Compare Direct Energy Rates

Direct Energy has 5 electricity plans with rates starting at just 15.6 ¢/kwh with contract lengths of 12, and 24 months.

According to Direct Energy customer reviews, the best part about Direct Energy is 'Order Experience' and the worst part is 'Likely to Recommend'.

Direct Energy achieved a rating of 3.4 out of 5 by Texas Electricity Ratings.

cheapest Direct Energy Electricity rates and plans in Texas

Electricity Plan Reviews

Plan Features

One size does NOT fit all. You have a lot of choices of plan types here in Texas. We've grouped up the plans from Direct Energy so you can shop for just the kinds of features you want.

Fixed Rates

These are the most common types of plans and provide the least surprises on your bills. When you use more, you'll pay more per month, and when you use less, you'll pay less per month. However, your average cost per kWh will likely remain fairly stable compared to bill credit plans.

Direct Energy does not have any plans in our category here, so below you will find some alternatives which we have reviewed.

Provider Plan name Term Rates
Champion Energy Services Champ Saver-24 24 14.3¢ - 15.9¢
Amigo Energy Simple Choice - 36 36 16.8¢ - 20.3¢
Amigo Energy Simple Choice - 12 12 15.8¢ - 19.3¢

Bill Credit

These plans will usually give a credit on your bill when your usage falls within certain ranges. If you use more or less, your rate per kWh could be significantly higher than the rate you saw when you signed up. Be sure to read the EFL carefully and understand your usage before ordering these kinds of plans. You can find out more in our blog article about bill credit electricity plans.

Direct Energy does not have any plans in our category here, so below you will find some alternatives which we have reviewed.

Provider Plan name Term Rates
Constellation 12 Month Usage Bill Credit 12 13.4¢ - 18.2¢
TXU Energy Solar Saver 12 12 16.5¢ - 23.1¢
TXU Energy Clear Deal 12 12 15.9¢ - 20.3¢

Even Billing Plans

These plans will usually charge a fixed dollar amount on your bill when your usage falls within certain ranges or tiers. If you use more (or less) than the tier allows, your bill will jump up or down by a certain dollar amount. Be sure to read the EFL carefully and understand your usage before ordering these kinds of plans. These plans can be a good choice for someone who wants their bill to be the same exact amount each month.

Free Energy

These plans will cost much less but only during certain parts of the day or week. If you can adjust your usage to fall into the lower-cost periods, these can be a good choice. If you don't want to put off running appliances until certain parts of the day, these kinds of plans are not for you.

Direct Energy does not currently have any Free Energy offers available. Some Free Energy alternatives to consider are listed below.

Provider Plan name Term Rates
Amigo Energy Weekends Free Plan - 12 12 16.1¢ - 18.0¢
TXU Energy Free Nights & Solar Days 12 (8 pm) 12 18.8¢ - 20.9¢
Amigo Energy 100% Green Nights Free Plan - 36 36 16.1¢ - 20.0¢

Green Energy

Most providers offer some kind of green or renewable energy plan. These plans can help offset your carbon footprint which helps us all!

Direct Energy does not currently have any Green Energy offers available. Some Green Energy alternatives to consider are listed below.

Provider Plan name Term Rates
Amigo Energy 100% Green Nights Free Plan - 36 36 16.1¢ - 20.0¢
Chariot Energy Solarize 24 24 14.2¢ - 15.8¢
Chariot Energy Solarize 36 36 14.1¢ - 15.7¢

Solar Buyback

If you have rooftop solar, you can benefit from a specific solar-buyback program, where the retailer monitors the amount of electricity your panels are feeding to the grid and pays you for each kWh you provide.

EV Charging

EVs are great, and because the charging cycles often happen during non-peak-load hours, some providers give a much lower rate for usage during those times. Remember, you'll have to coordinate your charging schedule to take advantage of these low rates.

Direct Energy does not currently have any EV Charging offers available. Some EV Charging alternatives to consider are listed below.

Provider Plan name Term Rates
Champion Energy Services Free Weekends-24 24 14.4¢ - 16.1¢
TXU Energy Free Nights & Solar Days 12 (8 pm) 12 18.8¢ - 20.9¢
Champion Energy Services EV Saver-12 12 13.7¢ - 15.3¢

No Deposit

For credit-challenged consumers who don't want to put down a deposit to begin service, a prepaid (no deposit) plan can make a lot of sense. Instead of paying for your energy after you've used it, you pay before you use it. To start service, you'll need to load somewhere between $25 to $75 on your account. You'll typically pay more per kWh, but these plans usually have helpful apps and notices to help you manage your electricity usage and keep your costs under control.

Direct Energy does not have any plans in our category here, so below you will find some alternatives which we have reviewed.

Provider Plan name Term Rates
Payless Power 12 Month 12 14.9¢ - 21.9¢
Payless Power 6 Month 6 14.6¢ - 21.6¢

Compare

Cheapest Rate

Sometimes the simplest approach is the best. Here is the lowest rate available from Direct Energy:

Live Brighter Lite 24
Dallas Houston Abilene Corpus Midland
Rate @500kwh 15.9¢ 15.9¢ 17.7¢ 15.7¢ 17.7¢
Rate @1000kwh 15.5¢ 15.5¢ 17.4¢ 15.4¢ 16.9¢
Rate @2000kwh 15.7¢ 15.7¢ 17.7¢ 15.7¢ 17.0¢
Monthly Recurring Charge 9.95 9.95 9.95 9.95 9.95
Early Termination Fee 295 295 295 295 295
Electricity Facts Label EFL EFL EFL EFL EFL
Your Rights as a Customer YRAAC YRAAC YRAAC YRAAC YRAAC
Terms of Service TOS TOS TOS TOS TOS

Cheapest Houston Rates

Here are the cheapest Houston rates from Direct Energy

Plan Term Rate
Live Brighter Lite 24 24/months 15.5¢/kWh
Live Brighter Lite 12 12/months 15.9¢/kWh
Live Brighter 1K+ 24 24/months 16.8¢/kWh
Live Brighter 12 12/months 21.9¢/kWh
Twelve Hour Power 12 12/months 22.1¢/kWh
Rates as of Oct 05, 2024 at 09:23 AM

Cheapest Dallas Rates

Here are the cheapest Dallas rates from Direct Energy

Plan Term Rate
Live Brighter Lite 24 24/months 15.5¢/kWh
Live Brighter Lite 12 12/months 15.9¢/kWh
Live Brighter 1K+ 24 24/months 16.8¢/kWh
Twelve Hour Power 12 12/months 21.5¢/kWh
Live Brighter 12 12/months 22.0¢/kWh
Rates as of Oct 05, 2024 at 09:23 AM

Other Cities

We have electricity rates by city if you are not in the Houston or Dallas area.

Highest Rated Plans

These plans represent solid choices for many energy consumers. We evaluate multiple criteria and determine which plans are likely to give a good customer experience for most customers.

Contract Term

Month To Month

Also known as no-contract plans, month-to-month plans don't require any long term commitment from you.

Typically this type of plan will come with a higher rate that can vary from one month to the next, but in return you'll not be charged an early termination fee if you cancel service.

Direct Energy does not currently have any plans with a term in this range. Below are some alternative providers who do.

Provider Plan name Term Rates
TXU Energy Flex Forward 1 18.5¢ - 20.6¢
TXU Energy On Your Terms 1 18.5¢ - 20.6¢

3-8 Months

These plans can make a good choice for a short-term renter or student who expects to move for sure.

Direct Energy does not currently have any plans with a term in this range. Below are some alternative providers who do.

Provider Plan name Term Rates
Payless Power 6 Month 6 14.6¢ - 21.6¢
Rhythm Simply Select 6 6 13.0¢ - 21.6¢
BKV Energy Verbena 6 6 13.0¢ - 21.6¢

9-18 Months

These can be good choices for renters on one to two year leases, or homeowners who don't want to lock in a rate for too long.

Plan name Term Rates
Live Brighter 12 12 21.2¢ - 24.7¢
Twelve Hour Power 12 12 20.5¢ - 25.9¢
Live Brighter Lite 12 12 15.7¢ - 25.9¢

19-36 Months

These plans often come with lower rates but will lock you into one provider for a longer time. If you're a homeowner and plan to stay put, this can be a good choice.

Plan name Term Rates
Live Brighter Lite 24 24 15.3¢ - 16.7¢
Live Brighter 1K+ 24 24 15.3¢ - 21.0¢

Buyer's Guides

Expert advice and information to help you evalute which Direct Energy option is best for you

Provider Comparison

Residential Electricity

For Apartments

Apartments typically use anywhere from 500-800 kWh per month. When apartment dwellers shop for electricity, they should focus on fixed-rate plans with low monthly recurring charges, and pay particular attention to the 500 kWh rate on the EFL. Also, most apartment consumers should match their contract term to their lease term so they don't get hit with early termination fees.

Direct Energy does not have any plans in our category here, so below you will find some alternatives which we have reviewed.

Provider Plan name Term Rates
TXU Energy Simple Rate 12 12 17.9¢ - 20.0¢
Champion Energy Services Champ Saver-12 12 14.0¢ - 15.6¢
Amigo Energy Simple Choice - 12 12 15.8¢ - 19.3¢

For Typical Homes

Most medium size houses use about 1100-1700 kWh per month. Consumers in this group should use the 1000 kWh rate on the EFL as a guide for the actual rate they will end up paying. Bill Credit plans can make sense for these users, as well as free energy plans if you can move about 30% of your electricity usage to the off-peak times. The monthly recurring charge is not as important as it does not contribute a significant portion of your monthly bill. 12-24 month plans usually make sense for people in typical houses.

Direct Energy does not have any plans in our category here, so below you will find some alternatives which we have reviewed.

Provider Plan name Term Rates
GoodCharlie Energy GoodEnergy 24 24 13.4¢ - 16.9¢
4Change Energy One Rate 12 12 15.0¢ - 18.5¢
Champion Energy Services Champ Saver-24 24 14.3¢ - 15.9¢

For Large Homes

Customers in large homes probably use 1800-3500 kWh per month, especially if you have a hot tub, pool, electric vehicle, multiple air conditioners, and the like. Focus on the 2000 kWh usage rates shown in the EFL. If you look at a bill credit plan, make sure the credit does not go away if your usage goes over certain thresholds. Generally, longer term plans of 24-36 months are best for large consumers to smooth out price volatility.

Direct Energy does not have any plans in our category here, so below you will find some alternatives which we have reviewed.

Provider Plan name Term Rates
Amigo Energy Simple Choice - 36 36 16.8¢ - 20.3¢
TXU Energy Clear Deal 24 24 16.9¢ - 21.3¢
GoodCharlie Energy GoodEnergy 36 36 13.5¢ - 17.0¢

For Homeowners

Homeowners can benefit by choosing a longer term plan, say 24 to 36 months. This can help them lock in a steady rate over time.

Direct Energy does not have any plans in our category here, so below you will find some alternatives which we have reviewed.

Provider Plan name Term Rates
4Change Energy One Rate 24 24 15.2¢ - 18.7¢
Amigo Energy Simple Choice - 36 36 16.8¢ - 20.3¢
Champion Energy Services Champ Saver-24 24 14.3¢ - 15.9¢

For Renters

Renters should look for plans that fit their lease schedule - you don't want to try to get a good rate on a plan and then you move and are hit with an early termination fee.

Direct Energy does not have any plans in our category here, so below you will find some alternatives which we have reviewed.

Provider Plan name Term Rates
4Change Energy One Rate 12 12 15.0¢ - 18.5¢
TXU Energy Flex Forward 1 18.5¢ - 20.6¢
TXU Energy Clear Deal 12 12 15.9¢ - 20.3¢

Commercial Electricity

When shopping for commercial electricity, it matters how big you are. Typical retail establishments will normally get a stock rate, while larger users can get a customized rate based on their usage.

For Retail Shops

Examples: Light commercial users like professional offices, pizza parlors, hair salons, and other retail shops with bills less than $1,000 per month

You can visit our Commercial Electricity Rates Page and get real-time rates for your business.

After you place your order, an agent will contact you if they can offer a better rate or a custom quote.

For Light Industry

Examples: Laundromats, Warehouses, small manufacturing plants, large repair shops with bills between $1,000 and $5,000 per month

We recommend you call our Light Commercial Broker at 844-678-5598. You could qualify for a better rate than you would get as a smaller consumer.

For Heavy Industry

Examples: Factories, business campuses, foundries, server farms with bills over $5,000 per month.

You need an expert to help you get the best deal as a larger, heavier electricity consumer.

Call 844-678-5598 to talk to our Heavy Industrial Broker and get a low-priced, accurate, customized quote that takes into account your special electricity consumption needs.

Company Reviews

Our Rating

Direct Energy has earned a X out of Y rating from Texas Electricity Ratings. Here are the details on our evaluation:

Coming Soon - summary table of ratings details.

Customer Reviews

You can check out actual customer reviews and find out what real customers think about Direct Energy.

Service

Customer Service

Phone Number

Direct Energy Customer Service: 844-225-3948

Chat

Account Login

Bill Pay

Commercial Customers

Contact our dedicated commercial electricity agents at 844-678-5598 if you are considering Direct Energy for your commercial or industrial electricity service.

How To

Place An Order

Switching to Direct Energy is easy and only takes a few minutes. Click on the plan or click the orange 'Check Availability' button, and you can complete the order online in our secure cart.

To order by phone, contact Direct Energy at 844-225-3948

Start Service

Credit Check

Generally, all providers in Texas will perform a soft credit check when you place your order to determine if they require a deposit to start service. This is a 'soft' credit check and does NOT count as a 'hard check' on your credit report and will not affect your credit score. Most providers require your social security number, and perhaps a birthdate to process your order. Some providers can use alternate forms of identification such as a drivers license.

Deposits

Deposit amounts vary by provider, typically running somewhere between $150 and $450. There are certain cases where the deposit requirement can be wiaved, but you will have to provide additional documentation. Once the deposit is waived or paid, your service will start. You will earn a small amount of interest on your deposit. After 12 months, if your payments have all been made on-time, the provider will usually credit your deposit to your account balance. If you have completed the contract and do not owe the provider an outstanding balance, they will refund your deposit by check.

Switching Providers

Switching your electricity supplier in Texas is really easy. You simply place an order online for the provider of your choice.

During the order process, you will be given the opportunity to choose a date for the switch to occur. Generally, you can switch on the next business day, or perhaps the current business day if it is before noon or so.

If you don't select a switch date, then the switch will occur at the convenience of the utility company, which will likely be within 3-5 days.

You do not need to contact your current supplier. All the arrangements will be handled by your new supplier. For more details, you can use our blog article on "Switching your electricity supplier".

Switch-Hold

A 'Switch Hold' on your meter means that the current supplier is preventing the meter from switching to another provider.

This is allowed by ERCOT so that people can't just run up a big bill with one provider, then switch to another provider and ditch the balance. Electric companies will typically lift the switch-hold automatically when the balance is paid.

Moving In

Starting service is not much harder than switching. If the address you are moving into has had electrical service, you'll simply place an online order and select a date you wish to begin service. Usually, you can start the next business day.

However, if there is an issue with the meter at your new address, or if the meter has not been installed, it may take several days to get a crew out to rectify the problem.

If you think there is a potential problem with your meter at the new address, you should contact the supplier you have signed up with. They can contact ERCOT and the utility company to verify what is needed in your specific case.

Transfer Service

If you move to another residence, you can generally transfer your existing plan to your new address.

Transferring service will help you avoid paying an early termination fee (ETF).

Simply contact your current provider and they can handle it over the phone. Sometimes, if you are moving to a different area of the state, your rate might change by a couple cents up or down. This is not the fault of the supplier, it's because in different areas of the state, the companies that handle the poles and wires charge different amounts based on local infrastructure costs.

Renew My Contract

If you are on a fixed length contract, the provider will contact you several weeks before the end of your term. Generally, they will present a few options for you to renew your contract.

If the offers that your exsiting provider has shown you are unsatisfactory, you can always switch to someone else. If you intend to do this, you should know your contract end date, and set your switch date to the new provider on or after that date, otherwise you could be charged an early termination fee (ETF). This could be as little as $20, or as high as $250 or even more, so you should select your switch date carefully.

Cancel Service

You can cancel your service with Direct Energy by contacting them and requesting what they will call a 'move out'.

A 'move-out' means that Direct Energy will inform ERCOT that they will no longer provide electricity for your meter. If the 'move-out' day comes, and you have not signed up with another provider, your electricity will get shut off.

If you cancel service before the end of your contract, you will likely be charged a cancellation fee.

Disconnect & Reconnect

A provider may disconnect your service for non-payment. They are required to give you notice. They are allowed to charge fees related to sending a disconnect notice, actually disconnecting your service, and reconnecting your service.

Report Outage

If your power is out, you should NOT contact Direct Energy. Instead, you should contact the company which is responsible for maintaining the infrastructure, poles and wires to your home.

Houston
Contact Centerpoint Energy

Dallas
Contact ONCOR

Other Cities

Coming Soon

Billing

Estimate My Usage

We've created quite a few articles to help you understand electrical usage.

Understand Your Bill

Early Termination Fee (ETF)

If you switch away from Direct Energy you will likely be charged an ETF (also known as a cancellation fee) unless you are on a month-to-month (no contract) plan.

These cancellation charges are allowed because Direct Energy has probably purchased electricity on the wholesale market to cover your expected usage, and if you leave, they are stuck with excess power that they have already paid for.

Late Charges

If you don't pay your bill by the due date, the provider is allowed to impose a late fee on your account. The late fee is limited to a percentage of your outstanding balance.

kWh (Kilowatt-Hours)

A 'kWh' or 'kilowatt-hour' is a measure of electricity usage. One 'kWh' is equal to a 1000 watt load operating for 1 hour. For example, a hair-dryer uses about 1200 watts of energy. If you divide the watts by 1000, you get kilowatts, so our hair dryer is using 1.2 kilowatts when running. Multiply 1.2 kW X 1 hour = 1.2 kWh. If your per-kWh electriciy rate is 15 cents, then running your hair dryer for an hour costs about 15 X 1.2 = 18 cents.

Average Bill

Most customers in Texas use about 1050-1400 kWh of electricity per month. According to various sources, the average electricity rate in Texas is about 11 cents. This would make the average Texas electricity bill about $115 to $154 per month.

Of course, if you have a higher electrical load than normal you will use more energy, and thus your bills can easily be higher than that. High load items would be things like a swimming pool or electric heat in the winter.

Your home size will have an impact on your usage. A smaller 600 sqft apartment might use 500-600 kWh, while an expansive 3,000 sqft. home could easily use 2,200 to 3,000 kWh.

Average Rate

Your bill will likely show an 'average rate per kWh' or some variation of that. The average rate is the total of your bill (including all fees and taxes) divided by your kWh usage. Generally, your average rate per kWh will be slightly higher when you use less electricity, because there are monthly fixed fees that don't change, so when you use less, the average goes up a bit. Don't confuse 'average rate' with your 'energy charge', which is the amount you are being charged specifically for the electricity you use, and is separate from fixed monthly customer fees.

Bill Period or Cycle

The dates this bill covers. Your Texas utility company will read the meter at their discretion. This will not always be a month or 30 days. If you are on a plan that has "monthly" fees, that fee will appear on your bill, regardless of how many days were within the period.

Energy Rate vs. Average Rate

the 'Energy Rate' is the price in cents that you pay your electricity provider for the actual electricity that you consumed. The 'Average Rate' is the total you paid for electricity service (including all TDSP fees, bill credits, taxes, etc) divided by the number of kWhs you used that month.

ESI ID (Electric Service Identifier)

This is the unique identifier of the electricity meter for your address. If you have multiple meters (one for the house, one for the shed) you will have multiple ESI IDs. Each ESI ID will generally get it's own bill, unless your current provider offers some sort of combined billing.

TDSP Fees
These are fees charged by your utility, and are present regardless of which electricity provider you have chosen.
Fees are charged from the utility and are passed on to the retail electricity provider

TDSP fees can be a fixed charged per bill, or a variable charge based on how much electricity you used during that period. There are a few providers that offer "bundled" rates, which include these fees in their Energy Charge. In bundled rates, your actual average rate will not change during the course of your contract (assuming the plan has no monthly charge).

Some of the TDSP fees you may be charged are:

  • Customer Charge
  • Distribution Cost Recovery Factor
  • Distribution System Charge
  • Energy Efficiency Cost Recovery Factor
  • Metering Charge
  • Nuclear Decommissioning Fee
  • PUC Assessment
  • System Restoration Charge
  • Transition Charge (1-5)
  • Transmission Cost Recovery Factor
  • Transmission System Charge

The TDSP fees charged and their amounts will vary depending on which TDSP services your area. As of May 2018, Oncor has the lowest per-bill charge at $5.25, while AEP-North has the highest, at $10.53 per bill. TNMP has the lowest average usage charges, at around 3.3¢/kWh, and CenterPoint is the highest, around 4.1¢/kWh.

Electric companies generally have the same energy charge applied, no-matter which TDSP the plan is in. The difference in the TDSP fees are the reason the same plan can cost around a penny higher in CenterPoint vs TNMP.

FAQ

What do customers think about Direct Energy?

That depends on who you ask. There will always be someone who feels wronged by a company, no matter how good they actually are. The average Direct Energy customer review is 3.4 / 5 stars. Keep in mind, consumers will go out of their way to complain far more often than they will to give praise.

About Direct Energy

Direct Energy was founded in Toronto in 1986, as a competitive energy retailer. In 2000, the company was acquired by the British multinational energy and services company, Centrica.

In 2010, Direct Energy acquired Clockwork Home Services and its three brands: One Hour Air Conditioning & Heating, Benjamin Franklin Plumbing, and Mister Sparky (electrical services). As a result, Direct is now the largest energy and home services retailer in North America. The company has grown to roughly 4,000 employees serving over 4 million customers in North America, including 10 Canadian provinces and all 50 states and the District of Columbia.

Direct Energy provides retail electricity and natural gas services in 15 states. Texas is by far one of Direct Energy's most important markets. Headquartered in Houston, Texas, Direct operates several retail electricity brands that include Direct Energy and First Choice Power. In South Texas, Direct Energy operates as CPL Retail Energy and CPL Business. In West Texas, Direct Energy operates as WTU Retail Energy and WTU Business.

Direct Energy purchased Bounce Energy and First Choice Energy in 2013. Direct retired the Bounce Energy in September, 2019 and transferred those customers to Direct Energy. Meanwhile, First Choice is still active in Texas.

In May, 2019, Direct Energy completed the $300 million sale of Clockwork Home Services and certain of its affiliates to Authority Brands. Currently, Direct Energy's subsidiary, Home Warranty of America, provides home warrantee and service plans that utilizes local repair providers.

Q&A