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Direct Energy is dedicated to helping you choose the right energy solutions for your unique needs. Find the perfect fit with our electricity and natural gas plans today.

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A smarter, safer home

Home security, automation and efficiency at your fingertips. Protect your peace of mind with an exclusive offer from our partner Vivint.

 

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25 energy-efficient tips for lower electricity costs

Discover practical, energy-saving tips to reduce electricity costs and increase efficiency at home or business. Knowledge is power, literally!

 

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Get the Direct Energy app to easily pay your bill, manage your account, keep an eye on your usage, refer friends and more. 

 

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Find out how much you can save with Direct Energy

Follow our simple formula to find out if you can save on your electricity bill by switching to Direct Energy.

Let's calculate

Here's an example that's easy to follow

These charges can be found on your monthly electricity bill or on the Electricity Facts Label (EFL) for a plan. It may look complicated at first, but estimating your bills when you're shopping for energy plans is easier than you think.

Let's walk through an example using a fixed-rate plan.

Gather your electricity charges. For this example, let's assume your bill has the following charges.

Energy usage

1,000 kwh

Base charge

$5.00
 

Energy rate per kWh

$0.10

Usage-based TDU charge

$0.05 per kWh

Fixed TDU charge

$5.00 per month

Multiply your Energy Usage for the month by your Energy Rate Per kWh.

Energy Usage

1,000 kwh

Energy Rate Per kWh

$0.10

1,000 kWh x $0.10 = $100.00

Multiply your Energy Usage for the month by your Usage-Based TDU Charge.

Energy Usage

1,000 kwh

Usage-Based TDU Charge

$0.05 per kWh

1,000 kWh x $0.05 = $50.00

Add your costs from Steps 2 and 3, along with your Base Charge and Fixed TDU Charge.

Base Charge

$5.00

Fixed TDU Charge

$5.00 per month

$100.00 + $50.00 + $5.00 + $5.00 = $160.00

For 1000 kWh of energy usage, you'd pay $160 per month

Electricity bill glossary

Getting familiar with the terminology on your bill can help you understand what it all means.

Energy usage

Your energy usage is measured in kilowatt-hours (kWh). It will vary month to month based on several factors like weather, energy-using habits and your home's energy efficiency. 

Base charge

Your base charge is a fixed monthly fee that helps cover the operational costs, like billing, associated with your electricity account.

Energy rate per kWh

Your energy rate is the price you pay for each kWh you use. This is set by the competitive retail electricity provider (REP). Fixed rates stay the same throughout your contract and variable rates can change month-to-month.

TDU delivery charges

Transmission and Distribution Utility (TDU) delivery charges are set by your utility, the company that maintains all the poles and wires and delivers electricity to your home. The charges are the same for every REP that serves the area. 

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