Power Companies Offer Free Weekends and Prepaid Plans

Posted by Logan Wallace on Aug 18th, 2013





Consumers usually pay for the power they used for the month before. It doesn’t matter when they used it. But things are about to change as some electric companies are contemplating to come out with other business models. Some utilities are providing plans that include free nights, free weekends, as well as prepaid plans.

Digital meters have made it possible to provide more customized plans. They connect the electric companies and customers wirelessly and allow both sides to track usage in real time. Digital meters enabled utilities to decrease their costs by promoting use of electricity during off-peak hours.

41 percent of electric consumers in the United States have digital meters. The number was up from less than 5 percent in 2008. In 2015, it is estimated that 50 percent of consumers will have digital meters

But the new types of electric plans come with risks. Consumers might end up paying more for power consumption than expected. Some plans have low introductory rates that could go up after the expiration of the promo period. Other plans have high early termination fees. Some fixed rate plans look like good deals if power prices increase but become expensive compared to others when prices drop.

If consumers are careful about the plan they take, they could possibly pay much less. Some electric companies offer a plan that gives one day of free power each week. Consumers could choose a day when they can do much of their housework, such as doing the laundry or dishes.

TXU Energy in Texas has a plan that provides free power every night from 10 P.M. to 6 A.M. It offer has a plan that includes free power on Saturdays and Sunday but in return has a higher rate during the other days.

Customized electric plans are available in 13 states and Washington, D.C. Regulators in the said states allow companies to compete to sell electricity. Consumers who signed up for customized plans have increased to 13.3 million in 2011 compare to 8.7 million in 2008.


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