this 4.3 cents per kilowatt hour rate is a 3 month rate that is subject to change after those 90 days are up.

Most people refuse to be reminded about their rate plan coming to an end until their electric bill shows them a need to change.

Providers that offer the short term prices that are exceptionally low often have that rate expire at a rate much higher than what they first signed up with.

What happens is that any losses the electric company might have incurred by offering such a low rate get recouped in the ultra-high price the rate goes up to upon the contract expiring after 3 months.

I have no way to tell you for a fact that Pennywise will be dramatically raising their rate after 3 months but it is a typical game that gets played in the industry.

By the time a customer gets an electric bill with an off-contract electricity rate on it as much as 45 days has past that the customer has been switched to the new rate.

What happens is that you go through over a month of electricity usage on a new rate before you see that the rate has gone up dramatically on you.

When you get your first new bill with the higher rate there is usually a lot of griping and complaining but it might not be until another week or two that you change companies.

Once you compare rates on a site like ours and find a different company you might have been on the higher price for closer to two months and you are just now getting with a new company that can lower that price back down.

That 4.3 cents per kilowatt hour rate may over time wind up averaging out to 7 – 8 cents per kilowatt hour once the rate goes up on you without your close attention and you take time changing to a cheaper provider.

Be careful you don’t get hooked into a short term fixed price because it will not be fixed for long and your penny wisdom is only good for the amount of months specified on the contract.

My best advice is to choose a 12 month contract at the very least and set a phone reminder to go off letting you know a couple weeks before your contract is up so you can renew your contract.


Van Texas Electricity, You Can Compare Companies and Save

In Van Texas you can compare multiple retail Texas electric providers rate plans against each other, find the cheapest one, and order electric service at a substantial discount.

Our online comparison tool is easy to use. You enter your zip code in the box and click on “Compare”.

From there a list of Van Texas electric providers and rate plans will appear.

You can rest confidently that all fees and charges are bundled into our electric rates excluding taxes.

We are unlike most electricity companies and aggregation sites in that we take steps to bundle in all fees and charges so you are not tricked into a rate that appears cheaper than it really is.

We have even gone so far as to allow you to adjust your average monthly kilowatt usage in case you use more or less than what we have the default set at to calculate your rate.

We have our rates calculated with all fees and charges built in based on the average Texas energy consumers monthly electric bill so chances are good the rate you see will be at or higher than what you will actually pay.

To crystallize what I am trying to tell you here in simple terms, our rates are straight forward without the standard hidden fees and gimmicks, you can compare multiple discount providers, and you can order your Van Texas electric service online.

If you have any questions our Van Texas energy consultants located in Tyler Texas can assist you. You may call us at 1-800-971-4020.

Comparing Texas Electricity Prices and Green Energy

When comparing Texas electricity prices you have several energy companies out there competing for your business. If these companies have to use words like green energy, environmentally friendly or quite a few other buzz words to get your business they will.

Now comparing these green energy plans is a little challenging as you have to deal with companies selling quite a few different variations of this green energy stuff.

For instance, many of these electric companies are buying biomass renewable energy credits in other states and than applying that to their dirty energy.

These electric provider in Texas than sell you clean energy but in reality you are cleaning up another state and not the state of Texas.

It’s great that at least you are doing your part for the US as a whole but wouldn’t it be nice if it helped out Texas?

The government is about to cramp down on these green energy buzz words that providers use to sell their electricity service.

Soon many packages for things as simple as baby diapers may have to remove the environmentally friendly labels from their packaging.

Texas electricity providers may not be able to call their electricity renewable energy unless it meets a high enough percentage and overall things will hopefully be a little more transparent as to what it is your buying.

In the big picture it will be easier to compare green energy providers in an apples to apples comparison and choose the lowest price.

However, this may have more to do with setting up the whole cap and trade system rules in which electricity companies and manufacturers aren’t simply no longer advertising that their products are no longer environmentally friendly. Instead, government deadlines are set for manufacturers, energy generation facilities, electricity providers, and so on to make their power plants and products meet these new green friendly and carbon neutral requirements.

A large part of the requirement will be a tax on these products and services if these power plants and so forth can’t operate as carbon neutral as required. These taxes will than go into a slush fund where the government may choose to do something completely different with this money as they did with Social Security taxes.

Texas Electric: What Is a Provider of Last Resort & Why You Want to Avoid Them

Anything with the phrase “last resort” in it is probably something you want to avoid — unless you’re talking about scoping out Caribbean vacation spots (as in, that last resort we toured was gorgeous). When it comes to energy, you don’t want to be in the “last resort” club.

As it relates to Texas electricity, following is what a Provider of Last Resort (POLR) is, and why you want to avoid being a part of their roster.

What is a Provider of Last Resort?

Actually, from a consumer standpoint, a POLR is a good thing. They are Texas energy companies that act as a back-up in case an existing service provider goes out of business.

Texas electricity consumers have a deregulated energy market, which has produced the need for POLRs. Why? Because with deregulation came a lot of competition. And, some of these new companies had neither the market savvy nor the secure financial backing it takes to be in business for the long haul.

Many of them came on the scene offering Texas electricity consumers low rates, but they couldn’t deliver when certain market forces shifted. So, they went out of business – leaving thousands of customers potentially stranded.

Enter POLRs. The Public Utility Commission of Texas (PUC) designated certified retail electric providers (REPs) to act as POLRs for each customer class in each electric utility service area open to competition.

While this is a comfort, it can be a nightmare in that there is no guarantee that the rate you paid with your old Texas electricity company is the one you’ll get with your new one. And, if you’re already paying the high cost of a prepaid electric service plan, your costs could escalate even more.

Why It Pays to Choose a Traditional Texas Electricity Company

This is why it pays to sign on with a traditional Texas energy supplier – even if it means saving up to pay a deposit. Although, many have low-deposit and no-deposit electric service plans you may qualify for. All it takes is a phone call to find out.

To Compare Texas Electricity Rates please click here

Texas Electric Company Complaints

It has been since October 2009 since the PUCT has updated their electricity provider complaint scorecard but here it is.

Oct 2009 Texas Electricity Company Complaints Scorecard

The PUCT is not allowed to disclose exactly how many customers an electric provider has accumulated during the year or a given month. Since we do not know the volume of customers being signed up it makes the scorecard a little skewed for larger or smaller energy companies. If an electricity company in Texas is not signing up electric customers on any given month it could make their scorecard look very good.

You can look at the PUCT filings to see how many complaints a particular Texas electric company has received to give you an idea about the volume of customers they sign up on a monthly basis. Hopefully this complaint scorecard will give you some idea on what energy companies are worth switching to. Thankfully several of the electricity providers in our comparison chart have decent complaint records with the Texas PUCT.

Electricity Bid helps you find an electric rate and provider to save you money and keep life simple.

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