How to switch electricity providers in Texas

How do you switch electricity providers in Texas?

You choose a new plan, authorize the new provider to serve your address, and select when the change should take effect. The new provider submits the switch through Texas's retail market. Do not ask your old provider to disconnect service; that is a different request and could turn off your power.

The enrollment form is only one part of the decision. Recent usage, the new plan's documents, and the current contract length and end date can provide a clearer picture of the cost and whether an early termination fee could apply.

Your old provider remains the provider of record and bills you through the effective switch date. The new provider takes over after that date. The local utility keeps delivering power across the handoff, so no one rewires the home or replaces the meter.

What should you check before switching?

Four pieces of information can help with a plan comparison: recent usage, the current contract, the new plan's full price formula, and any feature that would end or begin with the switch. How much detail is useful depends on the plan—a simple fixed rate usually takes less analysis than a plan with credits, tiers, or time-based pricing.

How much electricity do you typically use?

A recent bill shows the home's electricity use in kilowatt-hours, or kWh. That number can be more relevant than the 1,000 kWh benchmark shown in a plan listing. Looking at bills from different seasons gives a fuller range, but it is most useful when the plan's price changes sharply with usage.

Texas electricity use changes sharply with weather. A plan that looks good at 1,000 kWh may perform differently when a mild spring month uses 600 kWh or an August bill reaches 1,800 kWh. If the offer includes a bill credit or free hours, the mismatch can be large.

When does the current contract end?

The contract-expiration notice or provider account may show the end date. The current Electricity Facts Label and Terms of Service show whether an early termination fee, or ETF, applies before that date.

The end date is not always the signup anniversary. A notice may state a calendar date or tie expiration to a meter read. When the wording is unclear, the current provider can identify the first date a switch can take effect without a fee.

What does the new plan's EFL say?

The Electricity Facts Label, or EFL, is the standardized disclosure for a Texas electricity plan. It shows the average price at 500, 1,000, and 2,000 kWh, plus the energy charge, base charge, delivery charges, credits, term length, renewable content, and termination fee.

When the formula includes a credit, minimum-use fee, tier, or free period, recalculating it at the home's likely usage can reveal costs that one benchmark does not. An apples-to-apples comparison uses the same kWh and the same measure of cost for each plan—for example, two estimated total bills rather than one energy charge and one all-in average price.

Which plan features matter to the home?

Price is one part of the change. A switch may also affect solar buyback, an EV charging benefit, a thermostat or battery program, autopay terms, or a service bundled with the account. The value of those features depends on whether the home actually uses them.

The new provider may also run a credit check or require a deposit. Its enrollment terms can show the deposit amount, due date, and refund conditions.

What happens after you enroll with the new provider?

The new provider sends your authorized switch request to the market registration system, which coordinates the effective date with your utility. You receive an approximate scheduled date, and the providers should tell you if they know of a delay.

For a standard switch, the effective date follows the market schedule. If you ask for a particular eligible date, the provider can submit a self-selected switch for that date. Availability depends on the provider, the utility tariff, and the condition of the account. The enrollment confirmation records the scheduled date; an earlier estimate may be approximate.

The handoff creates two account events:

• Your old provider closes its service period. It sends a final bill for electricity used through the switch. Any valid balance or ETF still applies.
• Your new provider opens its service period. Its first bill begins after the switch and may cover a shorter or longer-than-usual first cycle.

Those bills can arrive close together, but they should not charge two providers for the same electricity. If the periods appear to overlap, the service dates and meter usage can show whether the bills cover separate consumption or contain a duplicated charge. Either provider can investigate a suspected billing error.

Texas rules also give you a right to rescind a switch without a fee for three federal business days after you receive the Terms of Service. A move-in at a new address does not have that rescission right. Exercising the right requires notifying the new provider within the three-business-day period.

Will switching providers cause an outage?

No. A normal same-address switch is an electronic account handoff, not a disconnection, so it does not require a technician visit and should not interrupt power.

The company that owns the poles, wires, and meter—your transmission and distribution utility, or TDU—does not change. Its crews handle outages in the same order, its regulated delivery charges remain the same for every provider, and the electricity reaches the home over the same equipment.

The transaction type matters. A disconnect request creates a move-out rather than a switch and can turn off the meter. At the same address, the new provider's switch request closes the old account through the market handoff.

How does timing affect a switch?

For an expiring fixed contract, a switch that takes effect within the final 14 days before the expiration date in the notice is protected from an early termination penalty. A switch that takes effect earlier may still trigger the contract's disclosed ETF.

You may compare plans and enroll before the window opens; the effective date is what matters. If you request an immediate switch too early, the current provider can still assess its disclosed ETF.

If the contract has already expired and the account is on a month-to-month holdover product, a switch does not carry an ETF. The alternatives are accepting a renewal, choosing another plan, or remaining on the holdover product. Their prices and features may differ even when they come from the same provider.

Leaving earlier can still cost less overall when the expected savings exceed the fee. One way to estimate that tradeoff is:

monthly savings × months remaining − ETF = net savings

Using the same usage for both plans, a $20 monthly difference over three months produces $60 in projected savings—$90 less than a $150 ETF. A $40 monthly difference over six months produces $240 in projected savings, or $90 after the fee. Credits and time-of-use pricing make the estimate more dependent on future usage patterns.

How is switching different from moving?

A switch changes providers at the same occupied address; a move-in starts service for an occupant at a different address. The enrollment identifies which transaction applies because they use different market requests, timelines, and cancellation protections.

A move typically involves closing service at the old home and opening a separate account at the new one. Texas's relocation rule protects you from an ETF when you leave the contracted premises, provide a forwarding address, and give reasonable evidence of the move if the provider asks. You do not have to transfer the old plan to qualify.

Some providers and utilities support same-day or priority move-ins, usually subject to a cutoff time, meter status, and possible fee. Those options apply to a genuine move rather than a provider change at an occupied address. Arranging service earlier provides more room for any deposit, identity, or meter issue to be resolved before move-in day.

Renters can switch when they are the customer named on the electricity account and the address is in the competitive market. If electricity is master-metered or included in rent, the landlord or property manager is the customer of record and chooses the provider; the individual tenant cannot switch that shared account. The apartment electricity guide explains how to identify the billing arrangement before move-in.

Can anything block, delay, or reverse a switch?

Yes. A switch-hold, an incorrect address or account identifier, a deposit requirement, or a rescission request can stop or delay a switch. An unauthorized switch can also be reversed under Texas customer-protection rules.

A switch-hold is a market flag that prevents a provider change at an address. A provider may place one in limited situations, including while a customer is paying a deferred balance under a deferred payment plan. Paying an ordinary final bill late does not by itself erase the new service or create a switch-hold; the hold must be authorized under the rules.

If a new occupant discovers a hold left by someone else, the new provider can start the utility's removal process. Documents showing that the applicant is a different occupant may be required. A new occupant is not responsible for the prior customer's balance simply because it is associated with the address.

An unauthorized provider change is commonly called slamming. If a switch notice names a provider you did not choose, contact both the listed new provider and your original provider immediately. Texas rules require the market participants to return you promptly and correct the billing so you pay no more than you would have without the unauthorized change.

What details can cause problems during a switch?

The transaction type and effective date are two common sources of trouble. A disconnect order can turn off service instead of changing providers, while an immediate switch before the protected window can trigger an ETF.

Other details that may affect the result include:

• Plan features that end with the old contract: solar buyback, EV charging, device programs, and bundled services may not transfer.
• A deposit requirement: the amount and due date can affect when enrollment is complete.
• The final and first bills: their dates, kWh, rates, fees, deposits, and credits show how the handoff was billed.
• A rate that only works at one usage level: low, typical, and high usage can produce different results under the same EFL formula.

Whether switching is worthwhile depends on the current contract, the alternative plan, and the timing. The physical service remains the same either way.

Switching electricity providers FAQ

Will my power go out when I switch electricity providers?

No. A normal provider switch is an electronic account change on the same meter and utility wires, so there is no planned outage or technician visit. Do not ask your old provider to disconnect service; that is a different request and could turn off your power.

Do I need to cancel my old electricity plan?

Not for a same-address switch. The new provider submits the switch, and the old account closes on the effective date. The old provider then sends its final bill, including any valid early termination fee.

How long does it take to switch electricity providers in Texas?

Enrollment often takes only a few minutes, but the effective date depends on the requested switch date, the provider's processing, and the applicable utility schedule. The enrollment confirmation records the approximate scheduled date, and the provider must communicate known delays.

Can my old electricity provider stop me from switching?

Only a valid switch-hold can block the transaction in limited circumstances, such as an unpaid deferred balance under a deferred payment plan. Leaving a fixed contract early can still create an early termination fee even when the switch completes.

Can renters switch electricity providers in Texas?

Yes, when the renter is the customer named on an individual electricity account in a deregulated area. If electricity is master-metered or included in rent, the landlord or property manager controls the shared account.

Can I cancel after signing up with a new provider?

For a switch, Texas rules give you three federal business days after receiving the Terms of Service to rescind without a penalty or fee. That right does not apply to a move-in. A cancellation must reach the provider within the applicable period.

Sources and related reading

Texas's provider-selection rule, 16 TAC §25.474, covers enrollment authorization, scheduled switch requests, notices, and the three-business-day rescission right. The contract-disclosure rule, §25.475, establishes the final 14-day ETF protection and required plan documents. The billing rule, §25.480, explains when a switch-hold may apply, and §25.495 sets the remedy for an unauthorized provider change. The PUCT's electricity consumer help pages cover filing a complaint and other customer protections.

Reviewed July 22, 2026. This guide provides general educational information, not legal advice. Rules and plan terms can change; confirm current PUCT materials and your plan documents for your situation.

Continue with choosing an electricity contract length, early termination fees, how to read an Electricity Facts Label, bill-credit and free-nights plans, or set up electricity at a new address.