Quality Cool Air Issues Winter Energy Advisory as East Texas Power Costs Climb

Palestine HVAC contractor cites Oncor delivery rate changes, rising EIA price forecasts and the end of the federal HVAC tax credit ahead of winter.

PALESTINE, TX, UNITED STATES, November 12, 2026 /EINPresswire.com/ — Quality Cool Air, Inc., a heating and air conditioning contractor that has served Palestine, Texas, and the surrounding East Texas region since 1989, today issued a winter energy cost advisory for homeowners and business owners as several changes to Texas electricity costs converge ahead of the 2026–2027 heating season. The advisory addresses higher electric delivery charges in the Oncor Electric Delivery service area, which includes Palestine, federal forecasts showing residential electricity prices continuing to climb, and the end of the federal tax credit that had helped households pay for high-efficiency heating and cooling equipment.

The locally owned company, located at 2214 W. Reagan St. in Palestine, is urging residents to treat their heating and cooling equipment as one of the largest controllable costs in the household budget. According to the U.S. Energy Information Administration (EIA), space heating and air conditioning together account for more than half of the energy used in American homes. When the price of each kilowatt-hour rises, the efficiency of the equipment consuming those kilowatt-hours has a direct effect on the monthly bill.

“Nobody in East Texas gets to decide what a kilowatt-hour costs, but every household has some say over how many kilowatt-hours its heating and cooling system uses,” said Jason Sander, owner of Quality Cool Air, Inc. “With delivery charges going up and the federal tax credit gone, the least expensive kilowatt-hour is still the one your system doesn’t waste. A leaking duct, a clogged filter or a heat pump that keeps leaning on its backup heat strips can cost a family more over a winter than most people realize.”

What Changed on Texas Electric Bills in 2026

The most direct change for Palestine-area households comes from Oncor, the transmission and distribution utility that owns the poles, wires and meters serving much of North, Central and East Texas. On April 17, 2026, the Public Utility Commission of Texas (PUCT) approved a final order in Oncor’s comprehensive base rate review, adopting the terms of a settlement reached among the parties. The order authorized an increase of approximately $560 million over Oncor’s 2024 test-year adjusted revenues, and the new rates took effect June 1, 2026.

Oncor estimated that the base rate change adds about $4.64 per month, or roughly 3 percent, for a residential customer using 1,000 kilowatt-hours (kWh) per month on a retail plan priced at 15 cents per kWh.

A second change followed later in the year. On August 1, 2026, Oncor implemented a temporary surcharge to recover the difference between the rates in effect from January 1 through June 1, 2026, and the newly approved rates. Oncor estimated the surcharge at approximately $3.63 per month for the same 1,000-kWh residential customer.

A third item has moved through the regulatory process as well. On April 23, 2026, Oncor filed its first request under the Unified Tracker Mechanism, a process established by the Texas Legislature that allows certain transmission and distribution investment costs to be reviewed together in a single proceeding. Oncor estimated that, if approved as filed, the request would add approximately $3.85 per month, or about 2.5 percent, for a residential customer using 1,000 kWh per month. In its first-quarter 2026 results, the utility said it anticipated a final order and updated rates in the second half of 2026.

Because Texas’s competitive electricity market separates power delivery from retail supply, Oncor does not bill households directly. Retail electric providers collect Oncor’s delivery charges and pass them through on customer bills. As a result, delivery-related increases apply in the Oncor service area regardless of which retail electricity plan a household chooses. Shopping for a lower energy rate can affect the supply portion of a bill, but it does not change the delivery portion.

The higher delivery charges reflect a utility investing heavily in a fast-growing grid. Oncor reported a 2026 capital expenditure budget of approximately $9.0 billion, roughly 25 percent above its actual 2025 capital spending, as it responds to rising demand across its territory.

Electricity Prices Are Rising Nationally as Well

The Oncor changes arrive against a broader backdrop of rising electricity costs. In its October 2026 Short-Term Energy Outlook, the EIA reported that the average U.S. residential electricity price was 17.3 cents per kWh in 2025 and projected averages of 18.2 cents in 2026 and 18.7 cents in 2027.

The same report noted that a hot summer drove up electricity use for cooling, with residential electricity consumption in the third quarter of 2026 increasing 6 percent compared with the same quarter a year earlier. The EIA also projected that wholesale electricity prices across the 11 trading hubs it tracks would average $52 per megawatt-hour in 2026, 11 percent higher than in 2025, citing weather events including Winter Storm Fern and high summer temperatures. The agency noted that residential electricity prices also include other expenses, such as transmission and distribution upgrades.

For a household, the practical meaning of those figures is straightforward. When the price of electricity rises, every inefficiency in a heating and cooling system becomes more expensive to ignore. A system that runs longer than it should, loses conditioned air before it reaches the living space, or relies on its least efficient heating mode costs more under 2026 rates than it did under prior rates.

The Federal HVAC Tax Credit Has Ended

Homeowners who had planned to offset the cost of new, high-efficiency equipment with a federal tax credit face a different landscape this winter. The Energy Efficient Home Improvement Credit, known as Section 25C, previously allowed homeowners to claim 30 percent of the cost of qualifying improvements, up to $2,000 per year for qualifying heat pumps and up to $600 each for qualifying central air conditioners and gas furnaces.

The One Big Beautiful Bill Act, signed July 4, 2025, as Public Law 119-21, terminated the credit for property placed in service after December 31, 2025. Equipment installed in 2026 does not qualify for the Section 25C credit. Homeowners who completed qualifying installations in 2025 may still be able to claim the credit on their 2025 federal tax returns using IRS Form 5695, and they should consult a tax professional about their specific situation.

The end of the credit changes the math for households weighing a system replacement. Without a federal incentive, the case for new equipment rests more heavily on its long-term operating cost, its reliability and the condition of the existing system. Quality Cool Air is encouraging homeowners to base those decisions on a professional evaluation of their current system rather than on age alone.

Why Winter Heating Deserves Attention in East Texas

East Texas is often associated with long, hot cooling seasons, but winter heating can also drive significant electricity use, particularly in homes with heat pumps or electric furnaces. A heat pump heats a home by moving heat from the outdoor air to the indoor air rather than generating heat directly, which allows it to deliver more heat energy than the electrical energy it consumes under many conditions. When outdoor temperatures drop sharply, or when a system is malfunctioning or improperly configured, many heat pumps rely on auxiliary electric resistance heat strips, which convert electricity directly into heat and use considerably more power to deliver the same comfort.

Thermostat settings, a faulty outdoor sensor, low refrigerant charge, a dirty outdoor coil or restricted airflow can each cause a heat pump to depend on backup heat more often than necessary. Homeowners may not notice the change until a high bill arrives. A heating inspection can identify whether a heat pump’s defrost cycle, refrigerant charge, airflow and auxiliary heat controls are operating as designed.

For homes heated with natural gas or propane furnaces, a seasonal inspection serves both efficiency and safety. A technician can check burner operation, the heat exchanger, flue venting and safety controls. Gas-fired equipment that is not venting properly can create a carbon monoxide hazard, which is why annual furnace inspections and working carbon monoxide alarms are widely recommended.

What Homeowners Can Check Before Cold Weather Arrives

Quality Cool Air’s advisory outlines several steps homeowners can take to reduce wasted energy this winter.

Replace or clean air filters on schedule. A clogged filter restricts airflow, forcing the blower to work harder and reducing the system’s ability to deliver heat.

Review thermostat programming. Large, sudden temperature increases on a heat pump thermostat can trigger auxiliary heat. Homeowners with programmable or smart thermostats should confirm that schedules and auxiliary heat settings match their equipment. Professional thermostat installations can ensure that a new thermostat is configured correctly for a heat pump, a gas furnace or a dual-fuel system.

Have the ductwork evaluated. ENERGY STAR estimates that in a typical house, about 20 to 30 percent of the air that moves through the duct system is lost due to leaks, holes and poorly connected ducts. Ducts that run through unconditioned attics, crawl spaces or garages can lose heated air before it reaches the living space. According to ENERGY STAR, sealing and insulating ducts can improve heating and cooling system efficiency by as much as 20 percent. Professional ductwork installation and repair can address disconnected runs, crushed sections, missing insulation and leaking joints.

Schedule a professional inspection before the first hard freeze. HVAC inspections allow a technician to measure system performance, identify worn components before they fail, and flag issues such as low refrigerant charge, failing capacitors, dirty coils or weak blower motors. Addressing these issues early can reduce the likelihood of an emergency breakdown during a cold snap, when demand for service is highest.

Keep the outdoor unit clear. Leaves, debris and vegetation around a heat pump’s outdoor unit can restrict airflow and reduce efficiency during the heating season.

Repair or Replace? Questions to Ask

For homeowners with aging equipment, rising electricity prices and the loss of the federal tax credit raise a practical question: whether to keep repairing an existing system or replace it.

Quality Cool Air recommends that homeowners weigh several factors, including the age and condition of the system, how often it has required repairs, whether major components such as the compressor or heat exchanger have failed, and how the system’s efficiency compares with current equipment. A properly sized replacement system should be selected based on a load calculation that considers the home’s square footage, insulation, windows, orientation and ductwork, rather than simply matching the size of the old unit.

In many cases, the right answer is neither an immediate replacement nor continued emergency repairs, but a planned approach: correcting duct leakage and airflow problems, restoring the existing system to proper operation, and budgeting for replacement on the homeowner’s timeline rather than during a breakdown.

Commercial Properties Face the Same Pressures

The same cost pressures affect businesses across East Texas. Retail shops, offices, restaurants and other commercial properties often operate rooftop units, split systems and commercial refrigeration equipment for long hours, which makes efficiency losses more costly. Quality Cool Air provides commercial HVAC services, including repairs, maintenance, installation, replacement, inspections and commercial refrigeration, and is encouraging business owners to schedule preventive maintenance before winter rather than waiting for an equipment failure that could disrupt operations.

Serving Palestine and Surrounding East Texas Communities

Quality Cool Air is based in Palestine, the county seat of Anderson County. According to the company’s website, its service area includes Palestine and communities such as Elkhart, Frankston, Montalba, Grapeland, Jacksonville, Athens, Tyler, Crockett and Corsicana, along with other East Texas cities.

Not every home in that region is served by the same electric utility. Delivery charges and rate structures differ by utility, and some rural homes are served by member-owned electric cooperatives with their own rates. The company advises customers outside the Oncor service area to check with their own electric provider for information about rate changes. The efficiency principles outlined in the advisory apply regardless of which utility delivers a home’s electricity.

Decades of Local Experience

Founded in 1989, Quality Cool Air, Inc. began as a small family-owned business focused on providing reliable heating and air conditioning service to the Palestine community. The company has since grown to serve residential and commercial customers throughout the surrounding East Texas region. The company holds Texas air conditioning and refrigeration contractor license TACLA29739C and is a member of the Palestine Chamber of Commerce.

The company’s residential services include HVAC repairs and maintenance, system installations and replacements, furnace repair, ductwork installation and repair, thermostat installations, inspections and emergency HVAC service. Quality Cool Air also offers a Comfort Club maintenance membership that includes two preventive maintenance visits per year, with tune-ups and safety inspections of system components.

Homeowners and business owners seeking an evaluation of their heating and cooling systems before winter can contact Quality Cool Air at (903) 723-2600 or visit the company’s website for more information about HVAC services in Palestine, Texas.

About Quality Cool Air, Inc.

Quality Cool Air, Inc. is a locally owned heating and air conditioning contractor based at 2214 W. Reagan St. in Palestine, Texas. Founded in 1989, the company provides residential and commercial HVAC repair, maintenance, installation, replacement, inspection, ductwork, thermostat and commercial refrigeration services to customers in Palestine and the surrounding East Texas region. Quality Cool Air holds Texas license TACLA29739C. For more information, call (903) 723-2600 or visit https://qualitycoolairetx.com/.

Jason Sander
Quality Cool Air, Inc.
+1 (903) 723-2600
info@qualitycoolair.com
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