Direct Energy Services

I placed a service call to service my furnace with Direct Energy about 45 days ago, last week the service technician came and serviced my air conditioner instead! Even though it was serviced in May 2008. This shows that people at Direct Energy do not listen, they hear instead and don't hear properly.

Their service is pathetic, not only that, my dishwasher was serviced after many many calls and reminders sent to them and even then, they did not put back the other parts of the dishwasher, so now my dishwasher is sitting there to be closed properly by the technician who does not come. Never get into a contract with Direct Energy

Claimed that I agreed to a five year contract for gas and hydro charges. I agreed to look at the contract after numerous phone calls, having been told that I would have to authorize the contract by phone. I had to specifically ask them if it was a 'contract' for 5 years, the make it sound like they are performing a customer service. I called back 6 weeks later to tell them I had definitely decided to go with another company and was told I had already been contacted and signed on 4 weeks earlier. I was told they had tapes. I look forward to hearing them. They are liars, and any tapes will be faked, they commit fraud and will get away with it. I will probably sign with another company, but by the time this is settled it will be at a higher rate. Direct energy will cost me money on a monthly basis for 5 years if this happens.

With the blessing of the Ontario Energy Board, Direct Energy is offering a 58% hike in my natural gas rate. I f I decline the offer without notice, Direct Energy says they will automatically renew my contract at a increase of 78%!
Some mouthpiece from OEB called to say "they" do not regulate prices and I could decline the contract and return to Enbridge gas, also at a hike in the 50% range, some deal!
The average Joe is getting taken for a huge ride with these outrageous increases. Where are the advocates for comsumer protection? Enbridge, Direct Energy, the OEB, they are all bed buddies.
You may as well add Hydro One to the mix as they are bandits cut from the same cloth.

I am a first time homebuyer. My experience with Direct Energy has tought me a valuable lesson these past weeks. I want to share what I have learned with others, especially new home buyers in the Ottawa region.

This comment contains:
- links to reliable sources
- the actual laws that protect us customers
- Direct Energy's (DE) Early Exit Fees information
- my own personnal experience and the lessons I learned.

You can never be too informed when it comes to natural gas prices and the decisions you need to make. Here is a useful link about natural gas and the services available in the Ottawa region:

Brochure from Ontario Energy Board with basic information we should have as a customer : http://www.oeb.gov.on.ca/OEB/_Documents/Consumer+Brochures/brochure_natgas_200802.pdf

DIRECT ENERGY CAME TO MY DOOR

A sales representative from Direct Energy came to my door to sign us up for our natural gas account. I remembered seeing the Direct Energy sticker on our hot water tank. I also remembered seeing the Embridge sticker on our furnace. This indicated to me that the company was trust worthy and that I needed their service to continue using my hot water tank.

The sales representative explained the protection plans for natural gas and said that I needed to contact Enbridge to make sure that my account was set up. What then is the relation between Enbridge and DE? His answer wasn't clear, but I understood that they somwhow worked together. He then took out a bill sample that had the Enbridge logo on it. I assumed that both companies worked together.

He also told me, after I asked, that they were the only company from which we could buy natural gas. There, I had it : they were my only option, their sticker was on our hot water tank. I assumed it was the right choice. It was not.

DE, NOT MY ONLY OPTION?

I called Enbridge the next day to make sure that my account had been set up. I mentionned the Direct Energy salesperson and wanted to confirm with Enbridge the relationship between them and Direct Energy. That's when I learned that I could have bought my gas from Enbridge. I felt very angry that I was lied to.

A couple of days later, a sales rep. from another energy company (I forget the name) came to my door. They were offering the same service as Direct Energy. I did not hesitate to tell him that I had signed with Direct Energy and was lied to. This guy then took out the Direct Energy booklet I had received, with the Terms and conditions, and showed me the passage about Early Exit Fees.

EARLY EXIT FEES

The Terms and Conditions state that if you terminate a contract with DE before your time is up, you will be charged 200$ a month (plus other expenses) for the duration of that period. It also states that if you move outside Ontario or to an area where Direct Energy cannot service you, that you will be charged Early Exit Fees.

I called Direct Energy this week and the calling agent told me something completely different from what I read in the Terms and Conditions. She said that if you move outside the province, you need to provide DE with proof that you are moving at least 30 days before your moving date. They will cancel your contract without charging you any fees. If you are moving into an area where natural gas is not available (no gas lines), you need to notify them at least 30 days prior to your moving date and your contract will be cancelled without fees.

The salesperson that came to my door did not go into these details, he only mentionned that if I moved in Ontario, my account would be switched to my new address, and that if I moved outside the province, my contract would be terminated. He didn't mention any early exit fees. And I did not think to ask about them either.

I still do not know if I would be charged Early Exit Fees if I decided to move to another province or to a place where there is no service. It's the call center's representative's words againt the Terms and Conditions. I think the Terms and Conditions hold up better in court... so beware.

FALSE INFORMATION : A DE PLAN THAT DOES NOT EXIST

I wanted more information. I felt lied to. I had signed a contract too fast, thinking it was my only option. I then conducted a research, comparing what Direct Energy had to offer me and what Enbridge could offer.

I was deceived once again. The sales rep. from DE had told me that they would call me back within the month to confirm which plan we wanted fo our natural gas : a fixed plan with a fixed rate or a variable plan with variable rates. When I called Direct Energy to inquire about their varable plan, I was told that no such plan existed. They had stopped offering variable plans in 2005. This took me by surprised, seeing as they had a page on variable plans on their website: http://www.directenergy.com/EN/Ontario/RES/Pages/GAS/VariableRateFAQs.aspx

First I was actually told by a call rep. at DE that the variable plan was only available through an online offer, and that it was new. I decided to call back to talk to another representative who was very helpful. She even talked to her supervisor to make sure she was giving me the right information. The variable plans only exist for electricity, not for natural gas.

To top that off, she could see the rate I was given on my contract, 43.5 cents per cubic meter. She dais that I should have been offered a rate of 36.9 cents per cubic meter, because I am a new customer.

She offered to cancel the existing contract because I had been given false information and because my rate was too high. She said that she could sign me up for the new rate, in a new contract. I said I would think about it and call them back if I was interested.

CANCELLING A CONTRACT : OUR RIGHTS AS CUSTOMERS

#1. A contract (some exceptions, see below) is not active unless you reaffirm it. A representative from the company will call you back to reaffirm. If you do not reaffirm, your contract will not be activated.

Here is the law (Ontario Energy Board Act 1998, Section 88.9):

Once you sign a contract for the purchase of natural gas or electricity, as a general rule it will not remain in effect unless you confirm that you wish to accept the contract. This process is called "contract reaffirmation", and it applies in all but a few circumstances (see "When Reaffirmation Is Not Required", below).
The rules that apply to contract reaffirmation are as follows:
1. Starting on the 10th day after you have received a written copy of the contract, the marketer or retailer is permitted to contact you to ask you to reaffirm your acceptance of the contract.
2. At that point you may choose to reaffirm your acceptance of the contract, or you may choose not to do so. If you notify the marketer or retailer that you do not wish to reaffirm the contract, you cannot be required to pay any cancellation fees or penalties.
3. If you do not reaffirm the contract by the 61st day after you received a written copy, the contract will no longer be in effect as of that date. Again, you will then have no obligations under the contract as of that date, and you cannot be required to pay any cancellation fees or penalties.
4. If you reaffirm the contract and then decide at a later date to cancel it, you may have to pay a cancellation fee. The cancellation fee or the method by which it will be calculated must be stated in your contract.
Typically, the marketer or retailer will phone you to ask you to reaffirm your acceptance of the contract. If you reaffirm by phone, the marketer or retailer must record the phone call, and the recording must be given to you if you request it. You also have the option of reaffirming or refusing to reaffirm by giving written notice to the marketer or retailer.
Always ask for a reference number when you cancel a contract on the phone.

Summary of law : http://www.oeb.gov.on.ca/OEB/For+Consumers/Your+Energy+Options/Contracts+-+Consumer+Protection+Rules
Actual law : http://www.search.e-laws.gov.on.ca/en/isysquery/db272a39-ed3a-4f60-89ec-b96d800fbcb3/3/frame/?search=browseStatutes&context=

#2. Send a registered letter or a fax to the company, stating that you want to cancel all existing contracts with them. This tip was given to me by a customer rep. at the Ontario Energy Board and by a customer rep. at Enbridge.

Here is the law (Consumer Protection Act 2002), taken from the DE Terms and conditions:

If this Agreement was entered in person at a place other than our place of business, a trade show or an exhibition, the following excerpt from the Consumer Protection Act 2002 applies: "You may cancel this agreement at any time during the period that ends 10 days after the day you received a written copy of the agreement. You do not need to give the supplier a reason for cancelling during this 10-day period."

HOW I CANCELLED MY CONTRACT (10 DAY COOLING OFF PERIOD)

I cancelled over the phone with DE, wrote down the reference number. I also filed a complaint against the sales rep. that came to my door for giving me the wrong rate and the wrong information.

I also wrote a letter, in order to make sure that my cacelation would be treated. I added the reference number to the letter as well. Isent it by fax to 2 different numbrs given to me by 2 different rep. at DE. One of the numbers was incorrect, as I received a call the next day from an individual who had received my fax at his private residence. Luckily, I could rely on the other number to be correct. I also took no chance and sent an email to cancel.[protected]@DirectEnergy.com. I got an automatic response saying that it had been received.

UNDERSTANDING YOUR ENBRIDGE BILL

https://portal-plumprod.cgc.enbridge.com/portal/server.pt?open=512&objID=243&PageID=0&cached=true&mode=2&userID=2

THE BOTTOM LINE

We as customers need to be more informed. Please keep in mind:

Enbridge is the utility. The bring the gas to your house. You will be billed by Enbridge (or your local utility) no matter who you decide to buy gas from.

Direct Energy is a marketer. They sell you gas. Enbridge will bill you on behalf of Direct Energy for the natural gas.

Know your rights as customers. If you have signed a contract and want to get out of it, send a letter of cancellation request within your 10-day coolling off period. Do not reaffirm your contract when the marketer (DE) calls you, if you do not want to contiue with them.

I hope my experience and my little investigation helps at least one person out there. We have to be vigilant and aware of these things. We have to be responsible consumers. I think I'm one step closer to it now.

From my experience, I would not recommend that anybody signs up with the Direct Energy "Plumbing Protection" Plan. Read their agreements very carefully. They are setup to leave the individual with no rights. They insert wording in the contract to deny coverage if there is any doubt about anything. They have changed their original plan so that they no longer cover a whole lot. They used to cover faucets, now they don't. They still cover pipes, but unless they freeze, they are not likely to break. Chances are you will never really need this plan.

If you sign up for a 1 year term, at the end of that year, if you fail to give them notice within their 10 day window, they will automatically renew your contract locking you in for yet another year! But this is not what I'm complaining about. My complaint is about their coverage. The agreement states it covers "stop valves" within "the confines of the permanent foundation of your residence ". I've had nothing but problems since their "expert" plumber says that main shut-off by the meter is not a 'stop valve'. I've done research and found definitions that say otherwise, looked through a number of plumbing websites that show otherwise, and I've spoken to three other plumbers that say the main shut off is a stop valve. I've called the company asking to escalate this but they only take the word of their own plumber. They could care less. They take your money and laugh all the way to the bank. This isn't right and it needs to stop. One individual won't do much against them, but many will. I'm going to contact the BBB and go to websites like these and let as many people know as I possibly can. You can email them to complain directly at "ExecutiveSupport at directenergy dot com".

Definitely think twice before signing up with them. My contract is coming up for renewal soon and I will be letting them know that I won't be renewing or signing up with them for anything ever again. I'm considering buying my water heater outright as well. I want nothing to do with them!

Hello,

Firstly, I would like to compliment the associate at Direct Energy for keeping her cool. Although I only ever slightly raised my voice, most defensive companies would have never lasted on the phone.

Now for the story...

Not unlike many of you, we decided as a young family to protect ourselves from the 'corporate menaces' at Veridian from skyrocketing hydro rates. At the time, the 5 cents per kwh that we were paying netted us bills around $380 for the quarter. With their carefully laid out accounting, Direct Energy scared the hell out of us one unsuspecting spring afternoon at our door, and we fell prey to a 'very conservative' rate of 9.65 cents; something that possibly even within 6 months would be matched by Veridian. Although I have requested my signatures for the documents (they called numerous times to get my business), I am in a battle with them that, whatever it takes, will be my relentless mission to win. We have paid at least $1600 more over the last two years than we would have, are locked in for 3 more years, and would have an early cancellation charge of $600. I just spoke to them today, and already I am writing this letter. They have no idea how many people are about to find out about their door-to-door scams, their 'hands-off' approach once they've locked you in, and their BS responses. In fact, I was offered a lower rate of 8.49 cents just for calling today, as long as I lock in for another five years! My next stop; my lawyer. Next; every forum there is concerning consumer protection. Next; an email to everyone on my contact list. And so on...

Please; don't let yourselves get trapped. My bills have not been less than $600 since I so-called 'switched'. Watch out for more correspondence; it certainly will be coming.

I received my monthly bill at the end of April with charges that were not mine. i called Enbridge right away and was advised that it was not their charges, but charges from Direct Energy. I then called direct energy and they told me that the charges were from Enbridge. I called Enbridge a second time and again they tell me that the charges are from Direct Engery. They then put a note in their system that direct energy would be able to read and know that the charges were theirs. I again call Direct Energy and was told that they could not find my account in their system to look up what i was telling them. After quite some time on hold, the lady proceeds to re enter my information in her system. She then advises me that service explanation request has been put in and that someone would call me back within 2 days to let me know what the extra charges to my account are for. After a few hours, a lady calls me back apologizing about the extra charges and explains that a service call done to a house three houses beside me was billed to my address instead of their address. On top of the service repair call charge of $201.00, they decided to add on the heating protection plan of $20.99 of which i already have on my bill in my "total home protection plan". To make a longer story short, the charges have still not been reversed three months later, I've been speaking to supervisors every month when i get my bills and to this day, nothing has been resolved. I did get a new piece of information today from Dana, a supervisor who I've managed to speak with on more than one occasion and she's advised me that after investigating my situation, she's found that I've been entered in their system THREE TIMES! She advised that each time i was told that the credits were being made, they were being made to the accounts that i apparently was not getting billed for. she assured me that everything would be fixed on my next bill (I've received three bills with the same errors) and if not, to give her a call and she's make sure to fix it.

This ongoing battle since Dec/07 has to do with a "account" we have with Direct Energy. Not ever in my wildest dreams would I do that. Having heard the horror stories to date. But there it was. My wife was in the hospital and I opened the hydro bill to see we were being supplied hydro from them. I called and after about 5 months they decided since they could not find a phone conversation, fax, email, signed contract or the like that they'd be happy to cancel our "account" ( oh so nice of them) also refund monies paid to them. Well they called telling me the cheque for around$400.00 "should be ready to FedEx soon". I told them to keep their cheque and send me the amount I paid of almost $1.300.00. They explained in canceling a account they have to factor in rates, surcharges, etc... and that the amount they figured was indeed right. I told them "YOU ARE NOT CANCELING A ACCOUNT BECAUSE YOU TOLD ME THERE WAS A BIG MISTAKE AND WE SHOULD NOT OF BEEN ON YOUR SYSTEM! SO, I UNDERSTAND THAT THE POOR SAP THAT FALLS FOR YOUR SCREAM WOULD HAVE TO PAY A "CANCELLATION CHARGE" AND WHATEVER ELSE, BUT I'M NOT IN A POSITION NOR WILL I ACCEPT ANYTHING LESS THAN WHAT I PAID, ANY FEES OR WHATEVER WILL HAVE TO COME OUT OF YOUR POCKET"

It seems just when you think you've heard it all...

Our gas contract should have ended in June 2007, but we found out it’s not that easy to end. Although we did return their "form" clearly marked "Declined" before their deadline, for some reason "they did not receive it". I had no idea they were so dishonest that I should have sent it by registered mail.

I should have known this would happen. We had been hounded for several months by calls to renew our contract, both before and after I had mailed their “declined” form back. They don’t take NO for an answer. We asked several times that they not call again, that we are not changing our decision, but they kept calling and we had to ignore the phone. When we realized the calling had stopped, we thought they had accepted our decision and were done with them.

We did not notice in July 2007, that a new rate of .439 cents (double the original rate) had come in effect. Our bills are low in the summer and, furthermore, Direct Energy had told us our contract was ending in November of 2007. And those statements are not clear. When we finally realized in March 2008 that they were still acting as our supplier and charging us double for it, we first contacted Enbridge and had their name removed. It's still too soon to be sure, but I hope we are done with them.

We are now trying to collect the overpaid difference which is a minimum of $400 in excessive gas charges to date. They gave us a claim number but nothing else was happening. Two days ago, we filed a complaint online with the Ontario Energy Board. Then Direct Energy called this morning to say they had not received the Form we had “declined” and would not refund us. I am not surprised about this.

I hope the OEB can do something about this malpractice. It's not just about the money; it's the deceptive, callous, dishonest way they operate. When a contract expires and you’ve already told them a dozen times you don’t want to renew it, it should end. Expired means it no longer exist! Period. We will never sign up with a marketer again.

It was one of those 'bad luck' situations when the weather was -20 and my furnace was out for lunch when i HAD to get a company to come in and fix it, not just for the sake of me and my wife but for our 6 month old little girl. I decided to go with the well known energy empire (still wondering how we let it happen) Direct Energy, to my surprise the company is not more than a greased up business that sucks people dry, using deals and promoting meaningless incentives just like a pizza chain.

After 2 days i managed to have someone come in no earlier than 12:00 at night, as i wasn't lucky enough the guy barely spoke english, my system that had a rather complicated issue became something that Energy Direct (the pros of house heating and cooling services) wouldn't even look at, why? good question, a different answer each time the guy had to defend his employer: "Energy Direct only covers a small portion of the system", "We would help you only if you sign to agree on paying us over a course of 2 years and you'll be totally covered", "I have no time", "I'll call and get someone that deals with the entire system but you'll get charged more", "not my department".

After an hour of not doing nothing, the gentleman that came in to 'FIX MY SYSTEM' turned a valve that was the main water valve telling me that it should be off (after 1 day the system almost burned?!)

Angry, having my wife and baby staying at her parents, freezing and lonely i decided not to pay the guy and called his boss that not for a second stopped defending his employee, "The guy was there you must pay", as much as it was freezing in my house that night, that MANAGER heart was even cooler. (He was lucky that we weren't in the same room i can tell you that).

Sure enough i got a nice bill on the mail ($600 including $200 gas bill :S ), i called a friend that sent 2 young "PROS" that figured out that it was the pump?! As simple as that. water didn't pump well into the system causing serious damage, it was fixed at no time and not for more than $300 including a $200 pump?

Happy but angry as hell at Direct Energy i decided to write and at least warn other people, you are covered with stupid deals but once you need those guys to actually work they are not professional, STAY AWAY!

And to answer my first question, how is it an empire? do the math, $400 for not doing ANYTHING?! compared to $100 for the 2 guys i hired that fixed the whole system (think about it for a sec.)

Sincerely yours,
Adam.

I signed up for energy from Direct Energy when we first moved into our new house and because it was our first home we were told they needed a $200 deposit, that would be refunded after one year. It's now 14 months later and they won't refund our deposit because we haven't paid our bills on time for 12 consecutive months. Why haven't we paid our bills on time for 12 months straight? Because for two of those months they sent our bill to the wrong postal code! When the bills finally made their way to us, about 3 weeks late, we paid them right away. This has happened with a few of our bills and I think it's because all the larger companies just ask for your address and their computers automatically give them the postal code. Because we are in such a new neighborhood there have been some mistakes with postal codes, and quite a few of our bills end up at the wrong postal code.

The girl I spoke with on the phone was completely rude just saying 'Well, it's not our fault if the postal code was wrong, you must have called in and changed it, then changed it back'. Ridiculous.

At the time we purchased the house in June 2006, it had a rental water heater and a rental furnace both rented from Direct Energy. Recently I had a home energy audit which resulted in us purchasing a new high efficiency furnace, new thankless water heater and A/C from a company called Enwise Power Solutions.

Prior to the purchase and installation of the new equipment I called Direct Energy to ask about the return of the rental equipment. I was told that I could return both the furnace and the water heater at any time and the charges would be removed from my bill. I called Direct Energy again, closer to the date of the installation to ask about where to return the water tank and the furnace and they gave me an address in Etobicoke, Ontario. On the day of the installation I called again to confirm where to return the equipment and was given the same address. They told me to hang on to the receipts and fax them to Enbridge to get the charges removed from my bill.

The installers returned the equipment and got a receipt for the heater but not the furnace because they were told by the Direct Energy people there that they (Direct Energy) stopped renting furnaces a while ago so they don’t have a process for returning them however, they did take the furnace anyway (but we didn’t get a receipt).

So today I called Direct Energy to follow up and find out how to get the two rental charges off my bill and to my surprise they are telling me that I have to pay the full cost of the rental furnace because the old owners had a contract that I inherited through the purchase of the home which says that I have to rent it for 15 years!

They are telling me that the contract for the rental would have been included in the documents for the purchase of the home and that my lawyer would have told me all about it and would have ensured that I was aware of the contract. I am 100% sure that I did not have any such conversation with my laywer about an obligation to pay for this furnace for 15 years (I don’t even know when this 15 years would have started) and I know that he would have told me if he was aware. I don’t have a copy of the contract and I have NO INTENTION of paying for a furnace that I no longer have in my home when I was told from the beginning that I could return it.

I am extremely frustrated and worried that it's going to take an enormous effort to rectify this situation. The buy out price is over $2000 and I don't even have the furnace anymore. I told the Direct Energy Rep (who says he's a manager but sounded like a goofy teenager) that I never signed a contract and have never seen a contract and he just kept saying there is nothing he can do and that I will have to pay. They lied to me several times, don't EVER deal with these scammers!

I received a whooping bill for a house that was vacant, and direct energy could not explain why the bill was so high. I had direct energy for a couple of months at my new address that we moved to, and the bill was an enormous amount as well. I have disputed this bill, and I will contact other commissions to complain about this ripoff company.

Despite responding politely to the first three calls from Direct Energy's telemarketer's that I was already in an energy plan and was not interested in dealing with their company, they have phoned another half dozen times and (apparently!) will not remove my number from their call list.

In the summer of 2006 my husband and I made the mistake of signing up with Direct Energy for gas and hydro. Before we signed up with them we would receive our bills every month from Niagara-on-the-Lake hydro and they were always on time. We have not received a bill in 3 months and are not happy about it at all. I called them and they said that there processing times don't match up with Niagara-on-the-Lakes billing date. The girl on the phone said that we will be getting our bills every 3 or 4 months because of this. That is not good enough. We are a young family and have a 3 month old and a 2 year old. It is important for us to get bills every month. I will never sign up with a retailer again.

Our furnace stopped working during the night, and it was getting close to 11 degrees Celsius in our house - it was cold and it was getting colder; it was below freezing outside (we are North of Toronto)

So we called Direct Energy who charged us C$135 for placing a service call; we had no problems with that.

The Direct Energy service technician looked at the furnace, and said we need a new gas valve and something else, but recommended a new furnace, because ours was in rough shape. The cost of the parts would of been c$500 and a new furnace c$2700 and up.

3 weeks before Christmas, it was cold and we have two young kids.

My wife and I were contemplating what to do, when a friend called, and we explained our dilemma; she happened to know someone who worked on furnaces - we contacted him for a second opinion, he came over, and replaced the Thermo-couple within 5 minutes; total cost C$13.

He said it was very obvious what was wrong, and we appeared to have been scammed.

Why would Direct Energy - a huge company - to that to us? Was the Direct Energy service technician that incompetent?

Be warned - we were desperate, our two little boys were very cold, and we were very concerned about our house, we were about to buy a new furnace. By the way, our furnace and although 20 years old is still in reasonable working order and doesn’t need replacing.