Common use of Interest on Deposits Clause in Contracts

Interest on Deposits. You will accrue interest on your deposit, if held more than 30 days, at an annual rate established by the PUCT. • Your deposit will be refunded when you have paid your bill for electric service for 12 consecutive months without having any late payments. • When you close your account with NEC Co-op Energy, your membership fee, your deposit and accrued interest, less any outstanding balance owed for electric service, will be refunded to you. Upon request, payment of accrued interest will be made once a year in accordance with PUCT guidelines. • You will be billed monthly for your electric service. • You may be issued a bill less frequently than monthly if you and NEC Co-op Energy agree to such an arrangement. • Your bill may be sent electronically in lieu of written mailings if you and NEC Co-op Energy agree to such an arrangement. • You will be charged a monthly service charge of $7.50 (for residential/commercial service under 35 kW demand either 1 or 3 phase) and $34.50 if 35 kW demand or greater. • If a member’s peak kW demand exceeds 500 kW, you agree to be liable for 4CP cost that is determined based on your kW demand usage during each month’s peak 4CP 15 minute interval of June, July, August and September of each year. This cost will be billed in monthly installments or a one-time charge. Termination of service does not excuse you from paying any outstanding 4CP costs. If you have executed a specific generation contract with us, you are responsible for the rate, 4CP costs and fees set out in your electric service rate / generation contract. • You will not be charged a fee to receive a standard bill via U.S. Mail that complies with the bill content requirements of §25.479 of the PUCT Substantive Rules. You may be charged a fee or given a discount if you and NEC Co-op Energy agree to the delivery of a non-standard bill. • Your monthly billing period is approximately 30 days. • NEC Co-op Energy will charge a $15 Nueces Electric Cooperative membership fee. This fee will be identified separately on your first electric bill and is refundable when you terminate all account services with Nueces Electric Cooperative. You will receive an annual allocation notice for patronage capital (“capital credits”). The payment/distribution of capital credits is at the discretion of the Nueces Electric Cooperative Board of Directors. • Transmission and Distribution Service Provider (TDSP) standard per kilowatt hour and fixed monthly customer delivery service charges are included in the Electricity Facts Label pricing. There may be additional TDSP charges and fees for the establishment of new service, after-hours service, meter testing, service construction/line extensions, etc. All TDSP charges will be passed through on your monthly bill. • Bills will be issued within 30 calendar days after obtaining meter usage and other billing information from the TDSP, unless it becomes necessary to validate the supplied usage information and billing information. • Your bill will be due upon receipt and will be considered delinquent if it is not paid by the 16th day after issuance of the bill. Non-payment of your bill may result in the termination of this agreement, or disconnection of your electric service, whichever is applicable, after proper notice. • Late payments or delinquent or past due balances may result in a penalty of 5% of the current month's past due amount. NEC Co-op Energy may charge up to a $25 insufficient funds fee for each check or electronic funds transfer (including automatic bank draft) not processed due to insufficient funds, lack of available credit or other bank return. This fee will be identified separately on your electric bill. • Currency conversion and or other financial institution fees, charges, and etc., will be passed on the member with an additional charge of $10.00 for labor / processing charge from NEC Co-op Energy Division. • NEC Co-op Energy may charge a Disconnection/Termination Notice Fee of up to $25 to all customers who are sent such notice due to nonpayment of their electric bill. This fee will be identified separately on your bill. If disconnection/termination occurs due to nonpayment, NEC CO-OP ENERGY may charge a disconnection/termination fee of up to $50 and another fee of up to $50 may be charged for reconnection. • If meter readings or other billing information is not received from the TDSP, NEC Co-op Energy reserves the right to bill you based on estimated usage-related information which, if used, will be identified as "estimated" on your bill. • Upon request, NEC Co-op Energy will provide you with your most recent 12 month's usage history, free of charge. If you request usage history other than your most recent 12 month's usage history or request usage history more than once within a 12-month period, a charge of up to $25 ($50 for IDR meters) may apply. This fee will be shown separately on your bill. • Upon request, NEC Co-op Energy will provide you with additional bill copies, duplicate bills, credit reference letters or summary billing, for which a $2 charge for each service may be applied. This fee will be shown separately on your bill. • You may be charged up to $5 per contact when NEC Co-op Energy and/or its agents make a customer contact (call or letter) for actions related to collection of any unpaid amounts. This fee will be shown separately on your bill and is in addition to fees for notices and/or a legal collection letter. NEC Co-op Energy may also contact you by sending text messages or e-mails, using any e-mail address you provide to us. Methods of contact may include using pre-recorded/artificial voice messages and/or use of an automatic dialing device. • You may be charged up to $25 per occurrence if NEC Co-op Energy or any of its agents send you a legal collection letter for any unpaid amounts. This fee will be shown separately on your bill. Non-payment of your bill beyond the due date may result in the termination of your electric service agreement or disconnection of your electric service, whichever is applicable, after proper notice. If you choose not to pay the amount due or make acceptable payment arrangements, NEC Co-op Energy will use debt collection agencies, small claims court and other legal remedies allowed by law to collect the amount you owe. • You may be charged up to $25 if NEC CO-OP ENERGY deems it necessary to submit your balance owed to a collection agency, in addition to any fees/chages from the collection agency. You agree to reimburse us the fees of any collection agency, which may be based on a percentage at a maximum of 50% of the debt, and all costs and expenses, including reasonable attorney's fees, we incur in such collection efforts. • NEC Co-op Energy may charge a minimum of $150 for a commercial energy audit performed by NEC CO-OP ENERGY or one of its agents. Commercial Energy audit fees will be based on the actual cost of the energy audit services provided and you should contact NEC CO-OP ENERGY to discuss this service and pricing. • If a customer requests an investigation which results in findings NOT in favor of the customer, NEC Co-op Energy may charge you for the actual cost of the investigation. For termination of your agreement, you may incur fees and charges associated with these collection efforts. In addition to collection fees and charges, if your electric service is disconnected you may incur TDSP charges for disconnection and reconnection of your electric service. NEC Co-op Energy offers several convenient payment options for which you may be eligible: Take the peaks and valleys out of your electricity bills with NEC Co-op Energy Average Billing. NEC Co-op Energy Average Billing sets your monthly bill based on your most recent 12- month average electricity usage, so you always know (within a few dollars) what to expect. While your account is on Average Billing, we will likely have to true-up your account every 12 months or sooner. Accounts that have a 35 kW demand or greater are excluded from this program.

Interest on Deposits. You will accrue interest on your deposit, if held more than 30 days, at an annual rate established by the PUCT. • Your deposit will be refunded when you have paid your bill for electric service for 12 consecutive months without having any late payments. • When you close your account with NEC Co-op Energy, your membership fee, your deposit and accrued interest, less any outstanding balance owed for electric service, will be refunded to you. Upon request, payment of accrued interest will be made once a year in accordance with PUCT guidelines. • You will be billed monthly for your electric service. • You may be issued a bill less frequently than monthly if you and NEC Co-op Energy agree to such an arrangement. • Your bill may be sent electronically in lieu of written mailings if you and NEC Co-op Energy agree to such an arrangement. • You will be charged a monthly service charge of $7.50 (for residential/commercial service under 35 kW demand either 1 or 3 phase) and $34.50 and if 35 kW demand or greater. • If a member’s peak kW demand exceeds 500 kW, you agree to be liable for 4CP cost that is determined based on your kW demand usage during each month’s peak 4CP 15 minute interval of June, July, August and September of each year. This cost will be billed in monthly installments or a one-time charge. Termination of service does not excuse you from paying any outstanding 4CP costs. If you have executed a specific generation contract with us, you are responsible for the rate, 4CP costs and fees set out in your electric service rate / generation contract. • You will not be charged a fee to receive a standard bill via U.S. Mail that complies with the bill content requirements of §25.479 of the PUCT Substantive Rules. You may be charged a fee or given a discount if you and NEC Co-op Energy agree to the delivery of a non-standard bill. • Your monthly billing period is approximately 30 days. • NEC Co-op Energy will charge a $15 Nueces Electric Cooperative membership fee. This fee will be identified separately on your first electric bill and is refundable when you terminate all account services with Nueces Electric Cooperative. You will receive an annual allocation notice for patronage capital (“capital credits”). The payment/distribution of capital credits is at the discretion of the Nueces Electric Cooperative Board of Directors. • Transmission and Distribution Service Provider (TDSP) standard per kilowatt hour and fixed monthly customer delivery service charges are included in the Electricity Facts Label pricing. There may be additional TDSP charges and fees for the establishment of new service, after-hours service, meter testing, service construction/line extensions, etc. All TDSP charges These fees will be passed through identified separately on your monthly electric bill. • Bills will be issued within 30 calendar days after obtaining meter usage and other billing information from the TDSP, unless it becomes necessary to validate the supplied usage information and billing information. • Your bill will be due upon receipt and will be considered delinquent if it is not paid by the 16th day after issuance of the bill. Non-payment of your bill may result in the termination of this agreement, or disconnection of your electric service, whichever is applicable, after proper notice. • Late payments or delinquent or past due balances may result in a penalty of 5% of the current month's past due amount. NEC Co-op Energy may charge up to a $25 insufficient funds fee for each check or electronic funds transfer (including automatic bank draft) not processed due to insufficient funds, lack of available credit or other bank return. This fee will be identified separately on your electric bill. • Currency conversion and or other financial institution fees, charges, and etc., will be passed on the member with an additional charge of $10.00 for labor / processing charge from NEC Co-op Energy Divisionmay charge a “Drop To Affiliated CR” Notice Fee of up to $25 to all customers who are sent a “Drop To Affiliated CR” notice due to nonpayment of their electric bill. This fee will be identified separately on your bill. • NEC Co-op Energy may charge a Disconnection/Termination Notice Fee of up to $25 to all customers who are sent such notice due to nonpayment of their electric bill. This fee will be identified separately on your bill. If disconnection/termination occurs due to nonpayment, NEC CO-OP ENERGY may charge a disconnection/termination fee of up to $50 and another fee of up to $50 may be charged for reconnection. • If meter readings or other billing information is not received from the TDSP, NEC Co-op Energy reserves the right to bill you based on estimated usage-related information which, if used, will be identified as "estimated" on your bill. • Upon request, NEC Co-op Energy will provide you with your most recent 12 month's usage history, free of charge. If you request usage history other than your most recent 12 month's usage history or request usage history more than once within a 12-month period, a charge of up to $25 ($50 for IDR meters) may apply. This fee will be shown separately on your bill. • Upon request, NEC Co-op Energy will provide you with additional bill copies, duplicate bills, credit reference letters or summary billing, for which a $2 charge for each service may be applied. This fee will be shown separately on your bill. • You may be charged up to $5 per contact when NEC Co-op Energy and/or its agents make a customer contact (call or letter) for actions related to collection of any unpaid amounts. This fee will be shown separately on your bill and is in addition to fees for notices and/or a legal collection letter. NEC Co-op Energy may contact you at any time by telephone at any telephone number associated with your account, including wireless telephone numbers. NEC Co-op Energy may also contact you by sending text messages or e-mails, using any e-mail address you provide to us. Methods of contact may include using pre-recorded/artificial voice messages and/or use of an automatic dialing device. • You may be charged up to $25 per occurrence if NEC Co-op Energy or any of its agents send you a legal collection letter for any unpaid amounts. This fee will be shown separately on your bill. Non-Non- payment of your bill beyond the due date may result in the termination of your electric service agreement or disconnection of your electric service, whichever is applicable, after proper notice. If you choose not to pay the amount due or make acceptable payment arrangements, NEC Co-op Energy will use debt collection agencies, small claims court and other legal remedies allowed by law to collect the amount you owe. • You may be charged up to $25 if NEC CO-OP ENERGY deems it necessary to submit turns your balance owed over to a collection agency, Collection Agency in addition to any of the Collection Agency’s fees/chages from the collection agencycharges. You agree to reimburse us the fees of any collection agency, which may be based on a percentage at a maximum of 50% of the debt, and all costs and expenses, including reasonable attorney's fees, we incur in such collection efforts. • NEC Co-op Energy may charge a minimum of up to $150 for a commercial residential energy audit performed by NEC CO-OP ENERGY or one of its agents. Commercial Energy audit fees will be based on the actual cost of the energy audit services provided and you should contact NEC CO-OP ENERGY to discuss this service and pricing. • If a customer requests an investigation which results in findings NOT in favor of the customer, NEC Co-Co- op Energy may charge you for the actual cost of the investigation. For termination of your agreement, you may incur fees and charges associated with these collection efforts. In addition to collection fees and charges, if your electric service is disconnected you may incur TDSP charges for disconnection and reconnection of your electric service. NEC Co-op Energy offers several convenient payment options for which you may be eligible: Take the peaks and valleys out of your electricity bills with NEC Co-op Energy Average Billing. NEC Co-op Energy Average Billing sets your monthly bill based on your most recent 12- 12-month average electricity usage, so you always know (within a few dollars) what to expect. While your account is on Average Billing, we will likely have to true-up your account every 12 months or sooner. Accounts that have a 35 kW demand or greater are excluded from this program.

Interest on Deposits. You will accrue interest on your deposit, if held more than 30 days, at an annual rate established by the PUCT. • Your deposit will be refunded when you have paid your bill for electric service for 12 consecutive months without having any late payments. • When you close your account with NEC Co-op Energy, your membership fee, your deposit and accrued interest, less any outstanding balance owed for electric service, will be refunded to you. Upon request, payment of accrued interest will be made once a year in accordance with PUCT guidelines. •  You will be billed monthly for your electric service. •  You may be issued a bill less frequently than monthly if you and NEC Co-op Energy agree to such an arrangement. •  Your bill may be sent electronically in lieu of written mailings if you and NEC Co-op Energy agree to such an arrangement. •  You will be charged a monthly service charge of $7.50 (for residential/commercial service under 35 kW demand either 1 or 3 phase) and ; $34.50 if 35 kW demand or greaterover 35kW). • If a member’s peak kW demand exceeds 500 kW, you agree to be liable for 4CP cost that is determined based on your kW demand usage during each month’s peak 4CP 15 minute interval of June, July, August and September of each year. This cost will be billed in monthly installments or a one-time charge. Termination of service does not excuse you from paying any outstanding 4CP costs. If you have executed a specific generation contract with us, you are responsible for the rate, 4CP costs and fees set out in your electric service rate / generation contract. • You will not be charged a fee to receive a standard bill via U.S. Mail that complies with the bill content requirements of §25.479 of the PUCT Substantive Rules. You may be charged a fee or given a discount if you and NEC Co-op Energy agree to the delivery of a non-standard bill. •  Your monthly billing period is approximately 30 days. • NEC Co-op Energy will charge a $15 Nueces Electric Cooperative membership fee. This fee will be identified separately on your first electric bill and is refundable when you terminate all account services with Nueces Electric Cooperative.  You will receive an annual allocation notice for patronage capital (“capital credits”). The payment/distribution of capital credits is at the discretion of the Nueces Electric Cooperative Board of Directors. • Transmission and Distribution Service Provider (TDSP) standard per kilowatt hour and fixed monthly customer delivery service charges are included in the Electricity Facts Label pricing.  There may be additional TDSP charges and fees for the establishment of new service, after-hours service, meter testing, service construction/line extensions, etc. All TDSP charges These fees will be passed through identified separately on your monthly electric bill. •  Bills will be issued within 30 calendar days after obtaining meter usage and other billing information from the TDSP, unless it becomes necessary to validate the supplied usage information and billing information. •  Your bill will be due upon receipt and will be considered delinquent if it is not paid by the 16th day after issuance of the bill. Non-payment of your bill may result in the termination of this agreement, or disconnection of your electric service, whichever is applicable, after proper notice. •  Late payments or delinquent or past due balances may result in a penalty of 5% of the current month's past due amount. NEC Co-op Energy may charge up to a $25 insufficient funds fee for each check or electronic funds transfer (including automatic bank draft) not processed due to insufficient funds, lack of available credit or other bank return. This fee will be identified separately on your electric bill. • Currency conversion and or other financial institution fees, charges, and etc., will be passed on the member with an additional charge of $10.00 for labor / processing charge from  NEC Co-op Energy Divisionmay charge a “Drop To Affiliated CR” Notice Fee of up to $25 to all customers who are sent a “Drop To Affiliated CR” notice due to nonpayment of their electric bill. • This fee will be identified separately on your bill.  NEC Co-op Energy may charge a Disconnection/Termination Notice Fee of up to $25 to all customers who are sent such notice due to nonpayment of their electric bill. This fee will be identified separately on your bill. If disconnection/termination occurs due to nonpayment, NEC CO-OP ENERGY may charge a disconnection/termination fee of up to $50 and another fee of up to $50 may be charged for reconnection. •  If meter readings or other billing information is not received from the TDSP, NEC Co-op Energy reserves the right to bill you based on estimated usage-related information which, if used, will be identified as "estimated" on your bill. •  Upon request, NEC Co-op Energy will provide you with your most recent 12 month's usage history, free of charge. If you request usage history other than your most recent 12 month's usage history or request usage history more than once within a 12-month period, a charge of up to $25 ($50 for IDR meters) may apply. This fee will be shown separately on your bill. •  Upon request, NEC Co-op Energy will provide you with additional bill copies, duplicate bills, credit reference letters or summary billing, for which a $2 charge for each service may be applied. This fee will be shown separately on your bill. •  You may be charged up to $5 per contact when NEC Co-op Energy and/or its agents make a customer contact (call or letter) for actions related to collection of any unpaid amounts. This fee will be shown separately on your bill and is in addition to fees for notices and/or a legal collection letter. NEC Co-op Energy may contact you at anytime by telephone at any telephone number associated with your account, including wireless telephone numbers. NEC Co-op Energy may also contact you by sending text messages or e-mails, using any e-mail address you provide to us. Methods of contact may include using pre-recorded/artificial voice messages and/or use of an automatic dialing device. •  You may be charged up to $25 per occurrence if NEC Co-op Energy or any of its agents send you a legal collection letter for any unpaid amounts. This fee will be shown separately on your bill. Non-Non- payment of your bill beyond the due date may result in the termination of your electric service agreement or disconnection of your electric service, whichever is applicable, after proper notice. If you choose not to pay the amount due or make acceptable payment arrangements, NEC Co-op Energy will use debt collection agencies, small claims court and other legal remedies allowed by law to collect the amount you owe. •  You may be charged up to $25 if NEC CO-OP ENERGY deems it necessary to submit turns your balance owed over to a collection agency, Collection Agency in addition to any of the Collection Agency’s fees/chages from the collection agencycharges. You agree to reimburse us the fees of any collection agency, which may be based on a percentage at a maximum of 50% of the debt, and all costs and expenses, including reasonable attorney's fees, we incur in such collection efforts. •  NEC Co-op Energy may charge a minimum of up to $150 for a commercial residential energy audit performed by NEC CO-OP ENERGY or one of its agents. Commercial Energy audit fees will be based on the actual cost of the energy audit services provided and you should contact NEC CO-OP ENERGY to discuss this service and pricing. •  If a customer requests an investigation which results in findings NOT in favor of the customer, NEC Co-Co- op Energy may charge you for the actual cost of the investigation. For termination of your agreement, you may incur fees and charges associated with these collection efforts. In addition to collection fees and charges, if your electric service is disconnected you may incur TDSP charges for disconnection and reconnection of your electric service. NEC Co-op Energy offers several convenient payment options for which you may be eligible: Take the peaks and valleys out of your electricity bills with NEC Co-op Energy Average Billing. NEC Co-op Energy Average Billing sets your monthly bill based on your most recent 12- 12-month average electricity usage, so you always know (within a few dollars) what to expect. While your account is on Average Billingthis varies slightly each month, we will likely have to true-up your account every 12 months or sooner. Accounts that have this process avoids periodical bill reconciliation and a 35 kW demand or greater are excluded from this program“thirteenth bill” each year.

Interest on Deposits. You will accrue interest on your deposit, if held more than 30 days, at an annual rate established by the PUCT. • Your deposit will be refunded when you have paid your bill for electric service for 12 consecutive months without having any late payments. • When you close your account with NEC Co-op Energy, your membership fee, your deposit and accrued interest, less any outstanding balance owed for electric service, will be refunded to you. Upon request, payment of accrued interest will be made once a year in accordance with PUCT guidelines. •  You will be billed monthly for your electric service. •  You may be issued a bill less frequently than monthly if you and NEC Co-op Energy agree to such an arrangement. •  Your bill may be sent electronically in lieu of written mailings if you and NEC Co-op Energy agree to such an arrangement. •  You will be charged a monthly service charge of ((1) $7.50 for each residential service, (2) $2.50 for residential/each security light, and (3) $34.50 for each commercial service under 35 kW whose demand either 1 or 3 phase) and $34.50 if 35 kW demand is 35kW or greater). • If a member’s peak kW demand exceeds 500 kW, you agree to be liable for 4CP cost that is determined based on your kW demand usage during each month’s peak 4CP 15 minute interval of June, July, August and September of each year. This cost will be billed in monthly installments or a one-time charge. Termination of service does not excuse you from paying any outstanding 4CP costs. If you have executed a specific generation contract with us, you are responsible for the rate, 4CP costs and fees set out in your electric service rate / generation contract. • You will not be charged a fee to receive a standard bill via U.S. Mail that complies with the bill content requirements of §25.479 of the PUCT Substantive RulesRules (xxxx://xxx.xxx.xxxxx.xx.xx/rules/subrules/electric/index.cfm) . You may be charged a fee or given a discount if you and NEC Co-op Energy agree to the delivery of a non-standard bill. •  Your monthly billing period is approximately 30 days. •  NEC Co-op Energy will charge a $15 Nueces Electric Cooperative membership fee. This fee will be identified separately on your first electric bill and is refundable when you terminate all account services with Nueces Electric Cooperative. You will receive an annual allocation notice for patronage capital (“capital credits”). The payment/distribution of capital credits is at the discretion of the Nueces Electric Cooperative Board of Directors. •  Transmission and Distribution Service Provider (TDSP) standard per kilowatt hour and fixed monthly customer delivery service charges are included in the Electricity Facts Label pricing. There may be additional TDSP charges and fees for the establishment of new service, after-hours service, meter testing, service construction/line extensions, etc. All TDSP charges will be passed through on your monthly bill. • .Bills will be issued within 30 calendar days after obtaining meter usage and other billing information from the TDSP, unless it becomes necessary to validate the supplied usage information and billing information. • o AEP Delivery Charges: xxxxx://xxx.xxxxxxxx.xxx/account/bills/rates/AEPTexas RatesTariffsTX.aspx o CenterPoint Delivery Charges: xxxx://xxx.xxxxxxxxxxxxxxxxx.xxx/services/electricity/bus iness/tariffs/historicalretailtariffs/ o Oncor Delivery Charges: xxxxx://xxx.xxxxx.xxx/content/oncorwww/us/en/home/ about-us/regulatory/tariffs-rate-schedules.html o Texas New Mexico Power (TNMP) Delivery Charges:  Your bill will be due upon receipt and will be considered delinquent if it is not paid by the 16th day after issuance of the bill. Non-payment of your bill may result in the termination of this agreement, or disconnection of your electric service, whichever is applicable, after proper notice. •  Late payments or delinquent or past due balances may result in a penalty of 5% of the current month's past due amount. NEC Co-op Energy may charge up to a $25 insufficient funds fee for each check or electronic funds transfer (including automatic bank draft) not processed due to insufficient funds, lack of available credit or other bank return. This fee will be identified separately on your electric bill. • Currency conversion and or other financial institution fees, charges, and etc., will be passed on the member with an additional charge of $10.00 for labor / processing charge from  NEC Co-op Energy Divisionmay charge a “Drop To Affiliated CR” Notice Fee of up to $25 to all customers who are sent a “Drop To Affiliated CR” notice due to termination of a contract with NEC CO-OP ENERGY. • This fee will be identified separately on your bill.  NEC Co-op Energy may charge a Disconnection/Termination Notice Fee of up to $25 to all customers who are sent such notice due to nonpayment of their electric bill. This fee will be identified separately on your bill. If disconnection/termination occurs due to nonpayment, NEC CO-OP ENERGY may charge a disconnection/termination fee of up to $50 and another fee of up to $50 may be charged for reconnection. •  If meter readings or other billing information is not received from the TDSP, NEC Co-op Energy reserves the right to bill you based on estimated usage-related information which, if used, will be identified as "estimated" on your bill. •  Upon request, NEC Co-op Energy will provide you with your most recent 12 month's usage history, free of charge. If you request usage history other than your most recent 12 month's usage history or request usage history more than once within a 12-month period, a charge of up to $25 ($50 for IDR meters) may apply. This fee will be shown separately on your bill. •  Upon request, NEC Co-op Energy will provide you with additional bill copies, duplicate bills, credit reference letters or summary billing, for which a $2 charge for each service may be applied. This fee will be shown separately on your bill. •  You may be charged up to $5 per contact when NEC Co-op Energy and/or its agents make a customer contact (call or letter) for actions related to collection of any unpaid amounts. This fee will be shown separately on your bill and is in addition to fees for notices and/or a legal collection letter. NEC Co-op Energy may contact you at anytime by telephone at any telephone number associated with your account, including wireless telephone numbers. NEC Co-op Energy may also contact you by sending text messages or e-mails, using any e-mail address you provide to us. Methods of contact may include using pre-pre- recorded/artificial voice messages and/or use of an automatic dialing device. •  You may be charged up to $25 per occurrence if NEC Co-op Energy or any of its agents send you a legal collection letter for any unpaid amounts. This fee will be shown separately on your bill. Non-payment of your bill beyond the due date may result in the termination of your electric service agreement or disconnection of your electric service, whichever is applicable, after proper notice. If you choose not to pay the amount due or make acceptable payment arrangements, NEC Co-op Energy will use debt collection agencies, small claims court and other legal remedies allowed by law to collect the amount you owe. •  You may be charged up to $25 if NEC CO-OP ENERGY deems it necessary to submit your balance owed to a collection agency, in addition to any fees/chages charges from the collection agency. You agree to reimburse us the fees of any collection agency, which may be based on a percentage at a maximum of 50% of the debt, and all costs and expenses, including reasonable attorney's fees, we incur in such collection efforts. • NEC Co-op Energy may charge a minimum of $150 for a commercial energy audit performed by NEC CO-OP ENERGY or one of its agents. Commercial Energy audit fees will be based on the actual cost of the energy audit services provided and you should contact NEC CO-OP ENERGY to discuss this service and pricing. •  If a customer requests an investigation which results in findings NOT in favor of the customer, NEC Co-op Energy may charge you for the actual cost of the investigation.  For termination of your agreement, you may incur fees and charges associated with these collection efforts. In addition to collection fees and charges, if your electric service is disconnected you may incur TDSP charges for disconnection and reconnection of your electric service.  For payments made in a foreign currency, NEC CO-OP ENERGY will pass through to you any fees and charges it incurs in association with its (or its agent’s) acceptance of foreign currencies. NEC Co-op Energy offers several convenient payment options for which you may be eligible: Take the peaks and valleys out of your electricity bills with NEC Co-op Energy Average Billing. NEC Co-op Energy Average Billing sets your monthly bill based on your most recent 12- 12-month average electricity usage, so you always know (within a few dollars) what to expect. While your account is on Average Billingthis varies slightly each month, we will likely have to true-up your account every 12 months or sooner. Accounts that have this process avoids periodical bill reconciliation and a 35 kW demand or greater are excluded from this program“thirteenth bill” each year.

Interest on Deposits. You will accrue interest on your deposit, if held more than 30 days, at an annual rate established by the PUCT. • Your deposit will be refunded when you have paid your bill for electric service for 12 consecutive months without having any late payments. • When you close your account with NEC Co-op Energy, your membership fee, your deposit and accrued interest, less any outstanding balance owed for electric service, will be refunded to you. Upon request, payment of accrued interest will be made once a year in accordance with PUCT guidelines. •  You will be billed monthly for your electric service. •  You may be issued a bill less frequently than monthly if you and NEC Co-op Energy agree to such an arrangement. •  Your bill may be sent electronically in lieu of written mailings if you and NEC Co-op Energy agree to such an arrangement. •  You will be charged a monthly service charge of ((1) $7.50 for each residential service, (2) $2.50 for residential/each security light, and (3) $34.50 for each commercial service under 35 kW whose demand either 1 or 3 phase) and $34.50 if 35 kW demand is 35kW or greater). • If a member’s peak kW demand exceeds 500 kW, you agree to be liable for 4CP cost that is determined based on your kW demand usage during each month’s peak 4CP 15 minute interval of June, July, August and September of each year. This cost will be billed in monthly installments or a one-time charge. Termination of service does not excuse you from paying any outstanding 4CP costs. If you have executed a specific generation contract with us, you are responsible for the rate, 4CP costs and fees set out in your electric service rate / generation contract. • You will not be charged a fee to receive a standard bill via U.S. Mail that complies with the bill content requirements of §25.479 of the PUCT Substantive RulesRules (xxxx://xxx.xxx.xxxxx.xx.xx/rules/subrules/electric/index.cfm) . You may be charged a fee or given a discount if you and NEC Co-op Energy agree to the delivery of a non-standard bill. •  Your monthly billing period is approximately 30 days. •  NEC Co-op Energy will charge a $15 Nueces Electric Cooperative membership fee. This fee will be identified separately on your first electric bill and is refundable when you terminate all account services with Nueces Electric Cooperative. You will receive an annual allocation notice for patronage capital (“capital credits”). The payment/distribution of capital credits is at the discretion of the Nueces Electric Cooperative Board of Directors. •  Transmission and Distribution Service Provider (TDSP) standard per kilowatt hour and fixed monthly customer delivery service charges are included in the Electricity Facts Label pricing. There may be additional TDSP charges and fees for the establishment of new service, after-hours service, meter testing, service construction/line extensions, etc. All TDSP charges will be passed through on your monthly bill. • .Bills will be issued within 30 calendar days after obtaining meter usage and other billing information from the TDSP, unless it becomes necessary to validate the supplied usage information and billing information. • o AEP Delivery Charges: o CenterPoint Delivery Charges: xxxx://xxx.xxxxxxxxxxxxxxxxx.xxx/services/electricity/bus iness/tariffs/historicalretailtariffs/ o Oncor Delivery Charges: o Texas New Mexico Power (TNMP) Delivery Charges:  Your bill will be due upon receipt and will be considered delinquent if it is not paid by the 16th day after issuance of the bill. Non-payment of your bill may result in the termination of this agreement, or disconnection of your electric service, whichever is applicable, after proper notice. •  Late payments or delinquent or past due balances may result in a penalty of 5% of the current month's past due amount. NEC Co-op Energy may charge up to a $25 insufficient funds fee for each check or electronic funds transfer (including automatic bank draft) not processed due to insufficient funds, lack of available credit or other bank return. This fee will be identified separately on your electric bill. • Currency conversion and or other financial institution fees, charges, and etc., will be passed on the member with an additional charge of $10.00 for labor / processing charge from  NEC Co-op Energy Divisionmay charge a “Drop To Affiliated CR” Notice Fee of up to $25 to all customers who are sent a “Drop To Affiliated CR” notice due to termination of a contract with NEC CO-OP ENERGY. • This fee will be identified separately on your bill.  NEC Co-op Energy may charge a Disconnection/Termination Notice Fee of up to $25 to all customers who are sent such notice due to nonpayment of their electric bill. This fee will be identified separately on your bill. If disconnection/termination occurs due to nonpayment, NEC CO-OP ENERGY may charge a disconnection/termination fee of up to $50 and another fee of up to $50 may be charged for reconnection. •  If meter readings or other billing information is not received from the TDSP, NEC Co-op Energy reserves the right to bill you based on estimated usage-related information which, if used, will be identified as "estimated" on your bill. •  Upon request, NEC Co-op Energy will provide you with your most recent 12 month's usage history, free of charge. If you request usage history other than your most recent 12 month's usage history or request usage history more than once within a 12-month period, a charge of up to $25 ($50 for IDR meters) may apply. This fee will be shown separately on your bill. •  Upon request, NEC Co-op Energy will provide you with additional bill copies, duplicate bills, credit reference letters or summary billing, for which a $2 charge for each service may be applied. This fee will be shown separately on your bill. •  You may be charged up to $5 per contact when NEC Co-op Energy and/or its agents make a customer contact (call or letter) for actions related to collection of any unpaid amounts. This fee will be shown separately on your bill and is in addition to fees for notices and/or a legal collection letter. NEC Co-op Energy may contact you at anytime by telephone at any telephone number associated with your account, including wireless telephone numbers. NEC Co-op Energy may also contact you by sending text messages or e-mails, using any e-mail address you provide to us. Methods of contact may include using pre-pre- recorded/artificial voice messages and/or use of an automatic dialing device. •  You may be charged up to $25 per occurrence if NEC Co-op Energy or any of its agents send you a legal collection letter for any unpaid amounts. This fee will be shown separately on your bill. Non-payment of your bill beyond the due date may result in the termination of your electric service agreement or disconnection of your electric service, whichever is applicable, after proper notice. If you choose not to pay the amount due or make acceptable payment arrangements, NEC Co-op Energy will use debt collection agencies, small claims court and other legal remedies allowed by law to collect the amount you owe. •  You may be charged up to $25 if NEC CO-OP ENERGY deems it necessary to submit your balance owed to a collection agency, in addition to any fees/chages charges from the collection agency. You agree to reimburse us the fees of any collection agency, which may be based on a percentage at a maximum of 50% of the debt, and all costs and expenses, including reasonable attorney's fees, we incur in such collection efforts. • NEC Co-op Energy may charge a minimum of $150 for a commercial energy audit performed by NEC CO-OP ENERGY or one of its agents. Commercial Energy audit fees will be based on the actual cost of the energy audit services provided and you should contact NEC CO-OP ENERGY to discuss this service and pricing. •  If a customer requests an investigation which results in findings NOT in favor of the customer, NEC Co-op Energy may charge you for the actual cost of the investigation.  For termination of your agreement, you may incur fees and charges associated with these collection efforts. In addition to collection fees and charges, if your electric service is disconnected you may incur TDSP charges for disconnection and reconnection of your electric service.  For payments made in a foreign currency, NEC CO-OP ENERGY will pass through to you any fees and charges it incurs in association with its (or its agent’s) acceptance of foreign currencies. NEC Co-op Energy offers several convenient payment options for which you may be eligible: Take the peaks and valleys out of your electricity bills with NEC Co-op Energy Average Billing. NEC Co-op Energy Average Billing sets your monthly bill based on your most recent 12- 12-month average electricity usage, so you always know (within a few dollars) what to expect. While your account is on Average Billingthis varies slightly each month, we will likely have to true-up your account every 12 months or sooner. Accounts that have this process avoids periodical bill reconciliation and a 35 kW demand or greater are excluded from this program“thirteenth bill” each year.

Interest on Deposits. You will accrue interest on your deposit, if held more than 30 days, at an annual rate established by the PUCT. • Your deposit will be refunded when you have paid your bill for electric service for 12 consecutive months without having any late payments. • When you close your account with NEC Co-op Energy, your membership fee, your deposit and accrued interest, less any outstanding balance owed for electric service, will be refunded to you. Upon request, payment of accrued interest will be made once a year in accordance with PUCT guidelines. • You will be billed monthly for your electric service. • You may be issued a bill less frequently than monthly if you and NEC Co-op Energy agree to such an arrangement. • Your bill may be sent electronically in lieu of written mailings if you and NEC Co-op Energy agree to such an arrangement. • You will be charged a monthly service charge of $7.50 (for residential/commercial service under 35 kW demand either 1 or 3 phase) and ; $34.50 if 35 kW demand or greater. • over 35kW; If a member’s peak kW demand exceeds 500 kWis ever over 500kW, you agree to be liable for 4CP cost that is determined based on your kW demand usage during each month’s peak 4CP 15 minute interval interal of June, July, August Augest and September of each year. This cost will can be billed in monthly installments or a one-one time charge. Termination of service does not excuse you from paying any outstanding 4CP costs. If you have executed a specific generation contract with us, you are responsible for ; or the rate, 4CP costs and fees rate set out in your electric service rate / generation contractcontract with us). • You will not be charged a fee to receive a standard bill via U.S. Mail that complies with the bill content requirements of §25.479 of the PUCT Substantive Rules. You may be charged a fee or given a discount if you and NEC Co-op Energy agree to the delivery of a non-standard bill. • Your monthly billing period is approximately 30 days. • NEC Co-op Energy will charge a $15 Nueces Electric Cooperative membership fee. This fee will be identified separately on your first electric bill and is refundable when you terminate all account services with Nueces Electric Cooperative. You will receive an annual allocation notice for patronage capital (“capital credits”). The payment/distribution of capital credits is at the discretion of the Nueces Electric Cooperative Board of Directors. • Transmission and Distribution Service Provider (TDSP) standard per kilowatt hour and fixed monthly customer delivery service charges are included in the Electricity Facts Label pricing. There may be additional TDSP charges and fees for the establishment of new service, after-hours service, meter testing, service construction/line extensions, etc. All TDSP charges These fees will be passed through identified separately on your monthly electric bill. • Bills will be issued within 30 calendar days after obtaining meter usage and other billing information from the TDSP, unless it becomes necessary to validate the supplied usage information and billing information. • Your bill will be due upon receipt and will be considered delinquent if it is not paid by the 16th day after issuance of the bill. Non-payment of your bill may result in the termination of this agreement, or disconnection of your electric service, whichever is applicable, after proper notice. • Late payments or delinquent or past due balances may result in a penalty of 5% of the current month's past due amount. NEC Co-op Energy may charge up to a $25 insufficient funds fee for each check or electronic funds transfer (including automatic bank draft) not processed due to insufficient funds, lack of available credit or other bank return. This fee will be identified separately on your electric bill. • Currency conversion and or other financial institution fees, charges, and etc., will be passed on the member with an additional charge of $10.00 for labor / processing charge from NEC Co-op Energy Divisionmay charge a “Drop To Affiliated CR” Notice Fee of up to $25 to all customers who are sent a “Drop To Affiliated CR” notice due to nonpayment of their electric bill. This fee will be identified separately on your bill. • NEC Co-op Energy may charge a Disconnection/Termination Notice Fee of up to $25 to all customers who are sent such notice due to nonpayment of their electric bill. This fee will be identified separately on your bill. If disconnection/termination occurs due to nonpayment, NEC CO-OP ENERGY may charge a disconnection/termination fee of up to $50 and another fee of up to $50 may be charged for reconnection. • If meter readings or other billing information is not received from the TDSP, NEC Co-op Energy reserves the right to bill you based on estimated usage-related information which, if used, will be identified as "estimated" on your bill. • Upon request, NEC Co-op Energy will provide you with your most recent 12 month's usage history, free of charge. If you request usage history other than your most recent 12 month's usage history or request usage history more than once within a 12-month period, a charge of up to $25 ($50 for IDR meters) may apply. This fee will be shown separately on your bill. • Upon request, NEC Co-op Energy will provide you with additional bill copies, duplicate bills, credit reference letters or summary billing, for which a $2 charge for each service may be applied. This fee will be shown separately on your bill. • You may be charged up to $5 per contact when NEC Co-op Energy and/or its agents make a customer contact (call or letter) for actions related to collection of any unpaid amounts. This fee will be shown separately on your bill and is in addition to fees for notices and/or a legal collection letter. NEC Co-op Energy may contact you at anytime by telephone at any telephone number associated with your account, including wireless telephone numbers. NEC Co-op Energy may also contact you by sending text messages or e-mails, using any e-mail address you provide to us. Methods of contact may include using pre-recorded/artificial voice messages and/or use of an automatic dialing device. • You may be charged up to $25 per occurrence if NEC Co-op Energy or any of its agents send you a legal collection letter for any unpaid amounts. This fee will be shown separately on your bill. Non-Non- payment of your bill beyond the due date may result in the termination of your electric service agreement or disconnection of your electric service, whichever is applicable, after proper notice. If you choose not to pay the amount due or make acceptable payment arrangements, NEC Co-op Energy will use debt collection agencies, small claims court and other legal remedies allowed by law to collect the amount you owe. • You may be charged up to $25 if NEC CO-OP ENERGY deems it necessary to submit turns your balance owed over to a collection agency, Collection Agency in addition to any of the Collection Agency’s fees/chages from the collection agencycharges. You agree to reimburse us the fees of any collection agency, which may be based on a percentage at a maximum of 50% of the debt, and all costs and expenses, including reasonable attorney's fees, we incur in such collection collecton efforts. • NEC Co-op Energy may charge a minimum of up to $150 for a commercial residential energy audit performed by NEC CO-OP ENERGY or one of its agents. Commercial Energy audit fees will be based on the actual cost of the energy audit services provided and you should contact NEC CO-OP ENERGY to discuss this service and pricing. • If a customer requests an investigation which results in findings NOT in favor of the customer, NEC Co-Co- op Energy may charge you for the actual cost of the investigation. For termination of your agreement, you may incur fees and charges associated with these collection efforts. In addition to collection fees and charges, if your electric service is disconnected you may incur TDSP charges for disconnection and reconnection of your electric service. NEC Co-op Energy offers several convenient payment options for which you may be eligible: Take the peaks and valleys out of your electricity bills with NEC Co-op Energy Average Billing. NEC Co-op Energy Average Billing sets your monthly bill based on your most recent 12- 12-month average electricity usage, so you always know (within a few dollars) what to expect. While your account is on Average Billingthis varies slightly each month, we will likely have to true-up your account every 12 months or sooner. Accounts that have this process avoids periodical bill reconciliation and a 35 kW demand or greater are excluded from this program“thirteenth bill” each year.