Approved Electric Rates

Changes to Pass-Through Charges Start November 2017

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As part of the FY 2018 budget approval process wrapped up September 19, the Austin City Council approved an increase in two pass-through charges for Austin Energy. The Power Supply Adjustment increased by 7.1% and the Regulatory Charge increased by 1.4%. These changes go into effect November 1, 2017.

As a community-owned utility, Austin Energy works to keep rates low for customers. The charges that are changing are dollar-for-dollar recoveries, and when costs change, the charges must change as well.

View the approved rates schedule (pdf)

Current Residential Rates

Other Residential Charges

Current Commercial Rates

Other Commercial Charges

Lower Base Rates Adopted in 2016

On August 29, 2016, Austin City Council set new, lower electric rates. Austin City Council cut rates because Austin Energy found it could reduce its revenue requirement while continuing to effectively run its operations. Through a yearlong process, the City-owned utility worked with two-dozen parties to reduce Austin Energy’s revenue requirement by $42.5 million. 

Residential Base Rates

Through the approved 2016 agreement, residential customers overall received about $5 million of the total reduction. This reduction meant yearly savings on their electric bills, depending on how and when customers use electricity.

Another significant decision in the rate change was the switch from seasonal base rates to a consistent base rate. Before the approved rate agreement, residential customers were charged a “Seasonal Rate” — higher in the summer than the rest of the year. Now, the new consistent base rates applies through the whole year.

This new structure provides rate relief to customers during what is often the hottest and most expensive time of the year. For most customers, these rates mean spending less money on a yearly basis and more predictable monthly bills.

Other Residential Charges

Seasonality was removed from base rates and applied to the Power Supply Adjustment. Starting in June, Power Supply rates will increase for the four hottest summer months before lowering again in October.

Commercial Base Rates

For the commercial classes, rates were reduced by about $37.5 million in 2016 — about 88% of the total reduction. Lowering the base rates for the commercial classes helped bring them closer to their cost of service.

The switch from seasonal base rates to consistent base rates was also applied to commercial customers. This could lead to many commercial customers paying less for electricity for the year.

Low Load Factor Floor — The 2016 rate agreement included an adjustment to rates based on peak monthly demand for customers with load factors below 20%, which effectively decreases their overall bill. This benefits about 3,700 small- and medium-sized commercial customers.

Wholesale Rates

Fee Schedules

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If you have any questions about your rates, please call 512-494-9400.

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