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Last Updated: May 12, 2026

CenterPoint Electricity Rates in Houston: How to Find Cheap Electricity in the CenterPoint Delivery Area

Houston-area electricity shopping can feel confusing because the company that delivers your power is not always the company that sells your electricity plan. In the CenterPoint delivery area, the best way to find cheap electricity is to compare the full plan cost, understand delivery charges, and avoid rates that only look cheap at one usage level.

Flow chart showing how power supply, retail electric providers, and CenterPoint delivery work for Houston electricity customers
In Houston, your Retail Electric Provider sells the plan, while CenterPoint delivers electricity through the local grid.

Fast answer for Houston shoppers

If your home is in the CenterPoint delivery area, you can shop retail electric providers for lower energy rates, but you cannot choose a different delivery company. CenterPoint remains the regulated wires utility for the Houston-area delivery side.

Current delivery charge math

CenterPoint’s residential delivery components currently add up to a $4.90 monthly fixed delivery charge plus 4.9993¢ per kWh. Those charges are normally passed through by the REP and should be included when you compare plans.

1. What CenterPoint Does in the Houston Electricity Market

CenterPoint explains that it is a regulated “poles and wires” utility in Houston, while Retail Electric Providers compete to sell electricity to homes and businesses. CenterPoint also states that it no longer sells electricity and instead delivers electricity to customers on behalf of REPs and competitive retailers. You can read CenterPoint’s own explanation of the electric market in Houston for that distinction.

That separation matters when you are trying to lower your bill. Your REP controls the energy plan, term, base charges, bill credits, renewable content, customer-service policies, and early termination fee. CenterPoint controls the local delivery infrastructure, outage restoration, meter work, and regulated delivery charges for its service area.

2. Where the CenterPoint Delivery Area Covers

CenterPoint’s electric transmission and distribution unit describes its service territory as a 5,000-square-mile area that includes Houston, and its tariff lists Houston plus many surrounding communities in the Texas Gulf Coast region. Common CenterPoint-area cities include Houston, Pasadena, Baytown, Deer Park, Galveston, Humble, Katy, League City, Missouri City, Pearland, Sugar Land, Texas City, and many nearby communities.

The easiest customer-facing test is still your ZIP code. In some ZIP codes, especially around the edges of the Houston metro, more than one delivery utility may appear, so a ZIP lookup or address-level match is the safest way to confirm whether CenterPoint is your TDU.

3. CenterPoint Delivery Rates and What They Mean on Your Bill

CenterPoint publishes its Houston electric rate components on its Houston Electric Rates page, and its tariffs page explains that the retail delivery tariff contains charges for delivery service payable by a competitive retailer. For residential customers, the fixed delivery amount is made from the base customer charge and the base meter charge, while the per-kWh delivery amount is made from several regulated riders and delivery components.

Using the residential components listed by CenterPoint, the delivery rate calculation is:

Usage levelFixed delivery chargeVariable delivery rateEstimated CenterPoint delivery charge
500 kWh$4.90 per month4.9993¢/kWh$29.90
1,000 kWh$4.90 per month4.9993¢/kWh$54.89
2,000 kWh$4.90 per month4.9993¢/kWh$104.89

Delivery estimate formula: $4.90 + usage × $0.049993. Delivery rates can change through approved tariffs and riders, so customers should verify the current CenterPoint tariff before relying on any single bill estimate.

4. Why the Cheapest Houston Electricity Plan Is Not Always the Lowest Advertised Rate

A plan can advertise a low average rate and still be expensive for your home if the bill-credit structure does not match your usage. For example, a plan with a credit at exactly 1,000 kWh may look cheap on the Electricity Facts Label, but it may cost more if your home regularly uses 700 kWh in mild months or 1,800 kWh in the summer.

For CenterPoint customers, the better comparison is the all-in bill estimate at your real usage. That means energy charge, REP base fee, bill credits, minimum usage rules, renewable-content rules, early termination fee, and CenterPoint delivery charges should all be part of the math.

5. SEO Shopping Checklist: How Houston Customers Can Find Cheap Electricity

The phrase “cheap electricity in Houston” should really mean “the lowest reliable all-in plan for my home’s actual usage.” Before you enroll, use this checklist:

  • Compare plans at 500, 1,000, and 2,000 kWh, then focus on the usage level closest to your home.
  • Watch for bill credits that disappear if you miss a narrow usage window.
  • Separate REP charges from CenterPoint delivery charges so you know what can and cannot be avoided.
  • Prefer fixed-rate plans if you want price stability through Houston’s hot summer months.
  • Check the Electricity Facts Label, Terms of Service, contract length, and early termination fee before enrolling.
  • Use The Power Choice to compare residential electricity rates by ZIP code and quickly find CenterPoint-area plans.

6. Houston Usage Patterns Make Plan Design Important

Houston-area homes often use much more electricity during long, humid summer months because air conditioning drives higher kWh usage. A plan that is excellent at 500 kWh may not be the best choice at 1,500 or 2,000 kWh, especially if the plan has usage credits, tiered prices, or a higher base fee.

A good shopping habit is to look at the last 12 months of usage before you pick a plan. If you recently moved and do not have usage history, compare several scenarios: a low-use apartment, a typical single-family home, and a high-use summer month.

7. Delivery Charges Are Not a Reason to Stop Shopping

Because CenterPoint delivery charges are regulated and apply regardless of REP, they do not prevent you from saving money. They simply create the delivery portion of the bill that every CenterPoint customer pays. Your savings opportunity is usually on the retail energy side: the energy rate, plan structure, term length, and REP fees.

For a deeper explanation of energy-side base charges versus delivery-side fixed charges, see our guide to base charges on Texas electric bills. That page helps explain why two plans with similar average rates can produce different monthly bills.

8. Outages, Downed Lines, and Storm Restoration in the CenterPoint Area

Your REP bills you, but CenterPoint handles outage restoration in the Houston-area delivery network. CenterPoint’s Electric Outage Center describes the Outage Tracker, Power Alert Service, storm center, and streetlight outage reporting tools. It also says customers should stay at least 35 feet away from a downed power line and call 911 and 713-207-2222.

If the issue is a billing question, contract question, plan renewal, or enrollment question, contact your REP. If the issue is a power outage, downed line, meter issue, or streetlight problem, use CenterPoint’s outage tools or the contact numbers listed on its Houston electric delivery contact page. You can also bookmark our Texas power outage utility page for quick CenterPoint outage links.

9. Current CenterPoint 12-Month Plan Snapshot

The live rate snapshot below is limited to the CenterPoint delivery area so Houston-area residential shoppers do not have to sort through other utility territories. Enter your ZIP code above or use the rate tools below to compare CenterPoint-area offers.

10. Quick Houston Enrollment Tips

When your contract is expiring

Start shopping before your contract expires so you do not roll into a higher variable rate. Compare fixed-rate plans and review the early termination fee rules before switching.

When you are moving

A move usually gives you a clean opportunity to choose a new REP at the new address. Confirm the ZIP and service address to make sure the plan shown is actually in the CenterPoint delivery area.

FAQ: CenterPoint Electricity in Houston

Can I switch away from CenterPoint?

No. If CenterPoint is the TDU for your address, it remains the delivery utility. You can still choose the Retail Electric Provider that sells your electricity plan.

Do all Houston electricity plans include CenterPoint delivery charges?

Yes. CenterPoint delivery charges are normally included in the all-in price shown on an EFL and passed through on your REP bill.

What is the best way to find cheap CenterPoint electricity rates?

Compare plans by ZIP code and usage level, then read the EFL for base fees, bill credits, contract term, and early termination fees.


Further Reading & Sources