Billing Terms

Gexa Energy displays a number of billing terms, approved by the Public Utility Commission of Texas (PUCT), on our statements. Terms that appear on both Residential and Commercial statements and their definitions, including the approved abbreviations, are listed below. Click the terms below to learn more.   

PUCT Billing Terms

Base Charge

A flat fee applied each month regardless of the amount of kilowatt-hours (kWh) used.


The measurement of the amount of electricity being supplied at a given instant to a premise. The highest recorded demand during the billing cycle is the actual demand. If demand is high, a measurement may be shown on your bill, and the TDU may assess a Demand Charge as part of its pass-through charges. Otherwise, Demand will be displayed as “N/A.”

Energy Charge

A charge based on the electricity (kWh) consumed.

kW (Kilowatt)

The standard unit for measuring electricity demand; equal to 1,000 watts.

kWh (Kilowatt-hour)

The standard unit for measuring electricity consumption; equal to 1,000 watt-hours.

Late Payment Penalty

A charge assessed for late payment, in accordance with PUCT rules.

Miscellaneous Gross Receipts Tax Reimbursement

A fee assessed to recover the Miscellaneous Gross Receipts Tax imposed on retail electricity providers operating in an incorporated city/town having a population of more than 1,000.  

Monthly Service Fee

A monthly charge that may be assessed based on the customer’s energy consumption, applied to cover costs of billing, administration, and customer care from Gexa Energy.


The number used by the TDU to help determine the total power usage (kWh) for the month; it has no impact on the price the customer pays per kWh of electricity. Most Residential and Small Commercial premises have a Multiplier of “1.” Example:

  • Current Meter Reading 1000 kWh
  • Minus (-)
  • Previous Meter Reading 0 kWh
  • Times (*)
  • Multiplier 1
  • Equals (=)
  • Total Monthly Usage 1000 kWh

Pass-Through Charges

The following line items are typical pass-through charges from your TDU, which appear as individual line items on Commercial bills and under the TDU Delivery Charges section on Residential bills. Additional TDU pass-through charges may appear on your bill, as approved by the PUCT; below are the most common:

  • Advanced Metering Charge
    A charge assessed to recover a TDU’s charges for Advanced Metering Systems—sometimes referred to as “smart meters.” This charge is applied to cover costs in excess of the TDU’s standard metering charge.
  • Competition Transition Charge
    A charge assessed to recover a TDU’s charges for non-securitized costs associated with the transition competition.
  • Energy Efficiency Cost Recovery Factor
    A charge assessed to recover a TDU’s costs for energy efficiency programs, as approved by the PUCT.
  • Meter Charge/Customer Charge
    A charge assessed to recover a TDU’s charges for metering consumption, as approved by the PUCT.
  • Nuclear Decommissioning Fee 
    A charge assessed to recover a TDU’s charges for the decommissioning of nuclear generation sites.
  • System Benefit Fund
    A non-bypassable charge approved by the PUCT, not to exceed $0.65 per megawatt-hour, that funds the low-income discount, one-time bill payment assistance, customer education, commission administrative expenses and low-income energy efficiency programs.
  • Transmission Distribution Surcharges
    One or more TDU surcharges on a customer’s bill in any combination. Surcharges include charges billed as tariff riders by the TDU.
  • Transition Charge (Followed by a Number)
    A charge established pursuant to a financing order issued by the PUCT.

PUC Assessment

A fee assessed to recover the fee for administering the Public Utility Regulatory Act. The PUCT imposes an Assessment Fee on utility companies for each customer's service address, in order to cover the costs of its activities on behalf of consumers. Gexa Energy and TDUs pass this amount through to their customers for reimbursement.

Sales Tax

A tax collected by authorized taxing authorities, such as the state, cities and special purpose districts. May not apply in all locations or to all customers.

Transmission and Distribution Utility (TDU)

The company that owns or operates the equipment or facilities — poles, wires, meters, etc. — to deliver electricity to a service location.

TDU Delivery Charges

The total charges assessed by a TDU for the delivery of electricity to a Residential premise, not including discretionary charges. These charges vary, may change from time to time, and are set by a complex schedule of rates and charges that are regulated by the PUCT.

Gexa Energy purchases renewable energy credits (RECs) from renewable generation resources throughout North America to match 100% of the energy sold under your electric plan.  The RECs Gexa purchases represent the renewable attributes of power generated from a variety of renewable energy sources, including, but not limited to, the sun, wind, geothermal, hydroelectric, wave or tidal energy, and biomass or biomass-based waste products, including landfill gas.