How Direct Energy Is Changing the Future of Energy Consumption

Published: Wed 22 Apr 2015
A blog entry by Carlee Quintas

Contributed by:

Carlee Quintas
Marketing and Branding
Direct Energy

Carlee Quintas's Blog

Have you ever heard of an energy company that actively helps its customers use less energy and improve the usage of energy in their homes? Well, thanks to Direct Energy and its CEO Badar Kahn, that vision just might become a reality in the near future. In March, Kahn made a keynote presentation at the Energy Thought Summit in Texas that argued that the way energy bills are presented today is outdated and unsupportive of the customers. Using an innovative design and reporting methods, Direct Energy is planning on changing the way that they report energy usage to their customers. Below are some of the changes they are planning on making, and how this idea will likely become a reality.


Goodbye Unreadable Bills

Do you know the definition of a KWh, or where it exactly comes from, or how it is exactly used within the home? Not many do. Instead of unintelligible bills with ‘price per kilowatt/hr’, bills can become easier to read and understand. With the growing tech industry and the advances that have been made over the years of reporting software, Kahn is adamant that the time to make energy bill changes is now. “Innovation is the most material value creation for customers, and I think we need to deliver on the promises we made when we asked for restructured markets.” Currently, Direct Energy’s goal is to display exactly what you are paying for when you use energy. So you could know exactly that you spent $5 last month watching TV, $50 on heating/air condition, and $10 for running your dryer.


Helping Your Energy Efficiency

If you take a look at the photo, it's from the summit of what Direct Energy expects their future bills to look like. It shows information that everyone’s bills currently show including: name, address, amount due, payment due, account number, and so on. But the information that is shown below that, along with a colorful graph, breaks down what percentage your usage is going too, as well as what you spent on each. Out of your $100 energy bill, 5.6%, or $5.60 of it went to using the dryer. Knowing this information and the prices and percentages you are paying and using can help you determine if something is not working properly, or needs to be replaced. Do you think that your dryer isn’t as efficient as it should be? Feel like the amount you spend on the refrigerator is ridiculous? Well then, farther down in Direct Energy’s proposed bill format is a look at how efficient your home is, as well as recommendations for changes that you can make.

Bill of the Future


Improved Communication

This incredibly efficient way of reporting energy usage could change the future of how we use energy, as well as how energy companies communicate with customers. Kahn did note that although it may be a counterintuitive proposition, helping consumers use less of the energy that Direct Energy is selling, developing a relationship with customers and the ability to keep one’s customers is more important. “For our company, empowering our customers is at the heart of what we are doing and it is at the heart of how we will be successful.” 


By pushing innovation and open communication between companies and customers, Badar Kahn continues to drive this positive dynamic and differentiate Direct Energy from the rest of the energy company pack. They are not only doing this to take a leading role in the energy sector, but to also encourage other energy companies to make these changes as well. Hopefully changing the energy for good in order to engage and empower the customer.



If you would like to see his full speech at the Energy Thought Summit, you can check it out at the link. Also, if you’re interested, make sure you keep an eye out for the upcoming ETS in July that is being held in Chicago, and book your hotel rooms today so you don't miss presentations by the thought leaders and innovators of energy. Here's a great place where you can find great Chicago hotel rooms so you don’t miss any major presentations at the next summit. What do you think about the future of energy bills and customer relations? Do you think that Badar Kahn and Direct Energy will change how companies report energy consumption? Leave a comment below!