Cost report
Solar cost in Texas, 2026
Last updated May 5, 2026, based on May 2026 equipment pricing
Texas averages 5.2 peak sun hours per day at an average residential rate of 12¢ per kWh, escalating ~3.5% per year. A properly-sized 10 kW system in this state produces roughly 17,651 kWh in year one, about $2,118 of bill offset before any incentives.
What does a 10 kW system cost in Texas?
Three install paths, three price bands. Equipment cost is ~national; labor and permit cost vary by state.
Turnkey installer
$27,500–$35,000
$2.75–$3.50/W installed
Full-service: equipment + permits + design + installation + interconnect. One vendor, one warranty, two-day install.
Semi-DIY (recommended)
$15,000–$21,000
$1.50–$2.10/W landed
Homeowner sources equipment at wholesale, hires a licensed electrician for interconnect. Saves 30–50% vs. turnkey while keeping inspection sign-off.
Full DIY (equipment only)
$10,000–$14,500
$1.00–$1.45/W equipment
Equipment cost only, owner-builder install with electrician hired only for the line-side tap or main panel work. Allowed in this state.
Net metering & top utilities in Texas
Statewide net metering policy
Not available
No statewide net metering mandate. Some REPs offer buyback plans at varying rates. ERCOT deregulated market allows retail choice in most areas.
Oncor
~4¢/kWh average
Net metering: Not offered
CenterPoint Energy
~5.5¢/kWh average
Net metering: Not offered
Austin Energy
~10.54¢/kWh average
Net metering: net billing, ~9.91¢/kWh
CPS Energy
~12.5¢/kWh average
Net metering: avoided cost, ~4.5¢/kWh
State incentives in Texas
tax exemption
Property Tax Exemption
100% property tax exemption for the added value of a solar energy system
rebate
Austin Energy Solar Rebate
Austin Energy offers rebates up to $2,500 for residential solar installations within its service territory
rebate
CPS Energy Solar Rebate (San Antonio)
CPS Energy offers rebates up to $2,500 for residential solar installations
Permits & licensing
No state solar-specific license required. Licensed electrician required for electrical work. Local jurisdictions may require permits.
Varies by city/county. Most metro areas require building and electrical permits. SolarAPP+ adopted in some jurisdictions. ERCOT interconnection application required for grid-tied systems.
Owner-builder exemption: available
Methodology
Pricing reflects May 2026 wholesale equipment market data plus state-specific labor adjustments. Turnkey ranges are surveyed installer quotes; semi-DIY and DIY ranges assume sourcing from our equipment catalog with paid licensed-electrician interconnect. Production estimate uses 5.2 peak sun hours, 0.93 derating factor, and the state's 12¢/kWh average rate. These figures use standard derating, escalation, and TOU assumptions.