Reliant Energy vs. Direct Energy - Which is Better?

  • Written By: Rebecca Bridges

  • Verdict: Reliant Energy is the winner in this match up. Reliant Energy and Direct Energy share the same parent company and satisfaction guarantee, but Reliant has better customer and PUCT ratings, plus cheaper prices on most plans.

    Company Snapshots

    Reliant Energy

    Reliant Energy is the flagship brand for NRG Energy, which also owns Cirro Energy, Discount Power and Direct Energy. Premium pricing, a wide variety of plans and 24/7 customer service. They offer a 90-day customer satisfaction guarantee that lets you switch to any other Reliant plan in the first 3 months.

    Direct Energy

    Direct Energy was previously independent but is now owned by NRG Energy, parent company for Reliant Energy. Direct Energy has premium pricing, a variety of plans, 24/7 customer service and a 90-day satisfaction guarantee. Basically, the same as Reliant Energy, with a different name and higher prices.

    CategoryReliant EnergyDirect Energy
    Average Rate20% higher than market20% higher than market
    Monthly Base Charge$5.00$5 - $9.95
    PUC Complaint Rating4/53/5
    Best Plan TypeBasic Fixed RateBill Credit/Tiered Rate
    Plan Terms6-24 months6-24 months
    Satisfaction Guarantee90 Days; change your plan90 Days; change your plan
    Parent CompanyNRG (Houston)NRG (Houston)

    Shop Reliant vs. Direct Energy Rates by Zip Code

    Reliant Energy vs. Direct Energy Electricity Rates (Oncor Area)

    Plan Name Term Rate/kWh
    Reliant Power Savings 24 24 12.9 ¢
    Reliant Power Savings 12 12 12.9 ¢
    Reliant Pure Power 24 24 15.4 ¢
    Direct Energy Live Brighter Lite 12 12 15.5 ¢
    Reliant Pure Power 12 12 15.5 ¢
    Direct Energy Apartment Basics 12 12 15.8 ¢
    Direct Energy Bright Secure 12 12 15.9 ¢
    Direct Energy Live Brighter Lite 24 24 15.9 ¢
    Reliant Basic Power 24 24 16.2 ¢
    Reliant Basic Power 12 12 16.2 ¢
    Reliant Conservation Plan 12 12 16.5 ¢
    Reliant Conservation Plan 24 24 16.5 ¢
    Direct Energy Live Brighter 1K+ 24 24 17.1 ¢
    Reliant Free Overnight 12 12 17.8 ¢
    Reliant Truly Free Weekends 12 12 18.2 ¢
    Direct Energy Bright Bill Credit Classic 12 12 18.3 ¢
    Direct Energy Twelve Hour Power 12 12 23.6 ¢

    Reliant Energy vs. Direct Energy Electricity Rates (CenterPoint Area)

    Plan Name Term Rate/kWh
    Reliant Power Savings 12 12 11.9 ¢
    Reliant Power Savings 24 24 11.9 ¢
    Reliant Pure Power 24 24 14.4 ¢
    Direct Energy Live Brighter Lite 12 12 14.5 ¢
    Reliant Pure Power 12 12 14.5 ¢
    Direct Energy Apartment Basics 12 12 14.8 ¢
    Direct Energy Bright Secure 12 12 14.9 ¢
    Direct Energy Live Brighter Lite 24 24 14.9 ¢
    Reliant Basic Power 24 24 15.8 ¢
    Reliant Basic Power 12 12 15.8 ¢
    Reliant Conservation Plan 12 12 15.9 ¢
    Reliant Conservation Plan 24 24 15.9 ¢
    Direct Energy Live Brighter 1K+ 24 24 16.2 ¢
    Reliant Free Overnight 12 12 17.2 ¢
    Reliant Truly Free Weekends 12 12 17.2 ¢
    Direct Energy Bright Bill Credit Classic 12 12 17.4 ¢
    Direct Energy Twelve Hour Power 12 12 23.6 ¢

    Comparing Reliant vs Direct Energy – Electricity Plan Variety

    These charts show current plans offerings from Reliant and Direct.

    The best Reliant Energy plan is Reliant Pure Power, and you should compare that directly against Direct Energy Bright Secure. Both plans have a $5/month base charge and a simple energy rate. But you’ll often find that Reliant Energy has a cheaper energy rate than Direct Energy. Always shop the effective rate with your usage, and check prices before you pick a brand.

    Many of the Reliant and Direct Energy plans have the same structure with different names and prices. For example, Direct Energy Apartment Basics and Reliant Conservation Plan are both tiered rate options with a lower rate per kWh for usage below 1000 kWh. Pick whichever one is cheaper.

    Reliant Energy Plans

    Reliant Energy PlansPlan TypePlan DetailsWho This Plan is For
    Reliant Pure PowerFixed RateBasic fixed rate plan with a $5/month base chargeMost Texas homes (Top Reliant Recommendation)
    Reliant Basic PowerFixed RateBasic fixed rate plan with a $9.95 minimum use charge if you use less than 1000 kWhTexas homes that use over 1000 kWh/month
    Reliant Power SavingsBill Credit$75 usage credit when you use >1000 kWh/month. No base charge. Texas homes that use over 1000 kWh/month
    Reliant Conservation PlanTiered RateLower rate for energy use under 1000 kWh; $5 monthly base chargeSmaller homes and apartments
    Reliant Free OvernightTime of UseFree energy and delivery charges from 9pm-6am daily. No base chargeHomes that can shift their usage to night time, or that have an EV.
    Reliant Truly Free Weekends Time of UseFree energy and delivery from Friday 8pm to Monday 12am. No base chargePeople who travel for work; second homes

    Direct Energy Plans

    Direct Energy PlansPlan TypePlan DetailsWho This Plan is For
    Direct Energy Bright SecureFixed RateBasic fixed rate plan with $4.95 monthly base chargeTexas homes that use over 750 kWh
    Direct Energy Live Brighter LiteFixed RateBasic fixed rate plan with a $9.95 monthly usage charge if you use more than 1000 kwhSmaller homes that use less than 1000 kWh/month
    Direct Energy Live Brighter 1K+Fixed RateBasic fixed rate plan with a $9.95 monthly usage charge if you use less than 1000 kwhLarger homes using over 1000 kWh/month
    Direct Energy Apartment BasicsTiered RateComplex plan with a monthly base charge, low price per kWh under 1000 and a 20% higher rate for all kWh over 1000Homes that use under 1000 kWh/month
    Direct Energy Bright Bill Credit ClassicBill CreditBasic fixed energy rate plus delivery, with a $50 usage credit on your bill if you use u500 kWh or under.
    Tiny homes, small apartments, frugal living fans that use under 500 kWh/month
    Direct Energy Twelve Hour PowerTime of useFree energy & delivery 9pm - 9am. Monthly base charge of $9.95/month. Assumes 55% of power used during free timeHomes where someone's away all day; recommend ceiling fans to stay cool 6pm - 9pm to avoid high charges

    Customer Reviews – Reliant vs. Direct Energy

    Both Reliant and Direct have positive reviews. But we’re giving the win here to Reliant, due to their consistently better reviews.

    CategoryReliant EnergyDirect Energy
    Google Reviews4.5/54/5
    Customers LikeQuality customer care, 90 day satisfaction guarantee, weekly usage summariesQuality customer care, 90 day satisfaction guarantee, mobile app
    Customers DislikeHigh renewal rates, high bills for free nights & weekendsInflexible payment requirements, higher than expected bills for bill credit plans.

    Which is Best Based on Your Situation?

    We compared Reliant vs. Direct Energy based on several consumer scenarios. Direct Energy’s bill credit plans rise to the top for smaller homes, but Reliant was the winner for basic fixed rate plans. If you go with a bill credit or tiered rate plan, make sure your usage matches these usage bands, or you’ll end up paying more than you expected.

    Winner: Direct Energy

    Direct Energy has plans focused on the smaller energy usage, with bill credit plans and tiered rates that offer superb value for consumers using up to 800 kWh/month. Always check effective rate prices based on your usage, not just the advertised rate

    Winner: Reliant Energy

    Reliant Energy’s basic fixed rate electricity plans are cheaper than Direct Energy for usage 1000-2000 kWh a month. Yup. We were surprised too. Enter your usage to compare these plans head to head and you’ll see.

    Winner: Reliant Energy

    Reliant Energy’s basic fixed rate electricity plans are cheaper than Direct Energy for usage over 2000 kWh a month. Yup. We were surprised too. Enter your usage to compare these plans head to head and you’ll see.

    Winner: Reliant Energy

    Reliant’s bill credit plan offers a $75 bill credit for usage of 1000+ kWh in a month. That plus a simple energy charge (vs. Direct Energy’s more complex tiered rates) makes them the winner in this category. A good option if you consistently use 1000-1999 kWh/month

    Winner: Reliant Energy

    Reliant Energy is the better option for fixed rate plans vs. Direct Energy. That was a shocker for us too. Just goes to show, you need to shop the effective rate, not the brand name.

    Winner: Neither

    Neither Direct Energy nor Reliant Energy offer prepaid electricity plans. Your best option for prepaid is Payless Power, which offers 6 and 12 month fixed rates with no credit check.

    Final Verdict: Shop Around

    For most Texas households, Reliant is the better choice vs. Direct Energy, which surprised even us. Reliant offers a better value with cheaper rates on their basic fixed rate plans. However, if you’re primarily shopping on price, both brands charge a premium vs. market prices. You should shop around rather than choose either of these options.

    Choose Reliant Energy if:

    • You want a basic fixed rate plan, or a bill credit plan focused at over 1000 kWh usage.
    • You like having 90 days to review your plan and change to a different option
    • You value the stability of a large company

    Choose Direct Energy if:

    • You live in a small home or apartment and use under 1000 kwh every month
    • You like having 90 days to review your plan and change to a different option
    • You value the stability of a large company

    Ultimately, we recommend that you don’t look at brand or advertised rates. Instead, shop based on your actual kWh usage with the ElectricityPlans BillSmart™ Tools, including BillSmart Low Bill Finder and BillSmart Calculator. You’ll get easy insights into what you’ll actually pay. That’s the only way to find the best electricity plan for your home.

    Frequently Asked Questions

    Is Direct or Reliant cheaper?

    We were surprised to find that Reliant offered better prices than Direct Energy. But neither is the cheapest option near you. Your best bet is to use the ElectricityPlans BillSmart Low Bill Finder to find the cheapest option for your home.

    What are cheaper alternatives to Direct Energy and Reliant Energy?

    Both Reliant and Direct are premium brands with premium pricing. If you’re shopping based on price but are also concerned about reputation and stability, consider Champion Energy, Chariot Energy, Rhythm Energy and APG&E. All are known brand names, in business for 5+ years and cheaper than Reliant Energy or Direct Energy.

    About Rebecca Bridges

    Rebecca Bridges has worked in deregulated energy markets since 2001. As chief marketing officer for ElectricityPlans, she focuses on helping consumers save on their electricity bills and find the best electricity plans. Outside of work, Rebecca uses her marketing experience to support dog rescue and can often be found hiking or biking local trails.

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