Direct Energy is a solid choice for customers who prioritize plan personalization and customer service over budget. It offers top-notch customer care and a wide range of plan types. However, its rates are more expensive than top Texas electricity providers, such as TriEagle and Rhythm Energy.
Direct Energy, founded in 1986 and bought by NRG Energy in 2021, stands out for its extensive business history and expertise in providing energy services, including electricity and natural gas, in North America. Backed by nearly 40 years years of experience, Direct Energy offers a variety of plans designed to meet different customer needs.
We ranked Direct as the best company for extra plan perks. Benefits such as autopay discounts and free electricity weekends might help lower your average rate.
Direct Energy Plans
Direct Energy offers six plan types with choices of 12, 18, 24 or 36-month contracts. It also offers a month-to-month, variable-rate plan.
Our top pick is the Live Brighter 12 plan from Direct Energy. This fixed-rate plan has steady rates for 12 months and a discount when you enroll in autopay. Without bill credits or time-of-use restrictions, you can easily predict your monthly bills based on your typical usage.
Here are Direct Energy’s plan options and rates:
| Plan Name | Rate (¢ / kWh) at 2,000 kWh | Term Length | Plan Features |
|---|---|---|---|
| Live Brighter 12 Auto Pay | 17 16.5 with auto pay | 12 months | • Locked in fixed rate with an auto pay discount |
| Live Brighter 24 Auto Pay | 16.4 15.9 with auto pay | 24 months | • Locked in fixed rate with an auto pay discount |
| Free Power Weekends 24 Auto Pay | 17.5 17.2 with auto pay | 24 months | • Free electricity from Friday 6 p.m. to Sunday 11:59 p.m. • Discount for auto pay |
| Twelve Hour Power On Us 24 | 18.9 | 24 months | • Free electricity daily from 9 p.m. to 9 a.m. • Two years of free Amazon Prime |
| Twelve Hour Power 18 Auto Pay | 17.5 17.3 with auto pay | 18 months | • Free electricity daily from 9 p.m. to 9 a.m. |
| Bright Choice | 17.9 | Month-to-month | • Variable-rate plan • Cancel your plan anytime with no early termination fee |
| Direct Solar Unlimited 12 | 17 | 12 months | • Solar panels required • Unlimited solar buyback credits |
| Direct Solar Unlimited 24 | 16.5 | 24 months | • Solar panels required • Unlimited solar buyback credits |
| Power Balance 12 | $249 per month | 12 months | • Flat monthly rate • Up to 2,000 kWh usage • Additional charges for usage over 2,000 kWh |
Plans reflect rates for Houston zip code 77077. Rates are accurate as of February 2025.
Our Thoughts on Direct Energy
According to our review methodology, Direct Energy earned a 4.6 out of 5, sitting in 12th place. We gave Direct a 4.7 for its wide range of plan offerings, which is its strongest category, followed by customer satisfaction. Direct Energy provides electricity throughout Texas and serves other deregulated areas in the U.S. and Canada. It also provides natural gas services in some areas.
Direct Energy scores well for its customer experience satisfaction and its wide range of plan offerings.
Its plan variety includes fixed-rate plans, variable-rate plans and solar buyback plans. The company also offers a range of term lengths, including 12, 24 and 36-month plans. Some plans feature perks and incentives, such as a free Amazon Prime account, free power on the weekend and a gift card referral program.
You can also access a discounted rate by simply enrolling in autopay. You won’t have to worry about missed payments, but the rates may still be higher than competitors — even with the discount.
You can contact its great customer service team via phone call or email 24/7. While convenient support access is a major perk, customer reviews vary. Some report pushy door-to-door salespeople and online billing issues. Expensive bills are another common complaint, and you can expect to pay a higher rate than the Texas average, based on U.S. Energy Information Administration (EIA) data. We recommend comparing prices and perks to other electricity suppliers before signing a contract.
Pros and Cons
Pros
- 38-plus years of energy experience
- Convenient 24/7 customer support
- Wide service availability
Cons
- No satisfaction guarantee
- Pricier than the Texas average
- Limited plans for predictable bills
Direct Energy Review
Overall, we rated Direct Energy 4.6 out of 5, which is competitive with the average for providers we reviewed.
Direct Energy stands out for its diverse plan offerings and customer satisfaction, providing numerous options including fixed-rate, variable-rate, green energy, solar buyback, and time-of-use plans. The company’s reputation is bolstered by its high PUCT rating and strong customer support, with some plans offering additional perks like free Amazon Prime memberships.
However, Direct Energy falls short on bill predictability and cost compared to competitors. Its time-of-use and bill credit plans can lead to confusing rate variations across usage levels, making monthly bills less predictable, while its overall rates tend to be higher than other energy suppliers in the market.
The table below highlights how Direct Energy compares against the average for Texas energy companies:
Direct Energy Customer Reviews
Direct Energy’s online customer reviews are concerning. Although we rated Direct Energy highly for customer satisfaction, the category doesn’t rely solely on reviews. Common pain points we found from the Better Business Bureau (BBB) and Trustpilot include bad experiences, from misleading sales tactics to errors on multiple billing cycles. Some customers have even voiced concerns about Direct Energy being a scam.
Direct Energy isn’t BBB accredited and received a D rating for “failure to resolve underlying causes of a pattern of complaints.” Other reviews report dissatisfaction with door-to-door sales reps who are “aggressive and rude” when customers say they are not interested in buying a plan.
Most of the 74 reviews on Trustpilot (94%) are 1-star ratings. Of the few 5-star reviews, only two are from within the past year. However, Direct Energy is rated very highly on the Public Utility Commission of Texas (PUCT), boasting fewer complaints than Reliant Energy, TXU Energy and Gexa Energy.
In a recent good review on the BBB, Rebecca T. wrote that Direct Energy offers competitive pricing and hasn't raised its rates despite years of being a loyal customer. Direct Energy also boasts a 4.2 out of 5-star rating from more than 1,500 Google Reviews.
Direct Energy vs. the Competition
Direct Energy scores in between popular providers, sitting slightly lower than TXU Energy and tying with Gexa Energy. Use the following table to compare providers and recommended plans.
| Factor | Direct Energy | TXU | Gexa |
|---|---|---|---|
| Our overall rating (out of 5) | 4.6 | 4.9 | 4.6 |
| Number of plans available | 6 | 10 | 16 |
| Top 12-month plan | Live Brighter 12 | Simple Rate 12 | Energy Saver 12 |
| Best feature | Customer satisfaction | Customer satisfaction | Plan options |
Where Is Direct Energy Available?
Direct Energy offers residential and commercial energy in all six transmission and distribution utility (TDU) service areas in deregulated areas of Texas.
Direct Energy’s Electricity Facts Label
The electricity facts label (EFL) is an important document detailing your energy plan. It includes your rate, base charges, TDU fees and other information that can help you avoid surprises on your bill. Here’s an example of the EFL for Direct Energy’s Live Brighter 12 plan:
Notice the difference in cost between the energy charge and the average price per kWh. The average price includes your base charge, energy charge and TDU delivery fees, all at set usage levels. We captured this EFL on January 16, 2025.
- Average price per kWh: This is the advertised rate at set kilowatt-hour usage levels.
- Average price per kWh with discount: This is the discounted advertised rate that applies when you enroll in AutoPay. Both of these rates only apply if you manage to use precisely the level of kWh displayed.
- Base charge: A flat monthly fee from Direct Energy for providing electricity services.
- Energy charge: This fee is the actual rate you’ll pay regardless of usage levels.
- TDU delivery charges: These are fees for delivering electricity to your home, set by your utility company and passed through without markup.
- Type of product: Displays if the plan has fixed or variable rates.
- Contract term: This is the length of your contract, typically 12, 24 or 36 months.
- Early termination fee (ETF): The ETF is a fee you may owe if you cancel your plan before the contract ends.
- Renewable content: This section details how much of your energy comes from green energy sources, such as wind or solar.
- Other disclosures: This section explains how your price might change during the contract. For fixed-rate plans, your energy rate stays the same, but TDU fees can vary.
What Is The Best Way To Contact Direct Energy?
Direct Energy offers 24/7 customer service. You can call the number below or send a message on Direct’s website.
- Current customers: Call 888-305-3828
- New customers: Call 855-461-1926
- Website: Send a message online
- Outage reporting: Contact your utility company during an outage. They are responsible for maintaining lines and infrastructure.
Moving or Transferring Service with Direct Energy
You can transfer your Direct Energy service to your new address, as long as it’s also in a deregulated part of Texas. Simply contact customer support, provide the address for where you want to transfer service and give them your move-in date. You can switch energy providers or select another Direct Energy plan without paying cancellation fees if your new address is outside Direct’s service area or your plan isn’t available there.
Final Take: Direct Energy Charges High Rates But Offers Many Perks
Direct Energy is a reliable option due to its long history in the deregulated market, a wide range of plans and solid customer satisfaction scores. Although it doesn’t offer the cheapest electricity rates in Texas, its prices are commensurate with those of other top companies, such as Reliant Energy and Green Mountain Energy. Direct also offers a range of perks and incentives that some Texans may find enticing, such as a free Amazon Prime subscription, discounted times of use and solar buyback plans.
Frequently Asked Questions About Direct Energy
Will Direct Energy charge me a cancellation fee?
You’ll likely owe a cancellation fee if you terminate your plan before your contract period ends. You can determine the cost by reviewing your plan’s EFL. You can avoid any ETFs if you cancel your energy plan because you’re moving outside of Direct Energy’s service area.
Do the Direct Energy rates shown include everything?
Direct Energy’s advertised rates typically include the energy charge, base charge and TDU delivery fees. However, they may also assume qualification for a usage or time-based rate discount that only applies to a set usage level. These advertised rates also typically don’t include any state or local taxes. We recommend reviewing a plan’s EFL to spot any gimmicky discounts or hidden fees before enrolling in an energy plan, even if it advertises some of the best rates.
Does Direct Energy run a credit check?
Yes, Direct Energy runs a soft credit check to determine if you owe a deposit to start your service. Some electric companies will require a deposit if you have a low credit score or a history of late payments. The credit check won’t impact your credit score, and you’ll get your deposit back after 12 months of on-time payments.
What is the best Direct Energy electricity plan?
We recommend the Live Brighter 12 from Direct Energy because our research indicates that it offers predictable bills at a lower rate than other Direct Energy plans. The plan includes a .5 cent discount per kWh when you use autopay, but its rates are fair even without the discount.
How We Rate and Review Texas Electricity Companies
With dozens of providers and hundreds of plans available in the deregulated Texas market, choosing the right one can feel overwhelming. We created a comprehensive rating methodology to help you cut through the complexity and find the best electricity plan for your needs, whether you're moving to Texas or looking to switch providers.
We've researched dozens of Texas electricity providers and scored them out of 5 stars based on results from our 2025 energy survey of 1,600 Texans, scoring providers on customer satisfaction, experience and retention. Here's how these core factors weighed into our ratings:
- Customer satisfaction (30%)
- Customer retention (30%)
- Online experience (20%)
- Customer experience (20%)
