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What are utility delivery charges? Why is my "all-in" price different than my energy rate?

Updated over 2 weeks ago

Base is your Retail Electric Provider (REP), but your energy comes from a Transmission & Distribution Utility (TDU) such as Oncor or CenterPoint.

Your utility delivery charges are service fees from the TDU, which Base passes onto you with no additional markup. Your average price includes our rate plus the utility delivery charges.

Here is a breakdown of the utility delivery charges you will see on your bill (only provide these if asked):

  • Customer Charge - This is a fixed monthly fee that doesn’t depend on your energy use.

  • Metering Charge – This covers meter reading, maintenance, and equipment costs.

  • Distribution System Charge - This covers the cost of delivering electricity through the lower voltage grid infrastructure, including maintenance of power lines and meters.

  • Nuclear Decommissioning Fee - This covers the cost of safely removing a nuclear generation facility from service.

  • Transmission Cost Recovery Factor - This covers the costs of maintaining and operating the high-voltage transmission lines that move electricity over long distances

  • Distribution Cost Recovery Factor - Allows utilities to recover capital investments in infrastructure between rate cases.

  • Temporary Emergency Electric Energy Facilities Charge - A fee that utilities impose to recover the costs of maintaining and operating temporary emergency power generation resources.

  • Rate Reduction Credit - A discount applied to a members electricity bill to help offset rate increases

  • Rate Case Expenses Surcharge - A fee added to customers' bills to recover the costs incurred by a utility company during a rate case. A rate case is a formal process where the utility requests approval from regulatory authorities to change its rates.

  • Energy Efficiency Cost Recovery Factor - A charge to recover a TDU’s costs for energy efficiency programs.



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