Question: What is deregulation?

Answer: Electric deregulation began in Texas January 1, 2002, as a result of Texas Senate Bill 7, which enabled the State of Texas to restructure its electric utility industry. Customers now are able to "shop" for electricity from a variety of companies, called “retail energy providers” (REP’s), just as they would shop for groceries, automobiles or apparel. The electricity still flows across the same poles and wires and the existing electric utility in the area still maintains them. 

Question: What is a REP? 

Answer: A REP is a company that sells electricity to end-users, which include businesses as well as residents. Customers are now able to contract with a variety of REP’s for their electrical service. 

Question: Can I switch electric service to a new provider? 

Answer: Absolutely! That's the whole advantage of having the "power to choose"! 

Question: Where can I get more information regarding retail electric providers (REP’s) in Texas and deregulation in general? 

Answer: Call Golden Utilities to speak with a representative:

1-800-542-3448

OR

CLICK HERE TO GET YOUR FREE ENERGY QUOTE

Question: What do I do if my power goes out? 

Answer: Contact your local transmission and distribution provider - you should continue to contact them to report service interruptions or outages and for delivery related questions. 

Question: Do I have to switch, or do anything at this time? 

Answer: Residential customers that do nothing will automatically be placed in the “ ;price to beat” (PTB) rate category and will continue to receive electricity without interruption, as usual, at a generally lower rate than their current rate. Residential customers deciding not to switch will be switched automatically to Texas-New Mexico Power’s affiliated REP, First Choice Power, Inc., at the new reduced “price to beat” rate.

However, large business and commercial customers with demands exceeding 1,000 kW will not be protected under the PTB rate, and they will have to contract with an electrical provider to obtain the lowest rate. Not doing anything in this case, will result in higher rates.

Question: How will electric deregulation affect my electric rates? Will my rates go down? 

Answer: On January 1, 2002, rates for most customers were lowered. This is known as the "price to beat" (PTB) rate. The deregulation legislation, under regulation by the State Public Utilities Commission, required that the affiliated Retail Electric Providers provide this reduced rate to residential and small commercial customers (peak demand of less than 1 megawatt: usage over 1 MW typifies large commercial or industrial customers). The “price to beat” rates can be found on the State website.

At its website, the State indicates that the residential “price to beat” rate for First Choice Power will decrease customers’ rates by 18.08%, with the cost dropping from the former TNMP rate of 10.57 cents per kWh to 8.66 cents per kWh. 

Question: If I switch, will my new electricity be as reliable as before?

Answer: Yes. Since the transmission and distribution of your power will continue to be provided by your existing utility, you get the same level of reliability. Your local TDSP will continue to maintain the poles and wires, regardless of what provider is selected by the customers. The only thing that changes is savings and customer service.

Question: If I switch, will I need a new electric meter?

Answer: No. Customer meters are not supposed to be changed for service from a new REP.

Question: How will electric deregulation affect my electric rates?

Answer: On January 1, 2002, rates for most customers were lowered. This is known as the "price to beat" rate. The Public Utilities Commission of Texas (PUCT) required that the affiliated retail electric providers (REP’s) provide this rate to residential and small commercial customers with a peak demand of less than 1 megawatt (usage over 1 MW typifies large commercial or industrial customers). The “price to beat” rates can be found on the State website.

The State indicates that the residential “price to beat” for First Choice Power will decrease customers’ rates by 18.08%, with the cost dropping from the former TNMP rate of 10.57 cents per kWh to 8.66 cents per kWh.

Question: How long will the "price to beat" be in effect?

Answer: The "price to beat" will be in effect for a few years until the new deregulated market is stabilized and competition is assured.

The quality of your electric service will remain the same,

because legislators required the old electric companies to form

new companies to maintain the equipment, the wires,

electricity transmission down the lines, meter reading and repairs.

The new companies are called TDSPs...

which means  “Transmission, Distribution, Service Providers”. 

To protect electric consumers,

legislators have regulated who can bill users.

Electricity generation companies and TDSPs

can not bill you for their services.

Billing for consumers MUST be done by Retail Electric Providers,

but they can NOT read your meter or make repairs.

This is to protect consumers who decide

they want to change electric billing companies.

The only thing the REPcan do is negotiate your rate,

send your bills and answer questions with regards to billing.

With proper guidance, changing your billing company (REP)  

CAN MEAN THOUSANDS OF DOLLARS TO YOU!

START SAVING TODAY!

1-800-542-3448

Golden Utilities - Commercial Energy Quote - Texas Energy Consultants