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Direct Energy's Twelve Hour Power plan offers free electricity from 9 PM to 9 AM, but is it the right fit for your home? While the plan can save money for those who shift 45% of their energy use to nighttime hours, the higher daytime rates may offset savings. Learn how this plan compares to fixed-ra
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Twelve Hour Poweris one of two offers from Direct Energy that advertise free electricity during certain times of the week.
If you’re reading this, you probably heard or saw an ad from Direct Energy promoting this plan and wonder if it suits your home.
We broke down the details and have some tips to help you make an informed energy decision for your household.
Quickly determine if Direct Energy Twelve Hour Power is right for your home with your kilowatt-hour usage⤵️
Direct Energy discounts your electricity from 9 pm until 8:59 am daily.
Important: This discount only applies to the energy charge on your bill.
During the night, Direct Energy cuts the energy charge of your bill to zero, and the TDU charges are not passed on to you.
Are you similar to the average Texan? According to eia.gov, the average Texan paid 12.8 cents per kWh for electricity in 2021.
With an average monthly usage of 1,132 kWh, the average Texas electricity bill would be around $144.90.
With the weather in Texas swinging each season, your usage and electricity bill can change as quickly as the weather.
Remember that these average numbers are taken from statewide data and that your usage could be drastically different based on the size and age of your home, your appliances, and your electricity usage habits.
Compared to the Texas average, Direct Energy Twelve Hour Power is more expensive at 26.3 cents per kWh advertised at 1000 kWh usage.
At 1,132 kWh of usage, your average monthly bill with Direct Energy Twelve Hour Power would be $298.91.
That’s almost 107% more than the average Texan paid last year for their electricity bills.
Your electricity bill could be even more expensive, especially if you can’t shift at least 45% of your electricity usage to the weekend.
You’ll find a Base and TDU delivery charge alongside your energy charge on your bill.
Direct Energy collects a base charge of $9.95 regardless of your monthly electricity.
The TDU charge depends on which company services the area that you live in. The TDU charge for the Oncor area, covering the Dallas-Fort Worth metropolitan area, is currently 3.89 cents per kWh. Oncor also collects a base charge of $3.42 each month.
Direct Energy, Twelve Hour Power, also has an early termination fee of $150 for the 12-month contract and $295 for the 24-month contract.
Before signing up, shop with your home’s unique usage profile to avoid high bills and the need to end your contract early.
Digging into the Terms of Service, Direct Energy lists additional fees for late payments, returned payments, collection recovery, disconnect recovery, and any payments made with the help of customer support agents.
If you regularly need help with payments, consider a different electricity plan to avoid these fees.
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