Waco is part of the deregulated energy market in Texas, where you can choose your electricity provider instead of being tied to one utility. Deregulation gives you more control over your plan type, pricing, and the company you work with.
While electricity rates in Waco start as low as 10.9 cents per kilowatt-hour (kWh), they can rise well above 24 cents per kWh. Selecting the right electricity company and energy plan for your home can have an outsized impact on your total energy costs and the budget for your home.
We’ve put together this guide to help you demystify the energy shopping process in Waco. We’ll break down how to decipher energy plans, which ultra-cheap rates to avoid and how to switch energy providers in the Heart of Texas.
Current Waco Electricity Rates
The cheapest electricity rates in Waco start at 10.9 cents per kWh for fixed-rate plans with 12 or 24-month terms. While the lowest price might make sense when shopping for groceries, it’s not always the best idea for energy plans. Some Waco electricity companies use gimmicks like bill credits to advertise a low price, but increase the cost if your usage does not fall within a certain range.
We recommend searching for value over just chasing the cheapest rate. The best electricity rates in Waco come with simple pricing, no hidden fees and offer predictable bills. A good plan should match and benefit your home’s energy use. Hot Waco summers can spike electricity rates, so we recommend securing your plan before demand rises for the summer.
In the table below, you can find the cheapest electricity rates in Waco and some of the best energy plans for predictable monthly energy costs.
| Provider | Plan name | Term | Rate (¢/kWh) |
|---|---|---|---|
|
Frontier Utilities |
Frontier Saver Plus 12 |
12 months |
10.9 |
|
Express Energy |
Flash 12 |
12 months |
11.0 |
|
Gexa Energy |
Gexa Eco Saver Plus 12 |
12 months |
11.0 |
|
Express Energy |
Flash 24 |
24 months |
11.0 |
|
4Change Energy |
Maxx Saver Select 24 |
24 months |
11.0 |
|
4Change Energy |
Maxx Saver Select 12 |
12 months |
11.0 |
|
Gexa Energy |
Gexa Eco Saver Plus 24 |
24 months |
11.0 |
|
Frontier Utilities |
Frontier Saver Plus 24 |
24 months |
11.0 |
|
Cirro Energy |
Simple Bill Credit 24 |
24 months |
11.4 |
|
Cirro Energy |
Simple Bill Credit 12 |
12 months |
11.4 |
|
Tri-Eagle Energy |
Simple Savings 12 |
12 months |
15.8 |
|
Frontier Utilities |
Frontier Budget Saver 12 |
12 months |
16.3 |
|
Veteran Energy |
Secure 12 |
12 months |
16.3 |
|
4Change Energy |
One Rate 24 |
24 months |
16.7 |
|
4Change Energy |
One Rate 12 |
12 months |
16.7 |
|
Gexa Energy |
Gexa Light Saver 12 |
12 months |
17.2 |
|
Frontier Utilities |
Platinum 12+ |
12 months |
18.4 |
|
TXU Energy |
Simple Rate 12 |
12 months |
19.3 |
|
Payless Power |
12 Month – Prepaid |
12 months |
19.3 |
|
Gexa Energy |
Gexa Eco Saver Advantage 12 |
12 months |
21.2 |
Rates updated as of May 2025, based on the Oncor service area for zip code 75001. Average rates are for a home with an average monthly usage of 1,000 kWh.
Average Electricity Rates in Waco
The average electricity rate in Waco is about 18.03 cents per kWh for homes in the Oncor Electric service area. How much you pay depends on your energy usage and plan choice. For example, homes using 1,000 kWh per month pay 17.2 cents per kWh on average, while those using 2,000 kWh pay a slightly lower average rate at 16.9 cents per kWh.
Waco electric rates land above the 14.89 cents per kWh Texas average based on U.S. Energy Information Administration (EIA) data from February 2025. Here’s what you can expect to pay depending on your home size and usage, based on current average electricity rates in Waco:
- Apartment or small home (500 kWh): $100 per month
- 2-3 bedroom home (1,000 kWh): $172 per month
- Large home (2,000 kWh): $338 per month
Some plans include tiered pricing or bill credits, which may impact what you pay based on your usage. Read the electricity facts label (EFL) to avoid surprise costs and choose a plan to match your home size and energy habits.
What Makes a Good Rate in Waco?
A good electricity rate in Waco helps you save money compared to what you currently pay and supports your usage all year, especially during high-demand months. Right now, the cheapest rate is 10.9 cents per kWh, but our recommended plans charge between 15 and 18 cents per kWh.
You know you’re getting a good rate when you find a 12-month fixed-rate plan without gimmicks below 16 cents per kWh. These plans may have a slightly higher average rate than the cheapest electricity rates in Waco. But, you might actually save money with more predictable bills and less confusing terms.
Energy use generally increases as temperatures rise, and more Waco residents use air conditioners. Based on EIA data from the past three years, it seems prices stay fairly steady through July but jump in August and September. So, there’s still time to lock in a good rate before prices go up.
Top Recommended Electricity Companies in Waco
You have over 30 retail electricity providers (REPs) in Waco to choose from, according to the Public Utility Commission of Texas (PUCT). But not all offer the same level of customer support or price transparency.
While Oncor Electric is the Transmission and Distribution Utility (TDU) handling power delivery, your provider offers plans, sets rates, and manages billing. That’s why it’s important to carefully review and compare your options to make sure you get the best rate with a trusted provider.
We review Waco energy providers based on customer service, retention, and experience to help you easily compare your options. Based on our review of dozens of top light companies in Waco, TXU Energy, Reliant Energy and Green Mountain Energy earned some of our highest scores, with 4.9 out of 5 stars for each provider.
Here’s a look at our top picks for 12-month gimmick-free fixed-rate plans:
| Provider | Rating (out of 5) | Top plan | Rate (Cents per kWh) |
|---|---|---|---|
| Green Mountain Energy | 4.9 | Pollution Free e-Plus 12 | 17.8 |
| Reliant Energy | 4.9 | Reliant Secure Advantage 12 | 18.8 |
| TXU Energy | 4.9 | Simple Rate 12 | 19.3 |
| TriEagle Energy | 4.8 | Simple Savings 12 | 15.8 |
| Express Energy | 4.8 | Express 12 | 16.7 |
| 4Change Energy | 4.7 | One Rate 12 | 16.7 |
Understanding Waco’s Energy Market
Deregulation began in 2002 to create competition between energy providers instead of having an electric monopoly. This system gives you the power to choose your energy provider in Texas. Deregulation means you can save money on your bills when you shop around and compare plans based on your actual usage.
The Electricity Reliability Council of Texas (ERCOT) oversees the market to ensure a reliable grid and a fair, competitive market. ERCOT balances supply and demand to prevent frequent outages.
While you purchase your energy plan from an energy company, your utility delivers the power and maintains the electric infrastructure in your area. When your power goes out in Waco, you should call Oncor to report the outage, not your light company.
You’ll also notice charges from Oncor on your monthly energy bill. The PUCT sets these delivery fees. They’re the same throughout Waco, regardless of your chosen light company. Providers list these utility delivery fees in the EFL, and you can also find them on your monthly bill or Oncor’s website.
How To Choose the Right Electricity Plan
We know your first instinct might be to search for the lowest electricity rate. And while the price per kilowatt-hour is important, there’s more to picking the right energy plan. The best option depends on how much energy you use, when you use it and how long you want the same plan.
Here’s what to look out for:
- Know your usage pattern: Review past energy bills to see how much power you use each month. Consider how your usage spikes or drops to help you find a Waco electricity plan that truly benefits your needs.
- Understand the EFL: Every plan in Texas includes an EFL, which lays out the rate, contract terms, and potential fees. You can use it to compare plans and ensure you get the best deal.
- Consider contract length: In Waco, you’ll find plans lasting six, 12, 24, and 36 months. We recommend securing a 12-month plan so you can shop around for the best price each year. However, you could save if you lock in a super long-term low rate if it fits your energy usage and needs.
- Review cancellation policies: Most fixed-rate energy plans charge you a flat fee or by the number of months remaining when you cancel a contract before it ends. Check the early termination fee (ETF) before switching providers to make sure the cost is worth it.
- Check customer service ratings: Some Waco energy companies are more well-known for their customer service than others. Check provider reviews to know what to expect. TXU Energy and Reliant Energy earned top ratings for customer service in our 2025 reviews.
- Look for hidden fees: Some Waco electricity providers charge extra if you use too little electricity or miss a payment. You can find these potential fees listed in your EFL. Reading this document can help avoid bill shock later.
Types of Electricity Plans
Waco residents can choose from several energy plan types. Each one works differently and may fit certain households better than others. Before you pick a plan, consider the following:
- Fixed-rate plans: These plans set your rate per kilowatt-hour for the length of your contract. Fixed-rate plans are best for those who prefer predictable bills.
- Variable-rate plans: Your rate can change monthly based on market conditions, but you’re not locked into a contract. We don’t recommend variable rates due to how unpredictable the market can be.
- Prepaid plans: Pay upfront for electricity and add funds when needed instead of paying at the end of your billing cycle. These plans don’t require a credit check or security deposit, making them useful for anyone who wants to avoid large upfront costs. The provider will shut off your power if your account balance reaches $0.
- Time-of-use plans: These plans charge different rates based on when you use energy. Some options include “free nights or weekends” plans. Time-of-use rates might help those who can shift their usage to fit the free period, like doing laundry overnight or using air conditioning on the weekend.
- Green energy plans: These offset your energy use with renewable power, such as wind or solar. Some power companies in Waco offer 100% green energy plans, while others are partially renewable. You can find green energy plans in Waco from top providers such as TXU Energy, Gexa Energy and Green Mountain Energy.
- Bill credit plans: Take advantage of monthly discounts if your usage meets preset kilowatt-hour requirements, such as exceeding 1,000 or 2,000 kWh. However, your rate will skyrocket if your usage doesn’t meet the agreed-upon threshold.
Business Electricity Rates in Waco
Commercial energy in Texas tends to be cheaper than residential energy rates. According to recent data from the EIA, the average business energy rate is 8.64 cents per kWh, while the average residential rate is 14.89 cents per kWh.
When shopping for commercial energy in Waco, providers often offer customized quotes based on your business size, usage habits, and contract length. Whether you run a restaurant downtown or a retail shop in Woodway, you can find an energy plan that helps you save money on energy costs.
Oncor helps small businesses in Waco cut energy costs through its Small Business Direct Install Program. You can get a free energy assessment and save 30% to 70% on energy-efficient lighting or refrigeration upgrades if your business uses 200 kilowatts (kW) or less. Oncor pays the incentive directly to the service provider, so you only cover your portion of the cost.
Making the Switch: How To Change Providers
Switching electricity providers in Waco is simple, especially if your contract ends soon or you’re on a month-to-month plan. The process takes just a few minutes online or over the phone, and some providers let you start service on the same day.
You won’t lose power during your switch, as Oncor manages the electric delivery, no matter which energy provider you choose.
The best time to switch is when you find a deal that helps you save money and won’t be more expensive when your plan ends. Due to mild weather and reduced energy demand, you can find the best rates in spring and fall.
Review your current contract for any ETFs before switching providers. The cost varies by company and plan, but it’s usually listed on your plan’s EFL. You won’t have to pay an ETF if you cancel your plan because you’re moving outside the company’s service area. All you have to do is contact customer service and provide proof of your new address.
Steps To Switch Providers
Follow these simple steps to switch energy providers in Waco:
- Compare plans in your neighborhood: Enter your ZIP code into a marketplace site such as Home Energy Club to compare available plans for your home.
- Filter based on your usage needs: Once you know your home’s energy usage, review your options and narrow down to your preferences for plan type, rate and contract length.
- Sign up and enjoy your service: Signing up online or over the phone takes just a few minutes. Provide your address, identification and service start date, and your new provider will handle the rest.
Waco Power Infrastructure and Outages
Oncor Electric handles power lines, poles, and outages in Waco. No matter which electricity company you choose, Oncor delivers electricity and repairs grid issues. Contact your utility company if your power goes out or you notice downed lines or broken poles.
Ever since Winter Storm Uri in 2021, Oncor has been working to upgrade and improve the grid to prevent weather-related outages. The utility created the System Resiliency Plan, including a $3 billion investment over four years to help restore power faster, prevent damage and lower costs over time.
Frequently Asked Questions
What company has the cheapest electricity per kWh near Waco, TX?
The cheapest energy rate in Waco is 10.9 cents per kWh from providers such as 4Change Energy, Frontier Utilities and Gexa Energy. While this rate is way below the Texas average, check the EFL to understand the plan before signing up. Cheap energy plans may use gimmicks to make you think you’re getting a good price until your bill shows up and costs more than expected.
What company provides electricity service to Waco?
Oncor Electric delivers power to homes in Waco while your chosen energy provider supplies your electric plan. You work with both the utility and the electric company, but each has a separate role.
How much does electricity typically cost in Waco?
The average electricity rate in Waco is 18.04 cents per kWh, but you can find plans with cheaper prices. Some of our recommended 12-month simple fixed-rate plans cost about 13% less.
What’s the best electricity company in Waco for homeowners?
The best electricity company for you depends on your energy needs and preferences. Our top-rated energy providers include Green Mountain Energy, Reliant Energy and TXU Energy. Each company received a 4.9 out of 5 stars in our provider reviews.
Our Rating Methodology
The This Old House Reviews Team supports our energy provider ratings and recommendations with a transparent, research-backed provider review methodology. Our process includes surveying electricity customers in deregulated markets like Texas, analyzing customer review trends, conducting mystery shopping, and consulting with energy experts. Each provider is scored based on performance in customer satisfaction, loyalty, digital experience, and service quality to produce a final rating on a 5-point scale.