RegulatoryApr 17, 2026, 04:22 PM
Sempra's Oncor Gets 8.7% Rate Hike, $560M Revenue Increase
AI Summary
Sempra's subsidiary, Oncor Electric Delivery Company LLC, received approval from the Public Utility Commission of Texas for a comprehensive base rate review. The order approves an annual revenue requirement of approximately $6.97 billion, an 8.7% increase over adjusted annualized revenues. This includes an improved authorized return on equity of 9.75% and an increased self-insurance reserve. Oncor anticipates positive impacts on its future earnings, cash flow, and credit metrics.
Key Highlights
- PUCT approved $6.97 billion annual revenue requirement for Oncor.
- Revenue requirement increased by $560 million, or 8.7%.
- Authorized return on equity increased to 9.75% from 9.70%.
- Self-insurance reserve annual accrual increased to $200 million.
- Revised regulatory capital structure: 56.5% debt to 43.5% equity.