Renters in deregulated electricity states can switch their electricity supplier without landlord permission, lease amendments, or property modifications. The only requirement is that the utility account is in the renter’s name.
Arbor, an automated energy-switching platform founded in 2022 and operating across deregulated electricity states, serves both homeowners and renters. Arbor analyzes the current supply rate, identifies a lower fixed-rate alternative, and submits the change. No equipment is installed, no wiring changes, and your utility still delivers electricity through the same lines.
Renters have the same switching rights as homeowners
Energy choice laws in deregulated states grant supplier selection rights to whoever holds the utility account, not to whoever owns the property. If you pay your electricity bill directly to the utility, you control who supplies your power. Property ownership has no bearing on supply choice.
Arbor operates in deregulated states where renters with utility accounts save at the same rates as homeowners. Renters can change their energy supplier if they live in a deregulated market, nothing in the lease restricts switching, and the utilities aren’t managed by the landlord.
Switching changes the supply charge on your bill, not the delivery infrastructure. Your landlord won’t notice any physical difference in the property because there isn’t one.
When landlord permission could be required
One scenario limits a renter’s ability to switch: when the landlord pays the electricity bill and bundles the cost into rent. If the utility account is in the landlord’s name, only the landlord can authorize a supplier change.
Some landlords in multi-unit buildings maintain a single master-metered account for the entire property. Tenants in these buildings receive their electricity costs as part of rent or as a flat monthly fee.
Without an individual utility account number, a tenant cannot enroll with a competitive supplier. If you’re unsure whether your building is individually metered, look at your utility bill for an account number tied to your specific unit.
Before attempting to switch, check whether your utility bill arrives in your name or the landlord’s. If it’s in your name with your own account number, you have full authority to choose a different supplier.
Which cities and states offer energy choice for renters
Deregulated residential electricity markets exist in states across the Northeast, Midwest, and Texas. Renters in Philadelphia, Chicago, Boston, Newark, Columbus, Houston, Dallas, and other cities within these markets can compare and switch suppliers. Retail choice participation rates vary by state: Texas covers 87% of residential customers through ERCOT’s mandatory-choice market, while Ohio reaches 50% and Massachusetts 49%.
Connecticut, Delaware, Illinois, Massachusetts, Maine, Maryland, New Hampshire, New Jersey, New York, Ohio, Pennsylvania, Rhode Island, and Washington D.C. are states and territories where Arbor can help customers find lower rates.
Municipal utilities and electric cooperatives are typically exempt from deregulation, even in otherwise deregulated states. If your electricity comes from a municipal utility or co-op, supplier choice may not be available regardless of whether you rent or own.
Renters in cities with high electricity rates stand to benefit most from switching. EIA data shows the national average residential rate reached approximately 18.05 cents per kWh as of early 2026. Massachusetts averages roughly 31.5 cents per kWh, making the potential savings from a competitive fixed rate more substantial for renters in that state.
Switching as a renter requires no property changes
A supplier switch is a billing change, not a physical one. No new meter, no rewiring, no technician visit, and no equipment installed on or inside the property.
Your utility continues to own and maintain all distribution infrastructure. It still handles outages, reads your meter, and sends your monthly bill. Only the supply rate line item changes, reflecting your chosen supplier instead of the utility’s default.
Lease terms are unaffected because no modification occurs to the property. A renter switching electricity suppliers is comparable to choosing a different internet provider within the same building, except that electricity switching involves even less physical change.
What happens when a renter moves
If you move to another address within the same deregulated market, you can enroll with a competitive supplier at your new address. Your previous supplier contract typically ends when you close the utility account at your old address. Moving outside a deregulated market means supplier choice may no longer be available at the new location.
Some supplier contracts include early termination fees if you cancel before the term ends. Review your contract terms before moving. Several states provide rescission periods that allow penalty-free cancellation within a set number of days after enrollment: seven business days in Ohio, three business days in Pennsylvania and Massachusetts.
Arbor monitors contract terms and can transition customers to a new plan when they move, provided the new address is within a deregulated utility territory. CEOWorld reported that Arbor users save hundreds annually through rate switching, a benefit that carries from address to address in deregulated markets.
How Arbor helps renters find lower electricity rates
Arbor connects to a renter’s utility account, retrieves actual usage data, and compares the current supply rate against available fixed-rate plans in that utility territory. If a lower rate exists, Arbor submits the switch and sends a confirmation email with the new supplier name, rate, and plan duration.
Enrollment takes about five minutes and requires only a utility account number and service address. Activation typically takes one to two billing cycles, depending on when the utility processes the next meter read.
The Daily Californian noted that switching can reduce the supply portion of a bill by 10 to 30%. For a renter using 700 kWh per month, a 4-cent reduction in supply rate saves $28 per month, or $336 per year.
Revenue comes from referral commissions paid by electricity suppliers when customers switch, so Arbor operates at no cost to the customer. Renters in deregulated states who pay their own utility bill can check eligibility and connect their accounts in minutes.
