Liberty Power Bankruptcy - What Now? - ElectricityPlans®
What You Need to Know About Liberty Power
If Liberty Power supplies your residential or commercial power, you may need to shop for a new electricity contract soon.
Liberty Power declared bankruptcy on April 21, 2021. While some Liberty Power customers were acquired by NRG, many others are being returned to their utility or to the Provider of Last Resort as of the most recent court decisions in November 2021.
About Liberty Power
Liberty Power was based in Fort Lauderdale. At one point, the company served hundreds of thousands of customers in 11 states and 50 utility territories, according to its website.
Unfortunately, their growth wasn’t without issues, including financing problems with their creditors and having to find a new line of credit in the middle of a pandemic. Plus they experienced a high number of consumer complaints due to Liberty Power’s reliance on door to door and telemarketing vendors.
In February 2021, the company experienced large financial losses during a winter weather event in Texas. As a result, Liberty Power fired all of their employees on April 18, 2021. And they declared bankruptcy on April 21, 2021. NRG purchased a number of their residential agreements in Texas and Connecticut. However, as of the most recent court decisions in November 5, 2021, any accounts that NRG didn’t purchase no longer have a provider.
Liberty Power Commercial Customers – Texas, Connecticut and Other
NRG has been in discussions with the bankruptcy courts and Liberty Power. They were considering purchasing Liberty Power’s commercial customer contracts. However, that deal was not completed. As of November 5, 2021:
- Liberty Power Commercial Customers in Texas (ERCOT) are being dropped to the Provider of Last Resort. And yes, that’s as bad as it sounds. It means you’ll pay the highest price in the market. That’s a hit to your bottom line.
- Liberty Power Commercial Customers in Connecticut are being dropped to the utility. That means you’ll pay the utility rate, which changes 2-3 times a year. You’ll lose control of your fixed rate electricity plan. That could impact your bottom line, especially going into the winter heating season.
- Liberty Power Commercial Customers outside of TX and CT are being treated differently based on their usage. If you are a Liberty Power Commercial customer outside of Texas and Connecticut with less than 175,000 kWh of annual usage? Your contract was acquired by NRG. They will be your new provider. If you are above that annual threshold, you are being returned to service from your local utility company.
If your business electricity was with Liberty Power, start looking at alternative providers immediately! Shop online for Texas business electricity rates or Connecticut business electricity rates or call us at 844-214-5559 to discuss your options.
Liberty Power Residential Customers – Texas, Connecticut and Other
Following the bankruptcy declaration in April 2021, NRG quickly reached an agreement to purchase most of Liberty Power’s residential customers. However, on November 5, 2021, they backed out of purchasing any of Liberty Power’s Connecticut customers.
If you are a Residential Liberty Power customer in Connecticut – If your contract was not previously transitioned to Reliant Energy / NRG, your account is being returned to your local utility. If you prefer to lock in a fixed rate plan, you can easily shop online for a new residential electricity supplier in Connecticut.
If Liberty Power is your electricity provider for your Texas home, you likely already transitioned to NRG as part of Liberty Power’s bankruptcy. Check your most recent bill from them to find out when your electricity contract expires. Then shop online for the best Texas electricity rate for your home, or sign up for renewal reminders so you shop for new service when your contract expires.
If Liberty Power is your home electricity company and you are not in Texas or Connecticut, your account is being returned to utility service.