Electric rates... make me feel good (or bad)ff

[EW]

So...thinking about signing up with startex today but I don't see the 7's you guys are talking about.
Anyone want a referral?

[Leah]

Thanks for that info Chili, I actually read all that, LOL

Holy wall of freaking text though

Don't worry, he talks that much in person, too.

[Wicked98Snake]

Thanks for that info Chili, I actually read all that, LOL

Holy wall of freaking text though

[Chili]

Most Providers have refined the change over process and it's really no trouble at all... they do everything for you.... once you give 'em the go ahead.

This might be a long post, just a warning.....

Just to clarify for those that don't do this shit every day, market rules are market rules. Every retailer must follow the same rules when it comes to switching providers. Here is a step-by-step:

First let me briefly explain how the Texas market is set up. There are several parties involved. First you have the Retail Energy Provider ("REP" or "Retailer"). This is the company from which you, as the consumer, buy your electricity. Examples are those you all know: Reliant, Direct Energy, StarTex, TXU, etc. This is also where deregulation comes into play. The retailer, or supplier, purchases electricity at wholesale prices, and re-sells it to you at retail prices. Retailers compete. This is where your "choice" resides.

Next, you have the Transmission and Distribution Service Providers (TDSPs). TDSPs are the people who deliver your electricity to your home. They own the power lines, poles, meters, transformers, etc. When there is a storm and outages, they are who fixes it. For most of us in the DFW area that is Oncor. In most cases the TDSP used to be the local electric company, prior to deregulation. Deregulation forced the incumbent utilities to break apart to create a retail company and the TDSP. Again, to give local examples, TXU and Oncor used to be the same company but deregulation forced them to separate. TDSP's are regulated and must follow very specific rules. Their charges have to be vetted and approved by the Public Utilities Commission of Texas (PUCT). All of us pay transmission and distribution charges in some way. Sometimes it's included in your contracted electricity price, sometimes it's passed through without markup from your Retailer.

Next, you have the Electricity Reliability Council of Texas (ERCOT). ERCOT is basically the middle-man in the market. I am over-simplifying but in the context of this discussion, that's who they are. Besides playing middle-man, they do other things like ensuring there is sufficient supply to meet demand. You may remember the blackouts last August? They are the people who monitor that, go to other markets, like Mexico, to procure additional supply, etc.

Finally, you have the power generation companies. They own and operate the power plants. For this discussion, they are virtually irrelevant.

You have provider X and want to switch to provider Y. You "enroll" with provider Y by entering into a contract or otherwise confirming with them that you want to switch. You tell provider Y when and how you want to enroll. There or really only 2 options in Texas. Provider Y either needs to issue a "Move In" order, or a "Switch" order. A "Move in" means you have just acquired the premise. In other words, you are a new tenant, or you just bought it. A "Move In" establishes you as the responsible party, and that information is communicated to the TDSP. A "switch" is used when you are already in the premise, and are just changing retail providers. If you already have electricity service at a premise and want to change providers, all you need to do is contact the new provider. Same thing if you are just moving in to the premise, you only need to contact company Y. If you are leaving a pemise, it is in your best interest to contact your current provider and advise them you are moving out. That is the only time you need to advise your current provider of the change. That is basically you saying: "I am no longer responsible for electricity at this location".

Regardless of whether a "move-in" or "switch" is needed, the provider you choose will initiate a transaction to the market. All that means is that they communicate, electronically, a series of information preceded by a code, to ERCOT. ERCOT takes that data, ensures it complies with market rules, then either rejects it, or forwards it along to the TDSP. The TDSP does the same basic validation, then communicates their acceptance, or rejection back to ERCOT. Assuming all is well, they accept and reply to ERCOT. ERCOT then communicates that acceptance back to the originating retailer. Next, ERCOT communicates the information to the Retailer currently serving the premise (the losing REP). That is called a "drop notification". The only information that ERCOT communicates to the losing REP is the date the change will occur. That drop notification may prompt the losing REP to take certain actions with their customer, but they cannot stop that change arbitrarily, without agreement with the new REP.

So, assuming the switch or move in meets all market requirements, on the requested date the TDSP will take a reading of the meter, officially ending service with the losing REP and / or customer, and beginning service with the gaining REP and / or customer.

Every retailer, TDSP, and customer that falls in the deregulated markets in Texas follows this process. As lengthy as my explanation is, it is barely scratching the surface of the intricacies and details involved. But as a consumer, setting up residential service, that is 95% of what you will ever need to know relating to the market.

Just to give a little additional info, here are some basic processes it would benefit all consumers to understand.

Enrolling with a new provider:
If you are currently responsible for a premise, and already have service established in your name, you will always enroll with a new provider via a "switch". Up until about 2 years ago there were 2 types of switches. 90% of them were considered "on cycle" switches. That means if you chose to change providers, that switch would typically occur on a normal meter read date. The less common option was referred to as an "off-cycle switch". That meant you did not want to wait for the regular meter read date, and would be switched sometime in between those normal reads. There was a fee associated with that, but for residential premises it was only a couple of dollars. The reason for the fee is that the TDSP would have to send someone out just to read your meter on that day.

Since the market rules changed, switching providers is now rarely determined by your normal read date. Instead, if you tell your new provider you want to switch as soon as possible, they will typically make the change within about 5 days.

When you are moving in to a new premise, you need a move in. There are 2 basic types of these transactions. First is a standard move in, which takes about 3-5 days. Or, if service is needed immediately, you can choose to request a priority move in. Depending on the time of day the TDSP receives the transaction, that will occur either by 5PM or 12PM (midnight).

Terminating Service:
As I mentioned before, if you are staying in the premise, and just switching providers, you do not need to take any action with your current provider. That does not mean your contract doesn't require some action, but I am just speaking about market processes.

If you are moving out of a location, and want to ensure you are no longer responsible for electricity usage, you must contact your current provider and request a Move Out. This takes 3-5 days but ensures you will no longer be responsible for usage. If nobody else initiates service prior to that date, services will be disconnected.

Switch Holds:
Earlier I mentioned that a current provider cannot stop a customer from switching to a new provider. While that is generally the case, there are 2 exceptions.

First, if you are foolish enough to try and cheat your electricity provider by tampering with your meter in order to 1. reduce the consumption recorded on your meter, or 2. self connect after you have been disconnected for non-pay you can be placed on switch hold. Basically that means that the TDSP has discovered your tampering. When this happens they will pull your meter, validate the tampering, and charge you for: damage to the meter, their time to repair or investigate, a penalty, etc. Once you have been deemed to have tampered you will automatically be placed on switch hold, meaning you cannot change providers. The TDSP will bill your retailer for those fees and penalties and for the consumption they estimate you stole. That hold will remain in place until you have paid all associated charges in full to your provider. If you do not pay, your provider will disconnect your service and you cannot have it reconnected until you do pay. In addition, tampering is a criminal offense and you can be prosecuted. In reality, prosecution rarely happens, but it can.

Second, lets say you are behind on your electric bill and are facing disconnection. You call your provider and enter in to a Deferred Payment Plan (DPP). Assuming your provider follows the market rules, they can place you on switch hold until you satisfy the conditions of that payment plan.

That is all for now, assuming you are still reading. If any of you have specific questions, feel free to ask. I know I am not the only one on here currently in the business, or used to be.

[Wicked98Snake]

Thanks guys I'm going to get mine switched later tonight when I get home. Even if it is kind of a pain in the ass it should save me a bunch so it'll be worth whatever hassle I have to go through. I also read throught the extra fees and charges on a bunch of them and do see that some of them try to get you with crazy little charges!

[mardyn]

I was considering both Star Tex or Cirro Energy. Both had good programs with Star Tex having the edge.

My new Reliant agreement basically matches what Star Tex was offering, plus I didn't have to change providers.

As Chilli pointed out, lots o' "fine print" are in some of those agreements... get all the details sorted out before you agree to change.

Most Providers have refined the change over process and it's really no trouble at all... they do everything for you.... once you give 'em the go ahead.

oh yeah, TXU really sucks.. they were at 10.8 per kwh plus a monthly 6.30 customer service fee, plus a few other BS charges. It was a SIGNIFICANT difference each month once I changed to Reliant. I moved all three of my electric service accounts away from TXU in 2009 and have not regretted it for one second.

mardyn

[ceyko]

Damned people. coops suck

[94form2000z]

How much of a pain in the ass is it to switch electric providers? I am paying .11 (holy shit!) with TXU and after seeing this thread I went to the powertochoose.org website and it looks like I am going to switch to a different provider.

There are a lot of folks like you that need to get the hell out of TXU! They rape the crap out of people. They were forced to start being competitive a few years ago, hence the commercials etc..

It is VERY simple to switch, just pick one and sign up. As Chili stated read the terms and conditions. Sometimes the lowest rate shown is misleading and can end up costing you more.

[Blackpony]

I dont have a choice but coserve and I think we pay around 10 per kWh...

[Wicked98Snake]

How much of a pain in the ass is it to switch electric providers? I am paying .11 (holy shit!) with TXU and after seeing this thread I went to the powertochoose.org website and it looks like I am going to switch to a different provider.

[Sgt Beavis]

I've been using StarTex for almost three years I've never had a complaint. I wonder if they will let me renew a couple of months early at these lower rates. My usual renewal date is in June.

[Hines57]

8.7 with the small town I live in

[jakesford]

Signed back with StarTex for another year. Got $10 back and 8.3 locked.

I was tempted to switch to a few that were slightly less but most were no names and that kinda scares me. Some even charge money for autopayments. WTF?

I stuck with Startex after finishing up a 2 year contract with them. There were a few providers that offered lower rates but they all had minimum usage fees that kicked in under 1000kwh. So far their customer service has been really good, and their minimum usage fee is below 500kwh which I will never hit. My rate is $.071 for 6 months.

[Chili]

Signed back with StarTex for another year. Got $10 back and 8.3 locked.

I was tempted to switch to a few that were slightly less but most were no names and that kinda scares me. Some even charge money for autopayments. WTF?

Those terms and conditions can kill ya.. Some charge if you call in to ask a question. God forbid you pay a little slow, $20 dnp letter fee.. That means if we send you a letter "threatening" to disconnect you, we will charge you $20... LMAO.. That kind of stuff is out there people. Make sure you read the Electricity Facts Label well, as well as the Terms and Conditions.

[94form2000z]

Signed back with StarTex for another year. Got $10 back and 8.3 locked.

I was tempted to switch to a few that were slightly less but most were no names and that kinda scares me. Some even charge money for autopayments. WTF?