Texas

With over 40,000 megawatts (MW) of capacity expected to be installed in the next 5 years, Texas solar is developing at a higher rate than any other state, according to data from the Solar Energy Industries Association (SEIA). In fact, the development of the solar industry in the Lone Star state has been growing rapidly since the 1980s.

One of the main advantages of installing solar in Texas is the state’s abundant sunlight. Texas receives between 200-300 sunny days per year, which coupled with vast, open landscapes provides an ideal environment for solar energy production. Currently, Texas holds the second spot in the U.S. for residential solar power generation, with an installed capacity sufficient to supply around 2.67 million homes. This capacity equates to about 5.82% of the state's total electricity generation.

The affordability of solar panels in the state significantly enhances their worth for homeowners and businesses alike. The average cost of solar panels in Texas is 2.50- $3 per watt, below the national average. A further benefit of installing solar panels in Texas is the eligibility for incentives and rebates, including local utility rebates, the Renewable Energy Systems Property Tax Exemption, and the 30% Federal Solar Tax Credit. Some of the top-rated solar installers in Texas include Palmetto Solar, NRG Clean Power, and SunPower, which are known for their quality installations, diverse equipment options, and comprehensive warranties.

Texas has invested significantly in solar for industrial and commercial uses, channeling billions of dollars into solar farms across the state. Some of the largest solar farms in Texas include notable projects such as the Samson Solar Energy Center, the Maplewood projects, and Cutlass Solar. These initiatives showcase Texas's commitment to renewable energy and its potential as a leader in solar energy production.

History of Solar Panels in Texas

The history of the solar industry in Texas harks back to the energy crisis of the 1970s when interest in solar panels surged in Texas during a period marked by fuel shortages and skyrocketing oil prices. This interest was solidified with the establishment of Solar One, the world's first solar building, built in Delaware in 1973. However, it was not until the 1980s that Texas made a significant policy move toward solar energy. In 1981, the state of Texas introduced the Renewable Energy Systems Property Tax Exemption. This exemption made solar installations a more affordable and attractive option for homeowners by ensuring they did not have to pay taxes on the increased value of their homes due to solar installations.

As Texas started to embrace the idea of renewable energy in the 1980s and early 90s, even more legislation was passed to further encourage and support the transition. The Renewable Portfolio Standard, established in 1991, was one such legislation, setting a goal for utilities to supply 3% of their electricity sales with renewable sources by 2015. The Portfolio set an ambitious target of 10,000 megawatts (MW) of renewable energy by 2025—a goal met and surpassed in 2021 thanks to the state's abundant solar resources. By this time, Texas ranked 8th in the country for its solar capacity, indicating a significant shift towards solar energy adoption.

In the last 4 years, the landscape for solar energy in Texas saw substantial growth due to factors like vast open lands in West Texas, conducive for large solar farms, and significant available transmission capacity. There was a 150% increase in utility-scale solar capacity in 2020 alone, undeterred by the COVID-19 pandemic, as noted by The Electric Reliability Council of Texas (ERCOT). By the end of 2022, the solar capacity reached 22,872, indicating a staggering growth in the sector. This growth is mirrored in the development and operation of large-scale solar farms, particularly in the western counties, where facilities like the Upton, Roserock, and Buckthorn farms illustrate the state's move towards larger, more efficient solar energy production facilities. Smaller installations of solar panels in Texas, driven by individuals, cooperatives, and businesses, continue to add significant capacity, contributing to Texas's reputation as a leading state in solar energy.

Recent developments highlight Texas's ongoing commitment to solar energy. The construction of the 1,310-megawatt Samson Solar farm in northeastern Texas in 2020 underscores the state's potential and ambition in renewable energy production. In addition, Mission Solar announced plans to expand its solar panel manufacturing capacity in Texas to 1 GW by 2024, a move indicative of the growing emphasis on domestic solar production fueled by federal incentives and a push for energy independence.​

What are the current usage rates for residential solar in Texas?

Residential solar energy use in Texas has seen significant growth, increasing by 646% between 2017 and 2022. There were 274,628 solar installations in Texas during 2023, ranking the state number 2 in the US for residential solar adoption, according to the Solar Energy Industries Association (SEIA).

In the same year, the total installed solar capacity was 22,872 megawatts (MW), which is enough to power 2,677,486 homes. This represents 5.82% of Texas' electricity supply, as detailed in SEIA's Solar Market Insight Report for Q4 2023. The state is expected to see significant growth, with projections of adding 40,913 MW over the next five years. These figures rank Texas first in terms of growth projection. The amazing growth of solar power in the state is indicative of Texas's significant role in the national solar energy sector, which is supported by a considerable solar investment amounting to $27.8 billion in the state.

How much does Texas solar cost?

In Texas, the average cost of solar panels is $2.50- $3 per watt, below the national average of $3.01 per watt. The cost of residential solar systems varies based on size and efficiency, typically ranging from $8,680 for a 2.8 kW system to $22,680 for an 8.4 kW system. The average cost per watt decreases as the size of the system increases, reflecting economies of scale and bulk pricing from manufacturers; it drops from $3.10 per watt for smaller systems to $2.60 for larger ones.

The most popular capacity for a Texan solar panel system is 8.4 kW. Solar panels with 8.4kW capacity are sizable enough to significantly offset electricity bills and meet the higher energy demands typical in the state due to factors like larger property sizes, high air conditioning use, and general energy consumption patterns. An 8.4 kW photovoltaic (PV) system is an ideal system size for providing a substantial portion of a household's electricity needs, thereby maximizing savings on energy costs.

The Federal Solar Investment Tax Credit offers a substantial benefit to Texas residents, allowing for a 26% reduction in the cost of solar systems. Incentives such as the ITC enhance the affordability and accessibility of solar energy, substantially reducing the net cost for homeowners. For instance, with the application of ITC, the price of a 2.8 kW solar system can fall from $8,680 to $6,076, and an 8.4 kW system can decrease from $22,680 to $15,876.

The average costs of solar energy in Texas are detailed in the table below.

How does the cost of solar panels in Texas vary by major city?

The price for solar panels in Texas varies across its major cities. The price of solar installation is $2.46-$2.66 per watt (p/w) in Dallas, $2.63-$2.72 p/w in San Antonio, and $2.65-$2.78 p/w in Houston. For a typical residential system size of 6kW, this translates to a total cost ranging from $9000 ($6,300 with the tax credit) in San Antonio to $17,000 ($12,000 with the tax credit) in Dallas.

A more detailed breakdown of the cost of solar panels in Texas by major city is provided in the table below.

Are Solar Panels Worth it In Texas?

Yes, solar panels are worthwhile for most Texan homeowners. The abundant sunlight and expansive spaces found in Texas are ideal for solar installation. The payback period is typically 5-10 years, followed by decades of nearly free electricity. Home values typically increase by up to 5% on average. At an average cost of $2.50- $3 per watt, solar panels are more economical in Texas compared to the national average.

What are the advantages of installing solar in Texas?

The main advantages of installing solar panels in Texas include the year-round sunny weather there, the solar incentives and rebates available, and the increase in the home resale value that solar provides to your property.

The three main advantages of installing solar panels in the state of Texas are explained in more detail below.

• Year-Round Sunny Weather: Texas is an excellent location for solar energy due to its typically sunny weather, with 200-300 sunny days per year and around 7 hours of peak sunlight daily. The state's high temperatures and minimal cloud cover make it an ideal environment for solar panels, which perform well in warm conditions. The common practice of tilting panels vertically maximizes light exposure, enhancing energy production efficiency.
• Solar Incentives and Rebates: In Texas, homeowners take advantage of various solar incentives and rebates. Local utility rebates provide financial incentives for adopting solar energy, helping offset some of the installation costs. For instance, Austin Energy offers a rebate of $2,500 and compensates homeowners for the electricity their solar panels generate. CPS Energy provides a similar incentive, along with an additional rebate for using locally sourced panels. Beyond these, the state allows for a property tax exemption on the added home value from solar installations, ensuring homeowners don't face increased taxes. Additionally, many Texas utilities support net metering, which allows homeowners who produce a surplus of electricity in their solar systems that they return to the grid, to receive credit. This includes providers such as El Paso Electric and Green Mountain Energy. On top of local benefits, Texans are eligible for the Federal Solar Investment Tax Credit, which offers a deduction of 30% of the solar system cost from federal taxes, providing substantial savings for those who purchase their systems outright.
• Home Resale Value Increase: One often-overlooked benefit of solar panel installation is the potential increase in home resale value. Installing solar panels leads to an average property value increase of 4.1%, according to Zillow’s data. For the average Texas home, valued at $296,127, this translates into an approximate value increase of $12,141. This boost in property value is especially notable in higher-priced areas such as Dallas, Fort Worth, Houston, and San Antonio, where the financial impact of adding solar panels is even more significant.

What are the disadvantages of installing solar in Texas?

The three main disadvantages of installing solar in Texas are the inconsistent net metering policies offered by different companies, the potentially slow payback period, and the high initial installation and maintenance costs of your solar panels.

More information on each of the three main drawbacks of installing solar in Texas is provided below.

• Inconsistent Net Metering Policies: Texas does not have a uniform net metering policy, leading to significant variation from one utility company to another. While some offer favorable net metering programs, others do not offer any at all. This inconsistency impacts Texans’ decision on whether to invest in a solar battery to complement their solar panels, affecting the overall cost-effectiveness and return on investment of their solar system. It's essential to investigate the specific policies of your utility provider before committing to a solar installation.
• Potentially Slow Payback Period: Understanding the payback period for your solar panel investment is crucial, as this timeframe represents how long it will take for the cost savings from your solar panels to cover the initial installation costs. A payback period that extends beyond 15 years, considered the upper limit in Texas, means that while you will still achieve overall savings, the rate of return will be slower compared to the average homeowner. t is advisable to use a solar calculator or consult with a reputable solar installer, in order to get a clearer picture of what to expect, and to assess how the investment aligns with your financial goals,
• High Initial Investment and Maintenance Costs: The cost of solar panel installation in Texas is a significant financial commitment. On average, solar panels cost between $2.50-$3 per watt, which is lower than the national average but still substantial. For instance, the cost for a standard 8.4 kW residential solar system — a popular choice among Texans due to large property sizes and high energy needs — is around $22,680 before incentives. Beyond the purchase and installation costs, solar panels require ongoing maintenance. While generally low-maintenance, occasional cleaning and potential repairs or replacements contribute to the total lifetime cost of owning solar panels. This added financial responsibility, alongside the substantial initial investment, forms a significant disadvantage for some Texans considering solar energy.

Who are some of the best solar installers in Texas?

Top solar installers in Texas include Palmetto Solar, known for quality installations and diverse equipment options, NRG Clean Power, recognized for solar accessories and comprehensive warranties, and SunPower, renowned for offering high-efficiency solar panels.

More information on each of these Texan solar installation providers is listed below.

• Palmetto Solar: Palmetto is a major Texan solar installer that offers high-quality panel brands like Qcells and REC, which offer efficiencies above 21%. These panels are typically attached to inverters from Enphase and SolarEdge, which allow detailed monitoring. Warranties include a 10-year workmanship and a unique roof integrity guarantee, complemented by extensive panel and battery coverage.
• NRG Clean Power: NRG Clean Power is a solar installation company in Texas that specializes in integrating solar systems with roofing services. Their approach ensures that both the solar panels and the roof work together optimally for longer-lasting performance. NRG Clean Power offers brands like REC, Panasonic, and Qcells, with Enphase and SolarEdge being the go-to brands for inverters and batteries. Distinctively, NRG provides a 40-year workmanship warranty, setting a high industry standard for installation quality and system reliability.
• SunPower: SunPower is a top solar installer in Texas that works with high-efficiency Maxeon solar panels. Maxeon panels deliver industry-leading performance with up to 22.8% efficiency. SunPower's approach is to integrate solar panels with Enphase microinverters, offering a seamless, efficient solar solution. Their service includes various financing options and a robust monitoring app for real-time system tracking.

What rebates and incentives are available in Texas for solar?

Given no state-based rebates are available in Texas, the main financial incentive is the 30% Federal Solar Tax Credit. Other key incentives include local utility rebates, which allow you to save up to $2500-3000, and the Property Tax Exemption, which prevents taxation on increased home value from having solar panels. Another major form of incentive for using solar panels is net metering, which provides credits in return for excess energy generated from your solar panel system.

The four main forms of Texas rebates and financial incentives for solar panels are listed below.

• Federal Solar Tax Credit: The Federal Solar Investment Tax Credit (ITC), allows you to deduct 30% of the cost of your solar energy system from your federal taxes. Texans benefit from the credit if they buy the system outright, either with cash or a solar loan​​.
• Local Utility Rebates: Utility rebates are financial incentives offered by local service providers to encourage the adoption of renewable energy sources by offsetting part of the cost of installing solar panels. While Texas lacks a statewide solar tax credit or rebate program, many local utilities offer incentives. For example, Austin Energy provides a rebate of $2,500 and has a Value of Solar Tariff, paying $0.097 for every kilowatt-hour generated by your solar panels. CPS Energy offers a similar $2,500 rebate for solar installations, with an additional $500 for using locally sourced panels. Other local utilities and governments may offer similar incentives​​.
• Property Tax Exemption: Texas has a Renewable Energy Systems Property Tax Exemption on the added value of your home due to installed solar panels. This means you won't pay extra taxes despite the increased value of your home from the solar installation​​.
• Net Metering: Many Texas utilities offer net metering. This is a system by which you are credited for excess electricity generated by your solar panels, which is then fed back into the grid. Utilities with such policies include El Paso Electric, the City of Brenham, CPS Energy, and Green Mountain Energy​​.

What is the tax credit for solar in Texas?

The main tax credit for solar energy in Texas is the Federal Solar Tax Credit, also known as the Investment Tax Credit (ITC), or Residential Clean Energy Credit. This tax credit allows solar panel owners to reduce the costs of their solar energy system by 30%.

Taking the average costs of solar energy in Texas as a reference point, the tax credit lowers the price of a 2.8 kW system from $8,680 to $6,423 and an 8.4 kW system from $22,680 to $16,783, showcasing the considerable financial advantages of solar investment.

The Investment Tax Credit only applies to customers who purchase their PV system in its entirety, regardless of whether it’s a cash purchase or a loan. For the tax credit to be meaningful, the customer needs to have enough income unless they are tax-exempt, in which case they are eligible for a direct payment.

What restrictions and regulations on solar are in place in Texas?

There are a number of rules and regulations that govern the installation of solar panels for homeowners in Texas. One of the main restrictions is that in certain areas, such as Austin and San Antonio, homeowners can't choose their solar installer. Other restrictions derive from aesthetic guidelines, safety standards, and spatial requirements.

More information on the main Texan restrictions and regulations concerning solar are listed below.

• Fixed Energy Providers in Certain Cities: In sixteen Texan cities, including Austin and San Antonio accounting for 15% of all cities in the state of Texas, you can't choose who provides your solar energy provider. It is the local municipal utilities who make the choice for you. This makes solar less attractive because part of the benefit of solar is getting better rates from different providers.
• Aesthetic Guidelines: Homeowners and Property Owners' Associations (HOAs and POAs) in Texas are allowed to enforce rules to ensure that solar panels and related devices maintain a harmonious look within the community. This includes stipulations about the color of the solar devices, which are usually limited to silver, bronze, or black tones to keep a consistent aesthetic. Additionally, solar installations must align with the architectural integrity of the neighborhood, meaning that panels must not extend beyond the roofline, must match the slope of the roof, and be installed parallel to it.
• Safety Standards: Safety is another critical area where Homeowners and Property Owners' Associations impose restrictions in Texas. Installations must comply with all legal standards and not pose risks to public health and safety. Furthermore, the installation process must not void any existing warranties on the homeowner’s property. Through these requirements, HOAs and POAs ensure that not only are the solar panels safe, but they also do not compromise the structural integrity or safety of the building upon which they are installed.
• Spatial Requirements: The location and size of solar installations are often regulated in Texas. Solar panels are typically not allowed on common property areas within a subdivision unless there is an agreement permitting this. For ground-mounted solar devices, there are height restrictions to ensure they do not extend above the homeowner's fence line. Additionally, the placement of solar panels must respect certain spatial limitations to prevent them from being obtrusive or diminishing the quality of life for residents within the community.

What solar panels should I install in Texas?

The best solar panels for performance under Texas’ hot summer conditions are high-efficiency panels from Tier 1 manufacturers like QCells, REC, and SunPower. These high-performing panels ensure more consistent and reliable energy generation despite Texas’ famous heat. They are able to meet energy demands in Texas, making the most of the abundant sunlight in the region.

QCells utilizes Q.ANTUM technology, which enhances the capture of sunlight and reduces electrical losses, leading to higher energy yields. Some of the most popular QCells solar panels, such as the Q.TRON series, have efficiency rates up to 22% and a temperature coefficient as low as -0.34%/°C. The product warranty for QCells panels in Texas extends for 25 years, ensuring long-term reliability and performance​​​​. Their Q.PEAK DUO BLK-G10+ Series are highly regarded for their balance of efficiency and durability, making them one of the most reliable solar panels for Texas, where the hot temperatures are known to affect overall panel efficiency by 4%.

REC is recognized for its high-quality manufacturing and pioneering half-cut cell technology. Their latest series, like the Alpha Pure-R, exhibits efficiencies ranging from 19.1% to 22.3%. REC provides a substantial 25-year product and performance warranty, guaranteeing your system's durability and efficiency. Their panels are particularly known for their robust build and suitability for various environmental conditions, making them an excellent choice for the Texan climate​​​​​.

SunPower panels, which boast efficiencies between 20.3% and 23%, are some of the most popular modules in Texas. Despite being more expensive than Qcells and REC modules, they offer comprehensive 25-year warranties covering product, performance, and labor, ensuring top-tier system performance and customer satisfaction. For those who prioritize efficiency and long-term reliability over initial costs, SunPower is a solid choice. Their extensive dealer network across all 50 states ensures accessibility and installation services throughout Texas​​​​​​.

Is solar an efficient form of energy in Texas?

Yes, solar is an efficient form of energy in Texas. Solar energy contributed 6% to the Electric Reliability Council of Texas's energy generation in 2022, ranking it among the top for solar energy potential due to its many sunny days. The efficiency of solar energy in Texas is due to the state's abundant sunny days and efficient panel orientation. However, solar panel efficiency is known to decrease slightly during extremely hot temperatures, and regular cleaning and maintenance are crucial to maintain

The impact of weather conditions on solar efficiency in Texas is generally positive. The state's sunny climate means more direct sunlight hits the solar panels, leading to higher energy production. However, it's important to note that extreme temperatures sometimes reduce the efficiency of solar panels. The hot Texas summers occasionally lead to higher panel temperatures, which slightly decreases their efficiency by approximately 4%. Still, the loss is generally offset by the increased number of sunlight hours.

Panel orientation is key when it comes to maximizing solar energy efficiency. In Texas, solar panels should ideally be oriented south to capture the maximum amount of sunlight throughout the day. An angle of tilt approximately equal to the latitude of the installation location is generally recommended for fixed systems. This orientation helps ensure that panels receive direct sunlight for the longest possible duration each day.

Regarding cleaning and maintenance, keeping solar panels free of debris such as dust, leaves, and bird droppings is crucial for maintaining their efficiency. In Texas, where dust and pollen accumulate quickly, it's recommended to check and clean panels regularly. While rainfall naturally cleans the panels, during dry spells, a gentle cleaning with water and a non-abrasive sponge or cloth helps maintain their efficiency. It's important to perform regular inspections to ensure the panels are in good condition and that there are no issues with the mounting system or wiring.

How much of Texas' wider energy supply is generated from solar?

Texas currently generates approximately 5.82% of its energy supply from solar sources. This places Texas second in the United States for solar power capacity, trailing only behind California. Texas is experiencing a significant surge in solar energy development, poised to lead all states with an expected addition of around 40,000 Megawatts (MW) of solar power over the next five years, spearheading all states in solar energy expansion. Financially, the solar sector in Texas is buoyed by considerable investments, with the total reaching $27.8 billion, primarily allocated to support large-scale solar projects such as the Samson Solar Energy Center across Lamar, Red River, and Franklin Counties, and the Cutlass Solar Two Facility in Fort Bend County.

As of 2024, the extensive implementation of solar power in Texas has the capability to supply energy to over 2.6 million households. The robust expansion of the solar industry in the state is propelled by favorable geographical and economic factors, such as abundant sunlight, low land costs, and significant demand from heavily populated areas​​.

What major solar projects are underway or completed in Texas?

Several major solar projects have recently been completed or are currently underway in Texas, showcasing the state's commitment to renewable energy. These include the Maplewood and Maplewood 2 projects near Fort Stockton and McCamey, the Taygete Energy Project in Pecos County, the Old Jackson Solar project in Van Zandt County, the Samson Solar Energy Center across Lamar, Red River, and Franklin Counties, and the Cutlass Solar Two Facility in Fort Bend County. Together, these initiatives represent a significant increase in Texas's solar capacity, contributing to both local economic growth and the state's environmental goals.

More information on five of the most significant solar projects in Texas is given below.

• Maplewood and Maplewood 2: Situated in the western region of Texas, close to the towns of Fort Stockton and McCamey, the Maplewood and Maplewood 2 solar projects were established across approximately 2,200 acres of land, commencing operations in 2021. At present, Maplewood supplies 222 MWac/310 MWp of electricity to Anheuser-Busch through a 15-year power purchase agreement, whereas Maplewood 2 is set to provide 28 MWac/40 MWp to Energy Transfer under a similar 15-year arrangement. The project has created 400-500 construction jobs at peak activity. Today, Maplewood generates enough solar power to meet the energy needs of approximately 62,000 homes.
• Taygete Energy Project: The Taygete Energy Project, positioned in Pecos County, Texas, has become the largest solar initiative in the state with a capacity of 602 MWp spread over nearly 2,000 acres. Managed and developed by 7X Energy, the project became operational in the first half of 2021. The substantial volume of solar power generated through this project makes it a landmark achievement in Texas's renewable energy development.
• Old Jackson Solar: Situated in Van Zandt County, roughly an hour east of Dallas, the Old Jackson Solar project encompasses about 760 acres and boasts a capacity of 127 Megawatts (MW). This project, which was completed in 2021, brought both a significant economic boost to the area and renewable electricity. Old Jackson Solar contributes to the renewable energy shift in Texas and supports the region's environmental and economic goals.
• Samson Solar Energy Center: As part of Texas's ongoing leadership in energy innovation, the Samson Solar Energy Center, developed by Chicago's Invenergy, stands out as the largest solar farm in the nation with a $1.6 billion investment. Located across Lamar, Red River, and Franklin Counties in Northeast Texas, this 1,310-megawatt farm is being constructed in phases with construction completed by late 2023. Serving a wide range of corporate and municipal customers, including AT&T with a record-setting 500-megawatt capacity agreement, the project exemplifies Texas's significant role in America's transition to a more sustainable energy future.
• Cutlass Solar Two Facility in Fort Bend County: Bechtel has been contracted to construct a 272 MWdc solar facility for Sabanci Renewables in Southeast Texas. This project, representing Sabanci Renewables' first utility-scale solar venture in the U.S., is expected to commence conclude by mid-2024. It will provide sufficient zero-carbon solar energy to power around 40,000 homes in the Houston area, significantly reducing CO2 emissions.

What does the future of Solar look like in Texas?

The future of solar energy in Texas looks promising but faces some challenges. This includes the necessity for a balanced mix of renewable energy and traditional fossil fuels to ensure a reliable energy supply. Analysts forecast a positive trajectory, with global photovoltaic (PV) installations expected to increase substantially. They project a 16% growth in PV demand in Texas in 2024, followed by 12% in 2025, and 10% in 2026.

During peak summer periods, solar power has begun to supply nearly 20% of Texas's grid electricity, a testament to its growing impact. This trend is supported by the state's vast solar farms, primarily contributing to this surge in renewable energy production. As Texas faces hotter summers and rising power demands, the importance of solar and other renewables escalates, positioning them as critical components of the state's energy portfolio.

Despite promising solar figures in Texas, the path to a fully green grid is complex. The CEO of the Electric Reliability Council of Texas (ERCOT) emphasizes that a reliable and sustainable energy system in Texas must incorporate a mix of renewable resources alongside traditional fossil fuels to ensure continuous power supply, highlighting the vital role of both sectors in the state's energy future.

While utility-scale solar installations dominate Texas's landscape, rooftop solar remains underutilized, primarily due to economic factors such as high initial costs and insufficient incentives. Nonetheless, solar power's potential is undeniable, offering a cleaner alternative to traditional energy sources and contributing to the state's economic growth and environmental goals.

Does Texas offer free solar panels?

No, Texas does not offer free solar panels. However, the state offers various incentives that significantly reduce the cost and increase the affordability of solar systems. These include local utility rebates, tax exemptions to prevent increases in property taxes due to solar installations, and a net metering system that credits homeowners for surplus energy produced. After considering these local incentives, the installation cost becomes generally lower than the national average. Additionally, there is a federal solar tax credit available, allowing for a 30% deduction from the total cost of the solar energy system on federal taxes, further offsetting the initial investment. These incentives collectively make solar installations more financially accessible to Texas residents.

Does purchasing solar in Texas increase the value of your home?

Yes, purchasing solar panels in Texas typically leads to an increase in the value of your home, with an average property value boost of 4.1%. This increase equates to approximately $12,141 for the average Texas home valued at $296,127. Such an enhancement in home value is particularly significant in urban areas like Dallas, Fort Worth, Houston, and San Antonio, where market prices are higher. Additionally, Texas offers tax exemptions for solar users, meaning that the increased home value from the solar installation won't lead to higher property taxes. This makes solar investment even more appealing to homeowners in the state.