Delivery charges—also known as distribution charges—are fees from your local utility for delivering electricity or natural gas to your home. These charges cover the cost of maintaining the poles, wires, pipelines, and other infrastructure needed to safely and reliably transport energy.
Depending on your utility, delivery charges may include:
- A fixed charge that remains the same each month, regardless of usage
- A variable charge based on the amount of energy you use
- Or a combination of both
These charges are separate from the supply portion of your bill and are regulated by your state’s public utility commission.