Why you should avoid free nights plans at all costs
2 minute read • Graham Lumley • Last update June 2024
Should you enroll in a free nights electricity plan?
The answer for 99% of Texans is a resounding “NO.”
These plans are designed to lure you in with the promise of “free” electricity. But the reality is much, much different.
There’s a dirty little secret that electricity providers offering free nights plans don’t want you to know—the energy charge (what you pay your provider per kWh) during the day is often twice the cost of a simple fixed rate plan. That’s right… twice the cost!
Energy companies know that you use around 70% of your monthly energy consumption during the day. So they hike the daytime rates to cover so-called “free” nights.
Here’s a bill comparison of two real energy plans (pulled from pricing available in Oncor region on June 11, 2024). This comparison shows what you would expect to pay at 3 different kWh usage levels: 500, 1000, and 2000 kilowatt hours.
| Estimated Bills | 500 kWh | 1000 kWh | 2000 kWh |
|---|---|---|---|
| BKV Energy | $89.54 | $174.85 | $345.47 |
| TXU Energy | $120.85 | $228.79 | $444.68 |
Bills calculated with the following formula: Bill = Usage x (Energy Charge + TDU Charge) + TDU Fee + Base Charge. Multiplied the TXU results by 70% to account for free electricity at night. Click these links to view the BKV Energy and TXU Energy Electricity Facts Labels used to calculate these bill estimates.
At all usage levels, you would pay significantly more for electricity on the free nights plan. Why? Because you use the most energy during the daytime and no amount of “freebies” can offset the inflated daytime rates of a free nights plan.
Don’t be fooled by these marketing ploys. Free nights create a false sense of savings while costing you more. This false economy benefits the provider while hurting you!
At BKV Energy, we believe simpler is better. That’s why our Bluebonnet plan offers a simple fixed rate with no base charges, no usage fees, and no confusing time-of-use terms. Plus, you get a 30-day risk-free trial and access to Premier+, our robust rewards program. Want to save money on electricity? Avoid free nights plans. Switch to BKV Energy.
