Texas’ energy market deregulation has created an enormous choice of energy plans at competitive rates for local residents.
The fragmentation of the electricity market means there are several utility bill charges, which can change depending on where you live and your energy provider.
AEP Texas North is one of the leading players in Texas’s deregulated energy market. Read on to find out what services they provide and where. With this article, you’ll also soon be able to tell your REPs from your TDUs and understand how to save money on your utility bills.
Who Are AEP Texas North?
AEP Texas North is a part of a company called AEP Texas alongside its sister company, AEP Texas Central. They’re both a unit of American Electric Power (AEP).
AEP Texas North and Texas Central are utility companies that collectively deliver electricity to more than one million wholesale and residential customers. Their service areas span all or part of 93 counties in the Lone Star State.
Geographically, Corpus Christi-based AEP Texas’ overall service territory stretches from San Benito and Laredo on the U.S./Mexico border to Marfa in West Texas and Vernon on the Texas/Oklahoma border.
The AEP Texas North service territory includes major cities like San Angelo and Abilene, while AEP Texas Central service areas include Victoria and Columbus, among other places.
Who Owns AEP Texas North?
American Electric Power (AEP) owns both AEP Texas North and AEP Texas Central. AEP started in 1906 and now operates across 11 different states through seven subsidiary companies.
These service areas are: Arkansas, Indiana, Kentucky, Louisiana, Michigan, Ohio, Oklahoma, Tennessee, Texas, Virginia, and West Virginia. AEP Ohio is where its headquarters are based.
AEP operates as Appalachian Power in Virginia, West Virginia, and Tennessee.
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What Services Does AEP Texas North Provide for Its Customers?
Like other utilities, AEP Texas North and AEP Texas Central are responsible for providing electrical service to residential, business, and industrial customers. Their territory comes under the Electric Reliability Council of Texas (ERCOT).
Texas electric utilities must deliver electricity, maintain and build their grid’s poles and wires, and restore power after an outage, for example, by fixing a downed power line.
AEP Texas North uses advanced meters to record and analyze electricity usage. It will also connect or disconnect electrical services on behalf of electric companies.
AEP Texas North as a Transmission and Distribution Utility (TDU)
In technical terms, AEP Texas north is a Transmission and Distribution Utility (TDU), or a utility. Customers cannot choose their utility company in Texas.
The principal TDUs in Texas are:
- TNMP: Lewisville, Pilot Point, Leonard, and Glen Rose
- Oncor: Dallas, Fort Worth, and Arlington
- AEP Texas: Abilene and Corpus Christi
- CenterPoint: Houston
You’ll see a TDU charge on your energy bill, sometimes listed as a TDSP.
How Do I Find Out My Utility Company?
You can find your utility company’s name by looking at recent utility bills, calling your electric company, or contacting the Public Utility Commission of Texas.
Is AEP Texas North Regulated?
Yes, AEP Texas North, and all the utilities in Texas, are regulated by the Public Utilities Commission of Texas, also known as the PUC or PUCT.
The public can complain about utility companies and take up grievances with the PUCT.
How Much Do I Pay AEP Texas North for Utility Services?
Two elements to the TDU charge, sometimes called a TDSP charge, appear on your monthly energy bill.
The first part is a flat charge that covers your meter and a general customer tariff, and is known as a Customer Charge.
The second part, called a Distribution System Charge, varies. That’s because it is charged on your electricity usage, based on kilowatt-hours (kWh). The more electricity you use, the more you pay the TDU via the distribution system charge.
You don’t pay AEP Texas North or any TDU or utility directly in Texas. Customers in Texas pay their electric company, which, in turn, distributes the required amounts to the utilities.
The current AEP Texas North customer charge is $5.88 a month (as of July 18, 2022) as a flat rate, plus an extra kWh rate — the distribution charge. This Amigo Energy energy plan shows the costs.
How Do TDUs Make Money?
Utilities, or TDUs, look to profit from the money they charge customers. They have two primary costs: operating expenses like salaries and office rent, and capital expenses like power lines, poles, and buildings.
TDUs can charge and collect money for operating expenses, but they cannot profit from this money. Utilities can make money from capital expenses — covering their costs and taking a profit too.
How Can I Contact AEP Texas North?
There are several contact numbers for AEP Texas North and online methods too.
- Customer services are available at 877-373-4858.
- Report hazards like a downed pole, trees on power lines, or wires near water at 886-223-8508.
- People should report outages to 866-223-8508.
- Always call 811 before digging in yards and gardens to avoid cutting supply cables.
People can report outages online at the AEP Texas North website and also check the status of power outages. You may be asked for your account details to register any outages or hazards to help AEP Texas locate the issue.
If you see a hazard, keep away from the site and call AEP Texas North immediately. Do not try to resolve the issue.
Can I Switch My Utility Company in Texas?
No, despite deregulation, you can’t switch utility companies or TDUs in Texas. This means you cannot improve the reliability of your electricity supply by changing electric companies. Only your utility building a more robust power grid and infrastructure can make your electric supply more reliable.
What around 85% of Texans can do is switch their electric company and find competitive electricity rates.
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Can I Switch Electric Companies in Texas?
The good news is many people can change their electric companies in Texas.
To give them their official name, electric companies are retail electric providers or REPs. They all require Public Utility Commission of Texas (PUC or PUCT) approval to operate in the state. These electric companies, or REPs, send you your monthly bill.
What Services Does a Retail Electricity Provider (REP) Provide?
A retail electricity provider is your main point of contact for your monthly energy bill. These REPs buy electricity on the wholesale market and sell it to you, the customer. They act as the intermediary between clients — people cannot get electricity into their homes without an electric company.
Electric companies advertise different electricity plans and deals to consumers. They collect payments that they distribute throughout the energy supply chain, such as utilities.
The power to connect or disconnect people from the electricity supply also lies in the hands of the electric companies and not your utility company. Take note: People that don’t settle outstanding bills with their electricity supplier in Texas will not be able to sign up with another one until the debt is paid.
How Do I Switch Electricity Suppliers in Texas?
The 85% of Texans that can choose their electricity suppliers have various ways to look for electricity plans.
There are scores of privately owned Texas electricity comparison websites. However, they don’t always show every supplier and can push people towards their favored companies.
We recommend using the independent and PUCT-run PowertoChoose.org to compare energy deals and electric companies. Only PUCT-accredited companies can advertise on PowertoChoose.org.
First, you must check if your ZIP code is in a deregulated area. If yes, there are some more steps to perform before you start switching your electric company.
What to Know Before Switching Energy Providers in Texas
There are some essentials to consider before switching electricity companies in Texas.
- Does your current contract have an early termination fee, and if yes, how much will it be?
- What is your current average energy usage in kWh? The average United States home uses 893 kilowatt-hours (kWh) of electricity per month, while in Texas, it’s 1,132 kWh of electricity every month.
- Think about why you want to change companies. Do you want the lowest price? Fantastic customer service? 100% renewable energy? Or perhaps a lifestyle, time-of-use plan such as free evenings or weekends of electricity?
- Do you want a fixed-rate deal or a variable-rate offer?
Our guide to the average cost of utilities for a home can also help you.
How to Use PowertoChoose.org to Compare Deals
Once you’ve established your home is in a deregulated area, use the Power to Choose filters to look at various contracts.
We suggest looking at 12- to 36-month deals for 1,000 kWh a month at a fixed rate as a starting point. Compare the companies and prices and take a look at their websites. Also, consider:
- Customer service reviews
- Renewable energy composition of the deal
- Early termination fees
- The company’s contribution to the local community and good causes
- If the deal suits your lifestyle
- Minimum usage requirements
Always read every deal’s Electricity Facts Label (EFL) — if there isn’t one, steer clear. EFLs give the details of the contract, including hidden charges. Make a note of anything you’re unsure about and clarify it with the PUCT or the company involved before signing up for anything.
Remember that your current electricity company will switch you to a different contract once your present one expires. The new offer may be more expensive than your current rate.
Pro tip: Read our Power to Choose guide for more.
Who Supplies My Electricity if I Cannot Choose My REP?
The Public Utility Commission of Texas chooses your REP for you if you live in a regulated part of Texas’ energy market.
While you may be unable to lower your energy bill by shopping around, you could implement some energy-efficiency behaviors to use less electricity and save money.
I Didn’t Choose a REP — Who Is the Provider of Last Resort?
People in deregulated areas need to choose their electric company. Anyone that fails to choose their REP moves to a supply from a company known as the “provider of last resort.”
In AEP Texas North areas, the provider of last resort is TXU Energy for residential customers. The PUCT has these providers of last resort to ensure people continue to receive electricity for their property.
Which Companies Offer REP Deals in the AEP North Area?
More than 70 electric companies are vying for business in the AEP Texas North area.
For example, in Vernon, ZIP code 76384, a search on PowertoChoose.org returns 100 energy plans.
Some companies had several rates, and those REPs advertising include:
- Amigo Energy
- Tara Energy
- Just Energy
- Constellation Energy
- Gexa Energy
- Power Next
- Frontier Utilities
- Payless Power
- Energy Texas
- New Power
- Summer Energy
- Veteran Energy
- Pulse Power
- Champion Energy Services
- NEC Co-Op Energy
- Good Charlie
- Ohm Connect Energy
- Think Energy
- Yep Energy
- Southwest Power and Light
- Branch Energy
- Value Power
- Power Next
- Texpo Energy
- TriEagle Energy
- Energy To Go
- TXU Energy
- Stream
- Spark Energy
- Green Mountain Energy
- Reliant Energy
- Direct Energy
- Discount Power
- Cirro Energy
AEP Texas North works alongside all these electric companies to ensure the lights stay on in your home.
AEP Texas North: Helping Power Your Home
Many Texans can enjoy the freedom to choose an energy plan to suit their lifestyle and wallets, thanks to deregulation.
People can’t choose the utility company that maintains the poles, wires, and general grid in the Lone Star State. Fortunately, AEP Texas North is a long-standing utility with many years of experience in Texas and across several states.
It’s AEP Texas North you need to contact for outages and hazards. Remember that while you may only deal with your utility during an emergency, they’re subject to regulation. After all, you pay them for their services every month via your energy bill.
A fit-for-purpose electricity network is as vital for the utilities as it is for customers. And if you’re inspired to switch electricity suppliers, ask yourself these questions first.
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