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🦅 Texas Solar Panel Calculator

Texas leads the US in total solar capacity. Strong sun and deregulated market create great options.

Rates and incentive status reviewed 2026-07-27

$
$20$800+

Avg rate: $0.138/kWh · 5.5 peak sun hrs/day

Your Solar Estimate for Texas

Rates and incentive status reviewed 2026-07-27

8.1 kW

System Size

recommended

12.4 yrs

Payback Period

break-even

$43,292

25-Year Savings

net profit

5t

CO₂ Offset

per year

Gross installation cost$22,335
Currently verified incentives$0
Estimated net cost$22,335
Annual electricity savings$1,800/yr

This estimate does not deduct the expired US federal 30% residential tax credit (ended for spending after 2025-12-31) or the closed Canada Greener Homes Grant/Loan. It also does not assume any unverified state, provincial, or utility rebate. See methodology and confirm current incentives with your state/province, utility, or a tax professional before budgeting for one.

⚠️ Texas has partial net metering — excess solar credits may be limited. Check with your utility.

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Texas Solar Facts

$0.138/kWh

Avg Electricity Rate

5.5 hours

Daily Peak Sun Hours

Expired (ended 2025-12-31)

Federal Incentive Status

Electricity rate: U.S. EIA / Statistics Canada utility filings. Peak sun hours: NREL PVWatts. Federal incentive status verified against IRS.gov and Natural Resources Canada. See methodology for full assumptions.

Net Metering in Texas

Texas has partial net metering — you receive some credit for excess solar energy, but at a reduced rate. Factor this into your ROI calculation.

Net metering rules are set by state/provincial regulators and utilities and can change — confirm current terms with your utility before purchasing.

Utility Landscape in Texas

Whether you get paid for excess solar in Texas depends heavily on where you live, more than in almost any other state. Most of the state — including Houston (CenterPoint Energy's territory) and Dallas-Fort Worth (Oncor) — sits inside ERCOT's deregulated retail market, where net metering isn't guaranteed by law; you only get export credit if you pick a retail electricity plan with a solar buyback rider from a competitive provider. A handful of Texas cities run municipally owned utilities entirely outside ERCOT's retail-choice system and set their own solar programs instead: Austin Energy runs a value-of-solar tariff, and San Antonio's CPS Energy has its own rebate and interconnection rules. Confirm which market applies to your address before assuming any buyback rate.

How Solar Varies Within Texas

West Texas around El Paso sits at higher elevation with clearer, drier air and some of the state's best solar resource. The Gulf Coast around Houston is humid and hazier, which measurably reduces output compared to the number of daylight hours alone would suggest. Central Texas around Austin and San Antonio falls in between.

Worth Knowing Locally

Texas has no state income tax and no statewide solar rebate, but does offer a state property-tax exemption for the added home value from a solar installation — a detail worth confirming with your county appraisal district since it's administered locally, not by a single state agency.

What This Estimate Does Not Assume

This calculator does not automatically apply the expired US federal 30% residential tax credit, the closed Canada Greener Homes Grant or Loan, or any unconfirmed state or utility rebate for Texas. If you find a currently active program, confirm it with the issuing agency — we link the general databases we trust in our methodology page.

Frequently Asked Questions

Is solar worth it in Texas?+
Texas leads the US in total solar capacity. Strong sun and deregulated market create great options. With a payback period calculated from local rates of $0.138/kWh and 5.5 peak sun hours per day, solar is worth evaluating on its gross-cost numbers in Texas — use the calculator above with your own bill for a personalized estimate.
Does Texas still get the 30% federal solar tax credit in 2026?+
No. The federal Residential Clean Energy Credit applied to spending through December 31, 2025, and does not apply to systems placed in service in 2026 or later. This calculator does not assume it. See our federal tax credit history article for what applied while it was active, and check the DSIRE database for any current state or utility incentive in Texas.
How long does solar take to pay back in Texas?+
Gross payback period in Texas depends on your monthly electricity bill, roof orientation, and system size. Use the calculator above with your actual monthly bill for a personalized estimate based on local rates of $0.138/kWh.

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