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EcoWatch is a community of experts publishing quality, science-based content on environmental issues, causes, and solutions for a healthier planet and life.

Two dozen prominent scientists from around the world have asked the UN to make environmental damage in conflict zones a war crime. The scientists published their open letter in the journal Nature.

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EcoWatch Daily Newsletter
Prince Harry, Duke of Sussex and Meghan, Duchess of Sussex, making her Royal Ascot debut, attend day one of Royal Ascot at Ascot Racecourse on June 19, 2018 in Ascot, England. Anwar Hussein / WireImage

The environment became the Duke and Duchess of Sussex's social cause for July. The royal couple announced on their official Instagram account that they would use the month to draw attention to people and organizations working to improve the environment and to fight the global climate crisis.

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CHBD / iStock / Getty Images

The sprawling size and sunny days of Texas make it one of the top states for solar energy. If you live in the Lone Star State and are interested in switching to a solar energy system, you may be wondering: What's the average solar panel cost in Texas?

In this article, we'll discuss the cost of solar panels in Texas, what factors affect pricing, Texas' solar incentives and more. Of course, the only way to know for sure how much you would pay to install a solar panel system on your roof is to receive a free, no-obligation quote from a top solar company near you. You can get started by filling out the quick form below.

How Much Do Solar Panels Cost in Texas?

Thanks to the growing investment in renewable energy technology statewide, homeowners now enjoy a below-average cost of solar in Texas. Based on market research and data from top brands, we've found the average cost of solar panels in Texas to be $2.69 per watt. This means a 5-kW system would cost around $9,953 after the federal solar tax credit. This is especially valuable when you take into account the unpredictable Texas energy rates.

Here's how that average calculates into the cost of the most common sizes of home solar panel systems:

Size of Solar Panel SystemTexas Solar Panel CostCost After Federal Tax Credit
5kW$13,450$9,953
6kW$16,140$11,944
7kW$18,830$13,934
8kW$21,520$15,925
9kW$24,210$17,915
10kW$26,900$19,906

Though this data reflects the statewide averages, you'll need to contact a solar installer near you to get an accurate quote for your home. Savvy customers will get free quotes from multiple companies and compare them to the state averages to make sure they receive the best value possible. Bear in mind that the biggest providers of solar won't always have the best prices.

What Determines the Cost of Solar Panels in Texas?

The main factor determining the cost of solar panel installations in Texas is the homeowner's energy needs. No two homes are the same, and installation costs will look far different for a home needing a basic 5kW system and a home needing 10kW with backup power capabilities. The solar financing and installation company a homeowner chooses will also affect a customer's overall solar costs in Texas. Here's how each factor comes into play:

Solar Equipment

Similar to phones, cars and other technology, solar products and system costs vary greatly based on their quality, scale and included features. Some customers may be satisfied with a modest array of affordable solar panels and inverters, while others may opt for a system with premium panels, full-home backup power and cutting-edge energy monitoring technology.

Solar Financing

The overall cost of solar depends significantly on how a customer chooses to finance their system. The three most common solar financing options include paying in cash, taking out a solar loan and solar leasing.

  • The most economical way to purchase solar, an upfront cash purchase provides the best long-term return on investment and the lowest overall cost.
  • Customers can choose to take out a solar loan to purchase the system outright and make monthly payments to repay the loan. The typical payback period for a solar loan averages around 10 years. Systems purchased with a loan are still eligible for the federal solar tax credit.
  • Signing a solar lease or power purchase agreement (PPA) allows a solar customer to rent solar panels from a company or third party. Though requiring the least amount of money upfront, solar leases provide the least amount of overall value. Also, solar leases aren't eligible for the federal tax credit, as the homeowner doesn't actually own the system.

Solar Installation Company

Texas has seen some of the strongest solar energy market growth over the last few years, and the SEIA reports that there are now nearly 600 solar companies based in Texas, and each is looking to expand its market share.

Price ranges can differ significantly based on the installer. Larger solar providers like Sunrun offer the advantage of solar leases and quick installations. Local providers, on the other hand, provide more personalization and competitive prices to undercut the biggest national companies.

Because of this, it's wise to get quotes from a few local and national installers and compare rates — because of the stiff competition between companies, you could end up saving several thousand dollars.

Texas Solar Incentives

For the most part, Texas taxes are administered by local governments. As a result, the state doesn't offer a large number of statewide solar-related policies, and incentives will depend more on the locality in which you live.

However, all homeowners in the state remain eligible for the federal solar tax credit, and there are some statewide local property tax exemptions for both photovoltaic solar and wind-powered renewable energy systems. Let's walk through how to find what incentives are available to you.

Federal Solar Tax Credit

All Texans can claim the federal solar investment tax credit, or ITC, for PV solar panels and energy storage systems. By claiming the ITC on your tax returns, the policy allows you to deduct 26% of the total cost of the solar system from the taxes you owe the federal government.

The tax credit is available to both residential and commercial system owners who have installed solar panels at any point since 2006. The credit is worth 26% through the end of 2022 and will drop to 22% in 2023. It is set to expire at the end of 2023 unless congress extends it.

Net Metering Policies in Texas

Net metering programs allow customers to sell unused solar energy back to their local utility company in exchange for credits that can be cashed in when panels aren't producing energy. Due to the energy bill savings, this incentive can greatly reduce the solar investment payback period.

As is true with most of Texas' solar rebates and incentives, there is not one net metering program that is offered throughout the entire state. Rather, your eligibility will depend on the policy of your local utility company or municipality. Most utilities in the state have a net metering policy, including American Electric Power (AEP), CPS Energy, Green Mountain Energy, El Paso Electric, TXU Energy in Dallas and more.

The rate at which your local utility will compensate for this excess energy will depend on your local policy, so we encourage you to look into the policy offered by your utility company.

Local Solar Rebates in Texas

In addition to identifying your local net metering program, look into any local rebates available to you. Homeowners who live in the top cities for solar in Texas, like Austin, San Marcos or Sunset Valley might have more luck than customers in other areas. The Database of State Incentives for Renewables & Efficiency has a full list of local rebates, solar loan programs and more.

FAQ: Solar Panel Cost Texas

Is it worth going solar in Texas?

Long, sunny days and below-average solar installation costs make Texas one of the best states in the U.S. for generating energy with solar panels. The ample sunshine provides more than enough energy for most families, serving up huge benefits to homes in Texas equipped with solar panels.

How much does it cost to install solar panels in Texas?

As of 2021, the average cost of solar panels in Texas is $2.69 per watt. This means a 5-kW system would cost around $9,953 after the federal solar tax credit. This is slightly below the national average due to the resource availability in Texas, current energy costs and the state's available sunlight. The best way to assess how much solar would cost you is to consult local providers near you for a free estimate.

Do solar panels increase home value in Texas?

Solar panels increase home value everywhere, but mostly in areas with generous net metering policies and solar rebates. As such, the proportion at which solar panels increase home value in Texas corresponds with the areas with the most solar-friendly policies.

How much do solar panels cost for a 2,500 sq foot house?

Though knowing the size of a house is helpful in determining how many solar panels could fit on its roof, the energy use of the house is the more important factor in determining solar panel cost in Texas. The higher your energy use, the greater your solar needs will be.

Karsten Neumeister is a writer and renewable energy specialist with a background in writing and the humanities. Before joining EcoWatch, Karsten worked in the energy sector of New Orleans, focusing on renewable energy policy and technology. A lover of music and the outdoors, Karsten might be found rock climbing, canoeing or writing songs when away from the workplace.

A spotted flycatcher rests in an olive tree.

By Jason Bittel

Imagine you're a redwing, a small, speckled bird in the thrush family. You weigh as little as two light bulbs, and yet each year you make a 2,300-mile journey from your summering grounds in Iceland to a winter refuge in Morocco. One night, you decide to stop off in an olive grove in Portugal to rest your weary wings.

Read More Show Less
Trending
JuanamariGonzalez / iStock / Getty Images

By Ansley Hill

Argan oil has been a culinary staple in Morocco for centuries — not only because of its subtle, nutty flavor but also its wide array of potential health benefits.

Read More Show Less
Coldest wind chill. Valid ending Feb. 1, 2019 at 12 a.m. CST. National Weather Service

The upper midwest is bracing for some dangerously cold weather this week. Wind chills are expected to reach levels not seen since the 1990s in parts of Illinois, Minnesota, Iowa, Wisconsin and the Dakotas, the National Weather Service predicted.

Temperatures will dip 20 to 40 degrees below average Tuesday through Thursday, and wind chill temperatures could hit -60 degrees in the upper Midwest and -55 in the upper Mississippi Valley, U.S. News and World Report reported.

Read More Show Less

Kateryna Shcherban / EyeEm / Getty Images

There's just something sublimely satisfying about dyeing your hair a vibrant shade of red in the middle of a cold, gray winter or bright blonde at the height of summer.

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Hoxton / Sam Edwards / Getty Images

By Danielle Nierenberg, Katherine Walla and Hayly Hoch

This holiday season, we're highlighting 12 children's books that will educate and inspire future eaters, food producers and innovators. From stories exploring community gardens and ugly vegetables, to tales about feeding a hungry stranger and slaying "the climate dragon," these books discuss deep topics in a personalized and fun way. Happy holidays!

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Trending
Even an increase of 2°C would cause significant sea level rise. pxhere

This past October, a widely disseminated United Nations report warned that far-reaching and significant climate impacts will already occur at 1.5˚C of warming by 2100.

But in a study released Tuesday, researchers determined that the current climate polices of governments around the world will push Earth towards 3.3˚C of warming. That's more than two times the aspirational 1.5˚C target adopted by nearly 200 nations under the 2015 Paris agreement.

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A woman carries fresh drinking water at Noyapara, Jamalpur, Bangladesh. Jamalpur is a northern district of Bangladesh surrounded by river Yamuna and Brahmaputra and very close to India's Assam border. Recent rising temperature melted the Meghalay and the Assam's water floats towards Bangladesh through Jamalpur. Yamuna's water level have crossed 118cm more than the danger line. At this moment, 400k people are displaced and floating in the water as there are no disaster refugee camp. Its hard to access, for what relief aren't available. If there is, there is a huge mismanagement from local government. Due to the scarcity of medical team, children's are facing water related disease. Anik Rahman / NurPhoto / Getty Images

The final draft of a UN compact on migration published July 11 recognized the existence of climate refugees specifically for the first time, The Thomson Reuters Foundation reported Thursday.

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Trending

By Andy Rowell

If Justin Trudeau didn't know before, he does now. If Canada's prime minister could blame ignorance before, he can't now.

Every day brings reports of new deaths and disasters as the intense heat wave which has gripped much of the Northern Hemisphere continues.

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Smoke billows from one of many petrochemical plants in Louisiana's "Cancer Alley" on Oct. 12, 2013. Giles Clarke / Getty Images

By Sharon Kelly

The petrochemical industry anticipates spending a total of over $200 billion on factories, pipelines, and other infrastructure in the U.S. that will rely on shale gas, the American Chemistry Council announced in September. Construction is already underway at many sites.

This building spree would dramatically expand the Gulf Coast's petrochemical corridor (known locally as "Cancer Alley")—and establish a new plastics and petrochemical belt across states like Ohio, Pennsylvania and West Virginia.

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Plastic bags pollute the Crocodile River in South Africa. JMK / GNU Free Documentation License

The theme for this year's World Environment Day, the world's largest environmental celebration which takes place June 5, is "Beat Plastic Pollution." In honor of the occasion, UN Environment released the first ever "state of plastics" report, tracking government action against plastic waste, a UN Environment press release reported.

Read More Show Less
EcoWatch is a community of experts publishing quality, science-based content on environmental issues, causes, and solutions for a healthier planet and life.

Two dozen prominent scientists from around the world have asked the UN to make environmental damage in conflict zones a war crime. The scientists published their open letter in the journal Nature.

Read More Show Less
EcoWatch Daily Newsletter
Prince Harry, Duke of Sussex and Meghan, Duchess of Sussex, making her Royal Ascot debut, attend day one of Royal Ascot at Ascot Racecourse on June 19, 2018 in Ascot, England. Anwar Hussein / WireImage

The environment became the Duke and Duchess of Sussex's social cause for July. The royal couple announced on their official Instagram account that they would use the month to draw attention to people and organizations working to improve the environment and to fight the global climate crisis.

Read More Show Less
CHBD / iStock / Getty Images

The sprawling size and sunny days of Texas make it one of the top states for solar energy. If you live in the Lone Star State and are interested in switching to a solar energy system, you may be wondering: What's the average solar panel cost in Texas?

In this article, we'll discuss the cost of solar panels in Texas, what factors affect pricing, Texas' solar incentives and more. Of course, the only way to know for sure how much you would pay to install a solar panel system on your roof is to receive a free, no-obligation quote from a top solar company near you. You can get started by filling out the quick form below.

How Much Do Solar Panels Cost in Texas?

Thanks to the growing investment in renewable energy technology statewide, homeowners now enjoy a below-average cost of solar in Texas. Based on market research and data from top brands, we've found the average cost of solar panels in Texas to be $2.69 per watt. This means a 5-kW system would cost around $9,953 after the federal solar tax credit. This is especially valuable when you take into account the unpredictable Texas energy rates.

Here's how that average calculates into the cost of the most common sizes of home solar panel systems:

Size of Solar Panel SystemTexas Solar Panel CostCost After Federal Tax Credit
5kW$13,450$9,953
6kW$16,140$11,944
7kW$18,830$13,934
8kW$21,520$15,925
9kW$24,210$17,915
10kW$26,900$19,906

Though this data reflects the statewide averages, you'll need to contact a solar installer near you to get an accurate quote for your home. Savvy customers will get free quotes from multiple companies and compare them to the state averages to make sure they receive the best value possible. Bear in mind that the biggest providers of solar won't always have the best prices.

What Determines the Cost of Solar Panels in Texas?

The main factor determining the cost of solar panel installations in Texas is the homeowner's energy needs. No two homes are the same, and installation costs will look far different for a home needing a basic 5kW system and a home needing 10kW with backup power capabilities. The solar financing and installation company a homeowner chooses will also affect a customer's overall solar costs in Texas. Here's how each factor comes into play:

Solar Equipment

Similar to phones, cars and other technology, solar products and system costs vary greatly based on their quality, scale and included features. Some customers may be satisfied with a modest array of affordable solar panels and inverters, while others may opt for a system with premium panels, full-home backup power and cutting-edge energy monitoring technology.

Solar Financing

The overall cost of solar depends significantly on how a customer chooses to finance their system. The three most common solar financing options include paying in cash, taking out a solar loan and solar leasing.

  • The most economical way to purchase solar, an upfront cash purchase provides the best long-term return on investment and the lowest overall cost.
  • Customers can choose to take out a solar loan to purchase the system outright and make monthly payments to repay the loan. The typical payback period for a solar loan averages around 10 years. Systems purchased with a loan are still eligible for the federal solar tax credit.
  • Signing a solar lease or power purchase agreement (PPA) allows a solar customer to rent solar panels from a company or third party. Though requiring the least amount of money upfront, solar leases provide the least amount of overall value. Also, solar leases aren't eligible for the federal tax credit, as the homeowner doesn't actually own the system.

Solar Installation Company

Texas has seen some of the strongest solar energy market growth over the last few years, and the SEIA reports that there are now nearly 600 solar companies based in Texas, and each is looking to expand its market share.

Price ranges can differ significantly based on the installer. Larger solar providers like Sunrun offer the advantage of solar leases and quick installations. Local providers, on the other hand, provide more personalization and competitive prices to undercut the biggest national companies.

Because of this, it's wise to get quotes from a few local and national installers and compare rates — because of the stiff competition between companies, you could end up saving several thousand dollars.

Texas Solar Incentives

For the most part, Texas taxes are administered by local governments. As a result, the state doesn't offer a large number of statewide solar-related policies, and incentives will depend more on the locality in which you live.

However, all homeowners in the state remain eligible for the federal solar tax credit, and there are some statewide local property tax exemptions for both photovoltaic solar and wind-powered renewable energy systems. Let's walk through how to find what incentives are available to you.

Federal Solar Tax Credit

All Texans can claim the federal solar investment tax credit, or ITC, for PV solar panels and energy storage systems. By claiming the ITC on your tax returns, the policy allows you to deduct 26% of the total cost of the solar system from the taxes you owe the federal government.

The tax credit is available to both residential and commercial system owners who have installed solar panels at any point since 2006. The credit is worth 26% through the end of 2022 and will drop to 22% in 2023. It is set to expire at the end of 2023 unless congress extends it.

Net Metering Policies in Texas

Net metering programs allow customers to sell unused solar energy back to their local utility company in exchange for credits that can be cashed in when panels aren't producing energy. Due to the energy bill savings, this incentive can greatly reduce the solar investment payback period.

As is true with most of Texas' solar rebates and incentives, there is not one net metering program that is offered throughout the entire state. Rather, your eligibility will depend on the policy of your local utility company or municipality. Most utilities in the state have a net metering policy, including American Electric Power (AEP), CPS Energy, Green Mountain Energy, El Paso Electric, TXU Energy in Dallas and more.

The rate at which your local utility will compensate for this excess energy will depend on your local policy, so we encourage you to look into the policy offered by your utility company.

Local Solar Rebates in Texas

In addition to identifying your local net metering program, look into any local rebates available to you. Homeowners who live in the top cities for solar in Texas, like Austin, San Marcos or Sunset Valley might have more luck than customers in other areas. The Database of State Incentives for Renewables & Efficiency has a full list of local rebates, solar loan programs and more.

FAQ: Solar Panel Cost Texas

Is it worth going solar in Texas?

Long, sunny days and below-average solar installation costs make Texas one of the best states in the U.S. for generating energy with solar panels. The ample sunshine provides more than enough energy for most families, serving up huge benefits to homes in Texas equipped with solar panels.

How much does it cost to install solar panels in Texas?

As of 2021, the average cost of solar panels in Texas is $2.69 per watt. This means a 5-kW system would cost around $9,953 after the federal solar tax credit. This is slightly below the national average due to the resource availability in Texas, current energy costs and the state's available sunlight. The best way to assess how much solar would cost you is to consult local providers near you for a free estimate.

Do solar panels increase home value in Texas?

Solar panels increase home value everywhere, but mostly in areas with generous net metering policies and solar rebates. As such, the proportion at which solar panels increase home value in Texas corresponds with the areas with the most solar-friendly policies.

How much do solar panels cost for a 2,500 sq foot house?

Though knowing the size of a house is helpful in determining how many solar panels could fit on its roof, the energy use of the house is the more important factor in determining solar panel cost in Texas. The higher your energy use, the greater your solar needs will be.

Karsten Neumeister is a writer and renewable energy specialist with a background in writing and the humanities. Before joining EcoWatch, Karsten worked in the energy sector of New Orleans, focusing on renewable energy policy and technology. A lover of music and the outdoors, Karsten might be found rock climbing, canoeing or writing songs when away from the workplace.

A spotted flycatcher rests in an olive tree.

By Jason Bittel

Imagine you're a redwing, a small, speckled bird in the thrush family. You weigh as little as two light bulbs, and yet each year you make a 2,300-mile journey from your summering grounds in Iceland to a winter refuge in Morocco. One night, you decide to stop off in an olive grove in Portugal to rest your weary wings.

Read More Show Less
Trending
JuanamariGonzalez / iStock / Getty Images

By Ansley Hill

Argan oil has been a culinary staple in Morocco for centuries — not only because of its subtle, nutty flavor but also its wide array of potential health benefits.

Read More Show Less
Coldest wind chill. Valid ending Feb. 1, 2019 at 12 a.m. CST. National Weather Service

The upper midwest is bracing for some dangerously cold weather this week. Wind chills are expected to reach levels not seen since the 1990s in parts of Illinois, Minnesota, Iowa, Wisconsin and the Dakotas, the National Weather Service predicted.

Temperatures will dip 20 to 40 degrees below average Tuesday through Thursday, and wind chill temperatures could hit -60 degrees in the upper Midwest and -55 in the upper Mississippi Valley, U.S. News and World Report reported.

Read More Show Less