Ambit Energy offers some very different options in the natural gas and electric service market. The company’s unique sales point is giving free energy to existing customers who refer the company to new Ambit customers. The firm also offers people a potential career in energy as independent consultants.
Getting free energy plus a new job for switching suppliers sounds almost too good to be true. But is it? Before switching suppliers and handing in your notice, let’s take a closer look at Ambit Energy and its operations across deregulated energy markets in the United States. We’ll start with an overview of the company and then look at the finer details.
What Services Does Ambit Energy Offer?
Ambit Energy works in 14 states and Washington, D.C. with deregulated markets across the country. It advertises either electricity, natural gas, or both energy services to residential and commercial customers.
The company claims to be growing, having recorded in $1 billion revenue in 2013, 1 million+ customers, and more than 600,000 independent consultants.
Ambit Energy offers fixed and variable-rate electricity plans to businesses and individuals. One of Ambit Energy’s biggest selling points is offering free energy to customers. People qualify once they refer and keep at least 15 Ambit customers on the books.
Users can browse the website in English or Spanish. Ambit Energy also has some brief advice about reducing energy usage on its website.
When it comes to energy deregulation In Texas, around 85% of people benefit from this, meaning they can choose their electricity supplier. Ambit Energy is one of more than 140 electricity companies, called Retail Electricity Providers (REPs), that people can choose as their electric company.
Where Does Ambit Energy Operate?
Ambit’s service areas are:
California, Delaware, Illinois, Indiana, Maine, Massachusetts, Maryland, New Hampshire, New Jersey, Ohio, Pennsylvania, Rhode Island, Texas, Virginia, and Washington, D.C.
Can I Use Ambit Energy in Texas?
Yes, Ambit Energy is registered with the Public Utility Commission of Texas (PUCT) as a retail energy provider. That means Ambit Energy can advertise energy rates across the Lone Star State.
Customers can only sign up for electricity deals in Texas via Ambit Energy, not natural gas. Anyone wishing to switch to Ambit Energy must enter their ZIP code into the company’s search tool to see if their property is in Ambit’s service area.
Any Texas resident living outside deregulated market areas cannot choose their supplier. Instead, the PUCT will assign these people a retail energy provider.
Where Is Ambit Energy Headquartered?
Ambit Energy is headquartered in Texas.
The full HQ address is:
1801 North Lamar Street, Suite 600
Dallas, TX 75202-1711
Who Owns Ambit Energy?
Ambit Energy was founded in 2006 in Dallas by Jere Thompson, Jr. and Chris Chambless. Within three years, its revenue stream was $325 million.
Fast forward to 2019, and Vistra Corp became the new owner of Ambit Energy. Vistra acquired Ambit Energy in 2019 for around $475 million to increase its energy-based portfolio.
We’ve established who Ambit Energy is. Now, let’s look at its well-publicized free energy offer.
Ambit Energy and Its Independent Consultants
Visitors to the Ambit Energy website will notice two things quickly.
First is that the company wants people to sign up for its energy deals, which may include free energy, depending on your choices. Second is that it wants those same people to “start a business” with them as independent consultants and make money in the energy industry.
That’s right. By signing up for an energy deal, Ambit Energy claims you could eventually get free energy and earn money as an independent consultant.
How Do I Get Free Energy with Ambit Energy?
First, you must sign up for an Ambit Energy plan to qualify for possible free energy. We’ll look at the types of energy plans later.
Second, you must successfully refer at least 15 people to Ambit Energy and maintain at least 15 referred and paying Ambit customers at all times. Each of these referred people must complete at least one billing cycle.
In Texas, there are more conditions: successful referrals must be residential customers without energy debts or in a deferred payment plan.
How Does Ambit Energy Calculate Free Energy?
Ambit Energy calculates the amount of free energy you’ll receive based on how much energy your referred clients use. It works out their average daily energy cost and multiplies it by the days in your billing cycle. This amount is then passed to you as a credit on your monthly bill or a check, depending on your location and agreement.
Note: You can only earn free energy up to your total energy cost in that billing, and you still pay taxes, transmission charges from utility companies, and any other fees.
Ambit Energy also claims you can earn money through its marketing plans.
What’s an Ambit Energy Independent Consultant?
You need to be an Ambit Energy customer to become one of its independent consultants.
Then, you must “invest” in Ambit Energy’s consultant support system and training program. Next, you look for new customers to sign up for one of Ambit Energy’s energy rates.
There are three ways to earn money as one of Ambit’s independent consultants:
- Refer customers to gain bonuses and possibly reduce your energy bill
- Get leadership bonuses by putting together a team of independent consultants who will also look for customer referrals
- Earn monthly income by retaining your referred customers
The amount you can earn depends on how many customers you, and any teams you manage, successfully refer and maintain clients.
Ambit Energy’s eye-catching sales pitches come with conditions and require you to do some work to qualify. Now, let’s go to the start of this journey and review Ambit Energy as an electric company and its deals.
Ambit Energy as an Electricity Rate Comparison Website
Amigo Energy serves electricity products to the people of Texas, so we’ll look at Ambit Energy’s residential electricity deals in our hometown state.
Remember, if you don’t refer any or enough customers to Ambit Energy, the advertised prices we show below are the prices you’d pay. The price you pay without discounts is a vital consideration when using Ambit Energy solely as an electric service.
It also pays to understand the following before switching suppliers.
Switching Energy Suppliers: Know Before You Go
These are some of the most crucial building concepts to master before switching suppliers in Texas. Check recent monthly bills or call your current supplier for the information.
Kilowatt-hours (kWh): All Texas electricity plans are advertised as kWh prices so find out your average kWh usage. In 2021, the average Texas household used 1,094 kWh monthly.
Fixed-rate plans: The kWh price doesn’t change throughout the contract term. These products usually carry termination fees, credit checks, deposits, and other conditions.
Variable-rate plans: The kWh prices vary month-to-month depending on market prices. They bring flexibility, usually without deposits, credit checks, or early termination fees.
Time-of-use (TOU): Examples include free electricity on weekends or weeknights, and often come with conditions like using specific amounts of electricity at other times.
Minimum usage: Lower kWh rates are for heavy electricity users, but only if they reach those agreed minimum usage levels. Failure to do so will mean being charged a higher rate.
Early termination fees: Termination, or cancellation fees, can run into several hundreds of dollars and apply to people ending a fixed-rate deal before its agreed date.
Renewable energy sources: Green energy deals may include up to 100% renewable energy generation for those wanting to reduce their emissions.
Electricity companies in Texas must publish an Electricity Facts Label (EFLs) for every product advertised. Always reads the EFLs to look for hidden fees, cancellation fees, and conditions. Never sign a contract with an electric company that doesn’t publish an EFL.
What Energy Plans and Electricity Rates Does Ambit Energy Offer?
We randomly selected energy rates for a new customer living in a house in Greenway, Houston, ZIP code 77089, with 1,000 kWh energy usage. Existing Ambit customers will see different offers, and all information was correct at the time of writing (March 22, 2023).
Note: Ambit Energy’s filters default to 2,000 kWh with its E-Plan discounts applied. E-Plan involves choosing paperless billing and automated payments. We changed it to 1,000 kWh and no E-Plan discount.
Our search returned eight plans, with seven of those as fixed-rate offers. Prices ranged from 14.9 to 20.4 cents per kWh, with month-to-month deals up to three-year contracts. You can click to see more information on each product.
What Are Ambit Energy’s Best Electricity Rates?
Information is correct as of March 23, 2023, and subject to change.
Ultimate Perks (12/24/36 months)
A fixed-rate deal offering between 16.8 and 17.4 cents per kWh, with lower prices for longer contracts. The monthly base charge is $9.95, and the early termination fees are $199 or $299 for 36 months. Perks like $50 monthly reward dollars that bring discounts at retailers, restaurants, travel, and entertainment destinations.
Free & Clear Nights 12
Renewable energy plan with free electricity between 9 pm and 05.59 am. During all other times, you pay 21.9 cents per kWh. The monthly base charge is $9.95, and the early termination fee is $199 for this year-long deal.
Secure Savings 12
A shorter-term, one-year deal with a 14.9 cents per kWh price — which lowers if you use more than 1,000 kWh. There’s no monthly base charge and a $199 cancellation fee.
Secure Savings 36
A long-term, three-year deal with a 15.3 cents per kWh price — which lowers if you use more than 1,000 kWh, and there’s no monthly base charge. The $299 cancellation fee is high.
Lone Star Classic 24
A straightforward deal at 16.8 cents per kWh, fixed for two years. The monthly base charge is $9.95, and the early termination fee is $199
Lone Star Flex
A variable, month-to-month plan with the highest rate at 20.4 cents per kWh, but the greatest flexibility with no cancellation fees. There is a $4.95 monthly base charge.
Read each product’s EFL before signing up. Check if it qualifies for free energy payments and other discounts like Ambit’s E-Plan.
Does Ambit Energy Search All Texas Electricity Plans?
No, Ambit Energy doesn’t search every electricity plan in Texas; it offers its own products. Our search returned eight deals. There are more than 140 electric companies in Texas, each with multiple deals, meaning there are thousands of potential options.
You can search the PUCT’s independent and unbiased Power to Choose website for more offers. Read our user’s guide to Power to Choose to unlock its potential. We recommend using at least three price comparison websites — along with looking at energy company websites directly — to find the deal that suits your lifestyle and budget.
Can I Trust Ambit Energy?
Ambit Energy is registered with the PUCT in Texas to sell electricity products. It’s also part of the Direct Selling Association (DSA). The DSA is a national trade association for firms that conduct direct sales to customers through an independent salesforce. Membership shows Ambit Energy submits to the DSA’s rules and regulations, protecting both consumers and companies.
There are lots of Ambit Energy reviews online. At the time of writing, the Better Business Bureau’s average customer rating for Ambit Energy, from over 100 reviews, is 1.22/5. Consumer Affairs returns a 3.9/5 customer score from more than 500 reviews.
Do I Pay Ambit Energy for My Energy?
The answer depends on where you live. Customers in Texas can pay over the phone using a debit or credit card, in cash at selected offices, or set up AutoPay options from checking or savings accounts.
To pay by mail, customers can send checks to:
Ambit Energy
P.O. Box 660462
Dallas, TX 75266-0462
Customers outside Texas are directed to Ambit’s generic contact page. We recommend asking them about payment options before signing any agreement.
How Does Ambit Energy Help Business Customers?
Business customers can get their electricity and natural gas from Ambit Energy. The Ambit Wholesale Club works like the free energy idea for residential customers. If a business can refer up to 15 more companies, their energy costs are discounted.
We recommend businesses contact Ambit Energy to talk about options before switching suppliers.
How Do I Contact Ambit Energy?
Ambit Energy’s website lists separate support areas for each of the 14 states and Washington, D.C., in which it operates. Contact information available includes the following:
- Customer care
- Support for consultants
- Commercial and business inquiries
- Mailing addresses for payments
- Media inquiries
Note that all mailed correspondence goes to:
Ambit Energy
P.O. Box 864589
Plano, TX 75086
Ambit Energy has a Facebook, Twitter, Instagram, and YouTube presence, plus an online chat facility available for registered customers from Monday to Sunday, 7 am to 7 pm (CT).
Does Choose Energy Fix Power Outages?
No, Ambit Energy can’t switch the power supply back on after a power outage. That responsibility falls to your local utility company under its remit to maintain the power grid.
Ambit Energy does list the various utility companies in its service areas on its website. Jot these down and keep them safe in case of an emergency.
Ambit Energy: A Different Approach to Energy Rates
Ambit Energy advertises natural gas and electricity products across 14 states and Washington, D.C., including Texas. That said, its business model differs from most retail energy providers in the market.
People can choose an energy deal and leave it there. However, the company encourages people to become recruiters and bring friends, family, and more to sign up for Ambit’s products. Doing so may attract benefits like lower energy bills and even a chance to earn money by becoming one of the company’s independent consultants.
There are several conditions to fulfill to achieve these goals. Ask yourself why you are switching suppliers and if you want a new job before locking yourself into an energy deal that may not be suitable. Our guide to switching suppliers covers everything you need to know about the process.
Ambit Energy’s unique approach to the energy market may suit some people. But bringing on more customers to reduce your own energy bills and earn an income needs careful consideration.
Brought to you by amigoenergy
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