Texas Electricity Bill Calculator
State: Texas (TX) · Sector: Residential · EIA Benchmark: 14.50¢/kWh ($0.1450)
Period: June 2026 · Source: U.S. Energy Information Administration (EIA) (Electric Power Monthly Table 5.6.A)
Texas residential electricity rates average 14.50¢/kWh according to EIA benchmarks. Texas operates an independent power grid managed by the Electric Reliability Council of Texas (ERCOT), covering ~90% of the state. In deregulated areas (~85% of Texas), consumers choose competitive Retail Electric Providers (REPs) while regulated Transmission and Distribution Utilities (TDUs) deliver the power.
EIA residential electricity price benchmark: 14.50¢/kWh
This is a state-average benchmark from EIA, not a guaranteed residential tariff. Your actual electricity bill can vary by utility, electricity plan, usage, fixed charges, taxes, riders, and other applicable charges.
Texas Electricity Bill Calculator
Calculate your estimated power bill using the EIA Texas benchmark, sample utility presets, or your custom residential rate.
Editable. Enter your total volumetric supply + delivery rate per kWh from your power bill.
Sample assumption for account & meter charges. Customer charges are utility-specific and not statewide; enter $0 if your tariff has no base charge.
Local municipal taxes and state regulatory riders vary by jurisdiction. Set to 0% for pure volumetric energy cost.
Texas Electricity Bill Formula
The calculator distinguishes between the EIA Benchmark calculation (statewide weighted average) and a custom bill calculation with utility-specific parameters:
- Usage (kWh): Total monthly electrical energy consumed
- Rate ($/kWh): Blended volumetric energy supply & distribution rate (EIA benchmark or user tariff)
- Base Charge: Monthly customer meter service charge (utility-specific assumption)
- Taxes & Surcharges: Municipal utility taxes, environmental mandates, and regulatory riders
Worked Example: Average Texas Household
Based on Texas's average residential consumption of 1094 kWh/month at the EIA benchmark rate of $0.1450/kWh (14.50¢/kWh):
Key Electricity Cost Drivers in Texas
Residential electricity rates in Texas reflect an EIA benchmark average of 14.50¢/kWh (ranking #28 in the US). Several key factors determine local power prices and monthly bills:
Competitive retail electric market allowing consumers to compare and select Retail Electric Providers (REPs) on Power to Choose (powertochoose.org)
Unbundled billing separating regulated TDU pass-through delivery charges (poles and wires) from retail energy supply rates
Leading national generation capacity in wind energy (>40,000 MW) and rapidly expanding utility-scale solar farms across West Texas
High summer cooling loads driven by extreme heat waves, making average household consumption (1,094 kWh/mo) among the highest in the US
⚙️ Market Structure & Utility Model: Deregulated (Retail Choice)
In Texas, the electricity market is restructured. Consumers can shop for competitive retail electric generation supply from licensed Retail Electric Providers (REPs) or competitive suppliers, while their local regulated Electric Distribution Company or Transmission & Distribution Utility (EDC/TDU) delivers the power, maintains poles and wires, and resolves outages.
Natural Gas, Wind (#1 in US), Solar, Nuclear (Comanche Peak & South Texas), Coal.
Supervised by the Public Utility Commission of Texas (PUCT) for safety, grid reliability, and customer rates.
State average of 1,094 kWh/month per residential account.
Major Electric Utilities Serving Texas
Electricity distribution in Texas is managed by Investor-Owned Utilities (IOUs) / Electric Distribution Companies (EDCs), municipal power systems, and rural electric cooperatives. In retail choice territories, these utilities deliver electricity regardless of which retail provider supplies the generation:
| Utility / Distribution Entity | Classification | Primary Service Territory | Official Portal |
|---|---|---|---|
| Oncor Electric Delivery | Investor-Owned / EDC | Dallas-Fort Worth, North & Central Texas (TDU) | Official Site ↗ |
| CenterPoint Energy | Investor-Owned / EDC | Houston metropolitan area & Gulf Coast (TDU) | Official Site ↗ |
| AEP Texas (North & Central) | Investor-Owned / EDC | Corpus Christi, Rio Grande Valley, Abilene, Laredo (TDU) | Official Site ↗ |
| Texas-New Mexico Power (TNMP) | Investor-Owned / EDC | Gulf Coast, North Central, and West Texas (TDU) | Official Site ↗ |
| Austin Energy | Municipal / Public | City of Austin & Travis County (Regulated Public Power) | Official Site ↗ |
| CPS Energy | Municipal / Public | San Antonio & Bexar County (Regulated Public Power) | Official Site ↗ |
How to Lower Your Texas Electricity Bill
⚡ 1. Optimize Heating & Cooling Schedules
Heating and cooling account for over 50% of home electricity consumption. Setting smart thermostats to 78°F in summer and 68°F in winter can reduce monthly power costs by 10% to 15%.
🏷️ 2. Apply for Utility Bill Assistance
Low-income and senior households can access federal LIHEAP funding and utility-specific customer assistance programs for direct bill credits and weatherization support.
🌡️ 3. Claim Utility Rebates & Federal Tax Credits
Take advantage of federal Inflation Reduction Act (IRA) 25C tax credits (up to $2,000) and electric utility rebates for high-efficiency heat pumps, hybrid water heaters, and insulation.
☀️ 4. Evaluate Rooftop Solar & Net Metering
Rooftop solar paired with net metering or time-of-use storage can offset high grid consumption and protect against long-term utility rate increases.
Texas Electricity Cost Estimates by Household Usage
Estimated monthly bill for common consumption tiers using the Texas EIA benchmark rate (14.50¢/kWh) with sample customer charge ($10.00) and tax (0.0%) assumptions:
1-bedroom apartment / condo
Texas average household
Single-family home with AC/heating
High-consumption all-electric home or EV
Frequently Asked Questions: Texas Electricity Bills
What is the average electric bill in Texas in 2026? +
The average monthly residential electricity bill in Texas is approximately $155 to $170. Texas households consume an average of 1,094 kWh per month (due to intense summer air conditioning), which at the statewide average rate of 14.50¢/kWh results in an average monthly bill of ~$168.
How does electricity deregulation work in Texas? +
In deregulated areas of Texas (covering about 85% of consumers), electricity is split into two components: (1) Delivery, handled by your regulated Transmission and Distribution Utility (TDU, like Oncor or CenterPoint) who maintains the grid, and (2) Supply, which you choose from dozens of competing Retail Electric Providers (REPs).
What is a TDU / TDSP delivery charge on a Texas electric bill? +
TDU (Transmission and Distribution Utility) charges are regulated fees approved by the Public Utility Commission of Texas (PUCT). They cover the cost of poles, wires, meters, and storm restoration. These charges are passed through directly by your retail provider without markup.
How do I shop for electricity on Power to Choose (powertochoose.org)? +
Power to Choose is the official, unbiased electric choice website run by the Public Utility Commission of Texas (PUCT). Enter your ZIP code, filter by fixed-rate plans, and carefully check the Electricity Facts Label (EFL) for hidden fees or minimum-usage penalties before enrolling.
Are Austin and San Antonio part of the deregulated market? +
No. The City of Austin is served by Austin Energy (a municipally owned utility) and San Antonio is served by CPS Energy. Both operate as regulated public power utilities where residents do not choose retail providers but benefit from some of the lowest baseline rates in Texas.
How do solar buyback plans work in Texas? +
Because Texas does not have statewide mandated 1:1 net metering in deregulated areas, Retail Electric Providers offer competitive solar buyback plans. Rates vary from real-time wholesale pricing (RTW) to fixed credits per kWh or 1:1 bill credits up to your monthly consumption.
Authoritative Data Sources & Verification
Residential electricity rate benchmarks for Texas are derived from official published data from the U.S. Energy Information Administration (EIA) (Electric Power Monthly Table 5.6.A (Average Price of Electricity to Ultimate Customers by End-Use Sector)), the Public Utility Commission of Texas (PUCT), and utility regulatory tariff filings.
Dataset: Electric Power Monthly Table 5.6.A (Average Price of Electricity to Ultimate Customers by End-Use Sector) · Sector: Residential · Source Period: June 2026 · Verified: 2026-06.
Independent Consumer Disclaimer
ElectricityBillCalc.com is an independent informational and calculation resource. We are not affiliated with, endorsed by, or operated by the State of Texas, the Public Utility Commission of Texas (PUCT), local utility providers, or the U.S. Energy Information Administration (EIA). Actual residential bills may vary based on exact utility service territory, solar export credits, medical baseline allowances, local municipal taxes, and seasonal rate revisions.