Cost of solar in Austin, TX

Electricity Consumption in Austin

Electricity Consumption by Texas residents averages 1168 kWh per month. It ranks #13 in the nation for savings from installing solar panels on the home.

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Solar power in Austin, Texas

In recent years as the price of solar has fallen and electricity prices have soared it’s made more and more sense for Austin homeowners to install solar. Rebates and tax credits alongside a great net metering program has made solar more affordable and a better investment than ever before.

Which Austin utilities provide solar rebates?

Austin Energy and TXU both provide a solar rebate program, exact amounts are as follows.

 

Utility

Rebate amount 

Max. Incentive

Austin Energy

$2,500

$2,500

TXU

$2,000 - $5,000

$5,000



Solar systems installed in Austin Energy’s service area must be at least 3kW AC and systems installed as a TXU customer must use SunPower panels to receive a rebate.

Unfortunately PEC don’t offer any rebates for installing a solar system however, the recent decrease in the cost of solar has meant that such rebates aren’t necessary and should be seen more so as a bonus.

What is net metering?

Your solar system will likely produce more energy than what can be used in your home, net metering allows for that excess energy to be sold to your utility and credited per kWh at the retail rate you pay for power.

Net metering allows the excess solar energy produced during the day to offset your usage at night to wipe out or greatly reduce your power bill.

Am I eligible to receive net metering?

Unlike most states utilities in Texas aren’t required by law to provide net metering luckily, a lot of utilities still do. PEC and TXU both provide net metering to their solar customers and Austin energy credit energy sold to them at 9.7¢/kWh which is essentially retail rates.

What if I export more energy to the grid than I consume?

PEC will value excess solar generation after covering your usage for the month at $0.0465 per kWh. TXU will carry credit forward month to month still at retail value however, remaining credit at the end of the yearly billing cycle will not be compensated.

What other incentives are available to Austin solar customers?

Anyone in America with a federal tax liability can claim 30% of the cost of their solar system as a deduction to their federal income taxes under the 30% federal solar tax credit.

How much do solar panels cost in Austin?

As of the beginning of 2018 the average price of a residential solar system in Austin is $3.12 per watt which puts an average 6kW system at $18,720 before any rebates or incentives. Assuming you’re an Austin energy customer after claiming both incentives the total cost of a 6kW system would be $11,354.

Solar systems in Austin take only 7-8 years to pay for themselves in utility savings. For a free and accurate estimate on the costs and savings of a solar system in Austin enter your zip code below.

Even if you are not convinced about solar we recommend that at the very least you use the solar panel calculator to find out:

 

Estimate your solar savings

 

Solar power in Texas

The average cost of installing residential solar panels in Austin, Texas in 2018 is $3.56 per watt. The average system size in the US is 6 kilowatts, which means the average price of a solar system in Austin, TX is $17,800. (before claiming 30% tax credit and other rebates)

What does the cost of a real solar system look like?

Facts about installing a 7.65kW solar system in Austin, TX

This system would offset 100% of your energy usage if your typical monthly bill is $124, however your situation may vary so try our solar calculator to get a result tailored to you.

$16,350

Net cost of system
Cash - after 30% solar tax credit

9 Years 1 Month

Average payback time

10,405
kWh

Annual power production


/kWh

levilized cost of solar energy

25¢
/kWh

If you don't get solar
The forecast average utility price over the next 25 years

Cash flow graph based on cash purchase of this 7.65kW system

Life-time savings on this system over the next 25 years

$42,551

(Prices shown after repayments of capital)

 


 

Solar companies in Austin, TX that provide pricing through the Solar-Estimate marketplace

62

 


Solar calculator and quote comparison tool

Average total cost of solar panel installation in Texas

System Size Cash purchase
After 30% solar tax credit
Financed purchase
After 30% solar tax credit
3kw $8,190 $8,845
4kw $10,612 $11,461
5kw $12,880 $13,910
6kw $14,952 $16,148
7kw $16,905 $18,257
8kw $18,704 $20,200
9kw $20,349 $21,977
10kw $21,840 $23,587

 

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Going solar in Texas

Check out all of the ways energy providers of Texas can help you be more energy efficient and save money.

The following programs are available:
Find your local rebates and incentives

Please keep in mind that the best source of up-to-date information on incentives are the solar installers who specialize in your area.