Residential Electric Rates & Line Items

Austin Energy electric bills consistently rank among the lowest in Texas for average residential users and also rank lower than national averages.

Austin Energy customers use less electricity than customers in other utilities because of our emphasis on energy efficiency and protecting the environment.

Additionally, policies adopted by the Austin City Council such as Austin Energy’s Resource, Generation and Climate Protection Plan establish energy efficiency goals to help our customers conserve and keep their bills low.

Council adopted new rates effective January 1, 2017. 

View the approved rates schedule (pdf) 

Inside Rates: Five-Tier Rate Structure

As an outgrowth of these plans, the Austin City Council adopted a five-tier rate structure that rewards City of Austin customers who use less electricity with lower rates. 

With the five-tier rate structure, you can see how lowering your electric usage can result in lower bills. You can lower your electric usage by modifying your energy use or by making energy-efficiency improvements to your home.

Learn how to save money with whole-home energy improvements

Summer and Winter Seasonal Rates

It costs us more to meet the high energy demand during our hot Austin summers. For this reason, our summer rates are higher than our winter rates, but our summer rates are only in effect four months out of the year.

• Summer rates are applied June through September.
• Winter rates are applied October through December and January to May of the following year.

Customer Charge — The fixed Customer Charge of $10 helps cover the costs for billing, metering, collections, customer service, and other account management costs.

Power Supply Adjustment — The Power Supply Adjustment recovers dollar-for-dollar fuel and power supply (primarily purchased power) costs. It is reflected as a line item on the electric portion of the bill. Austin Energy makes no profit on this dollar-for-dollar pass-through charge.

The Power Supply Adjustment is adjusted to reflect the current price of fuel and projected Austin Energy power purchases.

Download the Power Supply Adjustment (pdf)

Regulatory Charge — The Regulatory Charge recovers dollar-for-dollar Austin Energy’s share of the statewide costs of managing, using, and maintaining the transmission grid, as well as other regulatory fees and penalties.

ERCOT charges and fees are based on Austin Energy’s share of the summer statewide peak demand— about 4% of the statewide total. 

Transmission providers expect to complete more than $7 billion in additional projects between 2016 and 2020. These costs are reviewed, approved and apportioned by the Public Utility Commission of Texas.

Learn More

• Learn about the other line items on your residential electric bill
• View all approved electric rates schedules for the City of Austin