First, check whether you choose the electricity company
In much of Texas, you choose a company and a plan before opening an electricity account. This is called retail choice. If you're used to one local electric company, it's an extra decision to make before moving day.
Start with your new address. Much of Houston, Dallas–Fort Worth, and other Texas cities has retail choice. Austin, San Antonio, and many electric cooperative areas work differently: you open an account with the local utility. City names and ZIP codes can cross utility boundaries, so confirm the full address, including your apartment number.
Our Texas electricity setup guide helps you find the right path. If you're renting, first ask the property whether you need your own electricity account or whether electricity is billed through the property. The apartment utilities guide explains those arrangements.
The rest of this guide is for an address where you choose a provider.
Why are there two electricity companies?
One company sells you the plan; another delivers the electricity. You normally open one account and receive one electric bill.
- Your provider is the company you choose. It handles your plan, account, payments, and billing questions.
- Your delivery utility owns the local poles, wires, and meter and handles power outages. It's assigned to the address. You may see it called a TDU, short for transmission and distribution utility.
For example, Oncor delivers electricity to much of Dallas–Fort Worth, and CenterPoint Energy delivers it to much of Houston. Their delivery charges are included in your provider's bill.
Choosing a provider does not change the wires serving your home or give you priority during an outage. What can differ is the price, plan features, billing experience, and customer service.
Your provider sends the start request to the utility, as AEP Texas explains in its service guide. You do not need a second enrollment with the wires company.
What should you look for in your first plan?
Start with a few simple fixed-rate plans. Compare their prices, contract lengths, and cancellation fees. You can narrow this down without reviewing every available offer.
Power to Choose is the Public Utility Commission of Texas's official plan-comparison website. You can find offers there or on providers' websites, then enroll with the provider. Confirm the exact plan name and terms match the offer you compared.
Open each plan's Electricity Facts Label, or EFL: the standardized document summarizing its pricing and contract. Focus on three things:
- How the price works. A fixed-rate plan keeps its contracted pricing terms for a set period, subject to permitted changes such as updated utility delivery charges. A variable-rate plan's price can change from month to month. Fixed rate does not mean the same dollar bill every month: using more electricity still costs more.
- The price at different usage levels. The EFL shows average prices at 500, 1,000, and 2,000 kilowatt-hours (kWh), the unit used to measure how much electricity you use. These are comparison examples, not amounts of electricity you purchase in advance. You pay according to your actual usage and the plan's formula.
- The commitment. Check the contract length and early termination fee for leaving before it ends. A longer term does not automatically mean a lower price. If you expect to move again, our contract-length guide explains how electricity contracts and leases fit together.
Use the EFL's average price, which includes recurring delivery and provider charges at the stated usage. The provider's energy charge alone may cover only part of the bill. Our EFL walkthrough shows where to find each number.
A quick price example: If a plan's EFL shows 16¢ per kWh at 1,000 kWh, that represents about $160 in recurring electricity charges at that usage: 1,000 × $0.16. Taxes and one-time charges can be extra. This is an illustrative price, not a current offer or a prediction of your bill.
How do you choose when you don't know your usage yet?
You don't need past bills or a precise usage estimate to choose your first plan. For an easy starting point, look for a fixed-rate plan with one energy rate per kWh, no usage-based bill credits, and no time-of-day pricing. That keeps the price straightforward while you get settled.
Pick two or three of those plans and compare their average prices at 500, 1,000, and 2,000 kWh. Those examples let you compare lower- and higher-usage months without predicting your exact usage. Look for a plan that compares well across the three, with a contract length and cancellation fee you're comfortable with.
Even a simple plan can show slightly different average prices at each usage level: a monthly base charge gets spread over more kWh as you use more electricity.
Bill credits and free nights can suit some households, but choosing them takes more knowledge of how much electricity you use and when. If an offer interests you, our bill credits and free nights guide explains how to evaluate it.
If your new home has solar panels, a battery, or an electric vehicle, specialized plan benefits may be worth considering. Our guides to solar buyback plans and home battery programs explain those options. For an EV, compare charging benefits alongside the cost of electricity for the rest of your home.
Once you've moved in, your bills will show your actual usage. Leave room in your budget for higher bills during hot weather, when air conditioning uses more electricity.
How do you get the electricity turned on?
Once you have a firm address and move-in date, choose your plan and request a move-in or start service with the provider. A “switch” is for someone changing providers at an address where they already have an account.
Allow several business days for account or address issues. If you need service sooner, ask the provider to confirm availability and any expedited-service charge.
Have these ready:
- Your full service address, including the unit number.
- The account holder's name and contact information.
- The date you need the account to start. For a rental, check the date your lease requires electricity in your name.
- Identity and payment information the provider requests. Ask whether a deposit or other upfront payment applies.
The provider can usually find the meter from the address. If it asks for an ESI ID, the identifier for your electricity service point, use our ESI ID lookup.
Save the confirmed start date and complete any outstanding account steps. Lights already working at the property do not establish an account in your name. If you have an electricity account at your old home, arrange its stop date separately.
New construction or a meter problem can require additional work. Confirm that with the builder, provider, or utility.
What should you do after moving in?
Check your first bill's address, service dates, plan name, and usage. A partial billing period or one-time setup charge can make the first bill different from a normal month. Our delivery-charge guide explains the utility portion.
Save the utility's outage contact and set a reminder about a month before your contract ends. At renewal, check whether the offered terms still suit your home. Staying with the same provider can be a good outcome.
Questions new Texas residents ask
Do I have to use the previous resident's provider?
No. If the address has retail choice and you are responsible for its individual electricity account, you can choose an available provider. Request a move-in under your own name, even if the lights are already on.
Will someone need to come to my home to turn on the power?
Often no, if the home already has a working meter that can be operated remotely. Confirm with the provider whether access, an appointment, or additional utility work is needed for your address.
What if I don't have U.S. credit history yet?
Ask the provider what identification and account options it accepts before enrolling. Requirements vary, and a deposit or payment in advance may apply. Compare the ongoing plan cost as well as the amount needed to start service.
Sources and further reading
This guide is published by Light, a Texas retail electric provider. Sources checked September 21, 2026: the PUCT's plan-disclosure rule, its credit and deposit rule, its Power to Choose guidance, and the AEP Texas service guide linked above.
For a specific next question, see which areas have retail choice, how to read an EFL, or how to decide whether to renew or switch.