Amigo Energy has Extremely Low Spring Texas Electricity Rates

March 1, 2013 - PRLog -- Houston, TX – February 18, 2013 - During spring, Texas electricity rates are at some of their lowest levels of the year. As with any commodity or product, the price for electricity is determined by supply and demand. As the demand increases and supply decreases, the price for electricity increases. As the demand decreases and supply increases, the price for electricity decreases. This is especially true in the deregulated state of Texas, where electricity companies compete for business.

Depending on the weather, the demand in Texas for electricity drops dramatically from late February or early March until mid-May. During this time of year, temperatures throughout the state are moderate, so people run their heat and air conditioning less. Since a home’s heater and air conditioner are its main energy hogs, this significantly reduces how much electricity Texas residents use during the spring. The overall effect is a large drop in Texas electricity rates, due to the lower demand for electricity.

Homeowners who are comparing electric plans have a plethora to choose from at this time of year. Amigo Energy alone offers dozens of plans, including variable and fixed ones. Selecting the best plan will save homeowners money on their electricity bill.

Some homeowners might be tempted by variable plans, which offer the lowest rates possible. Agreeing to a long-term variable plan, however, can cost homeowners over time. Just as their prices go down in spring, they go up in summer. A variable plan’s rate can easily triple, or even quadruple, between spring and summer.

Many homeowners decide to avoid the volatility of a variable Texas electricity plan, selecting a fixed-rate plan instead. Fixed-rate plans promise a specific rate for their duration. These rates are often slightly higher than variable plans’ initial promised rate, but fixed-rate plans will not increase in summer. Because most people use much more electricity in the summer, when they run their air conditioner, than spring, it is usually wiser to select the plan with the lower rate in summer. This is almost always a fixed-rate plan.

When comparing fixed-rate Texas electricity plans, homeowners should select one that will expire in either autumn or spring. Plans, such as those offered by Amigo Energy, typically come in three-, six-, 12-, 18- and 24-month terms. By selecting a plan that expires in autumn or spring, residents can ensure there will be more low-priced plans available when it is time to find a new one. Otherwise, choosing a new plan in the summer or winter could be expensive.

Amigo Energy is one of Texas’ oldest energy companies. Founded in 2003, they provide hundreds of thousands of residents with low-cost electricity and excellent customer service. Amigo Energy is owned by Just Energy Group Inc., which is publicly traded and has 1.8 million customers throughout North America.