Oncor Electric Delivery
|Headquarters||Dallas, Texas, United States|
(Chief Executive Officer)
Number of employees
Oncor Electric Delivery Company is Texas's largest transmission and distribution electric utility, the 6th largest in the US, serving more than 10 million Texans in 410 cities and 120 counties in the state. Their service territory includes east, west and north-central Texas, including Dallas, Fort Worth, Midland, Odessa, Killeen, Waco, Wichita Falls, and Tyler and other surrounding cities in Texas. In 2018, Sempra Energy acquired a majority stake in Oncor for US $9.45 billion.
It was formerly known as TXU Electric Delivery and TU Electric. Predecessor companies include Dallas Power & Light (DP&L), which served the city of Dallas; Texas Electric Service Company (TESCO), which served areas surrounding Fort Worth and west Texas; and Texas Power and Light (TP&L), which served other areas of northern and east-central Texas.
Oncor is privately held by a limited number of investors including Energy Future Holdings Corporation ("EFH"). Oncor is separate from its owners and separately managed by a majority independent board of directors. While a majority owner, EFH is not involved in the management of Oncor. On March 24, 2016, the Texas Public Utility Commission (PUC) granted the request to convert Oncor into a real estate investment trust (REIT) with the reservation that the PUC would consider the treatment of potential tax savings, which could account to $250M, from the REIT structure in a separate proceeding to be held at a future date. The subsequent proceeding's focus is to determine how the potential tax savings attributable to the REIT format would be shared with utility ratepayers.
On July 7, 2017 it was announced that Berkshire Hathaway had agreed a deal to buy the whole of Energy Future Holdings and ultimately Oncor. This bid was ultimately surpassed by Sempra Energy, which bid $9.45 billion in cash and the assumption of debt on August 21, 2017. The acceptance of the Sempra bid effectively terminated the Berkshire bid. The Sempra bid subsequently received court approval on September 6, 2017. On March 8, 2018, regulators in Texas approved Sempra Energy's purchase of a majority stake in Oncor for $9.45 billion.
As of 2014, Oncor Electric Delivery Company was working in partnership with Siemens Power Technologies to build a smart grid in an exploration of the use of storage batteries and micro-grids. The Competitive Renewable Energy Zone (CREZ) project was intended to improve the transmission of wind power to Oncor's grid.
- Brickley, Peg (March 8, 2018). "Texas Regulators Approve Sempra's $9.45 Billion Oncor Buyout". The Wall Street Journal. The New York Times, New York City, United States. Retrieved March 9, 2018.
- Davidson, Mark (25 March 2016). "Texas Oncur Buyout Approved – With Reservations". The National Law Review. Lewis Roca Rothgerber LLP. Retrieved 11 May 2016.
- "Form 8-K". www.sec.gov. Retrieved 2017-09-22.
- Nikolewski, Rob. "Judge OKs Sempra's $9.45B deal with Oncor". sandiegouniontribune.com. Retrieved 2017-09-22.
- Desonie, Dana (April 2010). "A Smart Grid for Smart Texans" (PDF). siemens.com. Retrieved 23 Jun 2014.
- Schnurman, Mitchell (31 May 2014). "Oncor bets on a better grid". dallasnews.com. Retrieved 23 Jun 2014.