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Energy field notes / Prices and charges

Texas commercial electricity prices: averages and delivery charges (2026)

Texas businesses paid an average of 8.96 cents per kWh for electricity in August 2026, every charge included, against 14.47 cents across the US, according to the U.S. Energy Information Administration. That average is not a quote. What a site pays is its supply contract plus its delivery utility's regulated charges, and the delivery part is public: the current Oncor and CenterPoint charges for business sites are below, each with the date of the tariff sheet it comes from. Checked October 31, 2026.

By Wire & Watt Published

Average prices, Texas and the US.

EIA’s average is total revenue divided by kWh sold, so it includes supply, delivery and the taxes and fees billed with them, across every customer in the sector. Cents per kWh.

Average price of electricity by sector, Texas and the US
SectorTexas, August 2026Texas, August 2025US, August 2026US, August 2025
Commercial8.968.7614.4713.87
Industrial7.216.429.648.98
Residential15.9115.4018.1617.57
All sectors11.2310.4214.8714.15

Source: U.S. Energy Information Administration, Electric Power Monthly, Table 5.6.A, read October 31, 2026.

What the average cannot tell you.

It mixes supply contracts signed in different years at different prices. It mixes the Oncor, CenterPoint, AEP and TNMP delivery areas, which bill differently. And it mixes a corner shop billed per kWh with a plant billed on demand. So a business cannot read its own price off the table.

What you can do is split your bill in two. The supply line is the part a contract changes: compare it with current offers on the same usage and start date, as in our quote comparison checklist. The delivery lines are set by your utility’s tariff and apply whichever provider you choose; the current amounts are below.

Oncor delivery charges for business sites.

Oncor bills business sites in two classes. At or below 10 kW of peak demand the charges are per kWh; above 10 kW most of them are per kW of demand, and the distribution price per kW depends on the site’s annual load factor. How the classes, the 80% ratchet and the bands work is in our Oncor guide; the amounts are here.

Oncor, Secondary Service Less Than or Equal to 10 kW. Oncor tariff sheet 6.1.1.1.2, revision 12; riders from their own sheets.
ChargeAmountSheet effective
Customer charge$2.34 per monthJune 1, 2026
Metering charge$4.36 per monthJune 1, 2026
Distribution System Charge$0.031236 per kWhJune 1, 2026
Transmission Cost Recovery Factor (TCRF)$0.013382 per kWhOctober 4, 2026
Distribution Cost Recovery Factor (DCRF)$0.006208 per kWhOctober 4, 2026
Interim Surcharge (Rider IS)Through December 2026$0.002878 per kWhAugust 1, 2026
Mobile Generation (Rider MG)$0.000606 per kWhDecember 1, 2025
Rate Case Expense Surcharge (Rider RCE)$0.000084 per kWhJune 1, 2026
Energy Efficiency Cost Recovery Factor (EECRF)$0.000055 per kWhMarch 1, 2026
Nuclear Decommissioning Charge (Rider NDC)$0.000000 per kWhDecember 15, 2025
Added up$6.70 per month, fixed$0.054449 per kWh (5.44 cents)
Oncor, Secondary Service Greater Than 10 kW. Oncor tariff sheet 6.1.1.1.3, revision 12; riders from their own sheets.
ChargeAmountSheet effective
Customer charge$24.00 per monthJune 1, 2026
Metering charge$20.99 per monthJune 1, 2026
Distribution System ChargeLowest band; $8.318122 to $9.831092 for sites over 20 kW with a load factor of 25% or less (table below)$6.931363 per billing kWJune 1, 2026
Transmission Cost Recovery Factor (TCRF)$6.536625 per 4CP kW for sites that have reached 700 kW$4.606104 per NCP kWOctober 4, 2026
Distribution Cost Recovery Factor (DCRF)$1.068522 per billing kWOctober 4, 2026
Interim Surcharge (Rider IS)Through December 2026$0.997891 per billing kWAugust 1, 2026
Mobile Generation (Rider MG)$0.156662 per billing kWDecember 1, 2025
Rate Case Expense Surcharge (Rider RCE)$0.016827 per billing kWJune 1, 2026
Energy Efficiency Cost Recovery Factor (EECRF)$0.000546 per kWhMarch 1, 2026
Nuclear Decommissioning Charge (Rider NDC)$0.000000 per billing kWDecember 15, 2025
Added up$44.99 per month, fixed$9.171265 per billing kW$4.606104 per NCP kW (the month’s 15-minute peak)$0.000546 per kWh (0.05 cents)
Oncor Distribution System Charge per billing kW by annual load factor, sheet 6.1.1.1.3, effective June 1, 2026
SitePer billing kW
Highest peak in the past 11 months 20 kW or less, any load factor$6.931363
Over 20 kW, load factor 0% to 10%$9.831092
Over 20 kW, load factor 11% to 15%$8.924995
Over 20 kW, load factor 16% to 20%$8.590196
Over 20 kW, load factor 21% to 25%$8.318122
Over 20 kW, load factor 26% and above$6.931363

Billing kW is this month’s 15-minute peak, or 80% of the highest peak in the past 11 months if that is higher and the ratchet applies. Our ratchet calculator works it out from two numbers on your bills.

CenterPoint delivery charges for business sites.

CenterPoint measures demand in kVA rather than kW, bills the distribution charge on the current month’s peak with no ratchet, and charges IDR-metered sites (those that have reached 700 kVA) higher fixed charges with transmission billed on 4CP. Details in our CenterPoint guide; the amounts are here. The municipal franchise credit on the tariff applies only to accounts held by a city, so it is left out.

CenterPoint, Secondary Service Less Than or Equal to 10 kVA. CenterPoint tariff sheet 6.1.1.1.2, 23rd revision; riders from their own sheets.
ChargeAmountSheet effective
Customer charge$2.01 per monthFebruary 26, 2026
Metering charge$2.95 per monthFebruary 26, 2026
Distribution System Charge$0.017893 per kWhFebruary 26, 2026
Transmission Cost Recovery Factor (TCRF)$0.011506 per kWhSeptember 1, 2026
Distribution Cost Recovery Factor (DCRF)$0.005490 per kWhSeptember 30, 2026
Energy Efficiency Cost Recovery Factor (EECRF)$0.004970 per kWhMarch 1, 2026
System Restoration Charge (Schedule SRC III)$0.002842 per kWhFebruary 26, 2026
System Restoration Charge (Schedule SRC II)$0.000627 per kWhSeptember 1, 2026
Temporary Emergency Electric Energy Facilities (Rider TEEEF)$0.000378 per kWhAugust 15, 2026
Rate Case Expenses Surcharge (Rider RCE)$0.000040 per kWhApril 28, 2025
Nuclear Decommissioning Charge (Rider NDC)$0.000006 per kWhApril 28, 2025
ADFIT Credit (Rider ADFITC II)($0.000023) per kWhSeptember 1, 2026
ADFIT Credit (Rider ADFITC III)($0.000417) per kWhFebruary 26, 2026
Added up$4.96 per month, fixed$0.043312 per kWh (4.33 cents)
CenterPoint, Secondary Service Greater Than 10 kVA, non-IDR metered. CenterPoint tariff sheet 6.1.1.1.3, 23rd revision; riders from their own sheets.
ChargeAmountSheet effective
Customer charge$64.72 for IDR-metered sites$4.14 per monthFebruary 26, 2026
Metering charge$86.69 for IDR-metered sites$9.27 per monthFebruary 26, 2026
Distribution System Charge$4.893378 per billing kVAFebruary 26, 2026
Transmission Cost Recovery Factor (TCRF)$6.177655 per 4CP kVA for IDR-metered sites$4.342591 per NCP kVASeptember 1, 2026
Distribution Cost Recovery Factor (DCRF)$1.008963 per billing kVASeptember 30, 2026
System Restoration Charge (Schedule SRC III)$0.495587 per billing kVAFebruary 26, 2026
Temporary Emergency Electric Energy Facilities (Rider TEEEF)$0.133331 per billing kVAAugust 15, 2026
System Restoration Charge (Schedule SRC II)$0.110774 per billing kVASeptember 1, 2026
Rate Case Expenses Surcharge (Rider RCE)$0.008707 per billing kVAApril 28, 2025
Nuclear Decommissioning Charge (Rider NDC)$0.001460 per billing kVAApril 28, 2025
Energy Efficiency Cost Recovery Factor (EECRF)$0.000930 per kWhMarch 1, 2026
ADFIT Credit (Rider ADFITC II)($0.003930) per billing kVASeptember 1, 2026
ADFIT Credit (Rider ADFITC III)($0.072680) per billing kVAFebruary 26, 2026
Added up$13.41 per month, fixed$6.575590 per billing kVA$4.342591 per NCP kVA (the month’s 15-minute peak)$0.000930 per kWh (0.09 cents)

One month, worked through.

Take a site with a 50 kW peak that is also its billing demand (no ratchet in play), 15,000 kWh in the month, on Oncor’s lowest distribution band, and the same 50 figure in kVA at CenterPoint, non-IDR. The delivery part of the bill would be:

Worked example of one month’s delivery charges
PartOncorCenterPoint
Demand-based charges (50 x per-kW and per-kVA totals)$688.87$545.91
Per-kWh charges (15,000 kWh)$8.19$13.95
Fixed monthly charges$44.99$13.41
Delivery total, and per kWh$742.05 (4.95 cents)$573.27 (3.82 cents)

Three cautions. A real site’s kVA is never lower than its kW, so the same equipment reads a little higher at CenterPoint than the equal figures above suggest. An Oncor site over 20 kW with a load factor of 25% or less pays up to $9.831092 per kW on distribution instead of $6.931363. And the supply charge, taxes and fees come on top of all of this.

What changed in 2026.

Oncor: new base rates from its rate case (PUCT Docket 58306) took effect June 1; Rider IS, an interim surcharge recovering the difference between those rates and the January 1 rates, runs from August 1 through December 2026; the TCRF and DCRF riders were revised on October 4. CenterPoint: the TCRF and Schedule SRC II changed on September 1, Rider TEEEF on August 15 and Rider DCRF on September 30. Residential figures are left off this page.

How to use these figures.

  • Find the TDU or delivery section of your bill and match each line to the table for your utility and class. A line that is not here is worth a question to your provider.
  • Check which class you are on: above 10 kW or kVA, your peak sets most of the delivery charge, so the demand guide is where the savings are.
  • Keep delivery out of any quote comparison. Compare supply against supply, on the same usage and start date.
  • Come back monthly: EIA updates the averages and the utilities revise riders on their own dates. The date at the top of each table is the one to trust.

If you want the comparison done for you, start with your business ZIP and email on our energy page and add a bill when it is to hand. Firm prices need every page of a recent bill.

Common questions

What is the average commercial electricity rate in Texas?
8.96 cents per kWh in August 2026, all charges included, according to EIA's Table 5.6.A (8.76 cents a year earlier). The US commercial average was 14.47 cents. It is an average of every commercial account in the state, so a given site's price will differ.
Are commercial electricity rates higher than residential rates?
No, on average they are lower. In August 2026 Texas commercial customers paid 8.96 cents per kWh against 15.91 for residential, and across the US 14.47 against 18.16 (EIA Table 5.6.A). A larger account spreads the fixed and demand-based parts of delivery over more kWh; that is an average, not a promise about any one site.
What is a good price per kWh for a business in Texas?
There is no single good number: the supply rate a site can get depends on its usage, load profile, utility area, contract length and start month, and the all-in average above mixes contracts signed in different years. Judge an offer by comparing its supply rate with the supply line of your own bill on the same usage and start date, and keep the delivery lines separate because no supplier can change them.
How much are Oncor delivery charges for a business?
For a site above 10 kW on Oncor's lowest distribution band: $44.99 a month fixed, $9.171265 per billing kW, $4.606104 per NCP kW and $0.000546 per kWh, from tariff sheets effective June 1 to October 4, 2026. A 50 kW, 15,000 kWh month comes to about $742, or 4.9 cents per kWh. Sites over 20 kW with a load factor of 25% or less pay more per kW; sites at or below 10 kW pay 5.44 cents per kWh plus $6.70 a month.
How much are CenterPoint delivery charges for a business?
For a non-IDR site above 10 kVA: $13.41 a month fixed, $6.575590 per billing kVA, $4.342591 per NCP kVA and $0.000930 per kWh, from tariff sheets effective February 26 to September 30, 2026. A 50 kVA, 15,000 kWh month comes to about $573, or 3.8 cents per kWh. Sites at or below 10 kVA pay 4.33 cents per kWh plus $4.96 a month.
Why is the delivery charge on my business bill so high?
Above 10 kW (Oncor) or 10 kVA (CenterPoint), most of the delivery charge is billed on your peak demand rather than your usage, so a quiet month with one busy hour still carries the full demand charge, and at Oncor an 80% ratchet can hold the billed kW near last summer's peak for 11 months. Several rider sheets also rose in 2026. Compare the TDU section of two bills line by line against the tables above to see which part moved.
How often do these figures change?
EIA publishes the state averages monthly, about two months after the fact. Utility riders change on their own dates: in 2026 Oncor's base rates changed June 1 and its TCRF and DCRF on October 4, with an interim surcharge from August 1 to December 31; CenterPoint's TCRF and SRC II changed September 1, TEEEF August 15 and DCRF September 30. We re-check both tariffs and the EIA table monthly; this page was last checked October 31, 2026.

Sources and scope

Supplier explanations support the general contract and billing points in this guide. Your own agreement and service location determine the terms that apply to you.

Wire & Watt wrote this guide from the sources below. No supplier or utility paid for it or reviewed it. The supplier a business chooses pays us, never the business: how we’re paid.

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