Benefits

• Experience the best of both worlds, a natural gas price that adjusts according to the market but with a fixed component to provide a measure of stability.



• Your Fixed Natural Gas price portion stays the same for the entire 5 year agreement and the variable portion adjusts on each calendar quarter.



• If market prices decrease, the variable portion will be adjusted down^**. If market rates increase, the price cap^* ensures that the total price will never exceed the price cap.



• You have the option to secure a new 5 Year Fixed Price Plan at any time during your contract without penalty^†.

The ultimate Natural Gas Price Protection Plan

At Direct Energy we don't stop thinking of the customer and we listen to what they're telling us. Many customers have told us that they're apprehensive about securing a 5 year natural gas plan when they believe that natural gas prices are too high. Yet they're also aware of the advantages of securing a natural gas rate which protects them from potential price increases. Introducing the Variable Price Protection Plan, the plan that gives the customer the best of both worlds – flexibility and stability.

The Variable Price Protection Plan is the answer to customer concerns. It offers the customer the opportunity to lock in 50% of their consumption for 5 years at a fixed price while at the same time allowing them to take advantage of quarterly variable pricing for the other 50% of their consumption. If prices go down, you'll benefit. If prices go up, you're protected by a price cap^*. It's the best of both worlds!

There are two components that make up the Variable Price Protection Plan:

The Fixed Natural Gas price portion of your price provides you with the stability that the customer is looking for while the Variable Gas price portion allows the customer to take advantage of market rates.

Fixed Natural Gas Portion - Direct Energy will secure a fixed price that is charged on half of the customer's consumption and is secured for the length of the 5 year agreement term.

Variable Gas Portion - The variable gas price portion makes up the second half of the customer's price and is adjusted every calendar quarter^**. The variable price is posted on the Direct Energy website approximately 30 days in advance of each calendar quarter.

See below for more details on how this plan works.

Samples of how the Variable Price Protection Plan works^††.

Below is a sample of how your agreement price would be determined and adjusted when there is an increase or decrease in your variable price portion. The natural gas prices and scenarios in the sample are used for demonstration purpose only.

As an example, for a customer who signs up in June 2009, their variable price will be 33.3 ¢/m³ for 50% of their consumption until September 30, 2009 (variable price which would be subject to quarterly price changes for the remainder of the 5 year agreement term) and the customer's fixed price of 36.5 ¢/m³ will be applied to the remaining 50% of their consumption for the 5 year agreement term.

Variable Prices Q1 2011

Market prices are volatile, and can change frequently. In order to provide the latest market price, Direct Energy sets the variable customer charge component of the price 30 days in advance of the calendar quarter. The variable prices for Q1 2011 are:

The Monthly Average Price may change on a monthly basis thus the Energy Charge which you will be required to pay may also change accordingly on a monthly basis.

Variable Prices Q2 2011

Market prices are volatile, and can change frequently. In order to provide the latest market price, Direct Energy sets the variable customer charge component of the price 30 days in advance of the calendar quarter. The variable prices for Q2 2011 are:

Plan	Fixed	Variable	Fee	Cap	Final Price
ONGR1398	36.5	28.4	0	0	32.45
ONGRX1398	36.5	28.4	0	0	32.45
ONGC1181	36.5	28.4	0	0	32.45
ONGCX1181	36.5	28.4	0	0	32.45
ONGR1405	36.5	28.4	0	0	32.45
ONGRX1405	36.5	28.4	0	0	32.45
ONGC1188	36.5	28.4	0	0	32.45
ONGCX1188	36.5	28.4	0	0	32.45
ONGR1389	36.5	28.4	0	0	32.45
ONGR1390	36.5	28.4	0	0	32.45
ONGC1174	36.5	28.4	0	0	32.45
ONGR1389	36.5	28.4	0	0	32.45
ONGR1390	36.5	28.4	0	0	32.45
ONGC1174	36.5	28.4	0	0	32.45
ONGR1402	36.5	28.4	0	0	32.45
ONGR1403	36.5	28.4	0	0	32.45
ONGC1185	36.5	28.4	0	0	32.45
ONGR1410	36.5	28.4	0	0	32.45
ONGR1411	36.5	28.4	0	0	32.45
ONGC1191	36.5	28.4	0	0	32.45
ONGR91398	36.5	28.4	0	0	32.45
ONGRX91398	36.5	28.4	0	0	32.45
ONGC91181	36.5	28.4	0	0	32.45
ONGCX91181	36.5	28.4	0	0	32.45
ONGR91405	36.5	28.4	0	0	32.45
ONGRX91405	36.5	28.4	0	0	32.45
ONGC91188	36.5	28.4	0	0	32.45
ONGCX91188	36.5	28.4	0	0	32.45
ONGR91389	36.5	28.4	0	0	32.45
ONGR91390	36.5	28.4	0	0	32.45
ONGC91174	36.5	28.4	0	0	32.45
ONGR91389	36.5	28.4	0	0	32.45
ONGR91390	36.5	28.4	0	0	32.45
ONGC91174	36.5	28.4	0	0	32.45
ONGR91389	36.5	28.4	0	0	32.45
ONGR91390	36.5	28.4	0	0	32.45
ONGC91174	36.5	28.4	0	0	32.45
ONGR91402	36.5	28.4	0	0	32.45
ONGR91403	36.5	28.4	0	0	32.45
ONGC91185	36.5	28.4	0	0	32.45
ONGR91410	36.5	28.4	0	0	32.45
ONGR91411	36.5	28.4	0	0	32.45
ONGC91191	36.5	28.4	0	0	32.45
ONGR5126	36.5	28.4	0	0	32.45
ONGRX5126	36.5	28.4	0	0	32.45
ONGC5112	36.5	28.4	0	0	32.45
ONGR5134	36.5	28.4	0	0	32.45
ONGRX5134	36.5	28.4	0	0	32.45
ONGC5119	36.5	28.4	0	0	32.45
ONGR5142	36.5	28.4	0	0	32.45
ONGRX5142	36.5	28.4	0	0	32.45
ONGC5126	36.5	28.4	0	0	32.45

The Monthly Average Price may change on a monthly basis thus the Energy Charge which you will be required to pay may also change accordingly on a monthly basis.

Variable Prices Q3 2011

Market prices are volatile, and can change frequently. In order to provide the latest market price, Direct Energy sets the variable customer charge component of the price 30 days in advance of the calendar quarter. The variable prices for Q3 2011 are:

The Monthly Average Price may change on a monthly basis thus the Energy Charge which you will be required to pay may also change accordingly on a monthly basis.

Variable Prices Q4 2011

Market prices are volatile, and can change frequently. In order to provide the latest market price, Direct Energy sets the variable customer charge component of the price 30 days in advance of the calendar quarter. The variable prices for Q4 2011 are:

The Monthly Average Price may change on a monthly basis thus the Energy Charge which you will be required to pay may also change accordingly on a monthly basis.