Elements of an electricity plan

Electricity plans include a variety of elements that impact your total bill each month. Consider the following elements when shopping for an electricity plan: 

Import rates

How much you pay for the electricity your home uses from the grid, typically in cents per kWh. These rates can be fixed (you always pay the same per kWh) or variable (the rate you pay may change). 

Export rates

Specific to solar or solar + battery homes, this is how much your electricity company will pay you for any power your home produces and sends back to the grid.

TDU delivery charges

Transmission and Distribution Utility (TDU) charges are how much you pay for your utility (Oncor or Centerpoint) to deliver the electricity to your home. These are different from how much you pay for the power you use from your electricity provider. 

TDU charges are set based on your geographic location, and will be the same across plans from different providers. They are typically made up of a charge per kWh you consume, as well as a base fee.

Additional fees

Some plans come with base fees or other fees on top of the charges for how much electricity you consume. Consider this when you look at overall costs.

Additional credits offered

Some plans offer additional credits or bonuses for certain behaviors, or may have benefits for specific devices or types of homes. 

Special terms and conditions

Read the fine print to make sure you understand any terms and conditions that come with your plan. Some plans will have special structures like weekends free, or have eligibility requirements like being a net importer (you can’t sell back more power than you consume) on a solar buyback plan. 

Contract Length

Electricity contracts come in various lengths. This is the time period in which the rates and terms of the contract are locked. Terms can range from multiple years to several months, or be month-to-month, which often means that the prices will change each month that you are on the plan. 

Early Termination Fee

The cost for ending the contract before its term is over.