Fixed Price? More Like a Slice of the Pie.
When organizations shop for electricity contracts, they’re often drawn to one word: “fixed.”
It sounds safe. Predictable. Budget-friendly, right?
But here’s the kicker: that fixed rate? It typically only covers about 45% of your total electric bill.
The rest, a full 55%, includes things that can’t be fixed at all:
- TDSP (or “wires”) charges
- State fees and taxes
- ERCOT pass-throughs
- And sometimes… surprise charges your provider didn’t bother to explain.
And yes, even local governments pay those taxes. Ain’t that something?
So what is fixed, really?
Most for-profit providers, or the brokers working with them, build contracts that only lock in the energy portion of your bill. That’s the smallest slice… which is nice, but it’s hardly the whole picture. Meanwhile, other charges are quietly carved out and passed through as variable, unpredictable line items.
Some brokers may bundle these up and still call it “fixed,” but if you read the fine print (and you should), you’ll often find they’ve given themselves permission to raise rates when market conditions change. Or, they add things like “congestion charges” month to month, even though you thought everything was baked in.
That’s how organizations end up getting hit with fees they never saw coming.
Want the full picture?
That’s where TCAP comes in.
We’re a nonprofit aggregator built specifically to serve cities and local governments, not shareholders.
We don’t take commissions. We don’t bury fees. And we don’t get paid more when you pay more.
Instead, we use our group-buying power to make wholesale purchases across multiple suppliers, at multiple points in the market, not just when fear or headlines say “buy now.” That means more flexibility for your organization, and more protection from price spikes.
Best of all? We include known, recurring charges like congestion fees right in the price we quote. So when we say “fixed,” we mean it.
Watch the Video: The Pie Chart They Don’t Want You to See
Our latest explainer video breaks down a real TCAP bill and shows exactly what’s fixed — and what’s not.
Check it out below: