Electricity plans are often described with confusing terminology.
At their core, they represent different ways of managing risk.
How the Plans Differ
- Fixed plans emphasize stability
- Variable plans emphasize flexibility
- Indexed plans reflect market movement
Each has benefits and drawbacks depending on timing and personal comfort with change.
Matching the Plan to the Person
Rather than asking which plan is cheapest, many Texans are learning to ask which plan fits their needs and tolerance for fluctuation.
That shift leads to better decisions.
This article is part of an ongoing energy education series for Texas Forest Country Living.
