Direct Energy Reports Number of Prepaid Customers Served in Texas

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Direct Energy has served roughly 10,000 prepaid customers in Texas under the current version of in Subst. R. 25.498.

The disclosure was made in an email to Commissioner Donna Nelson regarding amendments to Subst. R. 25.498 which Nelson excerpted in a memo regarding proposed changes to the rule filed publicly in Project 38675 (see related story).

In explaining the risk in serving prepay customers under weather-related disconnection moratoriums (and need for a disconnection balance to reflect such risk), Direct reported that average daily usage for all of its prepaid customers during the 90-day period beginning December 2, 2010 through March 2, 2011 was 35 kWh per day.

However, during three weather moratoriums which have occurred thus far in 2011, the highest day recorded was an average usage of 84 kWh, with some customers using in excess of 200 kWh a day.

During the three moratorium periods, Direct Energy's prepaid customers consumed 51% more kWh over typical daily usage for this 90-day period.

The three weather-related disconnect moratoriums experienced thus far in 2011 have spanned a total of 17 days.

Direct also said that it saw a significant increase in the percentage of accounts that went negative during this time (approximately three times the usual amount) and a significant increase in the sum of negative account balances.

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