Click here to watch a short video about what TDU delivery charges are and how they can affect your electricity bill.

Below is additional information on TDU Delivery Charges




Electricity usage

What are TDU Delivery Charges?

TDU Delivery Charges are what your local Transmission and Distribution Utility (TDU) company charges each customer (ESI ID) for the cost of maintaining electricity poles & wires, meters, storm restoration, etc. These charges are approved by the Public Utility Commission of Texas and are passed through to you without any markup. These charges apply to all business customers (ESI IDs), serviced by the TDU, regardless of who their retail electricity provider is. The TDU Delivery Charges are displayed under a separate section on the monthly bill under the description “TDU Delivery Charges,” so it's easier to distinguish the TXU Energy charges from your local utility company charges.


Will my bill go up because of these TDU Delivery Charges?

Your bill will change each month depending on the actual electricity usage of your business. It will also reflect the actual TDU Delivery Charges that have been approved by the Public Utility Commission of Texas and billed to TXU Energy from your local TDU that are in effect at the time your monthly invoice is created. These current TDU Delivery Charges may be different than the charges that were in effect at the time of your enrollment, and that were included in the annual average prices per kWh shown on your Electricity Facts Label ("EFL"). The TXU Energy Base Charge and Energy Charge that were shown on the EFL provided to you at your enrollment will not change during the term of your contract.


How are the TDU Delivery Charges on my bill calculated, and will it be the same amount every month?

Certain TDU Delivery Charges are billed on a monthly basis, some on a total kWh usage basis and others on a kW demand basis, depending on the size of the electrical load at your business. For this reason, the total TDU Delivery Charges amount will vary each month depending on your electricity usage. The amount you are billed may include price changes allowed by law or regulatory actions. See the tables below for an itemized listing of the detailed charges that make up the TDU Delivery Charges in your area. If the billing kWh on your bill is always less than or equal to 10 kW (5 kW in the TNMP service area) or if you do not have a billing kW, use the TDU delivery rates in the section below labeled COMMERCIAL LESS THAN 10 KW. Otherwise use the TDU delivery rates in the section below labeled COMMERCIAL GREATER THAN 10 KW.


Transition charges recover the securitization of stranded costs of certain assets associated with the transitioning of a regulated bundled utility to a deregulated entity. The applicable TC schedule for a premise will be determined based on the retail classification as it existed on May 1, 1999.  Any new facilities after May 1, 1999 will be billed according to the current classification.

Applicable TDU may be found under the Service Address Detail of your invoice. For a breakdown of the Total TDU Delivery Charge components, click here.

Also see our Glossary of Invoicing Terms.