This report further illustrates the success of electricity deregulation in Texas.
Dallas, TX (PRWEB) July 10, 2012
According to numbers published by the Texas Public Utilities Commission, roughly 57% of Texas retail electricity consumers have switched to a competitive retail electric provider. The PUC numbers show a continued trend toward lower cost electric providers among consumers in deregulated areas of Texas. The report breaks the numbers down by the service areas of the 5 TDSPs in Texas. The TDSPs are the entities that maintain the wires and manage the physical distribution of electric power to homes and businesses.
The largest percentage of consumers who have switched to a competitive retail electric provider is in the area served by the Texas-New Mexico Power Company TDSP. TNMP serves an area that includes the city of Lewisville.
The report has been published periodically since deregulation began in Texas. It tracks the percentage of consumers who have left the legacy electric companies and switched to competing electric providers. Other areas of the state break down as follows:
- Oncor - 52.61%: Oncor serves the DFW area
- Centerpoint - 57.22%: Centerpoint serves the Houston area
- AEP Central - 68.94%: AEP Central serves the Corpus Christi area
- AEP North - 67.42%: AEP North serves the San Angelo area
- TNMP - 73.97%: TNMP serves the Lewisville area
Source: PUC Report Card on Retail Competition and Summary of Market Share Data
Texans are finding that by shopping for lower priced electric providers, they are being rewarded with the lowest prices in years. In a separate report, the PUC attributed the current cheap electric rates to three major factors:
- Lower natural gas prices
- More wind generated power displacing more expensive generation
- Increased completion
Current market changes including a raise in the cap on electricity rates in the wholesale power market in Texas could put upward pressure on rates going forward. The wholesale rate increase is deemed necessary by many in order to stimulate more private investment from the state’s power producers. Others point out that the additional revenue the producers realize from the increased cap is not guaranteed to increase production of electricity in the state and could just go into the pockets of the power producers raising retail rates without having any meaningful impact on grid capacity.
About Vault Energy Solutions
Vault Energy Solutions is proud to help consumers participate in the success of electricity deregulation in Texas. Our consumer website vaultelectricity.com has helped thousands of Texans shop for cheap electricity. Vault Energy Solutions is a Texas Electricity Aggregator