Frequently Asked Questions
Everything you need to know about shopping for electricity in Texas with Watt Owl.
Getting Started
Watt Owl is a Texas electricity comparison tool that helps you find the best electricity plan for your home. We compare plans from retail electric providers across Texas to show you real costs based on your actual usage, not just the standard 500/1000/2000 kWh breakpoints.
Simply enter your ZIP code and estimated monthly usage. Our AI-enabled engine calculates your estimated bill for each plan, accounting for tiered rates, credits, and fees that can significantly affect your cost.
Yes! Watt Owl is completely free for consumers. We're a licensed Texas electricity broker, and we may earn referral fees or commissions from providers when you sign up through one of our links. But we show you plans from across the market and calculate estimated costs based on your actual usage, not just advertised rates, whether or not a provider pays us.
Switching Providers
Switching is straightforward and your new provider handles most of the process. Once you select a plan and sign up, they coordinate the transfer with your current provider. In a standard switch, there's no interruption in service - your lights stay on the whole time.
That depends on your current plan. Many plans have early termination fees if you switch before your contract ends. Check your Electricity Facts Label (EFL) or contact your current provider to find out. When you're shopping for a new plan, Watt Owl shows each plan's termination fees so you know what you're signing up for.
Most switches are completed within seven business days. There's no lapse in service during the transition, and you'll receive your first bill from your new provider on the following billing cycle. For more details, see the Power to Choose FAQ from the Public Utility Commission of Texas.
Yes. Once you sign up with a new provider, you'll receive a confirmation and have three business days to cancel without penalty. This is known as your "right to rescind" and is required by the Public Utility Commission of Texas. After that window closes, your switch will proceed and any cancellation would be subject to the new plan's terms.
Billing & Rates
A kilowatt-hour (kWh) is the standard unit for measuring electricity consumption. It represents using 1,000 watts of power for one hour. Your electricity bill is based on how many kWh you use each month.
Delivery charges are fees from your local utility (like Oncor or CenterPoint) for maintaining the power lines and delivering electricity to your home. Your provider collects these charges on their behalf. These charges are regulated by the state and are the same regardless of which provider you choose.
Check your past electricity bills or log into your Smart Meter Texas account to see your usage history. Most Texas homes use between 1,000-2,000 kWh per month, with higher usage in summer due to air conditioning.
TDSP stands for Transmission and Distribution Service Provider—the company that owns and maintains the power lines in your area. Another term for this is Transmission and Distribution Utility (TDU). In Texas, common TDSPs include Oncor, CenterPoint, AEP Texas, and Texas-New Mexico Power (TNMP). You can choose your Retail Electricity Provider (REP), but your TDSP is determined by your location. Delivery charges from your TDSP appear on every bill regardless of which provider you choose.
Fixed-rate plans lock in your energy rate for the contract term (typically 6-36 months), protecting you from price spikes. Variable-rate plans can change monthly based on market conditions—sometimes lower, sometimes higher. Many Texas consumers choose fixed rates for budget predictability, especially during hot summers when wholesale prices spike.
Rates vary by ZIP code because different areas are served by different TDSPs, and each TDSP has different delivery charges set by the state. For example, Oncor's delivery charges differ from CenterPoint's. Some providers also offer location-specific pricing. That's why Watt Owl asks for your ZIP code—to show you the right rates for your specific service area.
An Electricity Facts Label is a standardized disclosure document required by the Public Utility Commission of Texas. It shows a plan's average price at 500, 1,000, and 2,000 kWh usage levels, contract terms, fees, and renewable energy content. Watt Owl analyzes EFLs to calculate your estimated cost at any usage level—not just those three breakpoints.
