 Deregulation
On January 1, 2002, Texas officially adopted energy
deregulation. Since that time, Texas has become the number one
state in the country for deregulating energy with many other
states considering implementing this model.
To ensure fair
competition in Texas, each incumbent was required to split into
three companies: a Retail Electric Provider (REP), a Lines and
Wires Company otherwise known as a Transmission Distribution
Service Provider (TDSP), and a Wholesale Generator.
An REP is a company that sells electricity directly to
consumers. A Wholesale Generator sells wholesale electricity to
authorized REPs to service their customers' needs. The TDSP is
responsible for the delivery and distribution of electricity,
maintaining the integrity of the power lines and providing meter
reading services for all customers in their service area.
(A portion of your power bill goes to your TDSP for their
services. These are called non-bypassable charges.) These three
companies operate as separate entities.
Please click on the following to learn about Texas Electric
Choice:
http://www.powertochoose.org
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