Tag Archives: Texas deregulation

The Recession is over, are you ready for prices to go up?!

Yes we can officially declare the worst recession in the US outside of the great depression is finally over. We can now go back to living our lives like there is a tomorrow and that the US will be leading the world to a better 21st century.

We know the recession is over because house prices dropped in Texas by almost 5% last year. Now I know if you’re in another part of the country 5% sounds like nothing when we are talking about the drop in housing prices in the recession, but in Texas that’s still 5% and we don’t like our homes to lose any value or anything else we own for that matter. With that being the case and our ability to weather most any economic storm due to our oil and gas state revenues, when Texas hits the bottom we’re the last chip to fall. Therefore, the recession is now over and we can all breathe a sigh of relief.

Unfortunately, for most of us, now with the recession over we will start to see an increase in almost everything we use especially electricity. Electricity on average is now at the lowest price point in relative dollars since 1960. That probably seems incredible to most of you but you just don’t realize how much more electricity we use now than in 1960. The biggest contributor to that usage is centralized air conditioning but there are many other culprits as well including all those computers, smart phones, flat screen TV’s, outside lighting, and so many other conveniences of today. The electricity grids we have built to date are almost all operating at close to capacity and with the advent of deregulation there is no “big daddy government funding” to provide for the necessary upgrades required for the next 30 years of growth.

Texas is projected to grow tremendously over the next 25 years and there is almost no way the electricity grid can keep up. Additionally, natural gas is at 10 year low prices and although we have discovered huge reserves of new gas it will not remain at these artificially low levels. Not to mention that with a reviving economy we will see demand for natural gas double over the next 10-15 years, since it is now the cheapest and cleanest burning fuel on the planet. Furthermore, with the implementation of EPA requirements for coal burning power plants, it’s very conceivable that our cheapest way to actually generate electricity may become even more expensive than wind power and solar energy.

The bottom line is that although we may now be in a recovery the price of our basic commodities will start to increase and as they do we will see the impact and one of those areas will be electricity. So if you think your electricity bill is high in the summer in Texas today, just wait a few years. It’s projected that electricity prices could easily double by 2020 and although that seems a ways out they will be steadily increasing from this point on. At the Texas Electricity Alliance we are working to make sure our customers are prepared for this and we are constantly working with them to improve their efficiency with their electricity usage and making sure they always have the best prices in the market.


Who is your Voice for Choice?

Electricity Voice for ChoiceTexas Electrical Co-ops: Good or Bad for the Texas Electricity Consumer?

OK, so like everything there are two sides to every coin. Electricity cooperatives have been around since Hoover (the president not the dam), but are they really needed anymore? If so, what benefit do they really provide the consumer? As you may have noticed, here at the Texas Electricity Alliance it’s all about the consumer. We believe many consumers who are trapped into electrical cooperatives would benefit from their specific co-op electing to participate in the deregulated electricity market in Texas.

On the one side, electricity co-ops have provided the necessary vehicle needed to get electricity to consumers who would normally not be serviced due to the high-cost to run electrical lines into their rural areas. By subsidizing this electrification of America, we have been able to cover almost 100% of our population with electrical services. Many of these areas would have never received electricity without government funding and the co-op structure has been a necessity to serve this community of users.

On the other side of the coin, over the past 30 years we have seen many of these areas which were once rural locations become booming suburbs with huge population increases. These rural electrical cooperatives were originally funded by the government so rural areas could be served. However, they are no longer effective, efficient or enabled to provide direct constituency made up of their members who are actually all owners in the co-op.

Consumers in these areas would be much better off if their co-op would elect to take part in deregulation and allow their member/owners to save $1000’s a year instead of giving them back a $30 check as a member/owner rebate at the end of the year. Unfortunately, the management of these cooperatives has not elected to participate in deregulation and the membership/ownership structure is now a benefit to the management of these co-ops, not to the members.

The Texas Electricity Alliance is the only aggregator, licensed by the Public Utility Commission of Texas (PUCT) that actively recruits co-op members to join together and fight for their rights under the Texas electricity deregulation laws. We encourage all co-op members to visit our website and join today so your Voice for Choice can be heard.

Together We Save. Together We Share.

Who’s On Your Side…Not the Electricity Companies…Are you Fuming Yet?

Angry at Electricity CompanyAs we continue to deregulate industries, which were previously either monopolies or state run, in America and the rest of the world it’s becoming pretty clear that the consumer is not always benefiting from the deregulation. This is especially clear when it comes to the electricity business in Texas. Half of Texas consumers are still served by electrical cooperatives and have no choice or ability to lower their electricity cost; while the other half that do, are completely confused as to how to accomplish that. This is mainly because the market is fraught with deceptive and misleading advertising by both incumbent providers making consumers afraid to change providers, or by the new competitive providers who promise too much and deliver too little. There is almost no way the consumer can win in this deregulated environment unless they become highly educated on the market dynamics and business models; not to mention spending many hours of research just to find and select the best way and price for them to buy electricity. The Texas Electricity Alliance addresses and answers all these issues and provides consumer-friendly and easy-to-understand solutions.

Join us Today!

Together We Save.