Texas Energy Data
Texas electricity prices and what they mean for solar.
A focused review of verified electricity-price data, ERCOT demand projections, Denton-specific solar rules and what solar can and cannot guarantee.
Last verified: July 2025
What the data shows
Texas residential electricity prices have risen steadily.
From 2021 through 2024, the statewide average residential electricity price in Texas increased from 12.11¢/kWh to 14.94¢/kWh, a cumulative change of approximately 23.4%. This reflects annual averages reported by the U.S. Energy Information Administration.
Texas Residential Electricity Price
Annual average, cents per kWh
| Year | Price (cents per kWh) |
|---|---|
| 2021 | 12.11 |
| 2022 | 13.76 |
| 2023 | 14.46 |
| 2024 | 14.94 |
Final vs. preliminary
Not all published data represents a finalized annual value.
The EIA publishes monthly data that becomes final only after the full calendar year is complete. Year-to-date figures (such as January–May 2025 or January–May 2026) are preliminary and should not be compared directly against finalized annual values without noting the distinction.
ERCOT demand growth
The grid is preparing for substantial new demand.
ERCOT's 2025 long-term load forecast identifies data centers as the largest category of projected new large-load growth in its planning area. This forecast reflects requested and attested interconnection applications, not currently operational facilities alone.
What forecasts mean
Projected load is not the same as guaranteed future consumption.
ERCOT applies adjustment factors to TSP-provided load forecasts based on historical experience. Not all requested load will be built on the originally proposed timeline, and actual consumption may differ from requested interconnection capacity. These forecasts inform grid planning but do not independently determine residential electricity prices.
Denton-specific rules
Denton Municipal Electric operates under its own rate structure.
Denton Municipal Electric (DME) is a municipally owned utility and is not subject to PUCT deregulated market rules. Since January 1, 2025, DME credits exported solar energy at $0.05/kWh — significantly less than the retail rate. This means exported solar energy does not offset grid purchases at a one-to-one rate.
How solar may help
Solar can reduce the amount of electricity you purchase from the grid.
A properly sized solar system can reduce a property's exposure to purchased electricity by generating power on-site. The degree of reduction depends on system size, roof orientation, shade, energy consumption patterns, utility rules, and how much solar energy is consumed directly versus exported.
What solar cannot guarantee
Solar is a strong planning tool, not a guarantee against all future price changes.
Solar does not eliminate fixed utility charges, does not guarantee a specific rate of return, and does not protect against all possible regulatory changes. Actual savings depend on usage, system design, financing, utility rules and evolving energy markets. A site-specific analysis is required before any proposal.
Next step
Request a bill-based analysis.
Gen 13 Solar can review your actual electric bill, property details and utility rules to produce a site-specific estimate with documented assumptions.
Get a free energy analysis