Interim Rates Approved by the PUCT for Texas Customers

April 12, 2016

Rates for customers in El Paso Electric’s Texas service territory will increase beginning Friday, April 1, 2016. Customers will see the increase in their utility bills as early as Tuesday, April 5, 2016. The Public Utility Commission of Texas (PUCT) approved the interim rates outlined in the settlement agreement between parties on Wednesday, March 30, 2016.

Residential customers using an average of 625 kilowatt-hours per month in Texas will see an average bill increase of $8.12 per month in the summer, and an average increase of $5.47 per month in the winter.  Small commercial customers will see an average increase of 2.92% per month. 

A final order to be issued by the PUCT on all matters is expected in coming weeks.


On February 29, 2016, the City of El Paso approved in principle the settlement terms for EPE’s rate case pending before the Public Utility Commission of Texas (PUCT).  The settlement resolves all issues in the case except for the revenue requirement issue regarding the Four Corners Generating Station. 

Key terms of the proposed settlement include: 

  • An annual non-fuel base rate increase of $37 million, reflected in interim rates;
  • The potential for an additional base rate increase of $8 million related to the coal-fired Four Corners costs (this item will be litigated separately and is not reflected in the interim rates);
  • A return on equity of 9.7% 
  • The new proposed rooftop solar charge (up to $11 per month) will not be implemented until final approval is received by the PUCT