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Texas Energy Market Update | August 2026

Texas businesses should continue monitoring electricity market conditions as ERCOT manages record summer demand and increasing pressure on the state’s power grid. In July 2026, ERCOT experienced record-breaking electricity demand as extreme temperatures and continued population and business growth increased system usage. ERCOT has continued expanding generation resources, battery storage, and grid reliability measures to support reliability during peak periods. Businesses across Texas should continue watching market conditions as seasonal demand and growing electricity needs influence future energy costs.

How Much Are Business Electricity Rates in Texas?

As of August 19, 2026, the average business electricity rates in Texas are 6.37¢ / kWh , but they can vary based on your location, usage patterns, and contract terms. Even though Texas electricity rates have risen 6% since 2025, our team can help you secure the best electricity rates in Texas to lower your monthly bill. 

Source: eia.gov

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Understanding Your Power to Choose in Texas



Why Should Businesses Compare Electricity Suppliers in Texas?

In Texas, businesses have the power to choose their electricity supplier instead of being stuck with the utility’s default plan. Comparing Texas electricity suppliers allows businesses to secure more competitive rates, better contract terms, and unique plans tailored to their specific energy needs.  

Can Businesses Choose Renewable Energy Plans in Texas?

Yes! As the leading producer of renewable energy in the U.S., there are a wide variety of green energy plans in Texas to choose from. With a renewable energy plan, your business can meet sustainability goals while still enjoying competitive fixed rates. 

What is ERCOT & How Does It Affect Commercial Energy Rates in Texas?

The Electric Reliability Council of Texas, or ERCOT, manages the flow of electricity across approximately 90% of the state’s independent power grid. Since ERCOT runs on a competitive wholesale market, business electricity rates in Texas fluctuate based on real-time supply and demand. 

What is an Electricity Facts Label (EFL) in Texas?

An Electricity Facts Label (EFL) is a standardized document required by the Public Utility Commission of Texas (PUCT) that outlines an electricity plan’s rates, contract length, and fees. EFLs give businesses the transparency they need to compare Texas energy plans side-by-side. 

What Does the Public Utility Commission of Texas (PUCT) Do?

The Public Utility Commission of Texas (PUCT) oversees the state’s electric, telecom, and water utilities to ensure fair and reliable service for all customers. Within the energy market, the PUCT certifies retail energy providers, enforces consumer protections, and maintains the competitive framework of electric choice. 

How Can I find My Business’s ESID Number in Texas?

Your ESID is a unique number assigned to your business’s electricity meter that suppliers use to process your service. It will be listed on your most recent electricity bill or you can find it quickly through Integrity Energy’s simple ESID lookup tool. 

Lowering Business Energy Costs Across Texas

Allen

Main Utility:
Oncor
View Allen Page

Arlington

Main Utility:
Oncor
View Arlington Page

Austin

Main Utility:
Austin Energy

Corpus Christi

Main Utility:
AEP Texas Central
View Corpus Christi Page

El Paso

Main Utility:
El Paso Electric

Dallas

Main Utility:
Oncor
View Dallas Page

Fort Worth

Main Utility:
Oncor
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Houston

Main Utility:
CenterPoint
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San Antonio

Main Utility:
CPS Energy

Katy

Main Utility:
CenterPoint
View Katy Page

Tyler

Main Utility:
Oncor
View Tyler Page

Waco

Main Utility:
Oncor
View Waco Page

Galveston

Main Utility:
CenterPoint
View Galveston Page

Victoria

Main Utility:
AEP Texas Central
View Victoria Page

Wichita Falls

Main Utility:
Oncor
View Wichita Falls Page

Caldwell

Main Utility:
Municipal Electric Utility
Caldwell

Lowering Business Energy Costs Across Texas

Powering successful business energy savings from Austin to Houston and every city in between. Whether you’re searching for the best small business electricity rates in Texas or a customized energy solution, you can put your trust in Integrity Energy’s expertise. 

Your Partner in Smarter Energy Decisions

When you choose Integrity Energy, you receive a dedicated energy advisor that supports you every step of the way. From initial consultation and contract signing to ongoing support and renewal, get the personalized energy support you need to help your business thrive.  

Lowest Electric Rates in Texas

Our experts leverage your usage patterns and our supplier network to help your business lock in the lowest possible electric rates.

Customized Energy Solutions

Whether you run a small cafe or a large industrial facility, our team specializes in creating custom energy plans that boost your bottom line.

Dedicated Account Management

Take comfort in ongoing support from a trusted account manager that truly understands your company’s energy needs and goals.

Discover the Most Popular Texas Electricity Suppliers in Our Network 

Since 2010, Integrity Energy has built long-standing relationships with the best retail energy providers in the country. Whether you’re searching for the lowest electricity rates in Texas or 100% renewable energy options, you’ll find the best solution within our carefully curated supplier network. 

Electrical substation

 

  • TXU Energy

    TXU Energy is proud to be considered the #1 choice for electricity in Texas, with over 1.7 million commercial, industrial, and residential customers. They specialize in affordable rates and customer energy savings programs. 

  • APG&E

    For over 20 years, APG&E has supported Texas businesses with affordable and flexible electricity plans. They specialize in providing transparent pricing, simplified contract terms, and renewable energy options. 

  • Constellation

    Constellation is the largest producer of clean, carbon-free energy in the U.S., generating 10% of the country’s green energy supply. They specialize in comprehensive energy solutions that support a sustainable future.  

Texas Energy Plans for Complex Needs 

Multi-site businesses and large organizations often require a more strategic approach to energy procurement. Explore our Texas energy plans built to support more complex electricity demands. 

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FAQs About Commercial Energy Rates in Texas

What is the average business electricity rate in Texas?

As of May 2026, the average commercial electricity rate in Texas is 6.36¢per kWh, which is less than the national average. Lock in the best Texas power rates for your business by connecting with our experts today! 

How do I switch business energy suppliers in Texas through a broker?

When you partner with a commercial energy broker like Integrity Energy, switching Texas electricity suppliers is fast and easy. Simply request a free quote to connect with our team. We provide personalized recommendations based on your business needs and help you make an informed energy decision that leads to long-term savings. 

What can I expect after I sign a new commercial energy contract in Texas?

Once you sign a new contract, Integrity Energy handles the supplier switch and paperwork on your behalf. There are no interruptions or changes to your power delivery. In most cases, the only change is that your monthly bill will come from a new retail energy provider, and your dedicated account manager is always available to answer any questions along the way. 

How can I lower my business electricity bill in Texas?

Lowering your company’s electricity bill starts with understanding your current rates, usage patterns, and contract terms. These details act as a baseline for comparing Texas electricity suppliers, rates, and plans to get the best deal. In addition to competitive electricity plans, your business can focus on conservation and efficiency upgrades to lower electricity costs over time. 

How does weather affect energy rates in Texas?

Severe weather, like severe summer storms or unexpected cold snaps, puts a lot of strain on the Texas power grid. As cooling or heating needs increase, so do Texas energy rates. Fortunately, you can protect your business from unexpected rate hikes by choosing a fixed-rate plan. 

Are green energy plans more expensive for businesses in Texas? 

Not necessarily! Texas is the country’s largest producer of renewable power, so many electricity suppliers are able to offer green energy plans at highly competitive rates. Our team can help you compare green energy providers to help you find the best fit for your business. 

What are the best ways for small businesses to lower electricity costs in Texas? 

For small businesses, making small efficiency upgrades and operational changes can have a big impact on your monthly bill. Sealing air leaks around windows or doors, installing a smart thermostat, and shifting high-energy tasks to off-peak hours can lead to long-term savings. At Integrity Energy, we can also help you compare small business electricity rates in Texas to lock in fixed-rate stability and predictable bills. 

Should businesses choose short-term or long-term electricity contracts in Texas? 

It ultimately depends on your business goals and budget. If you’re searching for flexibility and want to compare options on the market, a short-term contract could be the right fit. However, if you want to maximize your savings potential and protect your business from rate hikes, a long-term contract is usually the best solution. Our team can help you determine the best contract length for your business. 

What are TDU charges in Texas and how do they affect my bill? 

Transmission and Distribution Utility charges, or TDU charges, are the fees your local utility company charges for delivering power to your home or business. These charges are regulated by the Public Utilities Commission of Texas and remain the same regardless of which retail electricity provider you choose. 

How do data centers impact electricity prices in Texas? 

Texas is projected to become the largest data center hub in the country, with over 962 total sites in their pipeline. Data centers are notoriously power hungry with some hyperscale facilities consuming up to 200 MW or more – equivalent to roughly 166,000 Texas households. As Texas’s data center footprint grows, surging demand is expected to drive electricity prices higher, making strategic energy procurement more important than ever for Texas businesses. 

Lock In the Lowest Texas Energy Rates Today

Everything might be bigger in Texas, but your energy bill doesn’t have to be. Help your business secure the best commercial energy rates in Texas by requesting a free quote today.

About the Author Tim Trus picture

Tim Trus

Published March 26, 2025

Tim Trus is the Vice President of Operations at Integrity Energy, specializing in energy market insights and pricing strategy. With more than a decade of leadership experience, he helps…