If you’re looking for cheap electricity in Houston, TX, you’ve come to the right place. We compiled the best electricity plans in Houston from the top providers, ensuring that each electricity company we select meets our high standards for business stability, eco-friendliness, and transparent pricing. You can rest easy knowing you’re choosing the best from the best.

Partha Krishnamurthy, a marketing professor at the University of Houston, said he suspects that many people may be unaware they’re paying more than they need to for electricity, putting their bills on autopay and forgetting about the rates they pay. Most people don’t go to the trouble of changing banks, jobs or their electricity providers, for that matter, unless there are problems.
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Electricity or Gas Supplier License/Order #s: CA 1359, CTA0006, CTA0032; CT 01-06, 06-07-11, 06-02-17; DE 00-162; DC GA2012-12, GA06-2, EA01-5, GA 11-5, EA 06-5-4, GA03-5; GA GM-46; IL 02-0489, 03-0320, 16-0205,17-0330, 07-0498; IA G-0010; ME 2000-989, 2002-64; MD IR-3645, IR-655, IR-311, IR-500, IR-3644, IR-228; MA GS-053, GS-030, CS-015, CS-045; MI U-14066, U-14867, U-13660, U-13245; NE NG-0043; NH DM 17-024; NJ GSL-0074, GSL-0101, ESL-0016, ESL-0066, GSL-0132, GSL-0099, GSL-0150, ESL-0171; OH, 09-153G, 00-003E, 00-013E; OR ES4 (12-162); PA A-2016-2542899, A-125095, A-110036, A-2016-2547424, A-110110; RI 2379(Z1), D-96-6(E); TX 10014; VA G-26, G-34, G-36, G-51, E-11A
Prepaid electricity plans are yet another option available to Texas customers. Prepaid plans let you avoid credit checks and deposits by pre-paying for your electricity. Prepaid electricity plans typically do not have a fixed duration and operate on a pay-as-you-go basis. Shopping for prepaid electricity can often yield relatively cheap electricity with no deposit. See Prepaid Electricity: Is It Right For Me? for more.
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But in Houston, where there are 52 companies on Power to Choose each offering several different power plans, there might be too many choices. Economists have found that when confronted with a large number of choices, most people tend to do nothing. In one well-known behavioral economics experiment, researchers set out six samples of fruit jams at a grocery store, enticing 30 percent of shoppers to buy the product. But when they increased the number of samples to 24, only 3 percent of shoppers made a purchase.
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On the one hand, long-term, fixed-rate (contract) plans offer stability in pricing. If energy supply costs suddenly go up in your area, you won’t be left paying more than what you bargained for.  You’ll have peace-of-mind.  If you want to switch out of your contract before it ends with a lower cost plan, you’ll likely face a cancellation fee (early termination fee).
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