There is a storm brewing in Austin Texas over Austin Energy’s proposed electricity rate hikes. 400,000 homes and businesses in the Austin area rely on the electric provider as their only source of electricity. Although many parts of Texas such a Houston and DFW are deregulated, most of the Austin electricity market is not among the deregulated parts of the state. Some are pushing for electric choice in Austin as well.
Electricity rates in Dallas have fallen by more than half since 2008. The same has happen everywhere else in Texas where there is deregulation. There are dozens of electricity providers in Dallas who compete to keep rates lower. Austin Energy is proposing a 12% base rate hike in Austin.