Solar in Texas: companies, incentives, net metering and cost
I counted 8,063 home solar systems in utility records across 2 Texas cities I cover. Pick a city to see which companies installed them, or read on for Texas incentives, export credits, prices and payback in 2026.
| City | Systems (years) | Companies with 30+ systems | Most active | Utilities | kWh a year per kW |
|---|---|---|---|---|---|
| San Antonio | 6,676 (2022–2024) | 30 | Pure Energy Ca | CPS Energy | 1,503 |
| Austin | 1,387 (2022–2024) | 10 | Freedom Solar | Austin Energy | 1,483 |
Net metering in Texas: what utilities pay for exported power
No statewide net metering rule; export compensation is set by each utility. CPS Energy is a municipal utility outside the competitive market.
| Utility | Program | Credit | Source |
|---|---|---|---|
| Austin Energy | Value of Solar Rider (all production credited, charges for all consumption) | $0.0991/kWh | tariff |
| CPS Energy | Rider E5 net metering (monthly netting kWh for kWh; Net Excess Generation credited at CPS avoided energy cost, carried forward, no cash payout) | no single rate | tariff (CPS Energy Distributed Energy Resources team (distributedenergyresources@cpsenergy.com), email reply 2026-09-14 with attachments Rider_E5.pdf and Solar_Billing_Facts_22025_ADA.pdf; copies in projects/solar-seo/research/cps-2026-09-14/) |
Texas solar incentives and tax credits in 2026
- Federal tax credit: the 30% Residential Clean Energy Credit is not available for property placed in service after December 31, 2025 (IRS). What changed.
- State tax credit: Texas has no state income tax credit for home solar. Utility and low-income programs change often — check your utility before you sign.
- Property tax: Tax Code Section 11.27: exemption of the appraised value added by a solar energy device primarily for production and distribution of energy for on-site use; apply to the county appraisal district with Form 50-123 between January 1 and April 30.
- Austin Energy rebate: $4,000 for systems above 3 kW — conditions on the Austin page.
How much do solar panels cost in Texas?
Average quoted prices before incentives in the Texas cities I cover, and what that means for a 7 kW system:
| City | Price per watt | 7 kW system | Source, updated |
|---|---|---|---|
| San Antonio | $2.20/W | $15,400 | EnergySage, 2026-09-04 |
| Austin | $2.25/W | $15,750 | EnergySage, 2026-09-04 |
Is solar worth it in Texas without the federal credit?
Payback for a 7 kW system bought with cash, from each utility's current rate and export credit. No federal credit is assumed. How I calculate.
| City | Utility | Net cost | Bill savings, year 1 | Payback |
|---|---|---|---|---|
| Austin | Austin Energy | $11,750 | $1,342 | 8.8 years |
Your payback depends on your bill and utility. Enter your ZIP for your own numbers:
More Texas companies by systems installed: Texas solar installers (18).
Checked on 2026-09-14. How I calculate.
Have a quote already?
Check its price per watt and payback against your utility's current rates.