Table of Contents
- How much do solar panels in Texas cost?
- Solar panel pricing vs electricity costs in Texas
- Average solar panel costs by system size in Texas
- Current solar incentives & rebates in Texas
- Is Texas good for solar?
- What not having solar panels in Texas will cost you
- What does the cost of solar panels in Texas depend on?
- Solar panel cost FAQs for Texas
How much do solar panels in Texas cost?
Going solar in the month of November, 2024 in Texas averages out to $3.04/W.
You should expect the price to be $3,040, on average, for every 1 kW (or 1000 watts) of solar energy your solar panel system can produce. A 5 kW panel install in Texas will typically cost you $10,640 after the 30% federal tax credit. Your energy consumption levels might require a larger system.
Solar panel pricing vs electricity costs in Texas
Across Texas, the average electric bill for an energy user is $164.58, with an average monthly usage of 1,121kWh. Compact residences, including duplexes, are also reflected in the numbers cited in the prior sentence.
In November 2024, the electricity rate in Texas averages 14.68¢ per kWh.
The average electricity consumer in Texas has to have 9 kW or higher solar setup to take care of their full energy usage demands. Currently, 9 kW setup costs $19,152 after deducting the 30% federal income tax credit.
Average solar panel costs by system size in Texas
Presented below, you will find a price breakdown for multiple solar panel system sizes set up in Texas. Although a more extensive solar installation comes with a larger expense, it also provides greater electricity savings and higher income tax credits.
Check a cost benefit analysis in the solar panel cost calculator below and to the right, for an average electric bill of $164.58 in Texas. For more specific results, just swap the $164.58 with whatever your usual electricity bill is.
| System Size | Roof Size Min. space required | Electricity Value Annual Production | Est. Price |
|---|---|---|---|
| 5kW | 358 ft² | $1,215 a year | $10,640 |
| 6kW | 429 ft² | $1,458 a year | $12,768 |
| 7kW | 501 ft² | $1,701 a year | $14,896 |
| 8kW | 572 ft² | $1,944 a year | $17,024 |
| 9kW | 644 ft² | $2,187 a year | $19,152 |
Current solar incentives & rebates in Texas
For those looking into residential solar, the 30% federal income tax credit is offered to most people, which makes solar a feasible option in many states. In conjunction with federal efforts, state and local programs help to promote the use of solar power.
In Texas, 53 solar rebates and incentives are currently available from different utilities and government agencies.
Is Texas good for solar?
If you expect to own your residence longer than the solar system's payback period, solar panels are a smart investment in Texas. Installing a 5 kW solar system in Texas will, on average, save you $28,858.19 over 20 years, and you can expect to break even in about 5 years.
What not having solar panels in Texas will cost you
Not installing solar panels or any other backup energy system leads to missing the previously noted savings and full dependence on your electric utility for electricity. Recent news examples have shown that full reliance on your utility provider is not always ideal.
Over the past few years, customers in Texas have faced an average of 1.7 utility outages each year. On average, each outage lasts for 211.03 minutes. Major events like vandalism, aging infrastructure or wildfires can considerably extend these durations.
View the graphic below to see the number of current electricity customers without power in Texas.
With or without a backup battery, a solar panel system could ease the stress of future power disruptions you might experience.
What does the cost of solar panels in Texas depend on?
- Your Energy Needs
- Make & Model
- Solar Panel Type
- Your Property
- Labor Rates
- Permitting & Interconnection
Bigger solar panel systems are more expensive, but the cost per watt decreases as well. A larger system that can completely cover your typical electricity bill would lead to the biggest savings long-term.
Solar panel cost FAQs for Texas
What do solar panels cost in Texas?
The average solar panel installation cost in Texas is $3.04/W as of November 2024. The installation of a 5 kW solar panel system in Texas is estimated to cost $10,640 when including the federal tax incentives.
What incentives are available for solar in Texas?
There are 53 rebates and incentives in Texas through different utilities and government agencies, as well as a 30% federal income tax credit.
What solar financing options are available to me?
Paying with cash will be the cheapest option, but financing options for solar panels exist and will often be detailed in your initial quotes from providers.
Is it worth it to get solar panels in Texas?
Yes, on average, a 5 kW system in Texas will pay for itself in 5 years, and you'd save approximately $28,858.19 on electricity over 20 years.
Will Texas pay you to get solar panels?
No, but all U.S. residents can apply for a 30% federal income tax credit.
Can you get free solar panels in Texas?
No, but there are plenty of incentives, both federally and statewide that can make them affordable.