Rates & other charges

Kerrville Public Utility Board’s (KPUB) mission is to be a responsive and efficient, locally owned provider of safe and reliable utility service at the lowest responsible price.

KPUB’s electric rates are carefully designed to recover the cost of serving each customer class. We purchase power from a variety of competitive sources to secure the most cost-effective rates for our community. As a result, KPUB consistently delivers some of the lowest electricity rates in Texas and across the United States.

To maintain this level of affordability and reliability, KPUB is planning ahead for the future of our power supply. A major supply contract that currently provides a significant portion of our electricity is set to expire in the coming years. In anticipation, KPUB is advancing the development of owning our own power generation plant—a strategic move that has been under consideration for several decades.

In today’s increasingly volatile energy market, owning our own generation will allow KPUB to have more control over our energy portfolio, helping us continue to provide stable, affordable rates for our customers well into the future. Click here to learn more about this project.

KPUB Rates

KPUB Rates-kWh-2023
KPUB Rates-kWh-2023

Sample residential rate breakdown for 1,000 kWh
Power supply charge*    $77.95
Distribution charge        $16.80
Customer charge           $15.25
Total due for service     $110.00

* Power supply charge varies. KPUB does not generate our own electricity—we purchase it from diverse power suppliers. Accordingly, our tariff (rate) is based on a fixed rate + a variable rate that can fluctuate with actual power supply costs. The variable portion is called the power cost adjustment factor (PCAF).

The current power supply charge (as of July 7, 2026) is as follows:
Fixed rate (page 3 of tariff document)      $0.04060 per kWh
PCAF (page 17 of tariff document)           $0.03735 per kWh
Total power supply charge                    $0.07795 per kWh

 

Our residential rate structure is made up of three components that appear under the detail of electric charges on your monthly bill: the power supply charge, the distribution charge, and the customer charge.

The commercial rate structure, on the other hand, is made up of four components that will appear under the detail of electric charges on your monthly bill: the power supply charge, the distribution energy charge, the distribution demand charge, and the customer charge.

Learn more about these charges and what they encompass here.

Your monthly bill will be the sum of these rate components, plus any taxes, assessments, or surcharges imposed by any governmental authority, which are assessed on the basis of revenues from electric service or volume of electricity purchased or sold.

Other Charges & Fees

Sample of KPUB’s Basic Rates & Fees

Category Charge
Residential Service

Customer charge: $15.25/month

Distribution: $0.01680 per kWh

Power supply: $0.04060 per kWh + PCAF

Commercial Service

Customer charge: $31.50/month

Distribution (≤ 2500 kWh): $0.01873 per kWh

Distribution (> 2500 kWh): $0.01523 per kWh

Demand: $1.00 per kW

Power supply: $0.04228 per kWh + PCAF

Large Commercial Service

Customer charge: $230.00/month

Distribution energy: $0.00220 – $0.00287 per kWh

Demand: $7.50 per kW

Power supply: $0.03030 – $0.03351 per kWh + PCAF

CIAC (Line Extensions)

Residential: Customer pays costs > $2,000

Residential developments: Developer pays costs > $1,500 per unit

Single-phase commercial: Customer pays costs > $3,000

Three-phase commercial: Customer pays all costs, with option for $3,000 allowance or bill credits ($3.50/kW for 36 months)

AMI Opt-Out Fee

$20/month per meter (manual reading & billing)

One-time removal fee: $150

Additional Miscellaneous Fees

Charge Amount
New Account Charge $45 (business hours) / $157 (after hours)
New Service Charge $95 (business hours) / $500 (after hours)
Transfer Fee $10
Reconnect Charge $14 (business hours) / $28 (after hours)
Temporary Connection (120/240V)

$240 (install/remove meter & service wires)

$455 (install/remove transformer on existing pole)

Returned Payment Fee $27
Meter Test Fee $71.25 (if meter found accurate; other classes billed actual cost + overhead)
Tampering Charge $300 + costs for repairs, protective facilities, and estimated unmetered usage
Trip Charge $38 (business hours) / $175 (after hours)
Late Fee (Penalty) 5% of unpaid balance (waived for customers age 60+)
Collection Processing Charge $3 (if payment not received by 5:00 PM on the final disconnect due date)
Bad Debt Collection Charge Actual collection agency fee
Customer Equipment Charge $50 (business hours) / $75 (after hours) — when outage caused by customer-owned equipment
Additional Services Based on installed cost of equipment, recovery factor, O&M, and power supply costs

For a full list of all of KPUB’s fees, please refer to our tariff by clicking the button below.

Understanding Your KPUB Bill

Ever wonder what the different charges on your KPUB bill mean? We’ve made it easy to understand. Take a look at a sample bill and learn what each charge covers—from the cost of power to delivering electricity to your home or business.

How Our Rates Are Determined

KPUB is committed to providing fair rates that reflect the cost of providing electric service to our customers. To help ensure our rates are structured appropriately, KPUB periodically works with an independent third-party consultant to conduct a Cost of Service Study.

The study looks at the cost of serving each customer class—including residential, commercial and large commercial customers—and provides recommendations for how those costs should be recovered through KPUB’s rate structure.

When rate changes are considered, the consultant’s findings and recommendations are presented to the KPUB Board of Trustees and Kerrville City Council for review and approval.

View KPUB’s Cost of Service Studies and rate design reports below:

• 2025 Electric Rate Study Presentation 

• 2025 Cost of Service and Rate Design Study

Where does your money go

Learn How You Can Save $25 on Your Next KPUB Bill!

*terms & exclusions appy