3 Things to Know When Picking an Energy Plan in Fort Worth
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Living in a deregulated market has its benefits, including your choice of energy plans. Fort Worth’s electricity market has no shortage of retail energy providers (REPs) to choose from, giving residents and businesses a variety of options. But how do you decide which provider and plan to pick?
Before signing up for an energy plan, here are a few things you should know.
Know your energy usage
When shopping for an energy plan, you should know how much electricity your home or business normally uses every month. Energy rates for the same plan may fluctuate based on usage tiers. There are three usage tiers: 500 kWh, 1,000 kWh, and 2,000 kWh. Some plans charge lower rates for the 1,000 kWh usage tier but significantly higher prices for customers only using 500 kWh per month. On the flip side, other plans favor customers who fall into the lower usage tier.
You can estimate your energy usage by reading your past electricity bills. Your previous consumption will be listed in kilowatt-hours (kWh)
Before shopping for a new plan, estimate your monthly consumption so you can search for plans that work for your usage tier. On marketplace sites like SaveOnEnergy.com, you can filter for plans based on your consumption to find the cheapest electricity rate for your usage tier.
Know when to buy
The energy market can be unpredictable, and electricity rates often fluctuate based on a variety of factors, including increased demand, changes in supply, and, most frequently, the weather. Prices tend to change over the course of the year. In Fort Worth, hot summer temperatures normally lead to increased energy demand as residents turn on their air conditioning. When demand goes up, electricity rates normally follow suit.
Knowing when to buy an energy plan can help you avoid paying higher rates. While prices often spike during hot summer months, REPs have historically charged lower rates when the weather is milder, like during the fall and spring.
The winter season is perhaps the most unpredictable time for energy rates in Fort Worth and the rest of Texas due to intense winter storms in recent years. While Fort Worth typically experiences mild winter temperatures, many residents remember the impact of Winter Storm Uri, which caused electricity prices to rise to $9 per kWh. The extreme energy prices are far from the norm in Fort Worth, however, it’s worth remembering that Texas winters can create volatility in the energy market.
Know your EFL
Every energy plan includes an Electricity Facts Label (EFL) that highlights every detail in a given plan. It’s important to review the EFL before signing up for a plan to ensure you understand the terms. The EFL includes information like the plan’s contract length, additional fees such as distribution charges, rate type, renewable energy content, and more.
Every plan has a unique EFL, including plans from the same REP. If you have questions about information found on an EFL, contact the provider directly to get clarification before signing a contract.
How to pick an energy plan
Choosing an electricity plan in Fort Worth can mean sorting through dozens of options from available energy providers. Knowing your usage, when to shop, and where to find detailed information about a plan can help you find one that works well for your needs.
SaveOnEnergy.com is a free energy marketplace where you can enter your ZIP code and immediately compare available energy plans from multiple providers in your area. If you have questions about a plan’s details, SaveOnEnergy has a team of experts standing by to help.
