Deregulated Service Areas By City - ElectricRateSelect.com

Deregulated Service Areas

There is a growing number of deregulated service areas throughout North America. A deregulated service area gives the consumer the power to choose their retail energy provider (REP). Depending on the service area, the consumer may have limited options. Most states require energy suppliers to be licensed by the public utility commission before they can provide energy services within the state. To find a list of qualified providers, visit your state’s public utility commission’s website. We make an effort to only work with the top qualified energy suppliers for every service area we provide rates in.

Can I Leave my Utility Company?

The short answer is no. Unfortunately, if you are not satisfied with your utility company there is no way to leave them. The utility company maintains the lines and wires to be able to deliver the energy to your home or business. Given the logistics involved, it will be impossible to have another utility company to deliver the power to your residence. However, if you live in a deregulated service area, you have the option to choose a retail energy supplier for your generation costs. The generation costs are also known as supply charges.

What will Change on my Electric Bill?

The most common method of billing in all service areas is single billing. This means if you choose another retail energy supplier for the supply charges, you will still receive one electric bill from the utility company incorporating both the delivery and supply charges. The only thing that will change is the lower supply rate on your electric bill!

Searching for Energy Providers

If you live in a deregulated service area, then take advantage and start saving money on the electric bill today! Many energy suppliers are competing in the marketplace which gives the consumer many energy plans to choose from. Knowing what you want can help narrow down the search. An electric supplier that provides service in your service area must be licensed by the state’s utility commission. Visiting your state’s utility commission’s website will bring up a list of energy providers that are licensed to offer supply services in your area. The Public Utility Commission of Texas (PUCT) will list licensed energy providers for Texans.

What is the Price to Compare?

Most utility companies in deregulated service areas are required to provide a basic service charge to customers that choose not to go with another electric supplier. The basic service charge is also known as the price to compare. The price to compare can change every few months and is usually not very competitive. A customer shopping for a new electric supplier can use the price to compare to know whether they will save by switching to a new energy plan. If the supply rate offered by the energy provider is lower than the price to compare, then the customer will be saving money by switching.

Which Energy Plan is Right for You?

Two common energy plans offered by energy suppliers are the fixed and variable rate products. Deciding which rate product is right for you depends on your risk tolerance. Fixed rates will put a ceiling on the price and protect you in a rising market. However, if the market drops you may be stuck paying a higher rate. Variable rates change monthly leaving the user at the mercy of the energy supplier. Most variable rates are month-to-month allowing the customer to change energy plans at any time without being penalized.

Renewable Energy Plans

Along with Energy Choice comes more options for customers to choose from. Many energy suppliers are now offering customers 100% renewable energy plans. These plans allow the consumer to have their estimated usage amount, measured in kilowatt-hours, to be generated (directly or indirectly) from renewable energy sources such as wind and solar power. These plans tend not to be as competitive as conventional plans so expect to pay a premium choosing a renewable energy plan.

The Switching Process

When you change energy providers, the switch will be seamless and will take place without any disruption of power. The utility company will notify your old provider and switch you on the next available meter read. The switch process can sometimes take several weeks or two billing cycles before the new supply rate shows up on the electric bill. It will be impossible to be charged by two separate electric suppliers for the same billing period.