Commercial Electricity Broker in San Antonio, Texas
San Antonio businesses have unique electricity options with CPS Energy as the municipal utility provider. While San Antonio is not fully deregulated like other Texas cities, businesses can still compare rates and explore competitive options for certain locations. Commercial rates typically range from 9-13¢ per kWh depending on usage volume and rate class.
Last updated: January 2026
Commercial Electricity Services in San Antonio, Texas
San Antonio stands as the seventh-largest city in the United States and serves as the economic and cultural heart of South Texas, home to over 1.5 million residents and a diverse business community spanning military, healthcare, tourism, and manufacturing sectors. As the home of five major military installations including Fort Sam Houston, Lackland Air Force Base, and Randolph Air Force Base, San Antonio's economy is significantly influenced by defense spending and military contracting. The city has also emerged as a major healthcare hub, anchored by the South Texas Medical Center with over 45 institutions and 12,000 employees, along with bioscience research facilities that drive innovation. Tourism represents another economic pillar, with the Alamo, River Walk, and numerous conventions drawing millions of visitors annually and supporting thousands of hospitality businesses. Manufacturing, logistics, and technology sectors round out the city's economic base, with companies like Toyota, Rackspace, and USAA maintaining significant operations. For San Antonio businesses operating in CPS Energy's service territory, electricity costs represent a substantial operating expense that requires strategic management. The city's hot climate drives air conditioning demands for most of the year, while industrial facilities, data centers, and healthcare operations require consistent power loads. In Texas's deregulated electricity market, San Antonio businesses have access to over 150 retail electricity providers competing for their contracts, creating opportunities for significant cost reduction through competitive procurement. That's where Power My Business provides expertise—we help San Antonio companies from downtown offices to industrial parks secure competitive commercial electricity rates that support growth and operational efficiency.
How the San Antonio Commercial Electricity Market Works
San Antonio has a unique electricity market structure compared to other major Texas cities. CPS Energy serves as the municipal utility provider for most of San Antonio, meaning it handles both electricity generation and distribution. Unlike Dallas, Houston, and Austin where businesses can choose from 150+ retail providers, most San Antonio businesses purchase electricity directly from CPS Energy. However, some San Antonio locations—particularly those in newer developments or certain industrial areas—may be served by other TDUs like Oncor or AEP, giving those businesses access to the deregulated ERCOT market. If your San Antonio business is in a deregulated zone, you can compare quotes from multiple retail providers to secure lower rates. Even if you're served by CPS Energy, understanding your rate class and optimizing your usage patterns can significantly reduce costs.
For a comprehensive overview of Texas commercial electricity, see our Texas Commercial Electricity Guide.
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Best Contract Terms for San Antonio Businesses
**Rate class optimization:** Ensure your San Antonio business is on the correct CPS Energy rate class for your usage patterns. Many businesses overpay by being on the wrong rate structure.
**Demand charge management:** CPS Energy charges demand fees based on your peak usage. Implementing load management strategies can reduce these charges by 10-20%.
**Time-of-use rates:** Consider time-of-use rates if your San Antonio business can shift usage to off-peak hours when electricity is cheaper.
**Power factor correction:** Improve your power factor to avoid penalties and potentially qualify for discounts on your CPS Energy bill.
**Energy efficiency programs:** Take advantage of CPS Energy rebates and incentives for energy-efficient equipment upgrades that reduce your overall consumption and costs.
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Common Bill Fees in San Antonio (CPS Energy)
Understanding the fees on your San Antonio electricity bill helps you compare quotes accurately and identify the true total cost.
**Energy charge:** The per-kWh rate you pay for electricity consumption, typically 8-11¢ per kWh for San Antonio commercial customers depending on your CPS Energy rate class and usage volume.
**Demand charges:** CPS Energy charges based on your highest 15-minute peak usage interval each month. These charges can add 2-4¢ per kWh to your effective rate for businesses with high peak demand.
**Customer charge:** A fixed monthly fee (usually $15-$75 depending on rate class) that covers meter reading, billing, and customer service.
**Power factor charges:** If your business has poor power factor (below 0.85), CPS Energy may assess additional charges. Improving power factor through capacitor banks can eliminate these fees.
**Fuel adjustment charges:** CPS Energy adjusts rates monthly based on fuel costs. These charges fluctuate but are typically $0.01-$0.02 per kWh and appear as a separate line item on your bill.
Note: TDU charges are the same across all retail electricity providers in San Antonio. Only the energy rate and supplier-specific fees vary between quotes.
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Industries We Help in San Antonio
Healthcare & Medical Centers
Military & Defense Contractors
Tourism & Hospitality
Restaurants & Food Service
Retail Stores & Shopping Centers
Office Buildings & Corporate Parks
Manufacturing & Industrial
Warehousing & Distribution
Schools & Educational Institutions
Real Estate & Property Management
Financial Services
Automotive & Transportation
Don't see your industry? We help businesses of all types in San Antonio save on electricity costs.
Case Study: Alamo City Auto Group
Multi-brand automotive dealership • Loop 1604 North, San Antonio, TX
Previous Rate
13.2¢ per kWh
Rising electricity costs from showroom lighting and service bay operations
New Rate
9.8¢ per kWh
36-month fixed-rate contract
Monthly Savings
$1,450
Annual Savings
$17,400
"Our dealership runs on tight margins, and electricity is a major expense with our large showroom and service bays. Power My Business saved us over $17,000 annually—that's real money that improves our profitability."
Robert Hernandez
General Manager
San Antonio Service Areas
We serve businesses throughout Greater San Antonio and surrounding communities
Stone Oak
Affluent northern area with medical offices, retail centers, and professional services
Alamo Heights
Central neighborhood with boutique retail, restaurants, and professional offices
Leon Valley
Northwest suburb with retail centers, restaurants, and small businesses
Live Oak
Northeast suburb with industrial parks, manufacturing, and distribution facilities
Schertz
Northeast suburb with retail, logistics, and growing commercial development
Boerne
Hill Country community with tourism, retail, and professional services
New Braunfels
Northeast city with tourism, manufacturing, and retail operations
Universal City
Northeast suburb near military bases with retail and hospitality businesses
Helotes
Northwest community with restaurants, retail, and small business concentration
Converse
East suburb with industrial facilities, warehousing, and distribution centers
Frequently Asked Questions About Commercial Electricity in San Antonio
Get answers to common questions about San Antonio commercial electricity rates and contracts
What are typical commercial electricity rates in San Antonio, TX?
San Antonio commercial electricity rates typically range from 9-13¢ per kWh total cost depending on your CPS Energy rate class and usage volume. Small businesses (under 50,000 kWh annually) usually pay 11-13¢ per kWh, while larger businesses (over 200,000 kWh annually) can secure rates as low as 9-10¢ per kWh through volume-based rate classes. Unlike deregulated Texas cities, San Antonio rates are set by CPS Energy and approved by the City Council, so negotiation is limited.
Can San Antonio businesses choose their electricity provider?
Most San Antonio businesses cannot choose their electricity provider because CPS Energy serves as the municipal utility for the majority of the city. However, some San Antonio locations—particularly in newer developments or certain industrial areas—may be served by other TDUs like Oncor or AEP, giving those businesses access to the deregulated ERCOT market where they can choose from 150+ retail providers. Check your current electricity bill to see if CPS Energy or another provider serves your location.
How can San Antonio businesses lower their CPS Energy bills?
San Antonio businesses can lower CPS Energy bills by optimizing their rate class, managing peak demand to reduce demand charges, shifting usage to off-peak hours with time-of-use rates, improving power factor to avoid penalties, and taking advantage of CPS Energy rebates for energy-efficient equipment. Even though you can't switch providers, these strategies can reduce your total electricity costs by 10-20%. Energy audits help identify the most cost-effective improvements for your specific business.
What are CPS Energy demand charges and how do they work?
CPS Energy demand charges are based on your highest 15-minute peak usage interval each month, measured in kilowatts (kW). If your San Antonio business has high peak demand—for example, running all equipment simultaneously—you'll pay higher demand charges even if your total monthly consumption (kWh) is moderate. Demand charges typically add 2-4¢ per kWh to your effective rate. Reducing peak demand through load management, staggered equipment startup, or energy storage can significantly lower these charges.
Does San Antonio have time-of-use electricity rates for businesses?
Yes, CPS Energy offers time-of-use rates for San Antonio commercial customers who can shift usage to off-peak hours. On-peak hours (typically weekday afternoons when demand is highest) have higher rates, while off-peak hours (nights and weekends) have lower rates. If your business operates primarily during off-peak hours or can shift energy-intensive processes to those times, time-of-use rates can reduce your electricity costs by 10-15% compared to standard rate structures. Contact CPS Energy to evaluate whether time-of-use rates make sense for your business.
How does San Antonio's electricity market differ from Dallas or Houston?
San Antonio's electricity market differs significantly from Dallas and Houston because CPS Energy is a municipal utility that handles both generation and distribution, while Dallas and Houston are fully deregulated ERCOT markets where businesses choose from 150+ retail providers. This means San Antonio businesses have less negotiating power and fewer rate options, but CPS Energy rates are generally stable and not subject to market volatility. San Antonio businesses focus on optimizing their rate class and usage patterns rather than switching providers.
Can brokers help San Antonio businesses lower electricity costs?
Yes, brokers can help San Antonio businesses in several ways. For businesses in deregulated zones served by TDUs other than CPS Energy, brokers secure competitive quotes from multiple retail providers. For businesses served by CPS Energy, brokers conduct energy audits to identify rate class optimization opportunities, demand management strategies, and energy efficiency improvements that reduce costs. Brokers also help San Antonio businesses with multiple locations across Texas manage electricity procurement for sites in deregulated markets.
What should San Antonio businesses know about CPS Energy rate classes?
CPS Energy offers multiple commercial rate classes based on usage volume, demand levels, and voltage. Many San Antonio businesses overpay by being on the wrong rate class for their consumption patterns. Rate classes include small commercial (under 10 kW demand), medium commercial (10-100 kW demand), and large commercial (over 100 kW demand), each with different pricing structures. Reviewing your usage data and ensuring you're on the optimal rate class can save 5-15% on your electricity costs without any operational changes.
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