If you’re like most your electric bills eat up a significant amount of your income each month. The most important thing you can do is shop around for the lowest electric rate.
2 Investigates Amy Davis asked 4 Sugar Land customers to hand over their bills to see if we could save them some money.
And what she found can help you too.
This KPRC 2 investigation reveals Houston-area residents could save more than $1,000 annually by switching electricity providers, despite early termination fees.
Amy Davis and photographer Adrian Montes examined electric bills from four Sugar Land neighbors, uncovering significant price variations ranging from 12.1 to 19.5 cents per kilowatt-hour for essentially the same service.
“It’s what we see on a daily basis,” said Jennifer Coulter of Texas Power Agents, who analyzed the neighbors’ electricity plans.
The investigation found:
- Katherine Barnes pays the highest rate at 19.5 cents per kilowatt-hour with Reliant’s Free Nights and Weekends plan
- Sara Dupree pays 16.9 cents per kilowatt-hour with Payless Power on a month-to-month basis
- A third neighbor uses Tri-Eagle Energy at 15.7 cents per kilowatt-hour
- The lowest rate belonged to Adrian Montes at 12.1 cents per kilowatt-hour
Potential savings
Using only the state’s Power to Choose website, Coulter identified plans at 13.7 cents per kilowatt-hour that could generate substantial savings:
- Barnes could save $1,098 annually by switching providers
- Even after paying a $395 early termination fee for her Reliant contract, Barnes would net $1,800 in savings
- Dupree could save more than $1,200 yearly by switching to True Power or Octopus Energy
- The third neighbor could reduce their bill by $650 annually
Shopping for electric plans
“Hands down, the best option is always going to be the best fixed rate plan that you can find. It’s just that simple,” Coulter said.
When shopping for new electric plans, Coulter recommend:
- Focus primarily on the energy rate
- Find the lowest possible rate available
- Consider early termination fees when comparing plans
- Review contract lengths and terms
“It’s a very risky and expensive endeavor to get wrong, and it’s easy to get wrong,” Coulter warned.
RELATED: 3 common mistakes that could cost you more on your electricity bill
The investigation demonstrates that many Houston-area residents may be paying significantly more than necessary for electricity, and shopping around could lead to substantial savings despite potential termination fees.
A Reliant Energy spokesperson reached out to KPRC 2 News with the following statement:
“Reliant encourages our customers to call us anytime they have concerns with their bill to discuss whether they are on the right plan for their home and lifestyle and to see if lower priced options are available.”