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Direct Energy is dedicated to helping you choose the right energy solutions for your unique needs. Find the perfect fit with our electricity and natural gas plans today.
Home security, automation and efficiency at your fingertips. Protect your peace of mind with an exclusive offer from our partner Vivint.
Discover practical, energy-saving tips to reduce electricity costs and increase efficiency at home or business. Knowledge is power, literally!
Get the Direct Energy app to easily pay your bill, manage your account, keep an eye on your usage, refer friends and more.
Understanding your TDSP charges
Your monthly bill includes delivery charges from your Transmission and Distribution Service Provider (TDSP), so let's talk about what they are, why they exist, and how they impact your bill.
Since 2002, much of the Texas electricity market has had the ability to choose a retail electricity provider (REP), such as Direct Energy.*
In these areas of Texas, REPs aren't the only companies involved in providing electricity. Transmission and Distribution Service Providers (TDSPs) are among the entities that also play an important role.
These are fees assessed by your TDSP to cover the cost of its services, like maintaining the wires to your home, reading your meter, and transmitting and distributing your electricity. The amount assessed may fluctuate based on your monthly usage and price changes allowed by the Public Utility Commission of Texas (PUCT), which regulates all TDSPs in the state.
It's important to note that the same TDSP charges for your premise are billed by the TDSP to your REP, regardless of your REP. REPs pass these charges through to their customers without markup.
| Residential total @1000kWh | CNP | ONCOR | AEP TX Central | AEP TX North | TNMP | LP&L | LP&L(DRG) |
| Total TDSP charges per month: | $4.39 | $4.23 | $4.79 | $4.79 | $7.85 | $0.00 | $0.00 |
| Total TDSP charges per kWh: | $0.040410 |
$0.045403 | $0.049027 | $0.045254 | $0.050383 | $0.0578 | $0.064420 |
Use the following formula to calculate the TDSP delivery charges billed:
(applicable charges based on customer usage and current meter read as of date of invoice)
TDSP delivery charges=[total TDSP delivery charges per month + (total TDSP delivery charges per kWh * monthly billed kWh usage)]
Example (CNP TDSP @ 1,000 kWh usage): [$4.39 + (0.040410 * 1,000 kWh)] = $24.70
TDSPs charge the same fees for your premise regardless of the REP serving you. Fees may change if you move to a new TDSP territory.
TDSP fees typically change at least twice per year, including March and September. Changes can result in a net increase or decrease in fees.
This depends on the fee. Certain fees are charged at a flat rate per billing cycle, while some are multiplied by the usage. For commercial customers, certain fees may be based on demand. A demand charge is based on the rate at which electric energy is delivered to or by a system at a given instant, or averaged over a designed period, during the billing cycle.
*With certain exceptions, the areas within the Electric Reliability Council of Texas (ERCOT) with customer choice do not include areas served by Municipally Owned Utilities or Electric Cooperatives.
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