Direct Energy rates, plans, and reviews

Thanks to energy deregulation in Texas, residents and business owners can choose the energy provider that best meets their needs. Direct Energy is a retail electric provider (REP) based in Texas and operating in 14 states, the District of Columbia, and certain areas of Canada. The company offers fixed- and variable-rate plans.

Enter your ZIP code to learn more about your energy provider options.

Direct Energy is part of the NRG family of companies with headquarters in Houston, TX. Direct Energy aims to offer reliable and affordable energy services. The energy company also has a satisfaction guarantee, which allows customers to switch to another plan within 30 days of beginning service.

Direct Energy offerings include:

• Fixed-rate and variable-rate energy plans
• Free nights or weekends plans available
• Energy plans powered by 100% renewable energy
• Two years of complimentary Amazon Prime subscription with qualifying plans
• Autopay discount for some plans

Choose Energy only works with trusted energy providers in Texas. When selecting those providers, we hold electric companies to high standards based on reliability, customer service, and plan variety. Direct Energy checks every box and is consistently one of the top providers in Texas.

Types of rates offered by Direct Energy

Direct Energy offers consumers a variety of fixed-rate plans and variable-rate plans.

• Fixed-rate plans. With fixed-rate plans, you will pay one consistent rate for the duration of your contract, which typically lasts 12 to 36 months. This type of rate protects you from fluctuations in the energy market but may also result in higher bills when the energy market decreases in costs.
• Variable-rate plans. Having a variable-rate plan means the rate you pay will change from month to month. Your rate is tied to the wholesale cost of electricity, which changes often. In months of lower demand, your rate will decrease, but when demand is higher, it will increase.

To learn more about the types of plans available in your area, enter your ZIP code.

No-deposit options from Direct Energy

Many electricity companies require a deposit to begin service — including Direct Energy. You may be eligible for a no-deposit energy plan from other providers if your credit score meets specific requirements. Qualifying exemptions for the deposit include customers who are:

• Able to acquire a letter of credit from their previous electric provider for paying the last 12 months on time
• 65 or older
• Victims of domestic violence
• Medically indigent

If you want to avoid a credit check and deposit, you can find prepaid plans on the Choose Energy marketplace by entering your ZIP code.

Green energy with Direct Energy

Direct Energy offers a variety of green energy plans for both residential and business customers. Texas is a leader in renewable energy in the U.S., ranking first in wind power and second in solar energy. Every Texas energy plan contains some level of wind or solar power, which you can find by checking your plan’s Electricity Facts Label (EFL). 

Moving or transferring service with Direct Energy

If you are moving to a new address, you can easily switch to a Direct Energy plan or transfer your Direct Energy plan to your new location. Reach out to Direct Energy, and they will handle the transfer. You can also switch to a different provider without paying an early termination fee (ETF) if you are moving outside of Direct Energy’s service area.

Renting with Direct Energy

Direct Energy does not offer a plan specifically for renters. However, you can match your energy plan to your lease thanks to the different contract lengths offered by Direct Energy. If you’re renting month-to-month, you may want to choose a variable-rate plan to avoid an ETF. But if you plan on renting for a year or longer, a fixed rate that aligns with your rental contract may be the perfect option. 

Cancellation fees

Direct Energy charges an ETF if you decide to cancel your service before the end of your contract—the only exception is if you’re moving to a new address. These cancellation fees can vary between plans, so be sure to check your EFL to know what your fee would be. 

Satisfaction guarantee

Direct Energy offers new customers a 30-day satisfaction guarantee. If you aren’t happy with your energy plan, you can switch to another Direct Energy plan within the first 30 days of service without being charged a fee.

Direct Energy business electricity

Direct Energy offers electricity plans for small and large businesses and provides services to 78% of the Fortune 100 companies. The Choose Energy marketplace can help you find an energy plan for your business. If you’re a business owner in a deregulated area, visit our business electricity page to learn more and build your custom commercial energy plan.

Other Direct Energy initiatives

Direct Energy provides a large collection of tools and tips to help you lower your electric bill. The company also offers deals on home warranties and protection plans to help protect you against major repair bills. These home protection plans include electric repair and maintenance, heating and cooling repair and maintenance, plumbing repair and maintenance, power surge protection, water line/sewer/septic repair, kitchen repair, and laundry room repair plans.

Direct Energy also donates and offers employee volunteers to organizations that seek to benefit children in need. Direct Energy’s charitable giving program helps support children’s hospitals. The company also offers programs such as the Bikes for Students, Neighbor-to-Neighbor Bill Assistance Program, and Meals for Families that focus on local community support.

Direct Energy has a variety of plans available so that most consumers can find one that best fits their needs. Below you can learn more about some of the most popular Direct Energy plans.

• Live Brighter 12: This traditional fixed-rate plan secures a rate for 12 months and contains 21% renewable energy. There are no bill credits available if you use a certain amount of electricity, so the prices are relatively equal across all usage levels. We recommend this plan to customers who want a simple and straightforward energy plan.
• Green Texas 15 AutoPay: This 15-month fixed-rate plan is sourced from 100% green energy. You will receive a discount if you sign up for Autopay with this plan. This plan’s ETF is $150.
• Twelve Hour Power 24 On Us: This 24-month fixed-rate plan is Direct Energy’s most popular plan. In addition to the 100% renewable energy plan you will receive at a competitive rate, you will gain access to a two-year Amazon Prime membership and free energy between 9:00 p.m. and 9:00 a.m.

Direct Energy provides services in many regions across the United States, including Connecticut, Delaware, Illinois, Maryland, Massachusetts, Michigan, New Hampshire, New Jersey, New York, Ohio, Pennsylvania, Rhode Island, Texas, and Washington D.C. Below are some of the company’s service areas in Texas:

• Oncor: This service area runs all across Texas, such as in Dallas, Plano, and many other areas.
  
• CenterPoint: This service area includes the Houston metropolitan area. It covers about two million residences and businesses.
  
• Texas-New Mexico Power: This utility covers cities like Houston, Midland, and Dallas–Fort Worth. 
  
• AEP Texas Central: This service area covers Corpus Christi, Laredo, and McAllen. 
• AEP Texas North: This service area includes northern Texas, including cities like Abilene and San Angelo.

Many electricity companies offer different prices depending on your location, so rates can change based on where you live. This price disparity is mainly because of different utility transmission charges. That’s why it’s important to search for energy rates near you to make sure your rate is accurately reflected in your bill.

Choose Energy assigns unbiased reviews to top electricity providers in Texas. We break down our scoring model into the following three categories:

Direct Energy has an overall score of 4 out of 5. To learn more about electric provider reviews, see our full list here.

Finding cheap electricity plans is simple with the Choose Energy marketplace. Simply search for your ZIP code and compare plans and rates near you.

• Review your plan’s Electricity Facts Label (EFL). This will help ensure you know the details of your plan, such as ETFs, rate per kWh, and the percentage of renewable energy in your plan.
• Make the transition. After you’ve finished signing up, your provider will take it from there, working with your utility company to set up your services. You should not experience any interruptions in your services during the switching process.
• Take note of any fees. When you review your electricity bills, you’ll notice charges from both your provider and your local utility company, which is determined by your location.

In a deregulated energy market, shopping for electricity can feel overwhelming at times. With the free Choose Energy marketplace, you can shop and compare your available energy options in one place. 

Enter your ZIP code to explore a list of current rates and plans offered near you. You can filter for specific brands, contract lengths, rate types, and much more. Once you have found the right energy option for your home, you can sign up through Choose Energy — all in a matter of minutes.

There are several ways to lower your electricity bill, including reducing your energy usage or switching to energy-efficient appliances. However, the best long-term way to reduce your energy bill is to switch to a more affordable energy plan through the Choose Energy marketplace. Learn more by checking out our guide to lowering your electricity bill.

• Direct Energy headquarters: 12 Greenway Plaza Suite 250 Houston, TX 77046
• Direct Energy bill pay: Log into your Direct Energy account here or call 888-305-3828.
• Direct Energy customer service number: Call 1-866-553-0873.
• Outages: Report power outages to your utility company.

What services does Direct Energy offer?

Direct Energy offers a variety of services for customers to choose from, including fixed-rate and variable-rate energy plans, free usage periods, green energy plans, and business energy.

Will Direct Energy require a deposit?

Yes. Like most energy providers, Direct Energy requires a deposit when you sign up for an energy plan. You may have your deposit waived by having a good credit history or by being over 65 with a letter of guarantee.

Will Direct Energy charge me a cancellation fee?

Direct Energy charges a $295 ETF if you end your contract early. This fee only applies to fixed-rate energy plans. Direct Energy will waive the fee if you’re moving outside the company’s service area.

What is the best Direct Energy electricity plan?

To find the best plan for you, consider your budget, energy usage habits, and the type of plan you want. You can easily compare different energy plans using the Choose Energy marketplace. Enter your ZIP code to get started.