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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.
The Revelator

By John R. Platt

It's a dirty world out there — but it doesn't have to be.

That message rings out from a slate of important new books covering the fight against various pollutants around the world. They examine everything from pesticides to air pollution and from mining waste to the trash that accumulates all around us. Along the way these books shine a light on some bigger stories — like our food system and human effects on complex ecosystems. They also dive deep into the racism, indifference, greed and ignorance that allow these toxic compounds to flourish in our world and in our bodies.

Read More Show Less
EcoWatch Daily Newsletter
Nighttime in Primrose Hill park, London, England. stockinasia / iStock / Getty Images Plus

Scientists have grown increasingly alarmed about the decline in insect populations worldwide. While some causes — like pesticide use, habitat loss and the climate crisis — are clear, other potential factors, like artificial light at night (ALAN), are more nebulous.

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.

Solid waste landfills, like this one in southern California, are one of the major potential sources of PFAS in drinking and surface water in the U.S. dlinca / iStock / Getty Images Plus

Is your drinking water contaminated with toxic forever chemicals?

A new study published in a special issue of the American Water Works Association Water Science journal Tuesday found that there were nearly 42,000 potential sources of per- and polyfluoroalkyl substances (PFAS) pollution that could contaminate surface water or drinking water in the U.S.

Read More Show Less
Trending
Destruction from the Dixie Fire in Greenville, California on Aug. 7, 2021. Mel Melcon / Los Angeles Times via Getty Images

Smoke from wildfires can make people more susceptible to catching COVID – and dying from it.

Read More Show Less
Discarded food and beverage packaging. Jasmin Sessler / Unsplash
  • A new campaign draws attention to the fact that Starbucks cups are not truly recyclable due to a coating of polyethylene plastic on the inside of the cup.
  • Starbucks has made several pledges to produce recyclable cups dating back to 2008 — but its cups are still unable to be recycled economically.
  • Solutions already exist for fully recyclable cups, including a coating for paperboard barrier packaging that uses 40-51% less plastic.

When you order your Venti-sized espresso macchiato at Starbucks, it will arrive in what looks and feels like a cardboard cup topped with a plastic lid. After you finish your drink, you might think about dumping your cup into a paper recycling bin. But you shouldn't. Starbucks cups are actually lined with polyethylene plastic coating that makes it nearly impossible to recycle, experts say.

Read More Show Less
Seagrass beds serve a variety of planetary functions, including habitat and food. Should a location become unbearably noisy, such plants could be harmed more than other creatures because they cannot simply leave. Jeff Hester / Ocean Image Bank

Human-created noise pollution is altering seagrass beds on a cellular level and causing them to uproot themselves. This could have dire effects on marine ecosystem health, water quality, shoreline stabilization and the climate crisis.

Read More Show Less
Smoke from wildfires on the west coast made its way across the country to New York City on July 20, 2021. ED JONES / AFP via Getty Images
What happens in the West definitely is not staying there as smoke from wildfires fueled by climate change blankets the Eastern U.S. with dangerous air pollution.
Read More Show Less
Trending
Portland, Oregon in September 2020, when wildfire smoke made it the most polluted city in the world. ROBYN BECK / AFP via Getty Images

Weeks after smoke from wildfires spread from coast to coast, Google announced that it is adding air quality data to its Nest Hubs display.

Read More Show Less
A plastic Coca-Cola bottle on the beach in Plymouth, England. Matt Cardy / Getty Images

Coca-Cola is once again the brand name most likely to show up on trash collected from UK beaches, the latest installment in a yearly analysis has shown.

Read More Show Less
Trending
Leonard Ortiz / Digital First Media / Orange County Register via Getty Images

By Jenna McGuire

While celebrated as a climate victory by the Biden administration, the large infrastructure bill passed in the U.S. Senate this week includes billions of dollars of funding toward "blue hydrogen," which new research published Thursday finds is more polluting than coal.

The $550 billion bipartisan infrastructure package passed Tuesday includes $8 billion to develop "clean hydrogen" via the creation of four regional hubs.

Read More Show Less
Sea Threads was inspired by community beach cleanups. Sea Threads

Pound-for-pound, Sea Threads is making a difference for our ocean ー literally. The new clothing venture is the first to make clothing from 100% Certified Ocean Plastic, with each performance shirt made from one pound of plastics pulled out of our ocean.

Read More Show Less
A coal power plant on the River Rouge, Michigan on Aug. 6, 2020. FracTrackerAlliance / Flickr

The U.S. Environmental Protection Agency (EPA) announced Monday it is kicking off a new rulemaking process to pass stricter requirements for how coal power plants dispose of wastewater, undoing a major rollback implemented in the last year of the Trump administration.

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.
The Revelator

By John R. Platt

It's a dirty world out there — but it doesn't have to be.

That message rings out from a slate of important new books covering the fight against various pollutants around the world. They examine everything from pesticides to air pollution and from mining waste to the trash that accumulates all around us. Along the way these books shine a light on some bigger stories — like our food system and human effects on complex ecosystems. They also dive deep into the racism, indifference, greed and ignorance that allow these toxic compounds to flourish in our world and in our bodies.

Read More Show Less
EcoWatch Daily Newsletter
Nighttime in Primrose Hill park, London, England. stockinasia / iStock / Getty Images Plus

Scientists have grown increasingly alarmed about the decline in insect populations worldwide. While some causes — like pesticide use, habitat loss and the climate crisis — are clear, other potential factors, like artificial light at night (ALAN), are more nebulous.

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.

Solid waste landfills, like this one in southern California, are one of the major potential sources of PFAS in drinking and surface water in the U.S. dlinca / iStock / Getty Images Plus

Is your drinking water contaminated with toxic forever chemicals?

A new study published in a special issue of the American Water Works Association Water Science journal Tuesday found that there were nearly 42,000 potential sources of per- and polyfluoroalkyl substances (PFAS) pollution that could contaminate surface water or drinking water in the U.S.

Read More Show Less
Trending
Destruction from the Dixie Fire in Greenville, California on Aug. 7, 2021. Mel Melcon / Los Angeles Times via Getty Images

Smoke from wildfires can make people more susceptible to catching COVID – and dying from it.

Read More Show Less
Discarded food and beverage packaging. Jasmin Sessler / Unsplash
  • A new campaign draws attention to the fact that Starbucks cups are not truly recyclable due to a coating of polyethylene plastic on the inside of the cup.
  • Starbucks has made several pledges to produce recyclable cups dating back to 2008 — but its cups are still unable to be recycled economically.
  • Solutions already exist for fully recyclable cups, including a coating for paperboard barrier packaging that uses 40-51% less plastic.

When you order your Venti-sized espresso macchiato at Starbucks, it will arrive in what looks and feels like a cardboard cup topped with a plastic lid. After you finish your drink, you might think about dumping your cup into a paper recycling bin. But you shouldn't. Starbucks cups are actually lined with polyethylene plastic coating that makes it nearly impossible to recycle, experts say.

Read More Show Less
Seagrass beds serve a variety of planetary functions, including habitat and food. Should a location become unbearably noisy, such plants could be harmed more than other creatures because they cannot simply leave. Jeff Hester / Ocean Image Bank

Human-created noise pollution is altering seagrass beds on a cellular level and causing them to uproot themselves. This could have dire effects on marine ecosystem health, water quality, shoreline stabilization and the climate crisis.

Read More Show Less
Smoke from wildfires on the west coast made its way across the country to New York City on July 20, 2021. ED JONES / AFP via Getty Images
What happens in the West definitely is not staying there as smoke from wildfires fueled by climate change blankets the Eastern U.S. with dangerous air pollution.
Read More Show Less
Trending
Portland, Oregon in September 2020, when wildfire smoke made it the most polluted city in the world. ROBYN BECK / AFP via Getty Images

Weeks after smoke from wildfires spread from coast to coast, Google announced that it is adding air quality data to its Nest Hubs display.

Read More Show Less
A plastic Coca-Cola bottle on the beach in Plymouth, England. Matt Cardy / Getty Images

Coca-Cola is once again the brand name most likely to show up on trash collected from UK beaches, the latest installment in a yearly analysis has shown.

Read More Show Less
Trending