⚡ What El Paso Electric’s 2025 Rate Case Means for Homeowners and Solar Customers

El Paso Electric (EPE) has filed a new rate case (Docket No. 57568) with the Texas Public Utility Commission that could take effect as early as July 1, 2025. While much of the proposal is technical, here’s what residential customers — especially those with or considering rooftop solar — need to know.

Key Takeaways for All Residential Customers

• Monthly bills could increase — the average residential customer may see an increase of about $23/month, depending on usage.

• Standard residential service (Rate 01) will not include demand charges, meaning your bill is still based on how much energy you use, not when you use it.

☀️ For Current Solar Owners (Distributed Generation / DG)

• You are grandfathered in under your existing rate plan if you already have solar and an approved interconnection agreement.

• You can upgrade your system (like adding storage or increasing size) without losing this protection, as long as you file the proper paperwork.

• You will not be automatically moved to a plan with demand charges or export limitations.

⚠️ For Homeowners Planning to Go Solar

If you install solar after July 1, 2025, here’s what to expect:

• Application fees apply: $85 for systems ≤100 kW, $230 for larger systems.

• Limited net metering: Only available if your system is under 50 kW and expected to cover your home’s annual use.

• Exported energy is capped at 10% of your prior year’s usage and is credited at a low avoided cost rate, not the full retail value.

• You must sign an acknowledgment that future rate changes could affect your solar savings.

What’s the Bigger Picture?

El Paso Electric’s own testimony shows solar customers tend to:

• Use less energy from the grid, but

• Still draw significant power during peak hours (like evenings), and

• Have lower load factors — meaning their energy use is more “peaky,” which costs more to serve.

EPE hasn’t proposed demand charges yet for solar homes, but their analysis strongly hints they’re laying the groundwork for such changes in the future.

Bottom Line

• Already have solar? You’re safe — for now.

• Thinking about solar? Act before July 1, 2025 to lock in better terms.

• Expect continued scrutiny and policy changes affecting solar economics in the years ahead.