Energy deregulation is a relatively new phenomenon in Texas. Prior to deregulation, one electric company handled the three basic components of your electrical service: Generation  the production of electricity, Transmission & Distribution – the actual delivery of electricity across poles and wires to your home or business and Retail Sales – the sale of electricity to end users, coupled with customer service and billing functions

Several states had restructured/deregulated their electricity. As of February 2002, states with active deregulated electrical industries include Texas to help increase competition and lower electrical prices, now you can choose who delivers your electricity – just like your phone and cable.

Your electricity is still delivered by the same regulated transmission and distribution systems that serve you today. The only things that change are your rates and the level of service you receive. So now your rates will be lower and the products and services will be better.

Senate Bill 7 also provides other consumer safeguards, such as protecting against service disconnection, providing easy-to-read bills, and offering a 10 percent discount for low-income Texans. Plus, it requires power plants to reduce harmful emissions while tripling their capacity to generate power through renewable resources like sun and wind.