Vindicator Logo

Howland, Direct Energy OK fixed rate for residents

Thursday, September 25, 2008

Residents 65 and older are eligible for a discounted rate.

STAFF REPORT

HOWLAND — An agreement between the township with the natural gas supplier Direct Energy has set a yearlong rate for residents.

Township officials signed a two-year service agreement with the company last week, giving residents the fixed pricing of $9.91 per thousand cubic feet (Mcf) of natural gas.

Primary homeowners 65 or older can receive the discounted rate of $9.81 per Mcf.

The fixed rates are effective between November this year and November 2009, and after the first year, township officials will negotiate a new rate and determine whether it will be fixed or variable.

According to the Public Utilities Commission of Ohio, the available rates of all other gas suppliers in the Dominion East region that are not under an aggregate agreement range between $12.61 and $17.44 per Mcf.

Customers currently receiving their gas from Direct Energy, as well consumers looking to switch their service, must opt in by speaking with a Direct Energy representative.

Township Administrator Darlene St. George said eligible residents should tell a Direct Energy representative their age to ensure that they will receive a discounted rate. Customers should also call their current energy provider to cancel their contract if switching to Direct Energy’s plan.

The fixed rates exclude taxes and fees that all utility providers must charge, and customers who switch will still be billed through their local gas utility provider. Charges by Direct Energy will appear as a line item on the bill.

Direct Energy has headquarters in Dayton, and has operated in the state since 2004. Currently, the company provides more than 200,000 Ohioans with their gas supply.