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ALJ Issues a Proposed Order Approving Oncor Rate Case Settlement Agreement
REP Coalition requests that rate changes be effective after 45 days, rather than immediately.
On March 18, 2026 an Administrative Law Judge (ALJ) issued a proposed order (PO) approving the February 17, 2026 settlement agreement.
As a reminder, parties agreed “to set Oncor’ s base-rate revenue requirement at $6,975,128,383, which equals an increase in total electric delivery revenues of approximately 8.8% and is approximately $268,000,000 less than Oncor’s original request as modified by its 45-day update.”
On March 27th parties filed corrections and exceptions to the proposed order.
Note that the REP Coalition requested that rate changes be effective after 45 days, rather than immediately, to give REPs sufficient implementation time, as has been done in other recent rate change orders.
As background, Oncor filed an application to increase base rates by ~$834 million, ~45% of which is to recover storm-related costs, ~20% to adjust for rising costs and inflation, and ~25% to keep debt costs low. The proposed increase would raise monthly bills for residential customers using 1MWh by ~$7, or 4.7%.
Oncor said that it was requesting rate review two years early “as we’re executing on our approximately $36 billion five-year capital plan as we seek to minimize the impacts of increased storms on our customers.” Oncor also said it has identified additional capital investment projects of ~$12 billion.
