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Your Texas Power Bill Resets September 1: Delivery Charges Are Going Up Again
Updated on August 17, 2026
Every September 1, Texas electricity delivery charges — the regulated “TDU” portion of your bill from Oncor, CenterPoint, AEP Texas, or TNMP — reset for the new period, and they almost always go up. You can’t shop those charges. But you can shop the energy rate sitting right next to them, and that’s the part of your bill you actually control.
TL;DR
- Texas electricity delivery charges (the TDU/TDSP portion) reset twice a year — March 1 (usually down) and September 1 (usually up).
- Delivery charges are set by the PUCT and are identical on every retail plan in your area — no provider can discount them.
- The energy (supply) rate is the part you control. Locking a competitive fixed rate before September 1 offsets the delivery increase.
- Current delivery charges run from about 5.1¢/kWh (CenterPoint) to about 6.5¢/kWh (TNMP), plus a small monthly meter charge.
What are Texas electricity delivery charges?
Definition — TDU delivery charge: The TDU (Transmission & Distribution Utility, also called the TDSP) owns the poles, wires, and meter and physically delivers power to your home — Oncor, CenterPoint, AEP Texas, or TNMP. Its charge is a regulated, pass-through fee that shows up on every Texas electricity plan identically, no matter which retail electric provider (REP) you buy from.
Your Texas electricity bill has two parts. The energy charge is what your retail provider bills for the electricity itself — you choose it, and you can shop it. The delivery charge is what the TDU bills to move that electricity to your home — it’s regulated, and it’s the same on every plan. Texas electricity delivery charges typically make up 30–40% of a residential bill, so when they reset, your total moves even if nothing else changed.
Why do Texas electricity delivery charges go up on September 1?
The PUCT lets each TDU adjust its delivery rates twice a year to recover the cost of building and maintaining the grid — new transmission lines, storm hardening, and growth across the ERCOT system. Those adjustments take effect March 1 and September 1. The March change is often a small decrease; the September change is usually an increase. That’s why your bill can jump in the fall even when your usage and your energy rate haven’t moved at all.
Texas is the fastest-growing major grid in the country, and ERCOT projects electricity demand could nearly double by 2032. The grid investment behind that growth is exactly what the delivery charge recovers — which is why the September reset trends up year after year.
What are the current Texas electricity delivery charges by utility?
These are the current (pre-September) residential delivery charges for the five major Texas TDUs. Each utility files its new September 1 rates with the PUCT in August, and they take effect on the 1st.
| Utility (TDU) | Service area | Monthly meter charge | Delivery per kWh |
|---|---|---|---|
| Oncor | DFW & most of North Texas | $4.06 | ~6.03¢ |
| CenterPoint | Greater Houston | $4.90 | ~5.15¢ |
| AEP Texas Central | Corpus Christi & South Texas | $3.24 | ~5.83¢ |
| AEP Texas North | Abilene & West-Central Texas | $3.24 | ~5.67¢ |
| TNMP | Gulf Coast & parts of West Texas | $7.85 | ~6.47¢ |
Because Texas electricity delivery charges are billed per kilowatt-hour, the September increase scales with how much power you use — a bigger, all-electric home running summer AC feels it more than a small apartment.
Where your money goes on a Texas electricity bill
On a typical bill, your total splits into two buckets: the energy charge you shop and the Texas electricity delivery charges you can’t. The energy charge is set by your retail provider and is the number you compare when you shop plans. The delivery charge is set by your TDU and approved by the PUCT, and it’s the same whether you pay a provider 9¢ or 16¢ per kWh for energy.
Here’s the rough breakdown for a 1,000 kWh month:
- Energy charge (shoppable): roughly 55–65% of the bill, depending on your rate.
- Texas electricity delivery charges (fixed): roughly 30–40%, split between a small monthly meter fee and a per-kWh delivery rate.
- Taxes and small riders: the remainder.
That split is why shopping matters. When the September 1 reset adds a few percent to the fixed 30–40%, the only way to keep your total flat is to shave the 55–65% you actually control. A household that locks a lower energy rate can more than cancel out a delivery increase; a household drifting on a variable rate gets hit by both at once. Your Electricity Facts Label tells you which rate you’re on and when your term ends — the two facts that decide whether the reset stings.
How much will the September 1 increase cost me?
A Texas home using about 1,000 kWh a month pays roughly $50–65 in delivery today. A typical September uptick of a few tenths of a cent per kWh adds a few dollars a month — and proportionally more in a high-usage home. The exact new figures are set by each TDU and take effect September 1, so the smart move is to act on the part of the bill you control before the reset lands.
Wondering whether your bill is even normal? Texas electricity delivery charges are only one half of the equation — the other half is your energy rate and your usage. If your bill feels high, check it against the average electric bill for your home size and state first, then look at whether your energy rate is competitive.
The part of your Texas electricity bill you actually control
You can’t negotiate the delivery charge — it’s identical on every plan in your area. What you can do is make sure the energy rate next to it is competitive. If you’re on a month-to-month plan or an expired fixed contract, you’re probably paying a variable rate that drifts higher right as delivery resets. Locking a fixed-rate plan before September 1 protects the one line item you control and offsets the delivery bump.
How to offset the September 1 increase:
- Find your TDU and current energy rate on your latest bill — the Electricity Facts Label (EFL) shows your rate per kWh.
- Compare fixed-rate offers for your ZIP code by total price at your real usage level, not just the teaser rate.
- Lock a competitive fixed rate before September 1 so your energy charge is protected while delivery resets.
- Set a reminder for your contract end date so you never roll onto a variable rate again.
Not sure who even delivers your power or which providers serve you? Start by confirming the electric company for your address, then compare plans side by side. You can also shop the official Power to Choose marketplace to see the energy rates available in your area.
Frequently asked questions about Texas electricity delivery charges
Are Texas electricity delivery charges the same for every provider?
Yes. Texas electricity delivery charges are set by your TDU — Oncor, CenterPoint, AEP Texas, or TNMP — and regulated by the PUCT, so they’re identical on every retail plan in your area. No provider can discount them, which is why the energy rate is the only part worth shopping.
Why did my Texas electric bill go up on September 1?
Texas electricity delivery charges reset every September 1, and they usually rise to recover grid investment. If your usage and energy rate are unchanged, a higher delivery charge is the most likely reason for a fall bill increase.
Can I avoid the delivery charge increase?
No — but you can offset it. Delivery charges are fixed by regulators, so the way to protect your bill is to lock a competitive fixed energy rate before September 1 instead of drifting on a variable rate.
Which Texas utility has the highest delivery charges?
Among the major TDUs, TNMP currently carries the highest per-kWh delivery charge (about 6.5¢) and monthly meter fee, while CenterPoint’s (about 5.1¢) is the lowest of the group.
What’s the difference between the energy charge and the delivery charge?
The energy charge is what your retail provider bills for the electricity itself — you choose it and can shop it. The delivery charge is what the TDU bills to move that electricity to your home — it’s regulated and the same on every plan.
Keep going
- Texas electricity rates this summer
- Cheapest electricity in Texas, city by city
- Best fixed-rate electricity plan in Texas
- How to read a Texas Electricity Facts Label (EFL)
- Find the electric company for your address
- How to compare energy plans and save
By the Utility Search Marketplace Team · Last updated August 6, 2026. Sources: Public Utility Commission of Texas (puc.texas.gov), Power to Choose (powertochoose.org), ERCOT.
