Good news for our electric bills!
On March 1, 2024 the rates we all pay are going down.
Investigative reporter Amy Davis has been asked about electric rates by several of our KPRC 2 viewers.
This week on Ask Amy, we will explain the price drop on electric bills and how much you can expect to save.
The transmission and distribution utility fee or TDU is a charge from CenterPoint Energy that we all pay on our bills each month no matter which electricity provider we choose.
Last September, Ask Amy explained that the TDU charge had increased, which is typical going into the winter months. It meant customers using about 3,000 kilowatts of electricity had to pay about $51 more per month.
Earlier this month, viewer Dave Carroll asked:
“What are we going to do about the huge increase in our electric utility bills? My bill rate has increased by 40%.”
Good news, you will notice on your next bill after March 1 that the TDU rate is decreasing by 1.5 cents a kilowatt.
- The new TDU rate is 3.874.
- If you used 3000 kilowatts it will cost you $45.09 less than what you are paying today.
This is not even taking your electricity rate from your retail electric provider into account.
If you are shopping around for a new plan, Energy Ogre Chief Operating Officer David Kinchen said to look for a low rate, but also pay attention to the length of your new plan.
“What I try to focus on when people are picking a plan or looking at a new energy contract, is looking at when that contract will end. If you’re in a high plan, the best time is right now. But what you’re going to try to avoid is a plan that will drop you in the peak summer, which is kind of like July and August,” said David Kinchen, Energy Ogre COO. “I try to, I try to really avoid people dropping off into those periods because the rest of the year can be a better time to shop.”
How to find the best electricity rates
He said you also want to avoid the winter months, especially December, January and February. Companies like Energy Ogre can do all of the work for you. Or you can do it yourself, starting with the state’s Power to Choose website that lets you compare rates.