If you live in League City, Friendswood, Dickinson, Texas City, Alvin, Angleton, or parts of North and West Texas, you may have opened your monthly electric bill and noticed a substantial line item credited to Texas-New Mexico Power (TNMP).
Even if you enrolled in an electricity plan with an advertised rate of 10.5¢ or 11¢ per kilowatt-hour, your final bill shows a higher effective rate once delivery fees are added. Furthermore, TNMP customers face a unique reality: TNMP charges the highest monthly flat customer fee of any major regulated utility in the state of Texas.
Understanding what TNMP charges, why its service territory is unique, and how to calculate your true monthly costs is essential to keeping your energy budget under control.
TNMP (Texas-New Mexico Power) delivery charges are regulated pass-through fees approved by the Public Utility Commission of Texas (PUCT) to maintain poles, wires, meters, and substations across TNMP service areas. As of 2026, TNMP charges residential customers a flat base customer fee of $7.85 per month plus approximately 5.03¢ per kilowatt-hour (kWh) delivered. These fees apply equally to every resident in TNMP territory, regardless of which retail electric provider you choose.
What Is Texas-New Mexico Power (TNMP)?
To understand your electricity charges, you must understand the distinction between who sells your power and who physically delivers it across the Texas deregulated grid (managed by ERCOT):
- Your Retail Electric Provider (REP): Companies such as Reliant, TXU Energy, Gexa, or Discount Power buy bulk electricity from power generators, structure retail plan options, manage customer accounts, and issue monthly invoices.
- Your Transmission and Distribution Utility (TDU): TNMP is the regulated utility that owns and operates the physical poles, wires, high-voltage transformers, and digital smart meters. When hurricanes, severe thunderstorms, or equipment failures cause power outages, TNMP lineworkers repair the grid.
Unlike centralized utilities like Oncor (which primarily blankets North Texas) or CenterPoint (which centers around Houston), TNMP's service territory is uniquely non-contiguous. It spans three distinct geographic zones across Texas:
- Gulf Coast: League City, Dickinson, Texas City, Friendswood, La Marque, Angleton, Alvin, and Sweeny.
- North Central Texas: Lewisville, Princeton, Farmersville, Pilot Point, and Gatesville.
- West Texas: Pecos, Fort Stockton, and Sanderson.
Under PUCT rules, your retail electric provider passes TNMP's approved delivery fees through to your bill with zero markup. Whether you sign with a discount brand or an established national provider, your TNMP delivery charges remain identical.
The Line-Item Breakdown of TNMP Delivery Rates
When your monthly electric bill arrives, TNMP charges are divided into a flat monthly base customer fee and a volumetric rate per kWh based on your total household power consumption.
| Tariff Rider Component | Billing Basis | Infrastructure / Cost Center |
|---|---|---|
| Customer Charge | $7.85 per month | Highest monthly base customer fee in Texas; covers account maintenance and smart meter upkeep. |
| Transmission Cost Recovery Factor (TCRF) | Volumetric (~1.36¢ / kWh) | Covers TNMP's share of ERCOT-wide high-voltage bulk transmission lines. |
| Distribution System Charge | Volumetric (~2.41¢ / kWh) | Funds local neighborhood power poles, substations, wires, and underground feeders. |
| System Restoration & Bond Recovery | Volumetric (~0.78¢ / kWh) | Reimburses state-approved bond financing for severe storm damage and coastal grid restoration. |
| Energy Efficiency Cost Recovery Factor (EECRF) | Volumetric (~0.48¢ / kWh) | Funds state-mandated consumer energy efficiency programs and regulatory riders. |
| Total Effective Volumetric Delivery Rate | ~5.03¢ per kWh | Total variable delivery charge applied to every kWh of electricity consumed. |
Note: Specific tariff rider components are adjusted semi-annually with PUCT approval. The combined volumetric rate of ~5.03¢ per kWh reflects current approved tariffs for residential electric service in TNMP territory.
Why Is the TNMP Customer Base Charge So High ($7.85/Month)?
At $7.85 per month, TNMP’s base customer charge is substantially higher than Oncor’s ($4.39) and CenterPoint’s ($4.39). Several unique geographic and operational challenges drive this fee:
- Non-Contiguous Geographic Footprint: Because TNMP operates across three geographically disconnected pockets of Texas (Gulf Coast, North Central, and West Texas), they must maintain separate operational bases, regional warehouses, and dispatched crews across hundreds of miles.
- Coastal Salt and Storm Hardening: A significant portion of TNMP's customer base resides in Galveston and Brazoria counties along the Gulf Coast. Humid, salt-heavy coastal air accelerates equipment corrosion, requiring more frequent pole inspections, rust-resistant transformers, and elevated storm-hardening investments.
- Sparse Population Density: In rural and semi-rural service corridors, TNMP maintains more miles of wire per customer than dense municipal utilities, requiring higher fixed capital allocation per active meter.
The "So What?" Math Bridge: Real TNMP Bill Calculations
How do TNMP's fees impact your monthly budget? Below is a side-by-side comparison showing how TNMP delivery charges affect different household sizes, assuming a competitive fixed retail energy rate of 11.5¢ per kWh.
| Bill Component | League City Apt / Condo (500 kWh) | Average Gulf Coast Home (1,000 kWh) | Peak Summer Cooling (2,000 kWh) |
|---|---|---|---|
| TNMP Flat Monthly Base Charge | $7.85 | $7.85 | $7.85 |
| TNMP Delivery (5.03¢ / kWh) | $25.15 | $50.30 | $100.60 |
| Total TNMP Delivery Costs | $33.00 | $58.15 | $108.45 |
| Provider Energy Charge (11.5¢ / kWh) | $57.50 | $115.00 | $230.00 |
| Total Monthly Electricity Bill | $90.50 | $173.15 | $338.45 |
| TNMP Share of Total Bill | 36.5% | 33.6% | 32.0% |
Notice that for low-usage apartments consuming 500 kWh per month, TNMP charges account for more than 36% of the entire bill. Because the $7.85 flat customer charge must be paid even if you consume zero kilowatt-hours, low-volume energy users feel the burden of fixed utility overhead most acutely.
Texas TDU Delivery Rates Compared
Below is an interactive comparison of the regulated delivery tariffs approved by the PUCT across all major Texas utility service areas:
How TNMP Charges Appear on an Electricity Facts Label (EFL)
Under Texas law, all retail plans must publish an Electricity Facts Label (EFL) disclosing pricing at 500, 1,000, and 2,000 kWh. In TNMP territory, understanding how delivery charges are treated on the EFL is critical:
1. Unbundled Rate Plans (Standard)
Most reputable electricity providers quote an energy-only rate (for example, "8.9¢ per kWh") and explicitly state in the footnotes that TNMP delivery charges will be passed through without markup.
Because of TNMP’s $7.85 base fee, the average price per kWh at 500 kWh will always look significantly higher on the EFL than at 1,000 or 2,000 kWh. This is normal mathematical dilution: dividing a $7.85 fixed fee across only 500 units adds 1.57¢ per kWh, whereas dividing it across 2,000 units adds only 0.39¢ per kWh.
2. The Minimum Usage Fee Trap in TNMP Territory
Some retail providers exploit the higher fixed fees in TNMP territory by adding their own "Minimum Usage Surcharge" (for example, an additional $9.95 charge if your monthly usage falls below 1,000 kWh).
If an apartment resident uses 480 kWh in mild spring weather, they pay TNMP's $7.85 base fee, plus the provider's $9.95 penalty fee, adding nearly 4¢ per kWh in purely artificial administrative overhead.
Can You Switch Away From TNMP?
The answer is no.
In Texas, power generation and retail marketing are deregulated, but the transmission and distribution grid remains a regulated geographic monopoly. If your property is located within TNMP's service boundary, TNMP owns the physical wires connecting to your meter. You cannot switch to CenterPoint or Oncor.
However, you have 100% authority to choose your Retail Electric Provider.
Because TNMP's delivery charges are uniform across every provider, the only effective way to lower your overall monthly electricity cost is to lower your provider's supply rate. Securing a competitive fixed energy rate offsets TNMP's delivery fees and keeps your total invoice predictable.
4 Practical Steps to Cut Your Electricity Costs in TNMP Territory
- Lock In Fixed-Rate Certainty: Never allow your contract to transition onto a month-to-month variable holdover rate. Fixed-rate plans protect your household from extreme price spikes during Gulf Coast hurricane seasons and summer heat domes.
- Exercise the 14-Day Penalty-Free Window: Under PUCT Substantive Rule §25.475, you can switch to a new electricity provider up to 14 calendar days before your contract expires without paying an Early Termination Fee (ETF).
- Scrutinize the EFL for Low-Usage Penalties: If you reside in an apartment, condo, or energy-efficient small home, avoid plans with tiered usage thresholds or minimum usage fees that compound TNMP's $7.85 base fee.
- Compare Plans Using Actual Smart Meter Texas Data: Do not shop using generic statewide usage estimates. Coastal humidity and cooling demands create sharp seasonal consumption swings that require personalized rate modeling.
Compare Competitive TNMP Electricity Plans on GetElectricity
TNMP delivery fees are a fixed part of living in League City, Dickinson, Texas City, or Lewisville, but paying an excessive rate for your energy supply is not.
GetElectricity links directly to your Smart Meter Texas history to analyze your true 12-month usage pattern. We evaluate hundreds of active plans in TNMP territory against your actual consumption, exposing hidden fees, tiered pricing traps, and delivery surcharges before you enroll.
Enter your ZIP code on GetElectricity to discover genuine, low-cost fixed electricity plans and protect your household against rising utility delivery costs.
Related reading: TNMP's delivery charges appear as pass-through line items on your plan's disclosure documents — our guide on how to read an Electricity Facts Label shows you exactly where to find them.
Keep TNMP's Charges in Perspective on GetElectricity
TNMP's delivery rates are identical no matter which retailer bills you — so the only comparison that matters is what each retailer charges on top of them.
GetElectricity connects directly to your Smart Meter Texas data to build your real 12-month usage profile, then simulates hundreds of active plans across Lewisville, Dallas, Fort Worth, and Houston, showing the true combined cost per kWh no matter which wires company owns your meter.
Enter your ZIP code on GetElectricity to compare the part of your bill you can actually change.
Frequently Asked Questions
What are TNMP's current delivery charges?
TNMP charges a $7.85 flat monthly base fee — the highest of any major regulated utility in Texas — plus a combined volumetric delivery rate of about 5.03¢/kWh. That volumetric total bundles the Transmission Cost Recovery Factor (~1.36¢/kWh), the Distribution System Charge (~2.41¢/kWh), System Restoration and Bond Recovery (~0.78¢/kWh), and the Energy Efficiency Cost Recovery Factor (~0.48¢/kWh). At 1,000 kWh of usage, TNMP delivery totals $58.15 on the bill, and tariff rider components are adjusted semi-annually under PUCT approval.
Why does TNMP's base fee hit low-usage households harder?
Fixed fees dilute across usage: spreading $7.85 across 500 kWh adds 1.57¢/kWh, but only 0.39¢/kWh at 2,000 kWh. Because the base charge is owed even at zero consumption, a 500 kWh apartment in League City sees TNMP charges take 36.5% of the entire bill, versus about 32% for a 2,000 kWh home. TNMP's fee runs higher than Oncor's and CenterPoint's $4.39 because of its non-contiguous territory, coastal salt-air storm hardening, and sparse rural density — so low-usage households feel it most.
Which Texas cities does TNMP serve?
TNMP's territory is non-contiguous, spanning three zones: the Gulf Coast (League City, Dickinson, Texas City, Friendswood, La Marque, Angleton, Alvin, and Sweeny), North Central Texas (Lewisville, Princeton, Farmersville, Pilot Point, and Gatesville), and West Texas (Pecos, Fort Stockton, and Sanderson). If your property sits inside TNMP's boundary you cannot switch delivery utilities, but its delivery charges pass through identically on every retail plan in the territory.