What are distribution charges?

These are the fees that your local utility company charges you to deliver the electricity or gas supply to your location .These charges are assessed in addition to the cost of electric or gas generation service. Your utility company charges these fees no matter which retail company you choose as your electric or natural gas generation supplier.

Glossary FAQs

  • What is a non-recurring fee?

    Non-recurring fees are charges from your local distribution utility, or Transmission and Distribution Utility (TDU), such as Oncor Electric Delivery, CenterPoint Energy, and Texas New Mexico Power, and may include items such as...

  • What does kWh mean?

    The term "kWh" stands for kilowatt-hour and is the unit of measurement for your electricity use over time.

  • What are distribution charges?

    These are the fees that your local utility company charges you to deliver the electricity or gas supply to your location .These charges are assessed in addition to the cost of electric or gas generation service. Your utility company...

  • What are transmission charges?

    These are charges assessed by your local utility company on your bill for the cost of moving high voltage electricity from the facility that generates that electricity through the distribution lines of your electric distribution...

  • What are demand response and dynamic demand?

    Demand response is the changes in electric usage by end-use customers from their normal consumption patterns in response to changes in the price of electricity over time, or to incentive payments designed to induce lower electricity...

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