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Deregulated Energy in Lubbock: Ready to Choose Your Electricity Provider?
7 minute read • Last update May 2024
Get updates about the energy transition in Lubbock, Texas.
When does Lubbock join the deregulated electricity market?
LAST UPDATED (December 13, 2023):
- City of Lubbock is officially connected to the ERCOT grid on December 12th, 2023.
- Customer Choice period begins January 5th, 2024.
- Default representatives will be assigned to customers who did not make a choice between February 15-March 1, 2024.
- Official transition to new providers occurs during March 4-April 2, 2024.
Lubbock is targeting to join Texas’ deregulated electricity market in October 2023. This change has roots all the way back in 2015, when LP&L announced their intent to join the Electric Reliability Council of Texas. In 2021, LP&L successfully connected 70% of their customers to the ERCOT grid.
What is energy deregulation?
Lubbock electricity deregulation means that residents will be able to choose their own electricity provider, rather than being locked into a contract with Lubbock Power & Light (LP&L).
This means that Lubbock customers will be switching to the grid managed by ERCOT, the Electric Reliability Council of Texas. Read more about retail electric competition from LP&L’s perspective.
What does electricity deregulation mean for LP&L?
While Lubbock Power & Light (LP&L) will no longer sell electricity to Lubbock citizens, the organization will maintain an incredibly important role for the city. LP&L will become the Lubbock TDSP.
A TDSP, or transmission and distribution service provider, is responsible for caring for the poles and powerlines that deliver electricity to homes and businesses. If you experience a power outage in Lubbock, you can reach out to Lubbock Power & Light for more information.
What will happen to your Lubbock Power & Light deposit?
When LP&L completes the transition to retail competition, customers with an active deposit on file will receive their deposit back in their final invoice, any additional amounts will be refunded via check.
Customers of LP&L were assessed a deposit upon start of service. With 12 months of on-time payments (24 months for commercial customers), those customers saw their deposit automatically returned.
How to report an outage to Lubbock Power & Light?
The LP&L outage line will remain the same, call 1-806-775-2509.
What about South Plains COOP?
South Plains COOP is not transitioning. Only Lubbock Power & Light customers are transitioning to a deregulated and competitive market.
How will the competitive market impact City of Lubbock Utilities?
Lubbock electricity deregulation will not impact City of Lubbock Utilities. City of Lubbock Utilities will continue to serve the area with other utilities: water, storm water, wastewater, and solid waste.
What will your new electricity bills look like?
When your transition away from LP&L, your energy bills will look a bit different than you are used to. Your new electricity bills will include several charges that are assessed by different players involved in delivering energy to your home.
Here are a few of the charges that will factor into your electricity rates.
Delivery Charge: Part of your electricity bill will include a line item called delivery charges. These charges help pay for the maintenance and management of the poles and wires that deliver power to your home, as well as the meters that measure that power. Delivery charges come from the TDSP. In Lubbock, your TDSP will be Lubbock Power & Light.
Transition Charge: LP&L will also be assessing transition charges to help cover the costs associated with the switch to ERCOT.
Energy Charge: Energy charges cover the costs of the electricity you’re using at your home. These charges are assessed by your retail electricity provider.
Will electricity deregulation cause your bill to increase or decrease?
The amount you pay each month for electricity may either increase or decrease depending on which retail provider you select to supply power to your home or business.
Keep reading this article to find useful tips for researching and determining which company is the best fit for you.
When do you need to choose your energy provider?
You need to choose a provider by February 15. If you do not choose one on your own, you will be automatically assigned a default provider and enrolled in an expensive month-to-month plan.
Within the next few months, Lubbock Power & Light (LP&L) will open up a shopping window expected to last about six weeks where you can evaluate and choose an energy provider.
LP&L will host open houses with your new potential retail electricity providers so you can learn more about them and make an informed decision.
Enter your zip code to explore BKV Energy’s affordable fixed rates. Texans can save up to $500 per year by choosing BKV Energy.
Learn How to Switch Energy Providers in Texas
How to choose an energy provider and the right electricity plan
When Lubbock electricity deregulation begins, there will be many energy providers to choose from, so it’s important you have all the information you need to make the right choice.
Here are some tips to help you make the right choice:
- Pay close attention to your Electricity Facts Label to avoid getting stuck with a gimmicky plan that seems like a good option, but can actually end up causing you to spend more.
- Learn more about different types of electricity plans, such as the difference between fixed rate and variable rate plans.
- Check for early termination and switching fees. Some companies will charge an arm and a leg to end a contract early and move to a different provider.
- Look closely for the contract term length. Energy providers offer plans that last anywhere between 3 to 36 months.
- Read online reviews and customer testimonials.
- Ask friends and family that live in areas of Texas that have already been deregulated for their opinion.
Where to shop for Lubbock electricity providers
When the competitive electricity market goes live in Lubbock, you’ll be able to visit our website at BKVenergy.com to start comparing plans. Simply enter your zip code to begin exploring electricity rates available in your area.
Of course, our website isn’t the only place to shop for electricity in Lubbock.
When the time comes to start exploring your options, you can also visit PowerToChoose.org, Texas’ official electricity shopping website.
Don’t get scammed on PowerToChoose.org
Power To Choose can be difficult to use at first if you don’t know where to look. Here are our tips to make sure you find the right plan for you on Power To Choose.
Visit provider website before making a choice
Visit the energy provider website before you choose by clicking the logo on the plan listing. You should read more about the company and their values before making a decision.
Stay away from 3 month contracts
Avoid 3 month plans with super low prices. You can see that many of the plans listed on Power To Choose are only available to “New Customers,” that means you can get stuck with a much higher price per kWh after 3 months.
Look out for gimmicks
If some plans look too good to be true, they probably are. Be aware of bullseye plans that offer a low rate, but only if you use a specific amount of electricity – otherwise, the rates can be nearly twice as high.
Stay vigilant for bill credit plans, where they offer you money back, but only if your usage falls at the exact right level. Again, if your usage falls outside that range… you get charged like no other.
Avoid variable rate plans
We recommend avoiding variable rate plans. Your energy provider is allowed to change the rates during your contract based on market conditions, meaning you could end up paying much more than you originally agreed to.
Check for high cancellation fees
Look out for lofty cancellation fees. Most Texas electricity providers implement contract cancellation fees in their terms, but only a few offer added benefits such as 30 day trials without fees and fees that decrease as your contract ages.
For example, at BKV Energy, we don’t assess early termination fees within the first 30 days of your contract. Our cancellation fee is directly related to how many months you have remaining on your contract, rather than a flat fee applied no matter what.
Verify the renewable energy percentage
If renewable energy is important to you, check the percentage of green energy that comes with each plan. Renewable energy sources can range from 0-100%.
Understand the complaint ratings
On Power To Choose, providers are ranked from 1-5 stars based on the number of customer complaints they have received in the last 6 months.
Companies with 5 stars have the lowest complaint ratio, but not necessarily the lowest number of complaints.
Click on the “History” link to view the complaints for each company.
You’ll find that some companies have a 4 or 5 star rating, but they receive dozens and dozens of complaints each month.
Is PowerToChoose.org the only place to shop for electricity?
There are several places online to explore electricity plans and compare pricing between providers.
- Individual retail electricity provider websites: All Texas electricity providers have their own websites where you can shop and compare plans. Check out our low price, flat rate electricity plans.
- EnergyOgre.com: At Energy Ogre, you pay the organization a monthly fee to manage your energy plans on your behalf. They will switch contracts for you to find the lower pricing, but you may not always know who is providing electricity to your home or business.
- Residential electricity marketplaces: There are several marketplace websites that compare the prices of nearly all the Texas energy providers in one place. These listings are often manipulated by gimmicky plan options that allow electricity companies to show up at the top of the list with very cheap rates. However, with these plans, there is often more than meets the eye. Always check your Electricity Facts Label to avoid getting overcharged when you don’t consume the right amount of energy.
Get to know BKV Energy
BKV Energy is here to shake things up in the competitive Texas electricity market. We’re anti-gimmicky plans and pro-customer empowerment.
We offer the simplest, least complicated plan structures, the clearest terms and conditions, and some of the best pricing on the market.
Our customers count on us to provide total transparency and honesty.
Unlike a few of the other power companies in Texas, our goal is to develop long term relationships with all of our customers, rather than taking advantage for a short time to boost our profits.
Feel confident in your choice
Electricity choice is a big deal for The Hub City. We hope that by reading this article you feel more empowered to make the right decision for you.
Please feel free to reach out if you have any questions and our support team will be happy to answer.
Electricity deregulation is almost here – good luck on your energy shopping journey.
Explore our custom Lubbock electricity deregulation guide website to continue learning more.
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