What are TDSP Charges?

Your electricity bill is made up of two services: the REP or retail electricity provider that sells you your energy (that’s us) and the Transportation Distribution Service Provider (TDSP) in charge of the energy grid in your geographic area that bills you for the delivery or passthrough of electricity from the generation source. 

While your energy charges are determined by the service plan you’ve chosen (giving you some control over the cost), the delivery charge depends on your location. There are five TDSPs in Texas, each with its own geographic territory: Oncor Electric Delivery, AEP Texas Central, AEP Texas North, CenterPoint Energy, and Texas-New Mexico Power (TNMP). Moving to a territory owned by another TDSP will change the rate you pay them.

What do TDSP fees include?

TDSP charges include a monthly fixed and a monthly variable charge. These charges are updated twice annually with approval from the Public Utility Commission of Texas (PUCT). Retail electric providers (like BKV Energy) are not allowed to charge a markup on these fees. BKV Energy and other retail electric providers have no control over TDSP charges. 

TDSP delivery charges are an essential part of keeping the grid operational, and these fees go towards the maintenance of the switchgear and transformers as well as the grid capacity itself. 

Below you’ll find a table outlining the latest changes to the TDSP charges and a comparison to the previous rates: 

TDUCurrent Delivery Charge (Sept 2022)Previous Delivery Charge (March 2022)Percentage Change
Oncor$3.42 per month
4.4076 cents/kWh
$3.42 per month
3.8907 cents/kWh
AEP Texas Central$5.88 per month
5.1079 cents/kWh
$5.88 per month
4.5213 cents/kWh
AEP Texas North$5.88 per month
4.6985 cents/kWh
$5.88 per month
4.1058 cents/kWh
CenterPoint Energy$4.39 per month
4.9454 cents/kWh
$4.39 per month
3.8000 cents/kWh
TNMP$7.85 per month
5.4741 cents/kWh
$7.85 per month
4.7274 cents/kWh

Charges will be updated again in March and September.