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Solar in Texas

Lone Star State

Key incentives, typical costs, and a simple payback example for Texas homeowners.

Key Solar Facts for Texas

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$14,000-$20,000
Average System Cost
Before incentives
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7-9 years
Payback Period
Typical timeline
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$1,600+
Annual Savings
After payback
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Why Texas is Perfect for Solar

Texas Solar Advantages

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#2 in USA
Solar Capacity Rank
Only behind California
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5.8+ hours
Peak Sun Hours
Daily average
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Choose rates
Deregulated Market
Competitive pricing
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Abundant
Land Available
Space for large systems

Available Solar Incentives

πŸ’° Available Incentives

$4,200+
Total Potential Savings
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Federal Investment Tax Credit (ITC)

Federal

Available for all residential solar installations through 2032. Reduces system costs by nearly one-third.

30% of system cost
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Texas Property Tax Exemption

State

Solar installations don't increase property tax assessments for residential properties.

100% exemption
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Deregulated Energy Market

Utility

Texas's deregulated market allows you to choose competitive electricity rates and solar buyback programs.

Choose your rate
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Net Metering Programs

Utility

Many Texas utilities offer net metering or buyback programs for excess solar production.

Varies by utility

Important: Incentives are subject to change. Always verify current rates and availability with your installer and local authorities.

Solar Investment Analysis

πŸ“ˆ Solar Payback Timeline

$17,000
System Cost
$5,100
Incentives
$11,900
Net Cost
7.4 years
Payback Period
0
1
2
3
4
5
6
7
8
9
10
11
Break-even: 7.4 years
Paying back investment
Generating profit

Great news! After 7.4 years, your solar system will generate pure savings of approximately $1,600/year for the remaining 15+ years of its warranty period.

⚑ Understanding Texas's Deregulated Energy Market

Texas's deregulated market allows you to choose your electricity provider and rate plan. This means you can select providers with favorable solar buyback rates and time-of-use plans that maximize your solar savings.

Additional Information

Texas solar varies by utility territory. This page summarises incentives, typical costs, and payback.

Incentives

  • Federal ITC at 30% for eligible systems
  • Utility buyback plans vary; some co-ops offer credits

Cost and payback

  • Typical 6 kW–10 kW systems; strong sun improves output
  • Payback 7–12 years based on plan and usage

Net metering

  • No statewide mandate; policies vary by utility

Explore Texas Solar in Depth

Frequently Asked Questions

Is solar worth it in Texas?
Payback varies by utility; look for buyback plans and strong sun exposure.
Most residential installs qualify for the 30% ITC if you have tax liability.

Explore more about solar in your state