Clark Howard Deregulated Energy Comparison

A structured audit following the Clark Howard utility provider comparison approach for deregulated energy markets. Compare fixed rates, analyze fine print fees, and secure lower electricity costs.

6 time blocks, 45 minutes in total.

Time blocks

Collect Historical Usage Data: 10 min
Pull 12 months of past electric bills to find average kWh usage
Open Official State Portal: 5 min
Navigate to your state official non profit energy shopping site
Filter for Fixed Rate Contracts: 10 min
Select fixed rate plans and exclude variable or tiered rate offers
Inspect EFL Fine Print and Fees: 10 min
Check the Electricity Facts Label for base charges and exit fees
Calculate Net Cost and Enroll: 5 min
Multiply effective rate by average kWh usage and sign up directly
Calendar Contract Expiration: 5 min
Set an alert 45 days before contract end to avoid rate spikes

About this routine

Consumer advocate Clark Howard has long warned consumers in deregulated energy states against falling for promotional gimmicks and variable rate traps. A proper Clark Howard utility provider comparison begins with actual historic energy usage rather than marketing estimates. By analyzing electricity bills across winter and summer months, you establish a reliable benchmark before looking at alternative suppliers.

Deregulated power markets often feature dozens of competing retail electric providers. Commercial comparison sites frequently prioritize providers that pay commission fees, which can hide cheaper options. Using official state shopping portals ensures you view an unbiased list of certified suppliers and transparent plan terms.

The key to long term savings is avoiding variable rate contracts, tiered usage traps, and sudden fee hikes. Clark Howard consistently advises locking in fixed rate contracts and carefully inspecting the fine print in the plan disclosure document. Setting a calendar alert well before the contract expires prevents automatic conversion into expensive default rates.

Why this routine works

Protects against sudden rate spikes from variable default plans
Avoids hidden base charges and minimum usage penalty traps
Ensures direct enrollment through official non profit state portals
Locks in predictable monthly electricity costs for 12 to 24 months

FAQ

How does Clark Howard recommend comparing electricity providers?

Clark Howard recommends gathering 12 months of past electric usage, shopping exclusively on official state government portals, filtering strictly for fixed rate contracts, and reading the fine print in disclosure labels before enrolling.

Why does Clark Howard warn against variable rate energy plans?

Variable rate energy plans often start with low teaser rates that quickly spike during weather extremes or high demand periods, resulting in unexpected monthly bill surges.

What is an Electricity Facts Label?

An Electricity Facts Label, or EFL, is a standardized disclosure document detailing the exact price per kilowatt hour across different usage levels, contract terms, base fees, and early termination penalties.