Do longer Texas electricity contracts cost less? Median prices by term (October 13, 2026)
Many shoppers assume that locking in for longer earns a lower rate. We checked the listed prices. As of October 13, 2026 (our import ran at 6:15 a.m. Central), we looked at the 968 fixed-rate plans in the Power to Choose export that are not prepaid or time-of-use and list a term and a price. For each plan we used the average price at 1,000 kWh a month that Power to Choose lists, and we took the median for each group of contract lengths. This is the listed price in cents per kWh, not an estimate of annual cost.
Median listed price by contract length
| Contract length | Plans | Median price at 1,000 kWh |
|---|---|---|
| 1–5 months | 109 | 11.0¢ |
| 6 months | 61 | 12.8¢ |
| 7–11 months | 135 | 13.3¢ |
| 12 months | 307 | 12.8¢ |
| 13–23 months | 55 | 13.9¢ |
| 24 months | 152 | 14.2¢ |
| 25 months or more | 149 | 14.3¢ |
| All 968 plans | 968 | 13.4¢ |
The median is the middle price: half the plans in the group list less and half list more. Plans in the same group range widely, so a median says nothing about any one plan.
Two utility areas
| Utility area | Contract length | Plans | Median price at 1,000 kWh |
|---|---|---|---|
| Oncor | 12 months | 57 | 12.8¢ |
| Oncor | 24 months | 29 | 14.3¢ |
| Oncor | 36 months | 27 | 14.3¢ |
| CenterPoint | 12 months | 54 | 12.8¢ |
| CenterPoint | 24 months | 28 | 13.9¢ |
| CenterPoint | 36 months | 27 | 14.0¢ |
How to read this
- The listed price is not the annual cost. It is the price at one usage level and it can include bill credits. 87 of the 1,132 active plans list a bill credit amount, and a credit that applies only above or below a usage level changes the cost at other levels; see how bill credits work.
- Short plans carry their own risk. A plan of a few months ends sooner; what happens next is covered in what happens when your contract ends.
- Longer plans may have a fee to leave. See early termination fees before you sign for a long term.
- Rank on your usage. Our Oncor comparison and the other utility pages rank plans by estimated annual cost, and how we rank explains the method.
This is data, not a recommendation of any term or provider. TexasHomeBills is independent; see our advertiser disclosure.
Questions
Are longer electricity contracts cheaper in Texas?
In the prices listed on Power to Choose on October 13, 2026, no. The median 1,000 kWh price was 12.8¢ per kWh for 12-month plans and 14.2¢ for 24-month plans among fixed-rate plans.
What price does this use?
The average price per kWh at 1,000 kWh a month that Power to Choose lists for each plan. It can include bill credits and it is not an estimate of your annual cost.
Why not just pick the lowest listed price?
Bill credits, minimum-usage fees and your own usage change what you pay across the year. Our rankings use estimated annual cost on your usage, not the single 1,000 kWh price.
Sources
- Power to Choose plan export (imported October 13, 2026) — Public Utility Commission of Texas
General information as of Oct 13, 2026, not legal or financial advice. PUCT rules (16 TAC Chapter 25), your contract and the provider's Electricity Facts Label control; check the current rule text and your own documents.
