If you’ve ever signed up for an electricity plan in Texas, you’ve probably seen a document called the Electricity Facts Label — or EFL. Most people scroll past it or ignore it entirely. That’s a mistake that could be costing you hundreds of dollars a year.
What Is an EFL?
The Electricity Facts Label is a standardized document required by the Public Utility Commission of Texas (PUCT) for every retail electricity plan. Think of it like a nutrition label for your electricity plan — it’s supposed to tell you exactly what you’re getting.
An EFL must include:
- The average price per kWh at different usage levels (500, 1000, and 2000 kWh)
- Any monthly base charges or minimum usage fees
- Contract length and early termination fees
- The energy mix (renewable vs. fossil fuel sources
- Your transmission and distribution utility (TDU)
Why Most People Misread the EFL
Here’s the trick that catches people out: electricity providers advertise their rate at 2,000 kWh usage. But if you use less than that — which most Texas households do — your effective rate is actually higher.
For example, a plan advertised at “9.9¢/kWh” might actually cost you 13¢/kWh if you use 1,000 kWh per month, because of minimum charges and base fees that kick in at lower usage levels.
The Three Numbers That Matter on an EFL
1. Average Price at 500 kWh
This tells you what you’ll pay per kWh in low-usage months (spring, fall). Often significantly higher than the advertised rate.
2. Average Price at 1,000 kWh
This is the most relevant number for most Texas households. It reflects real-world usage for a medium-sized home in a moderate month.
3. Average Price at 2,000 kWh
This is what’s advertised. It looks great but only applies if your usage is very high — typically in the peak of summer.
How Watt Panda Uses the EFL to Your Advantage
At Watt Panda, we read EFLs so you don’t have to. We look at your actual usage history from your bill, then compare it against the EFL data for available plans to find the one with the lowest effective rate for your specific household.
No guesswork. No fine print surprises. Just the plan that actually saves you the most money. Upload your bill at wattpanda.com and let us do the math. 🐼