Be taught About Texas Solar Panels, From Pricing to Incentives – CNET


Sunshine is plentiful in Texas, making the state a superb place for residents and companies to economize and generate electrical energy via solar power. Behind solely California, Texas at present has the second-greatest solar producing capability within the nation, in response to Statista. 

However, the Texas power grid has often left residents to handle rolling blackouts or prolonged power outages throughout storms and different high-energy-demand months. Because of this, an increasing number of Texans have been turning to solar for elevated energy independence. 

According to the newest information from the US Energy Information Administration, the common electrical energy invoice in Texas is $150.56, putting it among the many high 10 states with the best common residential electrical energy fee. If you are on the lookout for choices to assist scale back these prices, take into account solar panels.

Texas solar panel prices

The value of residential solar panels has decreased over the previous twenty years, whereas stronger incentives and rebates at the moment are obtainable on the native, state and federal degree. Texas residents putting in solar panels can profit from:

  • A 30% federal tax credit score on solar arrays
  • Local web metering advantages that may scale back your electrical energy invoice
  • Plenty of choices of solar panel firms and installers to select from

The actual value will differ relying in your home’s energy consumption and solar array measurement. The Lawrence Berkeley National Laboratory’s Tracking the Sun report releases annual information to assist in giving a greater thought of the price of solar for Texas residents. Their information under “focuses on systems installed through year-end 2021 and is based on data from roughly 2.5 million systems.”

Texas solar system stats

System measurement (kW) Price per watt Total value
High 10.2 $4.01 $41,052
Median 7.4 $3.80 $28,888
Low 5.4 $3.23 $17,293

Texas vs. the US

System measurement (kW) Cost per watt Installed value
Texas 7.4 kW $3.80 $28,888
Nationwide 7.6 kW $3.67 $26,882

Solar financing choices for Texas residents

Cash is the interest-free solution to pay for solar panels in Texas. However, financing choices can be found, leading to a decrease upfront value. Solar loans can be found via most banks, credit score unions and solar installers. Alternately, solar leases and Power Purchase Agreements let owners pay a flat month-to-month price. The disadvantage is you’ll not qualify for tax incentives with these choices, since you don’t personal your system. The common time to interrupt even on the preliminary funding for Texas residents who finance is six to 10 years.

Advertiser Disclosure: CNET’s company associate, SaveOnEnergy, might help you discover the fitting energy match in your home. The SaveOnEnergy market helps you search, examine, enroll and save on the fitting energy match in your home — all totally free. If you are focused on solar, reply a number of inquiries to get an actual value quote from our solar advisors.

Texas solar panel incentives and rebates

Texans shopping for solar panels between 2022 and 2032 can qualify for a 30% federal tax credit score referred to as the Residential Clean Energy Credit. This solar tax credit score, as soon as referred to as the Investment Tax Credit, may prevent greater than $8,500 on the median solar system value of $28,888. Texas residents can apply for the Clean Energy Credit with IRS type 5695 utilizing these directions. 

Below are different alternatives to avoid wasting in Texas with native and state solar incentives.

Texas solar incentives

Program Description
AEP Texas SMART Source Solar PV Program AEP Texas (Central and North) prospects are eligible for solar incentives based mostly on the utmost quantity of energy produced ($/watt DC). Incentives apply solely to solar techniques put in by solar firms at present enrolled in this system.
Austin Energy solar rebate Austin Energy prospects can qualify for a $2,500 rebate by finishing this solar training course and “installing a qualifying solar photovoltaic (PV) system.”
CPS Energy solar rebate CPS Energy prospects can obtain as much as $2,500 per undertaking for extra solar energy.
El Paso Electric Interconnection  El Paso Electric credit certified solar house owners for “the amount of renewable energy generated against the consumption received from EPE.” The system measurement can’t be greater than 10 megawatts. A base electrical energy invoice of $30.25 will apply. 
Garland Power & Light EnergySaver Program Customers earn electrical invoice credit for every kWh of extra energy produced via solar panels that meet GP&L necessities. 
Green Mountain Energy Renewable Rewards Buyback Program Customers can earn electrical energy invoice credit after they “install and activate a quality solar energy system at your home with a rated capacity of less than 50 kW.”
Guadalupe Valley Electric Cooperative Solar Simplicity Homeowners can promote extra energy again to GVEC. According to the interconnection settlement, “energy produced by the Installation may be purchased by GVEC at the then-current GVEC renewable energy rate.”
Net Metering Programs Texas provides web metering packages, which allow you to promote any extra solar energy generated by your system again to a utility firm. Check along with your electrical supplier to see if a web metering program is offered in your space.
Oncor Residential Solar Program Solar house owners who meet the Oncor necessities might qualify for energy invoice credit.
Residential Clean Energy Credit Homeowners can declare a 30% federal tax credit score for techniques put in from 2022 to 2032. Apply via the IRS.
TXU Energy Home Solar Buyback TXU prospects “can offset up to 100% of your monthly energy charges” when enrolled within the Solar Buyback program. Renewable energy produced via solar or wind power is relevant.

Texas solar panel firms

Texas residents have lots of of choices when choosing a solar panel installer. According to the Solar Energy Industry Association, over 500 solar firms function throughout Texas, together with a number of large-scale solar farms able to offering power to tens of 1000’s of properties. 

We might help you chop via the plentiful choices by narrowing down the Texas solar panels installers to a number of of the highest trusted solar firms based mostly on information from buyer opinions and shopping for developments. 

ADT Solar

ADT Solar has been putting in solar panels since 2007 below the title Sunpro Solar. ADT acquired the corporate in 2021. ADT, the safety firm, has been round for practically 150 years, so this well-established enterprise now backs ADT Solar.

  • Year based: 2007
  • Headquarters: Florida
  • Types of panels bought: Monocrystalline panels
  • Battery choices: Tesla Powerwall and Enphase IQ
  • Financing choices: Cash buy, solar mortgage
  • Warranty: 25-year settlement covers labor, manufacturing assure, solar panel producer and Enphase microinverter 

Palmetto Solar

According to Wood MacKenzie, Palmetto is among the many 10 largest solar installers within the US. Palmetto handles all the solar set up course of, from design to allowing functions, to long-term buyer assist.

  • Year based: 2010
  • Headquarters: South Carolina
  • Types of panels bought: Monocrystalline panels
  • Battery choices: Sonnen 
  • Financing choices: Cash buy, solar mortgage, lease or PPA
  • Warranty: 12-year minimal product and 25-year efficiency guarantee

SunPower Solar

SunPower is thought for its proprietary solar panels and batteries made by its sister firm, Maxeon. Maxeon panels are among the many most effective residential solar panels obtainable. However, the top quality comes with the next price ticket, as SunPower panels are a number of hundred {dollars} above the trade common.

  • Year based: 1985
  • Headquarters: California
  • Types of panels bought: Monocrystalline panels
  • Battery choices: SunPower SunVault
  • Financing choices: Cash buy, solar mortgage or solar lease
  • Warranty: 25-year system guarantee; 10-year battery guarantee


Sunrun encourages solar leases and PPAs, which suggests the shopper pays much less cash upfront for set up. Sunrun retains possession of the system, so the house owner can not profit from solar rebates and incentives, together with the 30% Clean Energy Credit. Sunrun is the biggest US solar firm, boosted by its acquisition of the second-largest solar firm, Vivint Solar, in 2020. 

  • Year based: 2007
  • Headquarters: California
  • Types of panels bought: Monocrystalline panels
  • Battery choices: Tesla Powerwall or LG Chem
  • Financing choices: Cash buy, solar mortgage, solar lease or PPA
  • Warranty: 25-year guarantee with Sunrun lease settlement; producers’ guarantee when bought

Tesla Solar

Tesla provides solar panels or solar shingles (often known as the Tesla Solar Roof), and the Powerwall battery lineup. Tesla is likely one of the solely solar firms providing a free on-line quote with out scheduling a technician go to. 

  • Year based: 2006
  • Headquarters: Texas
  • Types of panels bought: Monocrystalline panels
  • Battery choices: Tesla Powerwall and Powerwall Plus
  • Financing choices: Cash buy, solar mortgage
  • Warranty: 25-year panel efficiency and 10-year complete system guarantee; 10-year battery guarantee 

Installation elements to bear in mind

None of us desires to take a position 1000’s of {dollars} in home enhancements except we’re positive it is the most effective determination for our circumstances. Homeowners contemplating solar panels ought to take into account these questions earlier than persevering with their renewable energy journey. 

  • Do you personal or hire your home? If you hire, you’ll be able to inquire along with your landlord about putting in solar, though renters are sometimes prohibited from making the sorts of modifications to the property that solar panels entail. Renters could also be eligible for group solar packages, akin to Arcadia, as an alternative. A group solar subscription can present invoice credit from energy produced by solar panels at an off-site location.

  • What is the form of your roof? Roofs needing restore could also be topic to further maintenance earlier than solar panels may be utilized. The measurement and slope of your roof can have an effect on the position of panels and the way a lot electrical energy a solar system can create. Roofs with a slope between 15 and 40 levels are most effective, in response to the Department of Energy. A good solar installer will decide in case your roof requires upkeep earlier than set up.

  • Where is your home? Yes, solar panels can generate energy below chilly and shady situations. But solar effectivity is improved when direct daylight is offered for a minimum of a part of the day. Living in an space with a whole lot of tree cowl can negatively have an effect on the quantity of energy generated by a solar array.
  • Are there HOA or neighborhood guidelines in your group? Texas is among the many states with solar rights legal guidelines, which suggests HOAs can not ban solar panels. However, neighborhood rules might have guidelines across the placement or aesthetics of solar installations. Check your native bylaws to see what’s allowed.
  • Can you add solar panels to your home insurance coverage? Check along with your home insurance coverage firm to make sure you can add a solar system to your coverage and notify them as soon as the set up is accomplished.

Texas solar power FAQs

Does Texas subsidize solar panels?

No. Texas doesn’t subsidize solar panels. The Federal Clean Energy Credit permits solar house owners to assert a 30% tax credit score. Plus, many rebates and incentives can be found on the state and county ranges to Texas residents. Net metering, which offsets your electrical energy invoice by sending extra energy again to the power grid, is one other approach that solar panels in Texas earn a return on their funding. 

What are the professionals and cons of solar panels in Texas?

Overall, Texas is a good place to put in residential solar panels as a result of the state receives loads of daylight year-round. Texas solar rebates and incentives can offset the out-of-pocket value and web metering advantages from Texas electrical energy suppliers can scale back electrical energy payments for certified prospects. On the opposite hand, Texas solar panels will not be a good selection if you have already got a comparatively low electrical invoice or if bushes or buildings extraordinarily shade your home. Additionally, in case your roof wants substitute, that further value may lengthen the time it takes to see a return in your solar panel funding. 

Does Tesla set up solar panels in Texas?

Yes. Tesla installs solar in Texas. In Austin, Texas, Tesla has created a solar group the place Tesla solar packages can be found for buy with the sale of recent properties. 


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