More than 160 Texas cities pushing back against Oncor’s proposal to increase rates

Published: Oct. 4, 2022 at 6:28 PM CDT
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SHERMAN, Texas (KXII) - Oncor is bringing a proposal to city councils across the state and it could raise electric bills.

According to KXII’s Dallas Fox sister station, more than 160 cities denied Oncor’s request.

One of those cities is Sherman.

Even though you pay an electric provider, Oncor still takes a chunk of your bill because it owns the power lines that go to your house.

According to Oncor’s map, it services pretty much all of our North Texas viewing area.

It’s bringing the same proposal to all the cities it covers.

It wants to increase rates by about 4 percent, which means its customers would pay an additional six dollars a month.

Sherman city council members deemed that “unreasonable” on its agenda.

“These rates are being end up paid by the customers at the end of the day and it’s on the cities to make sure that rate is appropriate, as they say, or as low as possible ideally,” said Nate Strauch, the spokesperson for the City of Sherman.

KXII reached out to Oncor to ask why a rate increase is needed. Here’s the statement it sent:

“All transmission and distribution utilities in Texas are required by the PUC to regularly file rate cases. We filed in May, ahead of our required June 1st deadline. Our last one was in 2017.

The new rates would be a 4.2% overall increase on bills for the average residential customer using 1,300 kilowatt-hours (kWh) of electricity, or about $6 per month. Even with the change, Oncor rates will still be among the lowest electric delivery rates in Texas. We work very hard to ensure necessary investments are efficient and cost-effective.

Since 2017, we’ve invested $10 billion in building, upgrading, and operating the electric grid. In that time, we’ve also added nearly 10,000 miles of new and rebuilt lines and nearly 355,000 new customer connections. These ongoing investments are crucial to continuing to provide safe and reliable service while meeting growth needs across our state.”

Sherman city council said the next steps are to negotiate a lower price with Oncor.

Gainesville also has this issue on its city council agenda for Tuesday with a recommendation to deny it.

Denison said it will address the rates in mid-October at the city council meeting