You Are Viewing FAQs Categories for Signing Up for Service
Sign Up with Direct Energy
Why does the utility company allow me to switch to Direct Energy?
After deregulation, state commissions no longer allowed utilities to profit from supplying natural gas and electricity to you. Utilities can, though, make a profit on the distribution portion of your commodities. , your decision to choose a third-party supplier doesn't affect your utility's finances. You can see both your supply charges and your distribution charges as line items on your monthly bill.
Most utility companies offer programs to educate customers about deregulation and energy choice. In fact, a competitive marketplace fosters enhanced services and price benefits, since retail energy suppliers can offer pricing packages that utility companies...
What happens to my service after I switch to Direct Energy?
If you do choose to switch your service away from your local utility company to Direct Energy, your local utility company will continue to deliver your electricity and/or natural gas to your home, read your meter, send you bills, and respond to outages and other emergencies. On your utility bill, Direct Energy's charges will be listed as a line item. You'll be able to monitor your Direct Energy account and usage through our Online Account Manager (OAM)
What is the cost to switch to Direct Energy?
Direct Energy does not charge an enrollment fee. However, your current energy supplier may assess a cancellation fee if you're switching providers within your contract term. Your current supplier can confirm what those costs (if any) might be. Also, the utility company (or generation company) for your area may charge a one-time fee for connection or disconnection. This fee will appear on your electricity bill on behalf of the utility company approximately thirty (30) days (or one billing cycle)...
How can I become an authorized account user on a Direct Energy account?
To become an authorized account user on a Direct Energy account, the current account holder must make this request by contacting our Customer Care center at 1-855-461-1926 and providing your name to be added to the...
When will my service with Direct Energy begin?
Your service will begin when your local utility company conducts your next meter read date after your switch to Direct Energy has been processed by the utility company. This change will be reflected on your bill within 1 to 2 billing...
General Questions
If I switch electricity suppliers, will my reliability be affected?
By law, the local utility company is not allowed to provide different care levels to customers who have chosen an alternate supplier. You will continue to receive the same level of delivery quality, emergency response, and meter reading from your current utility. Your utility company will not change, just the supplier of your electricity and/or natural...
What is the difference between Direct Energy and my local utility company?
Direct Energy is a retail supplier of electricity and natural gas (depending on your location), and your local distributor is a regulated entity that delivers electricity or natural gas to your home. Direct Energy is able to purchase the electricity or natural gas on the competitive market and sell it to customers. Your local distributor continues to deliver that electricity or natural gas to your...
What is the role of my local utility company?
Your local utility company delivers the electricity that flows into your home. The utility company is responsible for the lines, poles, pipes, meters, power outages, repairs, and other issues with how energy gets to your home. For example, if a storm blows down a power line or a car hits a utility pole, your utility company still fixes the problem and restores your power.
Your utility company continues to be responsible for:
- Delivery of electricity to all users in their service area
- Reliability and safety of the electricity or natural gas distribution system
- Maintenance of the poles, wires, and pipes
- Meter readings and maintenance
- Providing customer services related to the electricity or natural gas distribution system such as cable/pipe locations and 24-hour emergency service
- Connecting and disconnecting the customer's property to the electricity or natural gas distribution system
What to Know As a Customer
Will I save money by signing up with Direct Energy?
Future savings depend on the direction of commodity prices, which can be very volatile; however, you are not guaranteed savings.
Historically, Direct Energy's rates have been very competitive. Our fixed-rate products offer stability and protection from fluctuating energy costs. You receive highly competitive pricing, plus the ability to budget your energy costs because your fixed rate is locked in for the term of your contract. The market may rise and fall, but your fixed rate will be secure for the length of your contract...
Glossary
What is a non-recurring fee?
Non-recurring fees are charges from your local distribution utility, or Transmission and Distribution Utility (TDU), such as Oncor Electric Delivery, CenterPoint Energy, and Texas New Mexico Power, and may include items such as a new service initiation fee, a connection fee, a disconnection fee, or a meter-reading fee if you requested a meter reading outside of your normal billing cycle.
These charges are listed separately on your monthly bill and are not from Direct Energy. However, because we are your retail electric provider, we are required to pass them on to...
What does kWh mean?
The term "kWh" stands for kilowatt-hour and is the unit of measurement for your electricity use over...
What are distribution charges?
These are the fees that your local utility company charges you to deliver the electricity or gas supply to your location .These charges are assessed in addition to the cost of electric or gas generation service. Your utility company charges these fees no matter which retail company you choose as your electric or natural gas generation...
What are transmission charges?
These are charges assessed by your local utility company on your bill for the cost of moving high voltage electricity from the facility that generates that electricity through the distribution lines of your electric distribution company. In the case of natural gas, these are the charges to move natural gas through the pipeline to your...
What is electricity and natural gas deregulation?
Historically, your natural gas and electricity were supplied and delivered to you exclusively by the local utility company for your area, also known as the Local Distribution Company (LDC). The energy industry across the country started moving towards deregulation in the mid-1980's, giving you the power to choose an energy service provider.
Until this time, you had no ability to choose a supplier or a pricing plan that fit your needs. Deregulation un-bundled the supply and delivery portions, allowing competition. Today you can buy natural gas and electricity at a competitive price from the supplier of your choice. Your utility company will continue to deliver your energy; maintain pipes, lines, and wires; read your meter; and respond to any emergencies.
The power of choice, made possible by energy deregulation, fosters competition and gives you more control than...
