Oncor Electric Delivery Company has filed a request with the Texas Public Utility Commission to increase electricity rates for those in its delivery area. This is primarily North Texas which includes Dallas, Fort Worth and surrounding cities. It also includes parts of Central Texas including Temple and Killeen as well as parts of Western Texas including Midland and Odessa.
According to the company, the proposed rate increases are necessary to offset nearly $8 billion dollars spent by the company on upgrading and operating the electric grid as well as expansion into newly covered areas.
Oncor is one of a handful of regulated Transmission and Distribution Utilities (TDUs) in the state of Texas, each of which holds a regional monopoly on the transmission of electricity which is bought by retail electricity providers such as TXU and Reliant and resold to consumers.
ONCOR doesn’t bill consumers directly. The flat and usage based fees charged by Oncor for electric delivery are passed through to consumers on their electric bills which come from Retail Electricity Providers in Texas.
If the proposal is approved, a typical residential consumer would see their electricity rate go up about .5 cents per kWh.