Texas commercial electricity rates

Analyst note

The Texas commercial price sat above the U.S. average in 0 of 10 years; the gap was -2.49 ¢ in 2015 and -4.20 ¢ in 2024. In the 2024 ranking Texas sits between Virginia (8.72 ¢) one place above and Nebraska (8.39 ¢) one place below; the top of the list is 29.63 ¢ away and the bottom 1.36 ¢. Texas was 49th in 2015 with 8.15 ¢ and is 49th now; no move in the table. Texas commercial prices rose in 3 of 9 years. The largest rise was +14.7% in 2021, and the largest fall -5.7% in 2020. The Texas price peaked at 9.05 ¢ in 2022 and bottomed at 7.60 ¢ in 2020; 2024 is 5.5% below the peak and +12.5% from the low. Compounded, that is +0.53% a year in Texas, -1.50 points against the U.S. Texas buys 11.32% of all U.S. commercial electricity with 7.99% of the accounts, so the average Texas account uses 1.42 times the national average.

Texas commercial customers paid 8.55 ¢ in 2024, which puts the state 49th of 51, a bottom-ten position, 4.20 ¢ under the U.S. Nine years moved the Texas commercial price +4.9% (+0.5% a year), behind the U.S. by 14.9 points. The sharpest year was 2021 at +14.7%; the peak came in 2022.

The latest Texas year moved -3.1%, so prices have cooled. The Texas residential price of 14.94 ¢ sits 6.39 ¢ above. A Texas commercial account uses 8,790 kWh a month; priced at 8.55 ¢ that is about $752, and the sector buys 32.5% of Texas's power.

Counting revenue instead of kWh, Texas commercial accounts bring in 28.4% of Texas sector revenue on 32.5% of the kWh, a discount of 4.1 points that comes from the price level: 8.55 ¢ here against 14.94 ¢ for residential and 6.12 ¢ for industrial accounts. The average Texas commercial account uses 8,790 kWh a month, 5 of 51 among states on that measure; a residential account uses 0.12 times as much and an industrial account 4.44 times. Commercial accounts are 10.75% of the 14,481,048 accounts in Texas.