Many Texans opening their monthly electricity statement find themselves asking a common question: Why are there two different company names associated with my home’s power? You might choose an eco-friendly footprint with Gexa Energy through ElectricityOne, yet see an Oncor or CenterPoint crew out servicing the local smart meter in your neighborhood. Understanding this dynamic is the key to mastering your energy bill and making informed choices for your household.
In the deregulated Texas energy market, the responsibility of delivering electricity is divided between two distinct entities: the company that sells you the energy and the company that physical delivers it. To navigate this system successfully, it is essential to understand what is a transmission and distribution service provider and how they coordinate with your retail provider.
The Core Difference: Retail Electric Provider vs. TDSP
To understand how your lights stay on, you must look at the two halves of the Texas electricity system:
- Retail Electric Provider (REP): This is the company you choose to buy your electricity from, such as Gexa Energy. They manage your account, purchase wholesale electricity, design your energy plan, and send your monthly bill.
- Transmission and Distribution Service Provider (TDSP): Also known as a TDU (Transmission and Distribution Utility), this is the company that actually owns and maintains the physical infrastructure. They own the power lines, poles, transformers, and smart meters. They are responsible for reading your meter and fixing the lines when the power goes out.
While you have the power to choose your REP, you cannot choose your TDSP. Your utility provider is determined strictly by your physical geographic location.
Meet the Six Major Texas Utility Companies
The Electric Reliability Council of Texas (ERCOT) grid is divided into distinct service territories managed by six major utility companies:
- Oncor: The largest TDSP in Texas, serving the Dallas-Fort Worth metroplex, Midland-Odessa, and parts of West and Central Texas.
- CenterPoint Energy: Serves the Houston metropolitan area and surrounding communities.
- AEP Texas Central: Covers the southern portion of the state, including Corpus Christi, Laredo, and McAllen.
- AEP Texas North: Services northern and western areas, including Abilene and San Angelo.
- Texas New-Mexico Power (TNMP): Covers various pockets of the state, including areas northeast and Gulf Coast regions of Texas.
- Lubbock Power & Light (LP&L): The newest major utility to transition into the competitive ERCOT market, giving Lubbock residents the ability to choose their retail providers.
How Gexa Energy Fits Into Your Local Grid
Once you know which utility covers your area, you can select a plan from a premier retail provider like Gexa Energy. For environmentally conscious Texans, selecting the Gexa Eco Saver Plus 12 Plan is an excellent way to reduce your carbon footprint.
When you enroll in this plan, Gexa Energy offsets 100% of your electricity usage with renewable energy credits (RECs) for a full year. However, it is important to remember that Gexa does not physically run a separate, green wire to your home. Instead, your local TDSP is still the physical entity moving those electrons over the physical wire grid to your home. The green energy you purchase is added to the overall Texas grid, making the entire system cleaner and more sustainable.
Why ElectricityOne is Your Trusted Texas Energy Partner
Navigating the relationship between utilities and retail providers can feel overwhelming. That is where ElectricityOne steps in. We act as your advocate, helping you compare plans and understand the true cost of your electricity. Here is why Texas residents trust us:
- Over 20 Years of Experience: Providing reliable, quick, and courteous electric service for Texas homes and businesses.
- Meticulous Provider Selection: We partner only with top-tier REPs—like Gexa Energy—that offer substantial cost savings and long-term satisfaction.
- Complete Cost Transparency: Helping you understand all charges, including the regulated TDU pass-through fees, so there are no surprises on your bill.
- Expert Guidance: Helping you navigate the distinct service territories across all six major TDSP zones.
Billing and Emergencies: Who Do You Call?
Because your REP and TDSP perform different roles, knowing who to contact depends entirely on your situation. If you have questions about your monthly statement, want to renew your contract, or need to update your payment method, you should contact Gexa Energy.
However, if your lights suddenly go out, or if you spot a downed power line in your neighborhood, you must contact your local TDSP immediately. Since they own and maintain the physical grid infrastructure, they are the only ones who can dispatch crews to restore your power safely.
Ready to find the best energy plan for your specific utility delivery area? Call 1.844.567.2863 today to speak with our Texas energy experts.
Frequently Asked Questions
Can I choose my own Transmission and Distribution Service Provider (TDSP)?
No. While the retail energy market in Texas is deregulated, the physical delivery of electricity remains regulated. Your TDSP is determined solely by where your home or business is physically located.
How do TDSP delivery charges affect my green energy plan, like the Gexa Eco Saver Plus 12 Plan?
All electricity plans in Texas include regulated TDSP delivery charges. These are pass-through fees approved by the Public Utility Commission of Texas (PUCT) to cover the cost of maintaining poles, wires, and meters. They apply to every plan, whether you choose a standard plan or a 100% renewable energy plan.
Who should I contact during a sudden power outage?
You should contact your local TDSP (such as Oncor, CenterPoint, or TNMP) rather than your retail provider. Your TDSP is responsible for the physical grid and has the crews necessary to restore power safely and efficiently.
