Solar Panels in Texas

Make the best decision about investing in solar power in Texas

See solar options
Solar Panels

Texas Solar Power

Solar panels can be spotted all over The Lonestar State on roofs of homes and businesses alike. Not to mention the 17 large solar power facilities that make Texas one of the largest solar energy generators in the US. 

While solar power and other renewable energy options are booming in popularity there is a lot to consider. Whether you are trying to reduce your carbon footprint or your utility bills we’ll walk you through the most important factors to help you make the best energy decision.

Cost of solar panels in Texas

How much do solar panels cost in Texas? 

The average price for a home solar panel system in Texas is $14,820 or about $2.60 per watt. Systems will vary depending on the types of solar panels you choose and the size of your system. When shopping for solar panels you should consider getting multiple quotes from various installers.

How long does it take to pay off solar panels in Texas?

The average payback period for solar panels in Texas is around 13 years years. Your payback period will depend on the cost of your system and the amount of power it generates. The more energy your system generates the faster it will pay for itself.

Are solar panels worth it in Texas?

Everyone has their own method for determining if solar is “worth it”. If your objective is to leverage solar to eliminate or reduce your electric bill you have different expectations of someone who is more interested in reducing their carbon footprint. 

To help you determine the best option for you you can use this solar calculator that will weigh different solar options and other renewable energy options.

Why invest in solar panels in Texas

There are several reasons why solar could be the right choice to power your home or business. Here are the most common reasons why Texans invest in solar. 

Reduce your carbon footprint

Solar has roughly 20 times less carbon output than coal-powered energy sources. After three years of use, solar systems are completely carbon neutral and remain so for the duration of their lifespan. 

In short, if you want to reduce your carbon footprint going solar is a great option. 

Lower electricity bills

When you have your own solar system you are putting energy back into the grid. Your utility rewards you by crediting back the value of the energy you put into the grid. For example, if your system generates 2,500 kWh in a month and you use 2,500 kWh in that month you would have a $0 electric bill.

In most cases, if your system generates more energy than you use the credits will roll over to the next month.

Become energy independent

With the right solar system, you could potentially have a self-sufficient power system for your home. This means you don’t have to rely on the grid for energy. If the grid has an outage you could still power your home with your solar system. 

Those who are trying to become energy independent often pair their solar system with a battery. This allows you to store electricity and use it when you need it.

Solar panel incentives in Texas

Find solar incentives in Texas

Texas Solar Rebates, Tax Rebates, and Other Incentives

Texas does not currently have a statewide solar tax credit. However, there are many incentive programs from local governments and energy providers and utilities. Here are some examples of Texas solar incentive programs.

AEP Texas SMART Source Solar PV Program

AEP Texas (Central and North) offer up to $5,000 in rebates for new residential solar power systems. Learn more here.

Plano, Texas Smart Energy Loan Program

The city of Plano partnered with BTH Bank to offer competitive loan terms and interest rates to make it easier for residents to invest in solar. Additionally, the city provides approved vetted contractors and manages the communication of project directly with the installer. You can find more information on the City Of Plano Website.

You can find a a comprehensive list of Texas solar incentives in our database.

Texas Federal Solar Tax Credit

Like every other state, new solar panel systems in Texas are eligible to receive the federal solar tax credit of 26%. This credit is applied on your annual income tax credit.

Buying vs Leasing Solar Panels in Texas

There are many options when it comes time to purchase our solar panels. You can finance, lease, or pay the entire cost upfront. The right choice will depend on your financial situation and the costs of your system and other factors. Our solar calculator will help you weigh your options. You can find more information on leasing vs buying solar panels here.