Abilene Electricity Rates and Plans (December 2024)

Editor’s note: Plans and rates were accurate at the time of writing for ZIP code 79605. They may vary over time and for other ZIP codes.

Texas is one of a few states with a deregulated electricity market, which means Abilene residents can shop around for an electricity provider and a rate that will potentially save them money on their electric bills. The cheapest electricity plan in Abilene is the PTC 3 Month plan from Payless Power, with a per-kWh rate of just 14.5 cents. The cheapest electricity rate in Abilene that guarantees 100% renewable energy is the Free Nights 36 plan from Chariot Energy, with a rate of 14.9 cents per kWh.

The table below lists the 20 most affordable electricity plans in Abilene that include 100% renewable energy. The EcoWatch team prioritizes eco-friendliness and seeks to help readers reduce their carbon dioxide emissions, so we’re only including plans here that use entirely clean energy.

How To Choose the Best Electricity Plan in Abilene

When searching for the best electricity rates in Abilene, keep in mind that rates and the average cost of electricity can vary based on numerous factors, so you may be given a different electric rate than that of your neighbors. Here are a few things to consider:

Types of Electricity Plans

When choosing an energy provider in Abilene, you’ll be presented with a few plan options. Here’s an overview of the types of electric plans offered in Abilene, as well as their pros and cons, so you can pick which plan works best for you.

Fixed-Rate vs Variable-Rate Plans

All electricity plans in Abilene fall into two main categories: fixed-rate plans and variable-rate plans. Fixed-rate plans have set prices that are applicable throughout your entire contract, so your rates won’t change regardless of the market price of electricity.

Fixed-rate plans can either have a single rate that applies no matter when you consume your electricity, or they can be time-of-use (TOU) plans, which have different rates based on the time of day or the day of the week you consume power. No matter what, though, fixed-rate plans have predetermined prices for electricity, and those won’t change for your entire contract.

A variable-rate plan doesn’t have predetermined rates, and you’ll instead be charged based on the market price for electricity when you consume it. Variable-rate plans are subject to rate spikes during times of high demand or natural disasters, but the price you pay can also dip below what you’d get from a fixed-rate plan, so there are pros and cons to both options.

Variable-rate plans are usually month to month, so they don’t require a commitment, whereas fixed-rate plans lock you into a contract — usually for 12 to 36 months — and charge cancellation fees if you back out early.

Based on the history of electricity prices over the past year in Abilene, a fixed-rate plan would have saved you a bit of money, based on average prices in the area. The average cost per kWh with a fixed-rate plan recently was 17.39 cents, and the cost per kWh for variable-rate plans in Abilene was 17.98 cents.

Green Energy Plans

Green energy plans in Abilene promise that at least a certain percentage of the power you pull from the grid comes from clean energy sources. These can include solar, wind, hydroelectric and other renewable resources. All the green plans available in Abilene use some percentage of renewable energy, but they’re broken out into a few tiers based on the percentage of renewables use they guarantee:

• 0% to 25%
• 26% to 50%
• 51% to 75%
• 76% to 99%
• 100%

We strongly recommend choosing a 100% renewable energy plan, as this will minimize your reliance on fossil fuels and have the greatest positive impact on your carbon footprint. In general, green energy plans tend to have per-kWh prices that are slightly above average, but some of the 100% renewable energy plans in Abilene actually have below-average rates. This is ideal, as it minimizes your carbon dioxide emissions but still saves you money on your utility bills.

Green energy plans can have either fixed or variable rates, including static and TOU fixed rates, so no matter which rate structure works best for you, you should be able to find a green plan that suits you.

Check out the short video below on how to reduce your carbon footprint, including how a green energy plan can help:

Your Energy Usage

The level and timing of your energy consumption are important factors to consider when choosing an electricity plan in Abilene. Of course, you’ll see charges for each kWh you consume, so the more power you use, the higher your bills will be. However, how your electricity usage affects your bill is a bit more nuanced than that.

First, when you consume power will make a difference if you have a TOU plan. Most TOU plans have lower rates during overnights and in the early mornings, so if you tend to use the most electricity during those off-peak times, you could save some serious money if you chose a TOU plan. For example, if you charge an EV overnight or only run air conditioning while you sleep, a TOU plan may end up being cheaper.

Second, all retail electricity providers (REPs) in Abilene have rate tiers based on how much electricity you consume per month, on average. They provide average rates to homeowners that consume around 1,000 kWh per month. Most people will fall in this tier, as the average electricity consumption in Abilene is around 1,172 kWh per month.

You’ll see higher rates if you consume an average of 500 kWh per month and the lowest rates if you use an average of 2,000 kWh per month. I recommend you check your most recent electric bill to see your average consumption and then shop plans based on your tier. Some REPs offer steeper discounts for higher rates of consumption, so shopping specifically in your tier could end up saving you money.

Contract Length

All fixed-rate electricity plans in Abilene include a contract term, which tells you how long you’re agreeing to be locked into your plan and rate. Most REPs have contracts that last for 12, 24 or 36 months, but there are some exceptions.

Some REPs charge higher rates for shorter contracts (most variable-rate plans and some shorter fixed-rate plans) because they’re only guaranteed your business for a short amount of time. Others will charge higher rates for longer contracts because they’re taking a risk and betting that the market price for energy won’t increase significantly over that contract term. If it does, they’d lose money while you save on power, so prices can increase to account for those potential losses.

Make sure you pay careful attention to your contract term, as well as early cancellation fees. Shorter contracts like year-long fixed-rate plans and month-to-month variable plans give you more flexibility, but you don’t lock in a low rate for as long. Longer contracts smooth out your electricity costs over time, but they could end up costing you more if the market price of electricity dips during your contract.

Electricity Facts Label

When shopping for an energy provider, always ask for an Electricity Facts Label (EFL). Similar to a nutrition label you see on packaged foods, an EFL will give you all of the information about a company’s electricity prices, contract lengths and terms, sources of generation, and emission levels. Here’s an example of what that’ll look like:

Watchouts

When you’re choosing your energy plan, I recommend you pay the closest attention to your rate structure. Make sure you know whether or not your rate can change and, if it can, how and when. For TOU plans, make sure you fully understand how the day of the week and time of day affects your rates so that you can plan for maximum savings.

Additionally, there are some utility company scams to be aware of in Abilene. Some reports have surfaced of scammers calling and pretending to be from a customer’s REP and demanding payment over the phone to continue service. Others include scammers going door-to-door collecting payment for supposed bill reductions or energy efficiency equipment or soliciting personal information.

AEP, the utility company that services most of Abilene, has also reported scammers requesting to see utility bills, supposedly to gauge whether or not they can save you money. They then take your information to switch you to a different REP, potentially landing you with higher electricity costs.

To keep yourself safe from utility company scams, never provide personal information, payment information or even a copy of your utility bill to anyone going door-to-door or calling over the phone. If in doubt, end the conversation and then call your REP directly to verify information you were given and report the scam, if necessary.

Understanding Deregulated Energy in Abilene

Texas deregulated its energy market in 1999, and since then, Abilene customers have been able to shop around for different electricity plans and rates. Energy deregulation can easily lead to confusion about the players in the energy market and where you have a choice of providers.

Before we get into the difference between utility companies and Abilene electric companies, it’s worth mentioning that all homes in Abilene are serviced by a single transmission and distribution utility (TDU): AEP Texas North. This company and the production facilities that it purchases power from are still regulated by the government, as are the prices the production facility and the TDU charge per kWh.

You only have a choice of your REP, which is the company that markets and sells electricity to consumers and acts as an intermediary between you and your TDU.

Deregulated energy markets might be a bit puzzling, but they tend to provide some unique benefits to customers. First, the competition among REPs usually means the average cost of electricity remains as low as possible. Second, REPs battle to create the most appealing electricity plans for customers, and one way they try to get an edge is by offering 100% renewable energy plans.

These are great for the environment and help reduce emissions to a degree that would otherwise require homeowners to invest thousands in a rooftop solar array. The deregulation of the energy market in Texas has led to an uptick in how much renewable energy is used in electricity plans. In Abilene, all plans include some percentage of clean energy, and more than 20% of all plans include 100% renewable energy.

Read Also: What Are the Best Energy Rates in Texas?

What’s the Difference Between Utility Companies and Electricity Provider Companies in Abilene?

The term “utility company” refers to your TDU, which is the company that handles the delivery of electricity from power production plants to your home. The TDU owns and maintains power lines, electrical poles and service lines. It also responds to power outages and downed lines.

Even with the deregulation of the electricity market in Texas, you can’t choose your TDU. Every home is serviced by a single TDU, and in Abilene, it’s AEP Texas North. If you don’t choose an REP — or if your contract with an REP ends and you don’t enroll in a new plan — you’ll default to getting service directly from your TDU. This usually means slightly higher rates because you’re buying small amounts of power, whereas an REP buys at a wholesale rate and usually sells it to customers at a below-retail rate.

Retail electricity providers (REPs) are deregulated, so Abilene residents can choose the company or plan that works best for them and their budgets. There are 36 REPs registered to operate in Abilene, although not all of them consistently offer plans in the area.

REPs are responsible for buying power from the TDU, packaging it into energy plans and selling them to customers. They’re also responsible for collecting payments and managing collections, as well as providing customer service.

Abilene Electricity Rate Trends

Editor’s note: Information for the above table comes from the Federal Reserve Economic Data (FRED)

Electricity rates have been rising throughout the United States over the past decade, and Abilene rates are no exception. As you can see in the chart above, residential electricity rates in the city have surged in the past 10 years, increasing by nearly 53%.

One of the largest spikes year-over-year occurred between January 2021 and January 2022, with a single-year bump of just under 23%. That bump likely occurred for two reasons. First, the invasion of Ukraine by Russia affected natural gas prices worldwide. According to the U.S. Energy Information Administration, most of Texas’s electricity is produced using natural gas, so the costs of both are closely linked.

Second, Texas saw an unexpected winter storm in February 2021 that temporarily crippled the electricity infrastructure in many parts of the state. Abilene residents likely saw a surge in prices due to higher-than-usual demand and lingering inflation as production facilities sought to recuperate lost profits.

Choosing an Electricity Plan When Moving to Abilene

If you’re moving to Abilene, the prospect of having to sort through REPs and find an electricity plan among all of your other move-in tasks might be overwhelming, especially if you’re coming from a regulated state where you didn’t have to think about it. There are a few things you can do to make it easier on yourself and still get a good deal on electricity.

First, I recommend choosing an REP based on customer reviews. Simplifying the process by using this single metric will make things easier and faster for you. I also recommend choosing a fixed-rate plan, as this will provide some peace of mind that you won’t be subject to unusual rate spikes. A fixed-rate plan will also help you budget more accurately as you get accustomed to the other living expenses in Abilene.

Lastly, I suggest choosing a 12-month plan. This is long enough to give you some breathing room before you need to dig back in and compare Abilene electricity plans, but it also won’t lock you into a plan with an REP you’re unfamiliar with for years on end.

There’s one more important thing to note — you should choose and sign up with an REP about a week before you plan on moving in. For new service connections, you should expect to wait three to five business days before activation. You could choose a same-day service plan if there’s one available to you, but you’ll pay a premium for a rushed connection.

When you’re ready to compare power providers, you can follow the steps in the following section.

Switching Electricity Plans in Abilene

If you already live and get electricity service in Abilene and are planning on switching REPs, you can use some different criteria to pick.

Since you’re likely already familiar with the REPs in the area, you can choose based on personal recommendations from friends, family members or neighbors rather than relying on online reviews.

You might want to consider a TOU plan since you’re also familiar with how and when you consume electricity. You could stand to save money over a static rate plan.

I also recommend you double-check to see if your old electricity plan has officially ended. If it hasn’t you’ll likely be on the hook for an early cancellation fee. You can sometimes avoid this by choosing a new REP that offers to pay your cancellation fee for you in exchange for your business.

The only other thing to note is that you don’t have to wait the three to five business days for your new service to kick in. Since you’re already getting electricity service, your REP can switch over your plan remotely and instantly.

How to Choose Electricity Plans in Abilene

Switching to a new electricity plan in Abilene is simple and should only take you a few minutes. You can use the detailed guide below to help find and choose the best plan for your specific needs.

Just follow the steps below to find the best provider and electricity rate for you:

1. Scroll to the top of this page and enter your zip code.
2. Choose whether you’re switching providers or if you just moved to Abilene and need new service. If you’re getting new service, then you don’t need to worry about paying a cancellation fee for your current provider. If you’re currently enrolled in a contract with a different provider, you should contact them or check your contract for information on cancellation fees.
   Some providers don’t charge an early cancellation fee, and others charge $200 or more. In the next step, if you choose to have a live advisor help you, they can do the necessary research for you and potentially even help you reduce the cancellation fee.
3. You have three options to choose from. Advisor Plus+ is a paid service, but a live representative will help you choose the best plan for your needs. This is beneficial, as the cheapest plan isn’t always the best. The advisor will consider fixed and variable-rate plans, go over when you tend to use electricity to get the best time-of-use rates, check your bill to see how much electricity you use per month to secure the best prices and more.
   EnergyBot Advisor is a free service, and a plan is chosen for you based on criteria that you enter. This option delivers a less customized selection, but it should still meet the needs of most customers.
   Standard View is also a free service, but it requires the most work on your part, as you’ll need to look at the plan options and choose one manually. You’ll see the contract term, rate, discounts, renewable energy percentage and more for each plan available in your area.
4. If you chose one of the first two options in the previous step, you’ll get on-screen prompts to help you make the switch from your current provider to the new one selected for you. If you chose the Standard View prompt, you’ll get a list of providers with plan rates and terms, and you can simply click on Select Plan to move forward.
5. Finally, you’ll be prompted with a button that will take you to the provider’s site. You’ll also be told what plan to look for once you’re there to sign up and lock in your new rate.