Texas solar incentives
Texas solar incentives, by utility
The 30% federal Residential Clean Energy Credit ended on December 31, 2025. What remains in Texas is the statewide property tax exemption on solar-added home value, plus local utility programs: Austin Energy's rebate and Value of Solar credit, CPS Energy's net billing, and solar buyback plans from retail providers in deregulated markets like DFW, Houston, and the Permian Basin.
The federal credit ended December 31, 2025
The Residential Clean Energy Credit, commonly called the 30% federal solar tax credit, was ended by the Trump Administration. Systems placed in service after December 31, 2025 cannot claim it. Any website still promising you 30% back is out of date, and any installer quoting a price that assumes it is quoting you a number that will not hold.
Statewide: the Texas property tax exemption
Texas Tax Code section 11.27 exempts the value a solar energy device adds to your home from property taxation. In practical terms, your home is worth more with an owned solar system, and your county appraisal district cannot tax you on that added value. This applies everywhere in Texas and is claimed through your appraisal district.
There is no statewide net metering in Texas
Unlike many states, Texas does not mandate net metering. What you get for exported power depends entirely on your utility or, in deregulated areas, the retail plan you choose. This is the single most misunderstood part of Texas solar, and it is why two identical systems in different cities can produce very different bill savings.
Program by market
Lubbock
Lubbock Power & Light · South Plains Electric Co-op
- Texas property tax exemption: The added home value from your solar system is exempt from Texas property taxes (Tax Code §11.27).
- No state sales tax on the system value increase: Texas does not tax the appraised value solar adds to your home.
- Local utility interconnection: LP&L and South Plains Electric Co-op both offer residential interconnection; we handle the paperwork.
DFW Metroplex
Oncor delivery · Retail providers with buyback plans
- Texas property tax exemption: Solar-added home value is exempt from property tax statewide.
- Retail solar buyback plans: In the deregulated DFW market you can switch to a plan that credits exported kWh. We help you compare.
- Oncor interconnection: We file the Oncor interconnection agreement and coordinate the meter swap.
Austin
Austin Energy · Pedernales Electric Co-op
- Austin Energy solar rebate: Austin Energy offers a residential rebate for customers who complete a solar education course. Amounts change yearly — we confirm the current figure on your quote.
- Austin Energy Value of Solar credit: Every kWh your system produces earns a bill credit at the published Value of Solar rate.
- Texas property tax exemption: No property tax on the value your system adds.
Houston
CenterPoint Energy delivery · Retail providers with buyback plans
- Texas property tax exemption: Solar-added home value is exempt from property tax.
- Retail solar buyback plans: Choose a Houston-area retail plan that pays for exported solar.
- CenterPoint interconnection: We handle CenterPoint's distributed generation application end to end.
San Antonio
CPS Energy
- CPS Energy solar programs: CPS Energy runs residential solar incentive and net-billing programs. Availability and amounts change — we verify current terms on your quote.
- Texas property tax exemption: No property tax on the value solar adds to your home.
Abilene
AEP Texas delivery · Taylor Electric Co-op
- Texas property tax exemption: The value solar adds to your home isn't taxed.
- Co-op and retail buyback options: Depending on your provider, exported solar may earn a credit. We check before we quote.
Amarillo
Xcel Energy (Southwestern Public Service)
- Texas property tax exemption: Solar-added home value is exempt from Texas property tax.
- Xcel Energy interconnection: We file the Xcel/SPS interconnection and net-metering paperwork for you.
Midland/Odessa
Oncor delivery · Retail providers with buyback plans
- Texas property tax exemption: Solar-added home value is exempt from Texas property tax.
- Retail solar buyback plans: The Permian Basin is deregulated, so you can choose a retail plan that credits exported solar. We help you compare.
- Oncor interconnection: We file the Oncor distributed generation paperwork and coordinate the meter swap.
Why we verify rather than publish
Utility program amounts and terms change, sometimes annually. We confirm the current figures with your utility and put them in writing on your quote, so you are deciding on real numbers rather than a summary that was accurate last year.
Related reading: what drives the cost of solar in Texas and how the installation process works.
Common questions
Is the 30% federal solar tax credit still available in 2026?
No. The Residential Clean Energy Credit was ended by the Trump Administration and does not apply to systems placed in service after December 31, 2025.
Does Texas have a statewide solar rebate?
No. Texas has no statewide solar rebate. Incentives here are local — municipal utilities like Austin Energy and CPS Energy run their own programs, and some co-ops and retail providers offer buyback credits.
Will solar panels raise my property taxes in Texas?
No. Texas Tax Code section 11.27 exempts the added home value from a solar energy device from property taxation, so you get the value without the tax increase.
Do Texas utilities pay for excess solar power?
It varies. Austin Energy credits production at a published Value of Solar rate, CPS Energy runs net billing, and in deregulated markets you choose a retail plan with solar buyback. There is no statewide net metering mandate.
How do I find out which incentives apply to my address?
Your electricity bill names your delivery utility, which determines the program. We confirm the current terms in writing on your quote rather than relying on published summaries that go stale.
Get a straight answer for your home
Every Texas roof, utility, and bill is different. Call or text 806-454-7873 or send us your details for a free consultation.
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