texas delivery rate trends

Texas Electric Delivery Rates Soar to Highest Level in 5 Years

  • Written By: Rebecca Bridges
  • Edited By: Shannon Bedrich

  • Delivery rates for Texas electricity change twice a year, in March and September. And as of September 2023, the price you pay per kilowatt hour to get power to your home is at its highest level in five years.

    Why do Texas Electric Delivery Rates Change?

    Electric delivery rates pay for the infrastructure that gets power to your home or business.

    While electricity supply is deregulated in most of Texas, the Public Utility Commission of Texas regulates your local utility company.

    Each utility company must submit proof of their infrastructure and delivery costs. And they receive a guaranteed rate of return on that investment, to pay for these essential services.

    This chart shows Texas electric delivery rate trends for the past 5 years.

    This dramatic increase in delivery fees is due to several factors: transmission and distribution costs (getting power from where it’s generated to where it’s needed), peak demand and infrastructure maintenance.

    texas electricity delivery rates trend chart for 2017 - 2023

    How Much is the Power Delivery Charge in Texas?

    You can find a multi-year history of Texas electric delivery fees using the links below.

    Centerpoint Energy Rate History

    Oncor Rate History

    AEP-North Rate History

    AEP-Central Rate History

    TNMP Rate History

    Cost Savings With Latest Electric Delivery Rates

    With these September 2023 TDU rate increases, delivery fees account for around 50% of your electricity bill in Texas.

    The monthly flat fee for delivery hasn’t changed much. It’s the volumetric price, aka the price per kilowatt hour that’s increased.

    That means you can keep your bill lower by adopting energy conservation habits.

    Here are some references to get you started:

    89 Ways to Save on Your Electric Bill

    DIY Home Energy Audit for Energy Efficiency

    Fall Home Maintenance Tips

    About Rebecca Bridges

    Rebecca Bridges has worked in deregulated energy markets since 2001. As chief marketing officer for ElectricityPlans, she focuses on helping consumers save on their electricity bills and find the best electricity plans. Outside of work, Rebecca uses her marketing experience to support dog rescue and can often be found hiking or biking local trails.

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