Utility setup feels like it should be the easy part of moving. Call the electric company, call the gas company, done. Then it's move-in day and your AC isn't on, or you discover Texas works completely differently than where you came from, or a bill shows up three months later for the previous owner's balance that now has your name on it.
Setting up utilities right takes maybe an hour of work spread across the two weeks before you move. Doing it wrong can cost you hundreds of dollars and an uncomfortable first night in your new home. This guide walks through what you need to do for each utility type — with a deep dive on Texas electricity since Texas is uniquely complicated and where most of our readers are.
The four utilities you'll set up
The most complex utility, especially in deregulated states (Texas, much of the Northeast). Choosing the wrong plan can cost $300-$1,000 extra per year.
Typically a regulated monopoly — you don't pick a provider, you just transfer service. Atmos Energy (TX), CenterPoint (MN/AR/MS/LA), National Fuel, etc.
Almost always provided by the city or county. Usually the simplest setup. Transfer service into your name before move-in day.
Sometimes city-provided (often bundled with water bill), sometimes private (Waste Management, Republic Services). Check with your city first.
Not a utility per se, but often covers services like landscaping, community amenities, and sometimes trash/security. Know what's covered.
Technically not a utility, but the scheduling pattern matters — schedule install for move-in week since technicians book 1-2 weeks out. See our Internet guide.
Texas electricity — what makes it different
If you're moving to Texas from another state, brace yourself. Texas doesn't have "an electric company" for most of the state. You choose one. There are over 130 licensed retail electric providers, each selling electricity that flows through the same wires. The plan you pick can cost you $300+ more or less per year for identical electricity delivery.
This is the Texas deregulated market, created by Senate Bill 7 in 2002. About 85% of the state participates — everywhere except Austin, San Antonio, and some rural cooperative areas. If you're moving to Houston, Dallas, Fort Worth, or most Texas suburbs, you'll pick a Retail Electric Provider (REP).
- Your TDU (Oncor, CenterPoint, AEP, or TNMP) owns the poles and wires. You can't choose this — your address determines it.
- Your REP (Retail Electric Provider) sells you the electricity. You pick this, and you can switch anytime with no penalty after your contract ends.
- One bill — your REP bills you for both the energy (their cost) and the TDU delivery (pass-through).
- The rate you see on ads usually assumes 1,000 kWh monthly usage. Your actual usage may land you in a different tier.
How the Texas market works (the diagram)
Your TDU
Oncor, CenterPoint, AEP, or TNMP. Delivers power through the grid. Determined by your address.
Your REP
Gexa, Reliant, TXU, Constellation, etc. You choose. They bill you for everything.
Your Home
Pay one bill per month. Lights on.
Top Texas retail electric providers
Dozens of REPs serve Texas. These are the largest and most commonly chosen — but "largest" isn't always "cheapest." The lowest-rate provider for your usage level is often a smaller brand. We recommend checking the official Power to Choose site for current live rates at your specific address.
TDUs explained — Oncor, CenterPoint, AEP, TNMP
Four main TDU (Transmission and Distribution Utility) companies deliver electricity across deregulated Texas. Your address determines which one — you can't pick it, and it never changes unless you move. But understanding which TDU serves you matters for two reasons: outages (you call the TDU, not your REP) and rebates (TDUs run efficiency rebate programs, not REPs).
| TDU | Service area | Outage phone | Notes |
|---|---|---|---|
| Oncor | Dallas-Fort Worth, Waco, Round Rock, Midland-Odessa | 888-313-4747 | Largest TDU. Strong rebate programs. |
| CenterPoint | Houston metro, Galveston, much of Southeast TX | 800-332-7143 | Also delivers natural gas in much of TX. |
| AEP Texas Central | Corpus Christi, Rio Grande Valley, Laredo | 866-223-8508 | Southern and coastal Texas. |
| AEP Texas North | Abilene, San Angelo, West Texas | 866-223-8508 | Rural & West Texas. |
| TNMP | Parts of Gulf Coast, Hill Country, Lewisville | 888-866-7456 | Smaller territory, scattered. |
| LP&L | Lubbock area | 806-775-2509 | Newly deregulated (2023). |
Your REP (Gexa, TXU, Reliant, whoever) doesn't know your power is out and can't fix it. They're billing you for electricity someone else delivers. Outages go to the TDU who owns the lines. Save that TDU outage phone number in your phone as soon as you move in.
How to actually choose a plan
Comparing electricity plans is deliberately confusing. Providers advertise the lowest "teaser rate" that assumes a specific usage level. If you use less, the rate is higher. If you use more, the rate might be different. Here's the approach that actually works:
Step 1 — Estimate your monthly kWh usage
For a typical single-family home in Texas:
- Small home or apartment (under 1,500 sq ft): ~800-1,000 kWh/month
- Medium home (1,500-2,500 sq ft): ~1,200-1,600 kWh/month
- Large home (2,500-4,000 sq ft): ~1,800-2,500 kWh/month
- Very large home (4,000+ sq ft): ~2,500+ kWh/month
If you can get the previous owner's usage history (ask your realtor), that's the most accurate number. The PUCT also requires REPs to disclose "Estimated Usage History" — ask specifically for it.
Step 2 — Match the plan to your usage
Most plans have different rates at 500, 1,000, and 2,000 kWh usage levels. A plan advertised as "9¢/kWh at 1,000 kWh" might actually be 14¢/kWh at 500 kWh and 11¢/kWh at 2,000 kWh. Use PowerToChoose.org's "Fact Sheet" for each plan to see rates at all three tiers. Pick based on what matches your home.
Step 3 — Pick fixed or variable
Fixed rate: Your per-kWh price stays the same for your contract (usually 12-36 months). Predictable. Recommended for most homeowners.
Variable rate: Your rate changes monthly based on wholesale prices. Can be cheaper in mild months, brutally expensive during Texas summers. Only for flexible households who can switch quickly.
Indexed rate: Your rate tracks a specific market index. Math-heavy. Avoid unless you understand the specific index.
Step 4 — Read the EFL (Electricity Facts Label)
Every Texas REP must provide an EFL for each plan. It's a one-page document that shows actual pricing at all three usage tiers, fees, contract length, and renewable content. Read it before signing anything. If the EFL reveals fees the sales pitch didn't mention, walk away.
Texas electricity traps and gotchas
Usage-tier pricing
The advertised rate (e.g., 9.5¢/kWh) typically applies only at specific usage levels. Use less or more than the target and you pay a much higher effective rate.
Always check the EFL for rates at 500, 1,000, and 2,000 kWh. Pick plans that match your actual usage.
Minimum usage fees
Some plans charge $5-$10 extra if your monthly usage falls below 1,000 kWh. Travelers, vacation home owners, or single occupants get hit by this constantly.
Read the EFL for "minimum usage fee" language. If you consistently use under 1,000 kWh, find a plan without this penalty.
Early termination fees
Breaking a Texas electricity contract early costs $150-$300 in most cases. If you move mid-contract, the fee might apply even at your new address.
Some plans waive the ETF if you move. Ask before signing. Keep contract length matched to how long you'll be in the house.
Auto-renewal at much higher rates
Your 12-month contract ends, they auto-renew you onto a month-to-month "holdover" plan that's often 40-60% more expensive than your old rate.
Calendar reminder 6-8 weeks before contract end to shop new rates. Switch before auto-renew kicks in.
"Free nights & weekends" plans
These plans charge much higher daytime rates to offset the free evening hours. Unless you literally don't use electricity 7am-7pm, you almost certainly pay more overall.
Only makes sense for night-shift workers or EV owners who exclusively charge overnight.
Variable rate bait-and-switch
Variable rate plans look cheap in mild months. Then a Texas summer heatwave hits, wholesale rates spike to $9/kWh, and you get a $2,000 bill for one month.
Stick to fixed-rate plans unless you deeply understand wholesale electricity markets.
Gas and water setup
Compared to electricity, gas and water are simple. You don't choose providers (except in rare cases) — you just transfer service into your name.
Natural gas
Gas utilities are regulated monopolies. You don't shop for a provider; you just call the one that serves your address. In Texas, that's usually:
- Atmos Energy — most of DFW, Corpus Christi, Lubbock, Midland
- CenterPoint Energy — Houston metro, Texarkana
- Texas Gas Service — Austin and several smaller markets
Call 1 week before your move-in date. Schedule service activation for your closing day or the day after. They'll need your new address, move-in date, and a way to pay (credit card, bank account, or utility deposit if you're a new customer without established credit).
Water and sewer
Almost always provided by the city or municipal utility district (MUD). In Houston, for example, some neighborhoods are served by the City of Houston water utility while others use MUDs. Your closing paperwork or the previous owner should tell you which.
- Find your water provider via Google — search "[your city name] water utility" or check with your realtor
- Call 1-2 weeks before move-in to schedule service transfer
- Expect a refundable deposit ($50-$300) unless you can provide proof of good utility history
Your utility setup checklist
2 weeks before move-in
- Identify your TDU (Texas only). Enter address at PowerToChoose.org.
- Shop electricity plans by kWh usage at your address. Pick fixed-rate, read the EFL.
- Sign up with your chosen REP. Schedule service activation for your closing day.
- Find your water utility (usually city or MUD). Call to transfer service.
- Find your gas utility (usually Atmos or CenterPoint). Call to transfer service.
- Find your trash/recycling provider. Often city-provided; check your city's website.
1 week before move-in
- Confirm electricity activation date with your REP. Save confirmation email.
- Confirm water and gas activation. Ideally all three start on your closing day.
- Save TDU outage phone number in your phone (use the table above for Texas).
- Arrange any required deposits if you don't have a utility credit history.
Move-in day & first week
- Test all utilities on arrival. Flip every light switch, run every faucet, verify gas pilot lights.
- Read the meters and photograph them with the date. Protects you from disputes over previous owner's usage.
- Set up online accounts for each utility. Easier billing, usage tracking, and autopay.
- Check TDU website for energy efficiency rebates (smart thermostats, HVAC, attic insulation).
- Register for city services — trash pickup days, recycling schedules, bulk pickup calendars.
Frequently asked questions
What's the cheapest electricity plan in Texas?
The cheapest plan depends entirely on your address (TDU territory) and your usage level. As of April 2026, rates at 1,000 kWh usage typically range from 8-12¢/kWh for competitive fixed-rate plans. Check PowerToChoose.org with your specific address to see current lowest available rates. The "lowest" provider changes frequently as companies update promo pricing.
How do I switch my electricity provider in Texas?
You just sign up with a new provider. They handle everything — you don't need to cancel your old provider first. The new provider will notify your TDU of the switch, which typically happens within 1-2 billing cycles with no service interruption. If you're still under contract with your old provider, check for early termination fees first.
Can I shop for gas or water like electricity?
Not in most of Texas. Gas utilities (Atmos, CenterPoint, Texas Gas Service) operate as regulated monopolies — you get whichever one serves your address. Water is almost always city- or MUD-operated. Choice only exists for electricity in the deregulated portion of the state.
What happens if I don't sign up for electricity before moving in?
No electricity. Previous owner's service is disconnected at closing (or shortly after), and the TDU won't reconnect without an active REP contract. In summer, this means no AC in 95-degree weather. Same-day signups are possible but often incur expedite fees and same-day connection fees ($50-$150). Plan ahead.
Do I need a deposit for new utilities?
Depends on your credit history. REPs and utilities run credit checks — if you have established utility payment history and decent credit, most will waive deposits. First-time utility customers or those with poor credit typically pay $50-$500 refundable deposits per utility. Autopay enrollment can reduce or waive deposits at some providers.
What's "Power to Choose" and do I need to use it?
PowerToChoose.org is the official Texas electricity shopping site run by the Public Utility Commission (PUCT). Every licensed REP must list their plans there. It's the most comprehensive comparison tool and it doesn't have hidden affiliate bias. Strongly recommend starting there for any plan shopping — but be aware that the default sort ("Price") can be gamed by providers using unusual usage tiers. Filter by "Fixed Rate" and sort manually if needed.
How does Texas's unique grid (ERCOT) affect my bill?
The ERCOT grid is isolated from the rest of the US, which has benefits (most of the time, slightly cheaper electricity) and drawbacks (during extreme weather like Winter Storm Uri in 2021, prices can spike catastrophically). For typical homeowners on fixed-rate plans, this doesn't affect your monthly bill — the REP absorbs wholesale price swings. Variable-rate customers can get hit hard during grid stress events.
Are green energy plans really different?
Electrons from wind farms and gas plants flow through the same wires and power the same home. "Green" plans guarantee that your REP buys renewable energy credits (RECs) equivalent to your usage from renewable sources. You're paying slightly more to fund renewable development. The actual electrons you use are identical. If supporting renewable generation matters to you, 100% green plans are genuine — they're just marketed as if your specific home gets special green electricity, which is physically not how the grid works.
The rest of your move-in timeline
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