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Texas electricity · Evidence guide

Why can the same electricity plan be good at 2,000 kWh and bad at 1,000 kWh?

Fixed charges, tiers, credits, and usage windows can change effective electricity cost at different monthly kWh levels.

Last reviewed 2026-08-21 · Readiness: READY

The answer depends on the full formula.

Electricity-plan cost is a formula, not one permanent cents-per-kWh number. Fixed charges spread over more kWh at higher usage, tiers can change marginal price, and conditional credits or minimum-use rules can turn on or off at specific levels.

The EFL's 500, 1,000, and 2,000 kWh columns are useful anchors, but a household needs the full curve and its own month-by-month usage. A plan that wins at one anchor can lose at another or near a threshold.

What is known—and on what basis

Official source

Standard anchors

PUCT disclosures use standardized usage levels to show average price behavior.

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Calculated example

Nonlinear formula

Fixed fees, tiers, minimum rules, and credits can make cost change nonlinearly with usage.

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Eyebiss method

Annual fit

A representative year should be priced month by month; annual average kWh can hide threshold misses.

eyebiss-public-methodology

Why the general answer can reverse

With only a fixed monthly charge, effective rate generally falls as usage rises because the same dollars are divided by more kWh. With progressive tiers, the marginal rate may instead rise. With a bill credit, the curve can drop suddenly and then rise again outside a maximum window.

The 1,000 and 2,000 kWh anchors are calculations at those exact levels. They do not describe 999, 1,250, or a seasonal profile. Reading only the most favorable column is equivalent to choosing the answer before applying the household evidence.

Usage shape adds another dimension for time-of-use plans. Two 1,000 kWh households can pay different modeled costs if one uses more electricity during expensive hours.

What to check in the actual situation

  1. The complete energy-charge formula, recurring fixed charges, and TDU components.
  2. Every tier boundary, credit minimum/maximum, and minimum-usage fee.
  3. Household monthly kWh across seasons, plus interval or time-window usage when the plan varies by time.
  4. Sensitivity just below and above each condition—not only at EFL anchors.

When each Eyebiss label could apply

LabelCondition
KEEPSupported current-plan economics remain competitive for the household after all represented charges and constraints are included.
WAITA known timing boundary, such as contract expiration, makes later reconsideration better supported than action now.
SWITCHComplete, current evidence shows a better household outcome after fees, remaining term, and comparable plan mechanics are included.
NEEDS_INFORMATIONThe bill, EFL, contract, usage history, location, or current alternative evidence is missing, stale, or conflicting.

A fixed charge changes rate without changing price terms

Suppose recurring cost is a $25 fixed charge plus 12 cents per kWh, before other charges.

  1. At 500 kWh, cost is $85 and the simplified effective rate is 17 cents per kWh.
  2. At 1,000 kWh, cost is $145 and the simplified effective rate is 14.5 cents per kWh.
  3. The energy price stayed 12 cents; the effective rate changed because the fixed charge was spread across different usage.
Simplified hypothetical; actual EFL calculations include all represented recurring charges.

Where the answer needs more care

  • Solar imports and exports require separate quantities and credit rules.
  • Time-of-use plans require supported time partitions, not just a monthly total.
  • A partial month should not be treated as a typical low-usage month without adjustment and evidence.

Evidence used on this page

  1. PUCT Substantive Rule 25.475: General Retail Electric Provider Requirements and Information DisclosuresPublic Utility Commission of Texas

    The contract documents include the TOS, EFL, and YRAC. The rule defines fixed-rate and variable-price products. The EFL uses standardized price disclosures, including specified usage levels. Contract-expiration notices must describe termination penalties and applicable timing.

    Retrieved 2026-08-21 · Texas · primary source · freshness highConsumers should verify the current rule and their own TOS, EFL, YRAC, and expiration notice before acting.
  2. How Eyebiss reasons from electricity evidenceEyebiss

    Eyebiss preserves official facts, observations, calculations, analysis, inference, and unknowns as distinct provenance classes. Eyebiss may abstain when evidence is missing, stale, or conflicting.

    Retrieved 2026-08-21 · Texas · primary source · freshness highThis methodology describes the public knowledge architecture and does not claim live statewide market coverage.

See the price curve at your usage

Provide representative usage to test supported plan formulas month by month. Current availability and exact service-area applicability still gate ranking.

Check your actual situation