McAllen Electricity Providers - Compare Rates and Switch

Compare Electricity Providers and Rate in McAllen and Switch Online.
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Author:
Anna Grisham
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Editor:
Thad Warren
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Updated:
3/25/2025
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Cheapest Electric Plans in McAllen Today

Chariot Energy - GridEdge 36 $0.104 / kWh 36 months
Chariot Energy - GridEdge 15 $0.106 / kWh 15 months
Chariot Energy - GridEdge 24 $0.107 / kWh 24 months
Chariot Energy - GridEdge 18 $0.109 / kWh 18 months
Chariot Energy - GridEdge 12 $0.109 / kWh 12 months
AP Gas & Electric - SimpleSaver 12 $0.111 / kWh 12 months
AP Gas & Electric - SimpleSaver 36 $0.112 / kWh 36 months
Frontier Utilities - Frontier Saver Plus 24 $0.114 / kWh 24 months
AP Gas & Electric - SimpleSaver 14 $0.114 / kWh 14 months
Gexa Energy - Gexa Eco Saver Plus 24 $0.114 / kWh 24 months

Residents and businesses in McAllen, TX, have the freedom to choose their electricity provider thanks to Texas' deregulated energy market. Since 2002, Texans have been able to shop for electricity plans to find the best rate and terms that fit their needs.

Your electric bill in McAllen consists of two main charges:

  • Energy charges – The price per kilowatt-hour (kWh) that you can shop for from different providers.
  • Transmission and distribution charges – Fixed fees set by the utility company, which cover the cost of delivering electricity to your home or business. These are not negotiable.

In McAllen, your utility company is AEP Texas, which is responsible for maintaining power lines and responding to outages. However, you have dozens of electricity providers competing to offer you the best energy rates.

Mcallen Electricity Rates: Top-Rated Providers

With over 30 electricity providers offering service in McAllen, finding the lowest rate can be overwhelming. McAllen operates within a deregulated energy market, allowing residents to choose from multiple electricity providers and find the best rates. That’s where GridHacker helps. By analyzing your energy usage directly from AEP Texas, GridHacker matches you with plans from trusted providers like TXU Energy, Reliant Energy, APG&E, Rhythm Energy, and more—so you won’t have to worry about unreliable or misleading companies.

Small Business and Commercial Electricity in McAllen

McAllen’s business electricity rates are among the most competitive in the country. Multiple electricity companies compete to offer the best rates for businesses in McAllen. If you run a small business, you can shop for electricity plans just like residential customers. However, commercial electricity pricing works a bit differently:

  • Custom Pricing for Large Businesses—If your business spends more than $1,000 per month on electricity, providers may offer a custom rate based on your usage patterns.
  • No Electricity Facts Label (EFL) Requirement—Unlike residential plans, business plans do not always include an EFL, so comparing offers is important.
  • Separate Transmission Fees – Business plans often show transmission and delivery fees separately from the energy charge.

GridHacker helps secure the best commercial rates for businesses with high electricity usage by gathering quotes from multiple providers and presenting them on an easy-to-read dashboard.

How to choose the best McAllen energy plan

Shopping for an electricity plan in McAllen? Here’s a breakdown of your options:

Fixed-Rate Plans

A fixed-rate plan locks in your electricity price for 12 to 36 months, protecting you from market fluctuations. While this provides price stability, canceling before the contract ends may result in a financial penalty known as an early termination fee.

Variable-Rate Plans

With a variable-rate plan, your electricity rate per kWh fluctuates based on the energy market. Rates can be lower during off-peak seasons but spike when demand is high. These plans typically don’t require a contract, allowing you to switch providers anytime.

No-Deposit Plans

Many electricity plans require an upfront deposit based on your credit history. However, some providers offer no-deposit plans—either waiving deposits for customers with good credit or offering prepaid electricity where you pay for power in advance and reload as needed.

Free Nights & Weekends Plans – Do They Really Save Money?

These plans sound appealing, but they often increase daytime rates to compensate for the “free” hours. If you use most of your electricity during the day, these plans could end up costing more overall. Always check the Electricity Facts Label (EFL) before signing up.

Bill Credit Plans – Be Aware of the Fine Print

Bill credit plans offer discounts if you use a certain amount of electricity each month (e.g., over 1,000 kWh). But if you fall short, you miss out on the credit, and your bill can be much higher. These plans work best for homes with consistently high energy usage.

McAllen’s Electric Utility Company

When you choose an electricity provider in McAllen, you’re selecting who bills you for your electricity. While AEP Texas handles the delivery of power, your chosen electricity company is responsible for billing and customer service. But the actual delivery of power to your home or business is handled by AEP Texas, the utility company responsible for:

  • Maintaining power lines and infrastructure
  • Restoring service during outages
  • Handling emergency repairs

Your electricity provider can change, but your utility company does not—it’s based on where you live.

Need help with your electricity service?

  • Report an outage online at AEP Texas Outage Portal
  • Call customer service at 1-877-373-4858

How Electricity Rates Work in McAllen

Like everywhere else in Texas, McAllen’s electricity rates constantly fluctuate based on several key factors. The average residential electricity rate in McAllen can vary based on these factors, making it important to stay informed about current rates:

  • Supply and Demand – High demand in the summer (when A/C usage skyrockets) drives up prices, while cooler months typically bring lower rates.
  • Fuel Costs – Since much of Texas’ electricity comes from natural gas, fluctuations in gas prices directly impact electricity rates.
  • Weather Events – Heat waves, winter storms, and hurricanes can strain the power grid and cause price spikes.
  • Market Competition – Deregulation means McAllen has a highly competitive electricity market, but it also makes pricing structures more complex.

Compare McAllen Electricity Rates

Comparing McAllen electricity rates is a crucial step in finding the best energy plan for your needs. With the deregulated Texas energy market, you have the power to choose from multiple electricity providers, each offering different rates and plans. To compare McAllen electricity rates, you can use online marketplaces like SaveOnEnergy or Choose Texas Power, which allow you to browse various plans and providers and lock in the cheapest McAllen electricity rates.

When comparing electricity rates, consider factors such as term lengths, rate types, and additional fees. You should also check the Electricity Facts Label (EFL) to understand the plan’s details, including the energy rate, contract length, and any additional fees.

By comparing McAllen electricity rates, you can find the best energy plan that suits your needs and budget. Remember to always check the provider’s reputation, customer reviews, and ratings before making a decision.

What to Look for When Choosing an Electricity Plan

  • Fixed vs. Variable Rates – Fixed rates provide stability, while variable rates may offer savings in certain months but can also lead to unexpected price hikes.
  • Hidden Fees and Minimum Usage Requirements—Some plans advertise low rates but include fees or penalties for not using enough electricity. Always check the EFL for details.
  • Free Nights & Weekends Plans – These plans typically charge higher daytime rates, which may not be worth the tradeoff.
  • Bill Credit Plans – If you don’t consistently meet the usage threshold, these plans can cost more than expected.

The lowest advertised rate isn’t always the best deal. To find the right plan, compare rates based on your actual electricity usage. To find the best deal, comparing electric rates from different providers is essential.

Lowering Your Electricity Bill

Lowering your electricity bill in McAllen requires a combination of energy-efficient practices and smart energy planning. Here are some tips to help you reduce your electricity usage and save on your bills:

  1. Switch to energy-efficient appliances: Replace traditional incandescent bulbs with LED bulbs and use energy-efficient appliances to reduce your energy consumption.
  2. Adjust your thermostat: Lowering your thermostat by just 1-2 degrees can significantly reduce your energy consumption.
  3. Use power strips: Plug your electronics, such as TVs and computers, into power strips and turn off the strip when not in use to eliminate standby power consumption.
  4. Upgrade to a smart thermostat: Smart thermostats can learn your schedule and preferences to optimize your heating and cooling usage.
  5. Conduct an energy audit: Hire a professional to conduct an energy audit of your home to identify energy inefficiency areas and provide improvement recommendations.
  6. Choose a renewable energy plan: Consider switching to a renewable energy plan, such as solar or wind, to reduce your carbon footprint and save on your bills.
  7. Take advantage of time-of-use plans: If you’re on a time-of-use plan, try to shift your energy usage to off-peak hours to save on your bills.

By implementing these energy-efficient practices and smart energy planning strategies, you can lower your electricity bill in McAllen and save money on your energy costs.

McAllen Green Energy Plans

McAllen residents looking for eco-friendly energy options have access to renewable electricity plans, many of which are competitively priced. Many McAllen electricity providers offer green energy plans that include a percentage of renewable energy.

How Green Energy Plans Work

Texas generates a large portion of its electricity from wind and solar power. When you choose a green energy plan, your provider purchases Renewable Energy Credits (RECs) to match your electricity usage, ensuring that the amount of power you consume is offset by clean energy added to the grid.

What to Consider When Choosing a Green Energy Plan

  • 100% Renewable vs. Partial Renewable – Renewables fully power some plans, while others only include a portion.
  • Cost Comparison – Green energy plans are often priced similarly to traditional plans, but some may be slightly higher. Compare rates before making a decision.
  • Fixed vs. Variable Rates – Fixed-rate green plans provide price stability, while variable rates fluctuate with market prices.
  • Provider Reputation – Some providers use green plans as a marketing tactic without actually investing in renewables. Check the EFL to verify the energy sources.

With Texas leading the nation in wind energy production and solar power growing rapidly, McAllen residents have plenty of affordable, reliable green energy choices.

Switching Providers or Moving to McAllen?

Finding the best electricity provider in McAllen is easy with GridHacker. Numerous plans cater to different needs and preferences. We simplify the process so you can get the best rate for your home or business.

Step 1: Compare Electric Companies and RatesEnter your zip code to see current electricity plans. Use GridHacker’s data linking tool to pull your historical usage from AEP Texas, ensuring you find the best match.

Step 2: Check Plan DetailsWe cut through the noise—there are no gimmicks or misleading teaser rates. Every plan on our site is clearly broken down, making it easy to understand your contract terms.

Step 3: Make the SwitchOnce you’ve found the perfect plan, follow the simple steps to enroll. GridHacker provides a dashboard where you can track the status of your switch for a seamless transition.

McAllen’s electricity market is competitive, but with GridHacker, you can find the right plan at the best price—without the hassle.

Power Outages in McAllen

Power outages in McAllen can occur for various reasons, including severe weather, grid maintenance, and equipment failure. If you experience one, it’s essential to report it immediately to your local utility company, AEP Texas Central.

Here are some steps to follow during a power outage in McAllen:

  1. Check your circuit breaker: Ensure that your circuit breaker hasn’t tripped or blown a fuse.
  2. Contact AEP Texas Central: Report the power outage to the outage center or call 1-866-223-8508.
  3. Stay safe: Avoid downed power lines and keep children and pets away from them.
  4. Use flashlights or battery-powered lanterns: Instead of candles, use flashlights or battery-powered lanterns to avoid fire hazards.
  5. Keep your refrigerator and freezer doors closed: This will help keep your food from spoiling.
  6. Consider a portable generator: If you have a portable generator, use it to power essential appliances, but always follow safety guidelines.

Remember, your electricity provider is not responsible for power outages. Your local utility company, AEP Texas Central, is responsible for delivering power, maintaining power lines, and handling power outages.

Types of Energy Plans in McAllen

There are several types of electricity plans available in McAllen, Texas. These include:


Fixed-rate plans in McAllen

These plans offer a fixed rate for the length of the contract, typically between 6 and 36 months. Customers on a fixed-rate plan will pay the same price for their energy usage each month, regardless of fluctuations in the market.


Variable-rate plans in McAllen

These plans have rates that can fluctuate based on the market price of electricity. Customers on a variable-rate plan may see their rates go up or down each month.


Green energy plans in McAllen

These plans offer electricity generated from renewable sources such as solar or wind. Customers on a green energy plan may pay a slightly higher rate for their electricity, but they can feel good about supporting renewable sources.


Prepaid plans in McAllen

These plans allow customers to pay for their electricity usage in advance. Customers on a prepaid plan will not receive a monthly bill, but they will need to monitor their usage and add funds to their account as needed.

It's important to compare different plans and choose one that best fits your needs and budget. You can compare electricity plans in McAllen by contacting the various electricity providers in the area and asking about their available plans and rates.


Electric Utilities and Providers in McAllen

There are two types of electric companies in McAllen that you are likely familiar with. Utilities and providers. Keep reading to learn more.


The Electric utility in McAllen is AEP Texas Central Energy

The electric utility in McAllen is AEP Texas Central Energy. They are responsible for maintaining the electricity grid and delivering electricity to homes and businesses through a network of power lines and other electrical infrastructure.

When you have a power outage your utility company is responsible for making the repairs.


Electricity Service Information in McAllen

Report an electricity outage in McAllen

To report an electricity outage or downed power line, contact AEP Texas Central Energy at 877-373-4858.

You can also report an outage with AEP Texas Central online here.

Shop Nearby

Other energy resources for McAllen

McAllen Electricity FAQs

The cheapest electricity provider is Chariot Energy, with a rate as low as 9.9.

The electric utility in McAllen, Texas is AEP Texas Central. Some areas of McAllen may be served by other utilities or co-ops. You can find the utility for your address here.

There are several ways you can lower your electricity bill in McAllen:

  1. Use energy-efficient appliances: Replacing your old appliances with Energy Star certified appliances can help you save on your electric bills. These appliances are designed to use less energy and can help you reduce your energy consumption.
  2. Turn off lights and appliances when not in use: Leaving lights and appliances on when you're not using them can add up on your electricity bill. Make a habit of turning off lights and appliances when you leave a room or when you're finished using them.
  3. Use natural light: During the day, open blinds and curtains to let in natural light instead of turning on the lights. This can help you save energy and lower your electricity bill.
  4. Install a programmable thermostat: A programmable thermostat can help you save on your electric bills by allowing you to set a schedule for your heating and cooling system. You can set the thermostat to turn off when you're not home or when you're asleep, which can help you reduce your energy consumption.
  5. Shop around for a better electricity rate: The cost of electricity can vary significantly among different providers. By shopping around and comparing rates, you may be able to find a better deal and lower your electric bills
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