ONCOR RATE CASE

In May 2022, Oncor filed a rate increase request in order to recover significant system investments and continue meeting growth needs across the state. The request was filed with the Public Utility Commission of Texas (PUCT) and cities in the Oncor service area that have original jurisdiction over the company’s rates.

Texas transmission and distribution utilities (TDUs), including Oncor, are required by the PUCT to regularly file comprehensive rate cases. Oncor’s last comprehensive rate review occurred in 2017.

In April 2023, the PUC issued a final order authorizing Oncor’s new rates, which will go into effect on May 1. The new rates reflect an annual revenue increase of approximately $80 million over Oncor’s previous adjusted rates.

For the average residential customer using 1,300 kilowatt-hours (kWh) of electricity per month with a retail electric plan charging 11 cents per kWh, this change results in a 3% overall increase on bills. This means an estimated increase of 14 cents a day or $4.33 per month. Even with this change, Oncor rates remain among the lowest electric delivery rates of any investor-owned utility in Texas.

Oncor provides an essential service – the delivery of safe, reliable, affordable electricity – to more than 3.9 million homes and businesses across nearly one third of Texas. The company operates the largest transmission and distribution system in Texas with more than 140,000 miles of transmission and distribution lines.

These updated rates will help continue to support investments in the maintenance and growth of Oncor’s transmission and distribution system, enhancements to safety and reliability, and the use of new technology and innovations.

Oncor is committed to meeting the ongoing and expected growth and needs of customers across Texas while remaining focused on making appropriate and necessary investments in an efficient and cost-effective manner.

Forward-Looking Statements

This webpage contains forward-looking statements relating to Oncor within the meaning of the Private Securities Litigation Reform Act of 1995, which are subject to risks and uncertainties. All statements, other than statements of historical facts, that are included on this webpage, or made in presentations, in response to questions or otherwise, that address activities, events or developments that Oncor expects or anticipates to occur in the future, including such matters as projections, capital allocation, future capital expenditures, business strategy, competitive strengths, goals, future acquisitions or dispositions, development or operation of facilities, market and industry developments and the growth of our business and operations (often, but not always, through the use of words or phrases such as  "intends," "plans," "will likely result," "are expected to," "will continue," "is anticipated," "estimated," "should," "projection," "target," "goal," "objective" and "outlook"), are forward-looking statements. Although Oncor believes that in making any such forward-looking statement its expectations are based on reasonable assumptions, any such forward-looking statement involves risks, uncertainties and assumptions. Factors that could cause actual results to differ materially from those projected in such forward-looking statements include: legislation, governmental policies and orders, and regulatory actions; legal and administrative proceedings and settlements, including the exercise of equitable powers by courts; weather conditions and other natural phenomena, including any weather impacts due to climate change; acts of sabotage, wars or terrorist or cyber security threats or activities; health epidemics and pandemics, including the evolving COVID-19 pandemic and its variants and its impact on Oncor's business and the economy in general; loss of key technology platforms; economic conditions, including the impact of a recessionary environment, inflation, supply chain shortages, and labor availability and cost; unanticipated population growth or decline, or changes in market demand and demographic patterns; Electric Reliability Council of Texas, Inc. ("ERCOT") grid needs; changes in business strategy, development plans or vendor relationships; changes in interest rates or rates of inflation; unanticipated changes in operating expenses, liquidity needs and capital expenditures; inability of various counterparties to meet their financial obligations to Oncor, including failure of counterparties to perform under agreements; general industry trends; significant decreases in demand or consumption of electricity delivered by Oncor, including as a result of increased consumer use of third-party non-wires alternatives or other technologies; hazards customary to the industry and the possibility that Oncor may not have adequate insurance to cover losses resulting from such hazards; changes in technology used by and services offered by Oncor; significant changes in Oncor's relationship with its employees, including the availability of qualified personnel, and the potential adverse effects if labor disputes or grievances were to occur; changes in assumptions used to estimate costs of providing employee benefits, including pension and retiree benefits, and future funding requirements related thereto; significant changes in accounting policies or critical accounting estimates material to Oncor; commercial bank and financial market conditions, access to capital, the cost of such capital, and the results of financing and refinancing efforts, including availability of funds in the capital markets and the potential impact of any disruptions in U.S. credit markets; circumstances which may contribute to future impairment of goodwill, intangible or other long-lived assets; financial and other restrictions under Oncor's debt agreements; Oncor's ability to generate sufficient cash flow to make interest payments on its debt instruments; actions by credit rating agencies; and Oncor's ability to effectively execute its operational strategy.

Further discussion of risks and uncertainties that could cause actual results to differ materially from management's current projections, forecasts, estimates and expectations is contained in filings made by Oncor with the U.S. Securities and Exchange Commission. Specifically, Oncor makes reference to the section entitled "Risk Factors" in its annual and quarterly reports. Any forward-looking statement speaks only as of the date on which it is made, and, except as may be required by law, Oncor undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which it is made or to reflect the occurrence of unanticipated events. New factors emerge from time to time, and it is not possible for Oncor to predict all of them; nor can it assess the impact of each such factor or the extent to which any factor, or combination of factors, may cause results to differ materially from those contained in any forward-looking statement.  As such, you should not unduly rely on such forward-looking statements.