Reviewers quote the headline rate, not the rate you actually pay.
Search "Discount Power review" and you will see headlines like "rates from 6.9¢/kWh". That number is real for one or two billing cycles and then it is gone. After the introductory period the same plan rolls to a post-intro rate that is often double or triple the teaser.
This is not a Discount Power quirk. It is how the entire low-headline corner of the Texas retail market works, because PUCT Substantive Rule 25.475 lets REPs advertise the average rate at a single usage tier (typically 1,000 kWh) as long as the full price structure appears on the EFL.
So the only review that helps you is the one that opens the EFL, reads the per-kWh price at 500, 1,000 and 2,000 kWh, and reports the post-introductory rate side by side with the teaser. That is what this page does.
A Texas bill is three things stacked.
Discount Power controls one of them. Knowing which one explains why a "low rate" plan can still be expensive.
Layer 1, Discount Power sets this
Energy supply
The electricity itself, priced in cents per kWh. This is the only number Discount Power negotiates. Everything you compare across REPs lives here.
Layer 2, TDU sets this
TDU delivery
The wires and meter charge from Oncor, CenterPoint, AEP Texas or TNMP. Same for every REP in the same zone. Approved by PUCT.
Layer 3, Fees and credits
Base charge, bill credits, taxes
A monthly Discount Power base charge, any usage-tier bill credit, plus state and city utility tax. The bill credit can flip the math entirely at certain usage bands.
Discount Power plan families, decoded.
The REP groups its offers into four families. Each carries a different rate structure, and only one is actually flat.
| Plan family | Term | Intro vs post-intro | Watch out for |
|---|---|---|---|
| Locked-in (fixed) | 6, 12, 24, 36 months | Often flat from month 1, but some 12-mo plans carry a 1 to 3 month intro | ETF commonly $150 to $295 |
| Variable / month-to-month | No term | Rate resets monthly with the wholesale market | Summer scarcity events on ERCOT can push rates well above fixed offers |
| Free Saturdays / Free Nights | 12, 24 months | "Free" hours are subsidised by a higher rate during paid hours | Only pays off if more than ~30% of your kWh land in the free window |
| Green / 100% renewable | 12, 24 months | Same structure as fixed, with renewable energy credits attached | Typically priced slightly above the matching non-green fixed plan |
Specific plan names and rates rotate. Always pull the live EFL from Power to Choose or directly from discountpower.com before you sign.
A 6.9¢ teaser becomes 14.5¢ in month 4. That is 110% more.
Take a 12-month plan with a 3-month introductory rate of 6.9¢/kWh and a post-intro rate of 14.5¢/kWh. At 1,000 kWh a month and typical Oncor TDU charges, the bill goes from about $113 in month 1 to about $189 in month 4.
That is a $76 monthly jump with zero change in usage and zero notice from the REP, because the disclosure was on the EFL you signed in month 0.
Across the full 12-month term, the weighted average rate is about 12.6¢/kWh, not 6.9¢. That weighted number is what you should compare against other plans.
approximate total over 12 months
How a Texas REP actually builds an intro rate.
The teaser is not a loss leader. It is a hedged subsidy paid for by months 4 to 12.
Wholesale hedge for the full term
The REP buys a 12-month forward block on the ERCOT wholesale market at, say, 8.5¢/kWh. That block is the firm cost it has to recover across the contract.
Acquisition cost split across the term
Each new Texas residential customer costs roughly $80 to $150 in marketing and onboarding. The intro discount is funded by spreading that recovery across months 4 to 12, after the customer is unlikely to switch.
PUCT Rule 25.475 disclosure
The full price structure must appear on the Electricity Facts Label, including the intro period, post-intro rate, base charges, bill credits and ETF. Marketing only has to lead with the average price at 1,000 kWh.
Renewal capture in month 12
If you ignore the renewal notice, you roll to a month-to-month variable rate. That rate is often the most expensive option Discount Power offers, and it is the single largest profit pool in the residential book.
None of this is illegal. All of it is on the EFL. The reason people overpay is that almost nobody reads page two of the EFL before they sign.
How Discount Power customers quietly overpay.
Five patterns we see again and again on Texas bills. Each is fixable before you sign.
Discount Power is one of about a dozen "value-coded" Texas REPs.
Names like Discount Power, Value Electric, Smart Prepaid Electric, Frontier Utilities, Cirro Energy and Express Energy occupy the same brand niche: a low headline rate paired with a higher post-introductory rate.
None of these are scams. All of them disclose the full price structure on the EFL as PUCT requires. The brand difference matters less than the weighted 12-month rate at your specific zip code and usage tier.
What to do before signing with Discount Power.
Pull the EFL
Find your plan on Power to Choose. Open the linked Electricity Facts Label, not the marketing page.
Find the post-intro rate
Page two of the EFL lists the rate that applies after the introductory period. That is the rate you will pay 9 to 11 months out of 12.
Compare at 500, 1000, 2000 kWh
The EFL prints the all-in rate at three usage levels. Compare the one closest to your actual usage, not the 1,000 kWh marketing default.
Check the bill credit band
If the plan has a usage credit, note the exact kWh band. A swing of just a few kWh either side of the cliff can change your bill by $50 to $100.
Note the ETF and term end
Add the term end date to your calendar. Set a reminder 30 days earlier so you can shop again before the variable rate auto-roll kicks in.
If you cannot afford the bill
Texas runs the LIHEAP program through the CEAP at TDHCA. Contact your REP first to request a deferred payment plan, which PUCT rules require them to offer.
Common questions about Discount Power.
Yes. Discount Power Inc. is a licensed Texas Retail Electric Provider regulated by the Public Utility Commission of Texas under PUCT Substantive Rule 25.475. It bills residential and small-business customers in deregulated zones served by Oncor, CenterPoint, AEP Texas and TNMP.
Not consistently. The brand name advertises a low headline rate, but the post-introductory rate on most plans is in line with or above the Texas residential average of 14.92¢/kWh. The fair comparison is the weighted 12-month rate at your exact zip code and usage tier, pulled from each plan's Electricity Facts Label.
The current customer service line is 877-259-7693, listed on the discountpower.com homepage. Older directories sometimes show different numbers, so always cross-check on the official site before calling.
PUCT requires Discount Power to send a written renewal notice. If you take no action, your plan rolls onto a month-to-month variable rate that can be substantially higher than your locked rate. The safe move is to calendar the end date when you sign, and shop again 30 days before it lands.
If you cancel before the contract end date, Discount Power charges a flat ETF, commonly between $150 and $295 depending on the plan. The exact amount is on page one of your Electricity Facts Label. You can avoid the ETF by waiting until the term ends or by moving to a new address outside the service area, with proof of move.
Discount Power matches green-plan kWh with renewable energy credits. The electrons coming out of your wall are the same Texas grid mix as every other plan; the green designation means an equivalent volume of renewable generation was produced and certified for the grid in your name. This is the standard way every Texas REP sells a renewable plan.
More U.S. states with energy choice
Same playbook, different utility. Pick another deregulated state to compare utilities, suppliers and switching rules.
