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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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Children riding moving boxes into new home

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Moving in Texas? Transfer your current service, start electricity at your new home or get same-day service if you need power 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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Estimate your monthly electricity bill

Get a clearer picture of your monthly electricity costs and what's included in your bill.

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Estimate your monthly electricity bill Estimate your monthly electricity bill Estimate your monthly electricity bill

Explore your estimated monthly electricity costs

The charges associated with your monthly bill 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 per month

$5.00
 

Energy charge 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 charge per kWh.

Energy usage

1,000 kwh

Energy charge 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 per month

$5.00

Fixed TDU charge

$5.00 per month

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

For 1,000 kWh of energy usage, you'd pay $160 per month

Get a clearer view of your electricity bill

Learn how different charges work together to determine your total monthly cost.

Energy usage

The amount of electricity you use in your home, measured in kilowatt-hours (kWh).

Base charge

A flat fee applied each month regardless of the amount of kilowatts (kWh) used.

Energy charge  

Your energy charge is the amount charged by your retail electricity provider for each kilowatt-hour of electricity you use.

TDU delivery charges

Transmission and Distribution Utility (TDU) delivery charges are charges from your utility to help deliver electricity to your home and maintain the power grid.

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What affects my electricity bill 

Several factors can impact your monthly electricity costs, including your home, energy habits and local weather conditions.

Your household’s electricity usage 

The more electricity your household uses, the higher your bill is likely to be. Everyday activities such as running air conditioning, doing laundry, cooking meals and charging devices all contribute to your monthly kWh usage. 

Weather and seasonal changes 

Hot summers and cold winters can increase electricity usage as your heating and cooling systems work harder to maintain a comfortable indoor temperature. Seasonal weather is often one of the biggest reasons electricity bills fluctuate throughout the year. 

Home size and efficiency 

Larger homes often require more energy for lighting, heating and cooling. A home's insulation, window quality, appliance efficiency and overall condition can also influence how much electricity it uses. 

Your electricity plan 

The type of electricity plan you choose can affect how your bill is calculated. Factors such as your energy rate, base charge, contract type and delivery charges all play a role in determining your monthly costs.

Frequently asked questions

Show all answers

Yes, utility delivery charges are typically included in your electricity bill. See your plan's Electricity Facts Label for details.

Monthly utility costs can vary based on where you live, the size and efficiency of your home, the season and your household habits. For electricity specifically, your monthly cost is typically based on how much energy you use, your electricity rate and any delivery charges, taxes or fees included on your bill. Reviewing your past bills is the best way to estimate your average monthly utility costs.

The average U.S. residential customer uses about 900 kWh of electricity per month, while the average in Texas is about 1,100 kWh per month, according to the U.S. Energy Information Administration. Actual electricity use can vary based on home size, number of occupants, weather, appliances and heating and cooling needs. Reviewing the kWh usage on your monthly electric bill can help you understand how your home compares and identify opportunities to save energy.

You can find your home’s electricity usage on your monthly electricity bill, usually listed in kilowatt-hours (kWh). To understand where that usage is coming from, you can also estimate the monthly usage of major appliances and electronics by multiplying the device’s wattage by the number of hours you use it each day, then dividing by 1,000 to convert watt-hours to kWh. Multiply that number by 30 for an estimated monthly total.

Your electricity bill may increase in cold weather because your heating system has to run longer and work harder to keep your home at a comfortable temperature. This can happen even if you don't change your thermostat setting. In all-electric homes, electric heating can be an especially significant source of winter energy use.

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