The five levels
Efficiency I adds a small speed bonus and each level adds more, up to Efficiency V, which roughly doubles a tool's base mining speed again on top of the material tier. On a netherite pickaxe with Efficiency V and Haste II, common blocks break almost instantly.
Which tools use it
- Pickaxe — stone, ores and most blocks
- Shovel — dirt, sand and gravel
- Axe — logs and wood
- Shears — wool, leaves and cobwebs
- Hoe — leaves and crops
Efficiency and Haste
The Haste status effect (from a beacon or a conduit) multiplies mining speed further and is independent of Efficiency, so the two stack. A beacon with Haste II plus an Efficiency V pickaxe is the standard setup for large mining projects and for breaking obsidian quickly.