Houston Electricity Service
Houston is considered to be the energy hub of the the USA and in fact Enron was once headquartered here. Enron is actually still located in Houston Texas and is in litigation filings to get back money for their employees and stock holders from companies they blame for their melt down. Many employees that once worked for Enron have now started their own electricity service companies and other energy related businesses. Enron was one of the largest lobbyists for deregulation in Texas and after Enron went out of business deregulation took full force in the state of Texas completely leaving Enron out of the opportunity that could have been available to them. Fortunately many of Enron's innocent employees that were recipients of the aftermath of the Enron meltdown were able to continue to make a living for their families by entering the deregulated retail electricity market.
In Houston you have about 40 - 50 active retail electricity companies that sell residential and commercial electricity service in Texas. Some of the larger electricity companies are TXU Energy, Reliant Energy, and Gexa Energy. Gexa started out as a small electricity company that then did a reverse merger with a publicly traded company. Gexa than was bought by Florida Power and Light also known as FPL. FPL is one of the largest electricity companies in the USA and is the monopoly electricity utility in Florida. Reliant used to me known as Houston Power and Light and was the monopoly retail electricity provider in the Houston area prior to deregulation. Now Reliant Energy must contend with 40 - 50 competitve retail electricity providers as well as TXU Energy trying to take customers out of their own backyard.
Reliant has aggressively come into TXU Energy backyard which is considered Dallas, Fort Worth, and the North and East Texas areas. TXU was known as TU Electric and was the monopoly electric company in this area prior to deregulation. Some of Houston's Reliant Energy's advertising campaigns for 2009 have been billboards that advertise "up to 10% lower prices" which was then changed to "up to 20% lower prices". Reliants' radio ads have consisted of employees exlaining how they love "helping people save money". These ads have been running heavily in TXU Energy's backyard. After deregulation it is clear that Reliant and TXU Energy are not just sitting idely by as new competition takes over the markets. TXU has come into Reliant's backyard as well and the electricity markets are still very competitive among all the electric providers. Every avenue of advertising channels are being used to get the word out about electricity deregulation in Houston.
The Houston Texas area population is around 5,700,000 people which is a huge market for Texas electricity providers to target. Houston is very hot in the summer which means air conditioners get turned on high blast using about 50% of the energy of a typical electricity bill. It is not uncommon for an electricity bill to triple in price in the summer time. When Houston electricity bills triple in price this means much more profit for retail electricity providers than if they were selling to customers in milder climates. As you can see Houston remains a great place to do business in if you are selling electricity service. The success of the Houston electricity market may have something to do with MLM and direct selling electricity companies like Ignite Energy and Ambit Electric becoming some of the largest energy providers in the city.
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