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Can You Opt Out of a Smart Meter in Texas?

By the TexasPowerCost Editorial Team — independent Texas electricity analysis · Last reviewed October 18, 2026 · how we analyze plans

Last updated: October 18, 2026  ·  6 min read

Texas blanketed its deregulated market with smart meters years ago, and some homeowners would rather not have one. The short version: you can opt out — but the utilities have priced it so that very few people do. Here's exactly how it works, what it costs, and what you trade away.

The short answer

Yes — under the PUCT's non-standard metering service rule you can keep or request a non-communicating meter. But it's expensive (a one-time charge in the hundreds of dollars plus a monthly meter-reading fee) and comes with trade-offs like slower outage detection. It will not lower your bill — if anything it raises it.

How Opting Out Works

Your meter is owned by your transmission and distribution utility (Oncor in the Dallas–Fort Worth area, CenterPoint in Houston, AEP Texas in much of West and South Texas, TNMP in smaller areas) — not by the retail provider you pay each month. So opting out is a process you go through with the TDU, not your electricity plan provider. You sign the utility's opt-out form, choose the non-standard option, and pay the one-time fee. The utility then installs or retains a non-communicating meter and reads it manually each month.

What It Costs

This is where most people stop. The PUCT lets each utility recover the real cost of sending a person to read a meter by hand, and those costs are significant:

Figures differ by utility and are updated in their PUCT-approved tariffs, so confirm the current numbers with your TDU before committing. Over a few years, the monthly fees alone can add up to more than the upfront charge.

Trade-offs to weigh

A non-standard meter can mean slower outage detection and restoration (the utility doesn't get an automatic "power's out" signal), estimated or delayed reads, and possible delays switching retail providers. You also lose the interval usage data that powers bill-tracking tools and makes time-of-use plans work.

Why People Object — and Whether It Helps

The objections are usually privacy (the meter records when your usage rises and falls), concerns about radio-frequency emissions (mainstream health agencies have not found harm at these levels), or simply not wanting a remotely-readable, remotely-disconnectable meter. Those are legitimate personal preferences. What opting out is not is a money-saver — there's no version of this that lowers your bill, and the fees make it more expensive. If a lower bill is the goal, the meter isn't the lever.

The Move That Actually Lowers Your Bill

Ironically, the smart meter you might want to remove is also the thing that helps you cut costs: its interval data shows your true usage, and matching that usage to the genuinely cheapest plan is what saves real money. For most Texans, switching to the right plan beats anything you can do to the meter. For more on what the meter does for you, see our smart metering guide.

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This guide is general information. Opt-out fees, forms, and tariffs are set by each utility and approved by the PUCT, and they change — confirm current details with your TDU before acting.

Common Questions

Can I opt out of a smart meter in Texas?

Yes. The Public Utility Commission of Texas adopted a "non-standard metering service" rule that lets residential customers in the deregulated market keep or request a non-communicating (analog-style) meter instead of a standard advanced meter. You are not forced to have a smart meter — but the transmission utilities (Oncor, CenterPoint, AEP Texas, TNMP) make opting out costly, with a large one-time charge plus an ongoing monthly fee for manual reading.

How much does it cost to opt out of a smart meter in Texas?

It varies by utility and changes over time, but expect a substantial one-time charge plus a recurring monthly fee. In Oncor territory the one-time cost has run in the hundreds of dollars (around $445, and higher if an installed smart meter must be removed), with a monthly meter-reading charge on top. CenterPoint and the other TDUs have their own PUCT-approved opt-out tariffs with similar structures. Always confirm the current figures directly with your TDU before deciding.

Why are some people getting rid of smart meters?

The common objections are privacy (interval data showing when you're home), health concerns about radio-frequency emissions (which mainstream health agencies have not found to be harmful at these levels), and a general preference not to have a remotely-readable meter. Some also dislike that remote disconnection is easier. These are personal choices — none of them lowers your bill, and opting out actually adds cost.

What is the downside of having a smart meter?

For most people the downsides are minor: the meter records your usage in short intervals, which some view as a privacy trade-off, and it can be disconnected or reconnected remotely. The upsides are real, though — near-real-time usage data, faster outage detection, no estimated bills, and the ability to switch providers quickly. Smart meter data is also what powers usage-based tools and free-nights plans.

Should I opt out to lower my electricity bill?

No — opting out raises your costs, it doesn't lower them. The fees add to your bill and you lose the detailed usage data that helps you pick a cheaper plan. If your goal is a lower bill, the high-impact move is comparing plans at your real usage and switching to the cheapest one, not changing your meter.

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