How to read an Electricity Facts Label (EFL) in Texas
An Electricity Facts Label (EFL) helps you understand and compare electricity plans in Texas. Learn how to read an EFL, including average price per kWh, energy charges, delivery fees, bill credits and contract terms, so you can choose a plan that fits your electricity usage and budget.
How to read an Electricity Facts Label (EFL) in Texas
An Electricity Facts Label (EFL) helps you understand and compare electricity plans in Texas. Learn how to read an EFL, including average price per kWh, energy charges, delivery fees, bill credits and contract terms, so you can choose a plan that fits your electricity usage and budget.
An Electricity Facts Label provides important details about an electricity plan's pricing, fees and contract terms. Reviewing the EFL before enrolling can help you understand what you're paying for and compare plans based on your household's electricity usage. Follow these 5 easy steps:
We'll walk through each section using an example Electricity Facts Label from the Reliant Secure Advantage® 12 Plan.
Download the example EFL to follow along
You can also find the EFL for individual Reliant electricity plans on our Online Product Chart.
*Pricing included in the EFL is for example purposes only. The pricing may differ, depending on the electricity plan you choose.
Keep our electricity glossary nearby while reviewing the EFL.
One of the first things you'll see on an Electricity Facts Label is a table showing the average electricity price per kilowatt-hour (kWh) at three monthly usage levels:
These figures help you understand how a plan's average price may change depending on how much electricity you use.
What does the average price per kWh include?
The average price per kWh shown on your EFL includes applicable energy charges, base charges, TDSP delivery charges and qualifying bill credits at the specified usage level. It excludes taxes and non-recurring fees.
Why does the average price change based on usage?
Some electricity plans include fixed monthly fees, tiered pricing or bill credits that apply only when you use a certain amount of electricity. These factors can cause the average price per kWh to change at different usage levels.
Pro tip: Review your electricity bills from the past 12 months to understand your typical monthly usage. When comparing plans, look beyond the advertised average price and consider how the plan's charges and credits apply to your actual electricity usage.
In our example EFL, Section 1 shows the average electricity price at 500, 1,000 and 2,000 kWh.
A kilowatt hour (kWh) is a unit or measure of electricity supply or consumption equaling 1,000 watts operating for 1 hour.
10 bulbs × 100 watts each × 1 hour = 1 kWh
Your Electricity Facts Label breaks down the charges that contribute to the cost of your electricity plan. Understanding these charges can help you compare plans beyond the average price per kWh.
Electricity plans may include different types of charges from your retail electricity provider:
Energy charge: The amount your electricity provider charges for each kilowatt-hour (kWh) of electricity you use.
Base charge: A fixed monthly fee charged by your electricity provider, if applicable.
Usage-based charges: Additional charges that may apply or vary depending on how much electricity you use during a billing cycle.
Some electricity plans also use tiered pricing, where the energy charge changes based on your monthly electricity usage.
See examples: Review these EFLs for the Reliant Free Overnight 12 Plan (base charge), Reliant Secure Advantage® 12 Plan (usage charge) and Reliant Get More, Save More 36 Plan (tiered energy charges) to see how different pricing structures appear on an EFL.
Transmission and Distribution Service Provider (TDSP) charges cover the cost of delivering electricity to your home through the local power grid, including maintaining poles, wires and other electrical equipment.
Your EFL may include:
Monthly delivery charge: A fixed fee for electricity delivery.
Usage-based delivery charge: A charge calculated based on the amount of electricity you use.
These charges are set by your local delivery utility and approved by the Public Utility Commission of Texas (PUCT).
See examples: Review the Reliant Free Overnight 12 Plan EFL to see how TDSP delivery charges are listed.
Some electricity plans offer bill credits when you meet specific usage requirements during a billing cycle. These credits can help lower your electricity bill when your monthly usage reaches a qualifying threshold.
For example, the Reliant Power Savings 2,000 kWh 12 Plan EFL shows how a bill credit applies when monthly electricity usage reaches 2,000 kWh.
When reviewing an EFL, check:
Whether the plan offers a bill credit.
How much electricity you must use to qualify.
How the credit affects your total electricity cost.
Pro tip: Review your electricity usage over the past 12 months to see how often you meet the qualifying threshold. A plan with a bill credit may be a good fit if your household regularly meets the usage requirement.
If you have rooftop solar panels, some electricity plans offer solar buyback credits for eligible excess electricity your system sends back to the grid.
For example, the Reliant Solar Payback Plus 12 Plan EFL shows how solar buyback credits are calculated for excess electricity exported to the grid.
When reviewing a solar buyback plan's EFL, check:
How much credit you can earn per kWh of eligible excess electricity.
Whether credits can offset energy charges, delivery charges or other fees.
Any additional requirements or limitations on earning and using credits.
Pro tip: Consider how much excess electricity your solar panels typically generate and export to the grid when comparing solar buyback plans.
Some fixed-rate electricity plans offer different energy charges depending on when you use electricity.
These time-of-use (TOU) plans may include benefits such as free electricity during certain nights, weekends or other designated periods.
When reviewing a TOU plan's EFL, look for the energy charges that apply during different time periods and any conditions associated with the plan's free electricity hours.
See example: Review the Reliant Free Overnight 12 Plan EFL to see how electricity charges are listed for different times of day.
Pro tip: Consider when your household uses the most electricity to determine whether a time-of-use plan fits your routine.
Let's look at the electricity charges listed on our example Reliant Secure Advantage® 12 Plan EFL.
Section 2: Usage charge
$9.95 per billing cycle when usage is below 800 kWh.
$0.00 per billing cycle when usage is 800 kWh or more.
This means the monthly usage charge depends on how much electricity you use during the billing cycle.
Section 3: Energy charge
7.4581¢ per kWh
This is the energy charge applied to the electricity you consume.
Section 4: TDSP delivery charges
CenterPoint Energy delivery charges
These charges cover the cost of delivering electricity to your home through the local power grid.
Together, the applicable energy charges, usage charges and TDSP delivery charges contribute to the average price per kWh shown on the EFL.
This price disclosure is an example based on average prices. The average price for electricity service will vary according to your usage. Such charges are not a part of all Reliant plans, so you must read this section of any plan’s EFL that you're interested in.
Using our real-life example that begins with “See Terms of Service statement for full listing of fees, deposit policy, and other terms,” you’ll want to refer to Residential Reliant Terms of Service. This is where you’ll find everything from who to contact, billing, payment information and more.
In Texas, your retail electricity provider (REP) and Transmission and Distribution Service Provider (TDSP) have different responsibilities.
While you can choose your retail electricity provider in areas with retail electricity choice, your local TDSP is assigned based on where you live and determined by your service address:
Since only one company can oversee the power grid in a given area at a time, your designated TDSP is responsible for delivering and restoring power to your home or business, as well as maintaining the poles, wires and meter that make service possible.
Whenever you experience power outages and other emergencies related to the energy grid in Texas, your TDSP is who you would contact to resolve these issues.
Beyond electricity pricing and charges, your EFL includes important details about your plan's contract terms, such as whether you have a fixed or variable rate, how long your contract lasts and any fees or conditions that may apply. You'll also find information about renewable energy content and your electricity provider. Here's what to look for when reviewing these sections of your EFL.
Look for Type of product on your EFL to find out whether you have a fixed-rate or variable-rate plan.
With a fixed-rate plan, your energy charge generally stays the same throughout your contract term. Your price may still change due to factors beyond your electricity provider's control, such as changes in TDSP delivery charges or certain regulatory fees.
With a variable-rate plan, your electricity rate may change from month to month based on the pricing terms established by your provider.
Look for Contract term on your EFL to find out how long your electricity plan's contract lasts.
In our example Reliant Secure Advantage® 12 Plan EFL:
Sample section 5: Type of product – Fixed rate
Sample section 6: Contract term – 12 months
You can sometimes identify the contract length from the plan name itself. For example, the Reliant Secure Advantage® 12 Plan has a 12-month contract term.
Your EFL also outlines other important plan conditions, including early termination fees, potential price changes and additional charges. Sample section 7 of our EFL example above includes the following disclosures:
Your EFL also includes information about the plan's renewable energy content. In our example, sample section 8 shows:
Individual plan details can vary by product, depending on a specific product's EFL.
Your EFL also includes your electricity provider's contact information and Public Utility Commission of Texas (PUCT) certificate number.
In our example EFL:
Sample section 9: Reliant's contact information.
Sample section 10: Reliant's PUCT certificate number, which identifies the retail electricity provider licensed to offer electricity service in Texas.
Comparing Electricity Facts Labels can help you find an electricity plan that fits your household's energy needs and budget.
When reviewing two or more EFLs, use this checklist:
Compare average prices at your usage level. Look at the price per kWh closest to your typical monthly electricity consumption.
Review the energy charges. Check how much each provider charges per kWh and whether the pricing changes based on usage or time of day.
Check delivery charges and monthly fees. Include TDSP charges, base charges and any other applicable fees.
Look for bill credits and usage requirements. Determine whether your household is likely to qualify for any credits throughout the year.
Compare contract terms. Review contract lengths, rate types and early termination fees.
Consider your electricity usage habits. Think about how much electricity you use and when you use it most.
Remember: The electricity plan with the lowest average price at one usage level may not always be the most affordable option for your household. Comparing the full pricing structure can help you make a more informed decision.
Select a category from the drop-down menu.
An Electricity Facts Label (EFL) is like a nutrition label for your electricity plan. It highlights key details like average price per kWh, contract length, fees and other plan terms to help you review electricity plans more easily. When reading an EFL, look closely at the pricing for 1,000 and 2,000 kWh, since those usage levels are often closer to what a typical Texas household may use.
You can usually find an Electricity Facts Label on the plan details page under links like Electricity Facts Label (EFL), Plan Documents or Plan Details. You can also review the EFL before enrolling, along with other required documents like the Terms of Service (TOS) and Your Rights as a Customer (YRAC).
The 500 kWh, 1,000 kWh and 2,000 kWh amounts on an EFL show sample monthly usage levels. They help you see how the average price per kWh may change depending on how much electricity you use. Once you know your usual monthly usage, you can focus on the price listed for the range that’s closest to your household.
The EFL’s average price per kWh is a comparison figure based on a specific usage amount. The actual cost of your electricity rate depends on how much energy you use and your chosen plan’s energy charge, TDSP charges, base fees, credits and other applicable pricing terms.
Yes. Usually listed separately, TDSP delivery charges cover delivering power over the poles and wires. TDSP charges are not set by your energy provider.
The price per kilowatt-hour can vary with your electricity usage because many plans use tiered or usage-based pricing. Your average rate reflects your total usage during the billing period. Outside of tiered pricing, base charges, subscription pricing, usage-based fees and other factors can also impact the average price at different levels.
EFL comparison checklist
You can use the quick comparison checklist above to see how two or more EFLs differ from one another.
Yes. In Texas, an EFL document is required by the Public Utility Commission of Texas (PUCT) from your electricity provider that outlines plan details, including rates, fees and usage‑based pricing.
An energy charge is an amount charged by a retail electricity provider on a per kilowatt hour basis for electricity consumed.
The Public Utility Commission of Texas (PUCT) is the state agency that regulates and oversees Texas electric, telecommunications and water and wastewater utilities. In a deregulated electricity market like Texas, the PUCT approves delivery charges, oversees Transmission and Distribution Service Providers (TDSPs), enforces customer protections and helps ensure reliable electric service for Texas residents.
