How to Lower Your Electric Bill in Central Texas

If your Texas electric bill feels higher than it used to, you’re not imagining it. According to the U.S. Energy Information Administration, Texas residential customers paid an average of about 15.9 cents per kilowatt-hour in June 2026, up from approximately 15.3 cents the previous June.

Before investing in major upgrades, start with the less glamorous possibilities: air leaks, a dirty HVAC filter, inefficient thermostat settings or a water heater running hotter than necessary. Small corrections won’t solve every high bill, but they can improve efficiency—and help you determine whether a larger investment is actually warranted.

I’m not an energy auditor, and I’m not going to pretend to be one. But I’ve walked through a lot of Central Texas homes and properties over the years, from tight in-town lots to homes with a well and a few acres attached. The pattern is often the same: a handful of practical, easily overlooked issues can have a meaningful effect on comfort and energy use.

Here’s where to start.

Where Do Central Texas Homes Lose the Most Energy?

In many Central Texas homes, two of the first places worth investigating are the attic and the ductwork.

Attic insulation can settle, shift or become compressed over time, reducing its effectiveness and leaving portions of the attic under-insulated. This can be especially noticeable in older homes or properties that have undergone renovations, additions or years of maintenance work in the attic.

Ductwork presents another potential problem. When ducts run through an extremely hot attic, leaks or poorly insulated sections can allow conditioned air to escape before it ever reaches the rooms you’re trying to cool.

A home energy assessment, including blower-door testing and, when appropriate, duct-leakage testing, can help identify where conditioned air is escaping. An energy auditor, home-performance professional or qualified HVAC contractor can then help you prioritize improvements instead of guessing.

Should You Repair or Replace an Older HVAC System?

Start with service, not an automatic replacement.

A system approaching 12 to 15 years old may be worth evaluating for eventual replacement, particularly if repairs are becoming frequent, the home is difficult to cool or energy use is increasing. But age alone doesn’t tell the entire story. A poorly maintained newer system can perform worse than an older unit that has been properly serviced.

Before making a five-figure decision, start with the fundamentals:

• Schedule seasonal HVAC maintenance.
• Replace or clean the filter as recommended for your system.
• Keep supply and return vents unobstructed.
• Clear leaves and debris from around the outdoor unit.
• Have unusual noises, short cycling or uneven temperatures evaluated.

Filter needs vary, but checking the filter monthly is a good habit. Depending on the filter, household and system, replacement may be needed every one to three months. Homes with pets, ongoing construction or higher dust exposure may need more frequent changes.

If a professional believes the system is oversized or undersized, ask how that conclusion was reached and whether a proper load calculation has been completed. Sizing problems are especially worth investigating in homes that have been expanded or remodeled over time, including older farmhouses and ranch homes.

What Are the Cheapest Ways to Lower a Texas Electric Bill?

Before committing to major equipment or remodeling, consider these lower-cost improvements:

• Adjust your thermostat settings. A programmable or smart thermostat can automatically reduce heating and cooling while you’re away or asleep. The ideal schedule will depend on your household, HVAC system and comfort needs.
• Seal obvious air leaks. Check exterior doors, windows, plumbing penetrations and the attic access hatch for visible gaps or deteriorated weatherstripping. Some sealing projects are easy to handle yourself, while leaks in harder-to-reach areas may require a professional.
• Check the water heater temperature. For many households, 120°F is a practical starting point that balances energy use and everyday needs. Consult the manufacturer’s instructions or a qualified professional before adjusting the unit, particularly if someone in the household has specific health concerns.
• Switch frequently used bulbs to LEDs. Lighting may not be the largest portion of your electric bill, but LEDs use less energy and produce less heat than traditional incandescent bulbs.
• Use ceiling fans strategically. In summer, most ceiling fans should rotate counterclockwise to create a downward breeze. Fans cool people rather than empty rooms, so turn them off when you leave.
• Close curtains or shades during peak afternoon sun. This can be especially helpful on west-facing windows during a Central Texas summer.

Several of these are manageable weekend projects. Others may warrant professional help depending on the home, equipment and location of the problem.

How Does Acreage or a Well Affect Electricity Use?

Properties with acreage can have energy demands that aren’t always obvious during a standard home tour.

A private well pump may be one of the larger overlooked electrical loads on a rural property. Frequent cycling, pressure problems, leaks, an aging pressure tank or an incorrectly sized pump can increase energy use and may indicate a larger maintenance issue.

If you don’t know the age or service history of the system, have it inspected by a qualified well professional. This is particularly worthwhile before purchasing a property or planning other major improvements.

Larger and older ranch homes may also have more exterior wall and roof area relative to their conditioned living space. Additions constructed at different times can introduce varying insulation levels, window performance and HVAC configurations. That doesn’t automatically make the home inefficient, but it makes a property-specific assessment more valuable.

If the property supports a qualifying agricultural operation or rural small business, federal programs such as the USDA Rural Energy for America Program may periodically help fund eligible renewable-energy or energy-efficiency projects.

Simply owning a rural home or acreage does not establish eligibility, however, and program funding and application periods change. Confirm current requirements with the appropriate program administrator and your tax professional before including a grant, rebate or tax incentive in your budget.

What Should You Check Before Making Energy-Efficiency Upgrades?

Begin with the free and low-cost items:

• Check the HVAC filter.
• Review thermostat schedules.
• Look for damaged weatherstripping.
• Check the water heater setting.
• Make sure vents and returns aren’t blocked.
• Watch for unusual HVAC or well-pump cycling.
• Compare recent electricity usage, not just the dollar amount, with the same months from previous years.

Comparing kilowatt-hour usage can help separate increased consumption from changes in electricity prices, delivery charges or rate plans.

If the cause still isn’t clear, consider a professional home energy assessment. Some Texas utilities, municipal providers and electric cooperatives offer assessments, rebates or efficiency programs, although availability depends on the property address and utility service territory.

An assessment gives you a better starting point than paying for improvements based on guesswork.

Small, unglamorous fixes can add up, and you don’t necessarily need to gut a house or immediately replace the HVAC system to improve its performance. Start with what you can verify, make the practical corrections first and use professional testing to guide the bigger decisions.

If you’re thinking about buying a Central Texas property and want to better understand what you may be taking on, from HVAC age and insulation to wells and other rural systems, I’m happy to help you identify the right questions to ask before you make an offer.

Frequently Asked Questions

How much can I save by sealing air leaks?

Savings vary based on the home’s age, construction, existing insulation and the amount of leakage. The U.S. Department of Energy identifies air sealing and insulation as important components of improving whole-home energy efficiency, but an assessment is the best way to estimate the potential effect on a particular property.

How often should I change my HVAC filter in Central Texas?

Check it monthly and follow the filter and HVAC manufacturer’s recommendations. Many filters need to be changed every one to three months, while homes with pets, renovation dust or greater exposure to dust and pollen may require more frequent replacement.

Is a smart thermostat worth it if I’m rarely home during the day?

It can be. A compatible smart or programmable thermostat can automatically adjust temperatures while the home is unoccupied and return it to a comfortable setting before you arrive. Actual savings depend on your schedule, settings, equipment and previous thermostat habits.

Do older ranch homes cost more to heat and cool?

They can, particularly when they have older insulation, extensive exterior surface area, inefficient windows or additions served by equipment that wasn’t designed for the current layout. However, age and architectural style alone don’t determine efficiency. A home energy assessment can provide a much clearer answer.

Can a private well increase my electric bill?

Yes. Well pumps use electricity, and the amount depends on factors such as water use, pumping depth, equipment efficiency and how frequently the pump cycles. An unexpected increase in usage may justify checking for plumbing leaks, pressure-tank problems or pump issues.

Should I replace my HVAC system just because it is more than 15 years old?

Not necessarily. Age is one consideration, but repair frequency, operating cost, comfort, equipment condition and proper system sizing also matter. Have the system evaluated before deciding whether maintenance, repair or replacement offers the best value.