Are you a Texan looking to choose the best electricity provider for your home? We understand the importance of making an informed decision when it comes to your energy needs. In this article, we'll compare two popular energy providers in Texas: TXU Energy and Direct Energy. However, before we delve into the details, let's introduce you to BKV Energy (or BKVE for short), your honest and transparent alternative.
BKV Energy is all about energy made fair. In every aspect, we strive to bring honesty and simplicity to the communities and the people we serve. At BKV Energy, customers don't have to pick between cleaner or more affordable. They have the power to choose both. We give customers the knowledge to make informed decisions about their energy bill AND their energy company.
Now, let's compare TXU Energy and Direct Energy in various aspects:
BKV Energy's mission, as you've just read, is centered around bringing fairness, honesty, and simplicity back to energy for Texans. We believe in giving you the power to choose without gimmicks.
BKV Energy, while newer to the scene, serves all of Texas with a commitment to transparent pricing and clear terms. Learn more >
Both TXU and Direct Energy offer a variety of plans, some of which employ gimmicks to entice customers. These gimmicks can sometimes end up costing you more in the long run due to hidden fees and seasonal pricing changes.
In contrast, BKV Energy offers simple, no-gimmick plans, including Simple Fixed Rate, Solar Buyback, and 100% Renewable Energy plans.
Pricing in your actual area may differ, but for comparison sake we look at pricing in the Houston area:
In contrast, BKV Energy offers the Bluebonnet 12 plan, a simple (no gimmicks) plan priced at 14.3¢ cents per kWh based on an average of 1,000 kWh usage per month.
In conclusion, while TXU Energy and Direct Energy are popular choices for electricity providers in Texas; they often use gimmick-laden plans that can end up costing you more in the long run. In contrast, BKV Energy strives to bring honesty and simplicity to the communities and people it serves, offering transparent pricing, clear terms, and no hidden fees or surprise charges. Make the right choice for your energy needs and choose BKV Energy for a fair and honest energy experience.
As of 12/21/24, we’ve collected the full list of 25 currently available TXU Energy plans and 21 Direct Energy plans and listed their rates, terms, and the type of gimmick or standard plan each falls into. These plans are based on an average monthly usage of 2,000 kWh, or what you might use for a typical residential home.
BKV’s lowest rate plan is 14.3¢ per kWh for the Bluebonnet 12 plan - a 100% Renewable no-gimmicks plan.
Compare that to the lowest rate plan from TXU Energy which is currently the base fee plan at 15.2¢ per kWh for a term of 12 months. This plan falls into the following categories: Base Fee (gimmick), Bill Credits (gimmick). And also check that against Direct Energy lowest rate plan, the base fee plan at 15.2¢ per kWh - a Base Fee (gimmick), Bill Credits (gimmick) type of plan. Gimmick plans may lead to prices not being what you expect in the long run.
The average rate among all TXU Energy plans is currently 15.0¢ per kWh, including all term lengths available. The average rate among all Direct Energy plans is currently 15.2¢ per kWh, including all term lengths available.
Check out the tables below to compare TXU Energy vs Direct Energy plans and rates for different standard electric contract terms:
| Providers | Plans | Plan Term | Plan Type(s) | Est. Price Per kWh |
|---|---|---|---|---|
BKV Energy |
Bluebonnet 12 (EFL) | 12 Months | Simple Fixed Rate | 14.3¢/kWh |
BKV Energy |
Bluebonnet Green 12 (EFL) | 12 Months | Full Renewable , Simple Fixed Rate | 14.5¢/kWh |
| TXU Energy | Simple Value 12 (EFL) | 12 Months | Base Fee (Gimmick Plan) | 15.5¢/kWh |
| Direct Energy | Live Brighter Lite 12 (EFL) | 12 Months | Bullseye (Gimmick Plan) | 15.6¢/kWh |
| Direct Energy | Live Brighter 12 Auto Pay (EFL) | 12 Months | Base Fee (Gimmick Plan) | 15.8¢/kWh |
| Direct Energy | Direct Solar Unlimited 12 (EFL) | 12 Months | Base Fee (Gimmick Plan) , Bill Credit (Gimmick Plan) | 16.3¢/kWh |
| TXU Energy | Simple Rate 12 (EFL) | 12 Months | Base Fee (Gimmick Plan) | 16.5¢/kWh |
| TXU Energy | Solar Buyback Match 12 (EFL) | 12 Months | Base Fee (Gimmick Plan) | 17.5¢/kWh |
| TXU Energy | TXU Energy Simple Rate 12 (EFL) | 12 Months | Base Fee (Gimmick Plan) | 17.5¢/kWh |
| TXU Energy | Texas Choice 12 (EFL) | 12 Months | Base Fee (Gimmick Plan) | 17.9¢/kWh |
| TXU Energy | Season Pass 12 (EFL) | 12 Months | Base Fee (Gimmick Plan) | 17.9¢/kWh |
| TXU Energy | Free Nights & Solar Days 12 (8 pm) (EFL) | 12 Months | Base Fee (Gimmick Plan) , Free Nights (Gimmick Plan) | 18.2¢/kWh |
| TXU Energy | Live Your Free 12 (EFL) | 12 Months | Base Fee (Gimmick Plan) | 18.5¢/kWh |
| Direct Energy | Live Brighter 12 (EFL) | 12 Months | Base Fee (Gimmick Plan) | 21.3¢/kWh |
| Direct Energy | Twelve Hour Power 12 (EFL) | 12 Months | Base Fee (Gimmick Plan) | 21.5¢/kWh |
| Providers | Plans | Plan Term | Plan Type(s) | Est. Price Per kWh |
|---|---|---|---|---|
BKV Energy |
Bluebonnet 24 (EFL) | 24 Months | Simple Fixed Rate | 14.4¢/kWh |
BKV Energy |
Bluebonnet Green 24 (EFL) | 24 Months | Full Renewable , Simple Fixed Rate | 14.7¢/kWh |
| Direct Energy | Live Brighter 1K+ 24 (EFL) | 24 Months | Bullseye (Gimmick Plan) , Base Fee (Gimmick Plan) | 15.3¢/kWh |
| Direct Energy | Live Brighter Lite 24 (EFL) | 24 Months | Bullseye (Gimmick Plan) | 15.5¢/kWh |
| Direct Energy | Direct Solar Unlimited 24 (EFL) | 24 Months | Base Fee (Gimmick Plan) , Bill Credit (Gimmick Plan) | 15.8¢/kWh |
| Direct Energy | Live Brighter 24 Auto Pay (EFL) | 24 Months | Base Fee (Gimmick Plan) | 16.2¢/kWh |
| Direct Energy | Free Power Weekends 24 Auto Pay (EFL) | 24 Months | Base Fee (Gimmick Plan) , Free Weekends (Gimmick Plan) | 16.8¢/kWh |
| Direct Energy | Autopay Texas 24 (EFL) | 24 Months | Simple Fixed Rate | 17.6¢/kWh |
| TXU Energy | Free Nights & Solar Days 24 (8 pm) (EFL) | 24 Months | Base Fee (Gimmick Plan) , Free Nights (Gimmick Plan) | 18.5¢/kWh |
| TXU Energy | Texas Choice 24 (EFL) | 24 Months | Base Fee (Gimmick Plan) | 18.9¢/kWh |
| Providers | Plans | Plan Term | Plan Type(s) | Est. Price Per kWh |
|---|---|---|---|---|
BKV Energy |
Bluebonnet 36 (EFL) | 36 Months | Simple Fixed Rate | 14.4¢/kWh |
BKV Energy |
Bluebonnet Green 36 (EFL) | 36 Months | Full Renewable , Simple Fixed Rate | 14.7¢/kWh |
| TXU Energy | Solar Buyback Match 36 (EFL) | 36 Months | Base Fee (Gimmick Plan) | 16.9¢/kWh |
*Rates and plans may vary, make sure to check the TXU Energy and Direct Energy websites for the latest information
Many providers offer plans that seem cheap when you enroll, but end up costing a lot more later on.
If you don’t consider changes in your home’s seasonal usage, you could end up paying more…much more.
A simple fixed rate plan is most often the safest bet. We can help you choose the right one!
Before you select an electricity plan, it’s important to understand more about how the different types of plans offered by providers like TXU and Direct work. First, you need to know how to identify a Gimmicky Plan.
Standard electricity plans are those you can trust to offer just what they say, without tricks that mislead you about the ultimate price you’ll pay on your electrical bill. However, many providers use “Gimmicky” plans to grab your attention. The prices seem very cheap at first glance, but when you dive a bit deeper you may end up paying much more than you’d expect!
Examples of standard plans include Simple Fixed Rate, Variable Rate, Solar Buyback, and 100% Renewable Energy plans - but only if they don’t come with certain gimmicks attached. Gimmicky plans typically include “Bullseye” Plans, plans with a Base Fee, EV Charging plans, plans that offer Bill Credits, and Free Nights or Free Weekends.
Let’s see how Direct Energy and TXU Energy plans stack up, and what types each company offers currently…
| Provider / Type of Plan | TXU | DIRECT | BKVE |
|---|---|---|---|
| Simple Fixed Rate
A Simple Fixed Rate plan is a fixed rate plan that has no other gimmicks associated with it (see Gimmick Plans below). |
10 Plans:
TXU offers 10 Fixed Rate plans, but none of them are “simple” as they have either a base fee gimmick attached.
|
17 Plans:
Direct offers 17 Fixed Rate plans, but none of them are “simple” as they have either a base fee, bullseye, or bill credit gimmick attached.
|
7 Plans:
BKV Energy offers 7 Simple Fixed Rate plans with no gimmicks: |
|
Solar Buyback
When the electricity company credits you for the excess energy your solar panels generate. |
TXU does not currently offer Solar Buyback plans. | Direct does not currently offer Solar Buyback plans. |
BKV Energy may be offering Solar Buyback plans in the future - if it’s best for our customers! Check Out BKVE Plans |
|
Variable Rate
The price you pay per kilowatt-hour for electricity may be determined by the market or other factors considered by the retail energy supplier. Since the market cost of electricity changes frequently, your rates could too. |
TXU does not currently offer Variable Rate plans. | Direct does not currently offer Variable Rate plans. |
BKV Energy doesn’t offer Variable Rate plans because changing market conditions can lead to extremely volatile energy bills. To help you save, we only offer simple fixed rate plans. Check Out BKVE Plans |
|
100% Renewable
A plan that only uses renewable sources. |
TXU does not currently offer gimmick-free Full Renewable plans. | Direct does not currently offer gimmick-free Full Renewable plans. |
3 Plans:
BKV Energy offers 3 Full Renewable plans with no gimmicks: |
| Provider / Type of Plan | TXU | DIRECT | BKVE |
|---|---|---|---|
|
EV Charging
EV charging plans are gimmicky because while you're receiving lower cost or free energy at night to charge your vehicle, your kWh rate during the day is higher than average. 70% of your energy consumption occurs during the daytime, so your bill is higher even with those free hours. Learn More |
TXU does not have plans with a EV Charging currently. | Direct does not have plans with a EV Charging currently. | No Gimmicks
BKV Energy does not offer gimmicky EV charging plans because most homeowners will end up spending more on electricity thanks to elevated daytime kWh rates, even with the free or reduced overnight prices. Check Out BKVE Plans |
|
Base Fee
Base fee plans are gimmicky because they add an extra charge to your bill regardless of how much energy you consume throughout the month. Learn More |
13 Plans:
TXU has 13 plans that use the Base Fee gimmick.
|
13 Plans:
Direct has 13 plans that use the Base Fee gimmick.
|
No Gimmicks
BKV Energy plans don't include base fees because instead of adding an extra fee to your bill, we only charge for the energy you actually consume. Check Out BKVE Plans |
|
Bill Credit
Bill credit plans are gimmicky because they tease a reward when you use a specific amount of energy. When you don't hit the mark, your rates go up significantly making your bill much higher. Learn More |
TXU does not have plans with a Bill Credit currently. | 2 Plans:
Direct has 2 plans that use the Bill Credit gimmick.
|
No Gimmicks
BKV Energy does not offer plans with bill credits because we prefer to offer a simple fixed rate instead. Most gimmicky bill credit plans come with higher kWh rates so you end up with a higher bill even with the credit applied. Check Out BKVE Plans |
|
Bullseye
Bullseye plans lead with a low average price, but higher prices are hidden in the EFL. That means if you use the wrong amount of energy, your bill can skyrocket. |
TXU does not have plans with a Bullseye currently. | 3 Plans:
Direct has 3 plans that use the Bullseye gimmick.
|
No Gimmicks
BKV Energy does not offer gimmicky bullseye plans because we prefer to offer a simple fixed plan where your kWh rate remains steady at all usage levels. Check Out BKVE Plans |
|
Free Nights
Free nights plans are gimmicky because your daytime rate can be 5 to 10 cents higher per kWh compared to a simple fixed rate plan. This creates much higher energy bills during the summer in Texas. Learn More |
2 Plans:
TXU has 2 plans that use the Free Nights gimmick.
|
Direct does not have plans with a Free Nights currently. |
No Gimmicks
BKV Energy does not offer gimmicky free nights plans because most Texans end up spending more on electricity thanks to elevated daytime kWh rates, even with the free overnight prices. Check Out BKVE Plans |
|
Free Weekends
Free weekends plans are gimmicky because they increase your price per kWh during the week to make up for your free usage over the weekend. Plus, the window of time your energy is "free" might be shorter than you expect. Learn More |
TXU does not have plans with a Free Weekends currently. | 1 Plans:
Direct has 1 plans that use the Free Weekends gimmick.
|
No Gimmicks
BKV Energy does not offer gimmicky free weekends plans because most Texans end up spending more on energy due to elevated weekday kWh rates, even with free weekends. Check Out BKVE Plans |
"There are a ton of ways that these electricity companies can trick people. BKV Energy was among the clearest, and easiest to digest. This is the type of company I want to do business with."
- M.K.
"Great customer service and look forward to being a long time customer. Saved over $200 a month transferring from Reliant."
- B.J.
"Great electric company. They are very fair and honest with their pricing. Most providers have tricky price structures that make it hard to know what your bill will be. But with BKV Energy you know exactly what you will get. Highly recommend!"
- N.T.
"Informative website, seamless sign-up, and excellent customer service. I'm thrilled we locked in such a good rate for an extended period of time. I'm looking forward to saving extra money this summer."
- E.F.
While TXU and Direct offer estimated 2000 kWh plans for Houston for as much as 15.5¢ kWh, BKVE has 12, 24 and 36 month plans for as low as 14.5¢ kWh - and no gimmicks!
What better way to compare companies than a simple side-by-side dust up of TXU and Direct. TXU is headquartered in Irving and Direct’s central offices are in Houston. TXU has about 1.7 million customers, with Direct at around 4 million customers. Headed by CEO Scott A. Hudson, TXU was founded in 2002. Direct’s chief executive is Badar Khan, and the company was founded in the year 1986.
| Direct Energy | TXU Energy |
|---|---|
| 910 Louisiana, Houston, 77002 | 6555 Sierra Drive, Irving, 75039 |
| CUSTOMERS: 4 million customers |
CUSTOMERS: 1.7 million customers |
| FOUNDED: 1986 |
FOUNDED: 2002 |
| CEO: Badar Khan |
CEO: Scott A. Hudson |
| COVERAGE AREAS: Houston, Dallas, Fort Worth, Corpus Christi, and many more |
COVERAGE AREAS: Houston, Dallas, Austin, Fort Worth, Arlington, Corpus Christi, Plano, Irving, Laredo, Garland and many more |
| PUCT NUMBER: 10040 |
PUCT NUMBER: 10004 |
| COMPANY BIO: Direct Energy, lead by CEO Badar Khan, is one of North America's largest retail energy providers. The company has established itself as a leader in the energy sector with over 20 years of experience. The company is headquartered in Houston, Texas, and operates across various regions in the United States and Canada. Direct Energy's commitment to providing choice, simplicity, and innovation in energy, data, and technology distinguishes it from other providers. The company offers a range of energy-related services to both home and business customers, focusing on making energy more accessible and manageable. Direct Energy's approach includes offering simple solutions for customers to track, understand, and control their electricity and natural gas usage, empowering them with the insights needed to make more efficient and cost-effective decisions. In Texas, Direct Energy serves a broad customer base with diverse energy needs. The company's offerings include various plans designed to meet the specific requirements of its customers, ensuring they have access to tailored energy solutions. This customer-centric strategy, combined with Direct Energy's significant presence in the North American energy market, makes it a formidable player in the energy industry. Direct Energy customer service can be reached at 1-855-461-1926 or 910 Louisiana, Houston, TX 77002. Direct Energy's mission revolves around providing innovative and efficient energy solutions to its customers. By combining technology and customer insights, the company aims to deliver services that not only meet the energy needs of its customers but also contribute to more sustainable and responsible energy consumption practices. |
COMPANY BIO: TXU Energy, with roots dating back to 1882 as the Dallas Electric Lighting Company, has a rich history in powering North Texas. It has been a witness and contributor to major milestones in the region, from the introduction of porch lights to air conditioning and electric cars. Today, TXU Energy is the state's leading retail electric provider since the opening of the Texas competitive electricity market in 2002. The company's commitment to its heritage is evident in its continuous efforts to improve communities and maintain a customer-centric approach. The corporate office of TXU Energy is located at 6555 Sierra Drive, Irving, TX 75039. This strategic location facilitates the management of their widespread operations and customer service within Texas. Customers can contact TXU Energy for support and inquiries at 800-818-6132. TXU Energy's executive leadership team comprises individuals with significant experience in the energy sector. Scott A. Hudson serves as the President, leading the company in providing innovative energy solutions and exceptional customer service. The mission statement of TXU Energy emphasizes their long-standing history of doing right by their customers, focusing on straightforward electricity plans with transparent pricing. The company's responsibility extends beyond providing basic services, showcasing a deep commitment to customer satisfaction and community engagement. TXU Energy offers a variety of electricity plans tailored to different needs. These include options for automatic discounts, seasonal savings, free energy during specific periods, and renewable energy choices. Electric vehicle owners can benefit from plans offering 100% free EV charging at specific times. Solar and renewable energy plans are available, with or without solar panels, underlining TXU Energy's commitment to sustainable energy solutions. Other offerings include monthly rewards, business plans with price-protected rates, and flexible plans for apartment living. All their term plans come with a Price Protect Promise, ensuring customers are shielded from fluctuating energy rates and unpredictable weather conditions. Additionally, the TXU Energy app provides a convenient way for customers to manage their electricity usage and bills. In summary, TXU Energy stands as a significant player in Texas's electricity market, with a history spanning over a century. Its leadership team's expertise, combined with a wide array of electricity plans and a commitment to customer satisfaction and community improvement, positions TXU Energy as a reliable and forward-thinking energy provider in the state. |