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Texas Electricity Glossary - Know the Language

Advanced Metering Surcharges (AMS)
This is a Public Utility Commission-approved charge from your TDSP (Oncor, Centerpoint, AEP). This charge passed on to you without mark-up and then pays the fee to your TDSP.

Base Charge
A charge assessed during each billing cycle without regard to the customer's demand or energy consumption.

The amount of electricity used at any given instant or averaged over a designated period of time. Demand is usually measured in kilowatts or megawatts. The peak demand is the highest 15 or 30 minute recorded demand period over 12 months.

Electric Cooperative (COOP)
Customer-owned electric utility that distributes electricity to its members.

The free flow of electrons. Electric generators convert mechanical energy into electric energy. Electrical energy is the generation or use of electric power over a period of time, usually expressed in kilowatt-hours (kWh) or megawatt-hours (mWh).

Electricity Facts Label
A standardized format sheet of information required by the PUC that provides customers with disclosure information on a Retail Electric Provider's prices, contracts, sources of power generation and emissions. This information will give you a better comparison of electricity offers from competing Texas Electric Providers. (See Bounce Energy's Historical EFLs)

Electric Reliability Council of Texas (ERCOT)
The corporation comprised and governed by a board of directors from investor and municipally owned electric utilities, generators, independent members and consumers to maintain and ensure the reliability of the power grid that operates in the State of Texas. They make sure you get electricity into your home or business.

Energy Charge
A charge based on the electric energy (kWh) consumed.

Energy Efficiency Cost Recovery Factors (EECRF)
Charge assessed to recover a TDSPs costs for energy efficiency programs, to the extent that the TDSPs charge is a separate charge exclusively for that purpose that is approved by the Public Utility Commission.

ESI I.D. (Electric Service Identifier)
A unique number in the ERCOT market given to an electricity delivery point by the TDSP. You can find this number on your electricity bill.

The production of electricity. Electricity in Texas is generated from natural gas, nuclear, coal, wind, water, and solar energy. Since 1995, Texas has built or has under construction some 27,000 MW of generation capacity and is projected to have reserve margins in excess of 25% through 2006.

Kilowatt-Hour (kWh)
A measurement of energy equal to one kilowatt (kW) of power for a one-hour duration. This is the amount of electricity providers charge you on your bill for each billing period.

Municipally or City Owned Utility
A non-profit electricity provider that is owned and operated by the municipality it serves. Texas city-owned utilities may decide whether or not their customers will have a choice of REPs. Customers should contact their electric cooperative or city utility for more information.

Provider of Last Resort
The Provider of Last Resort becomes your provider when a Retail Electric Provider exits the market for any reason. If this happens, customers may switch back to the Affiliate Retail Electric Provider or establish service with a new Retail Electric Provider.

Public Utility Commission of Texas (PUC)
The state agency that is responsible for the regulation and oversight of electric services in Texas. The Public Utility Commission regulates the delivery of electricity to ensure the safety and reliability of your service. The mission of the Public Utility Commission of Texas is to protect customers, foster competition, and promote high quality infrastructure.

Renewable (Green) Energy
Electricity that is made from natural fuel sources via the environment, such as wind, water or solar. See Bounce Energy green energy plans and rates.

Retail Electric Provider ("REP")
A company that sells electricity to customers. All Retail Electric Providers must be certified to do business by the Public Utility Commission of Texas.

TDSP (Transmission and Distribution Service Provider)
Transmits and delivers the electricity to a customer's home or business along the poles and wires. This company is responsible for maintenance and repair of these poles and wires and regulated by the PUC. Examples include Centerpoint, Oncor, AEP North, AEP Central, and Texas-New Mexico Power.

Terms of Service
Contract between a Retail Electric Provider and a customer that outlines fees, length of service and other important information.

The measurement of electricity used during the billing cycle listed in kilowatt-hours (kWh) on your electric bill as kWh.

Your Rights As a Customer Disclosure
A document that informs you of your rights as mandated by the PUC. Retail Electric Providers must provide you with this disclosure.

Definitions provided by the PUC and

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