How to read an Electricity Facts Label (EFL)
By the kWhCompare Editorial Team · Updated September 26, 2026 · 3 min read
The Electricity Facts Label, or EFL, is a standard one- to two-page document every Texas retail provider must publish for each plan. It's the only fair way to compare plans, if you know where to look.
Where to find the EFL
Every plan listing links to its EFL, usually near the price, alongside two other documents: the Terms of Service (TOS) and Your Rights as a Customer (YRAC). Download the EFL before you sign up. Providers must show it, and the terms in it are what you'll be billed.
The average price table
At the top you'll see the average price per kWh at three usage levels: 500, 1,000 and 2,000 kWh. These averages include the provider's energy charge, any base fee, credits and your utility's delivery charges. The 1,000 kWh number is the one used in advertising.
The key rule: use the column closest to your real usage. Look at your last 12 bills. If your summer months hit 2,000 kWh and your spring months are near 700 kWh, the 1,000 kWh price alone tells you little.
The pricing details
Below the table, the EFL breaks down how the average is built. Common items:
- Energy charge: the provider's price per kWh, for example 9.5¢.
- Base charge: a fixed monthly fee, from $0 to about $10.
- TDU delivery charges: your utility's fixed monthly charge plus a per-kWh rate, passed through at cost. See current TDU charges.
- Bill credits: money off if your usage falls in a range, for example "$100 credit when usage is 1,000 kWh or more."
- Minimum usage fee: a charge if you use less than a set amount.
Example 1: a simple plan
An Oncor-area plan with a 9.5¢ energy charge, no base fee and no credits works out to:
| Usage | Monthly bill | Average price |
|---|---|---|
| 500 kWh | $81.80 | 16.4¢ |
| 1,000 kWh | $159.36 | 15.9¢ |
| 2,000 kWh | $314.49 | 15.7¢ |
The price barely moves with usage, which is what you want: no surprises.
Example 2: a bill credit plan
Now a plan with a higher 12¢ energy charge and a $100 credit at 1,000 kWh or more, same utility:
| Usage | Monthly bill | Average price |
|---|---|---|
| 500 kWh | $94.30 | 18.9¢ |
| 999 kWh | $184.18 | 18.4¢ |
| 1,000 kWh | $84.36 | 8.4¢ |
| 1,500 kWh | $174.43 | 11.6¢ |
| 2,000 kWh | $264.49 | 13.2¢ |
At exactly 1,000 kWh it's advertised at 8.4¢, the cheapest price you'll find. But use one kWh less and the bill jumps by $99.82. In a mild month, you'd pay far more than on the simple plan. These plans only pay off if your usage stays reliably above the threshold every month.
Contract terms to check
- Type of product: fixed, variable or indexed. See fixed vs variable rates.
- Contract term: the length in months.
- Early termination fee: what you pay to leave early. You can't be charged it if you switch within 14 days of the contract's end or if you move.
- Renewable content: the share of renewable energy, compared with the Texas average.
Quick checklist
Before signing: find your usage from your last 12 bills; compare the EFL price at that usage, not just 1,000 kWh; check for bill credits and minimum usage fees; note the contract length and cancellation fee; and save a copy of the EFL. You have three federal business days after signing to cancel without penalty.
Enter the energy charge, base fee and credit to see the real price at your usage.
Frequently asked questions
What does EFL stand for?
Electricity Facts Label, the standard document every Texas retail electricity plan must publish showing its prices, fees and contract terms.
Does the EFL price include delivery charges?
Yes. The average prices at 500, 1,000 and 2,000 kWh include the provider's charges and your utility's TDU delivery charges.
Why is the 1,000 kWh price so low on some plans?
Usually because of a bill credit that applies only at 1,000 kWh or more. At lower usage the same plan can cost much more.