What if I told you there’s a way to get paid to install a solar system? Well, Texas solar incentives do just that. While all of these aren’t cash rewards, they can save you money and put cash back in your pocket! Solar incentives were created to encourage residents to switch to solar. If you’re a lower- or moderate-income home, these could mean a lot for you. Incentives can decrease the initial investment you’ll have to make. In this article, I explain what solar incentives you could qualify for if you live in Texas. I also give my take on whether they’re worth it.
What Solar Incentives Are There In Texas?
Texas offers quite a few solar incentives for residents considering the switch. Here’s what you could qualify for:
Texas Net Metering Solar Incentive
Some Texas utilities offer a net metering incentive. You can take advantage of this if you fall under CPS Energy, Energy, The City of Brenham, El Paso Electric, or Green Mountain Energy.
Net metering affords you a discount on your next utility bill if your solar panels generate more energy than you use and it is pumped back into the grid. You can also store excess energy and use them when the sun’s not out. This will reduce your grid energy usage and allow you to save.
Texas Federal Tax Credit For Solar Photovoltaics
The federal government offers a massive incentive for installing solar systems. If you install a brand-new system in the next ten years, anytime between 2022 and 2032, you can get a significant tax credit. You can get a discount on your income tax equal to 30% of the total cost of your solar system. If your solar system costs $16,000, you’ll get a tax discount of a whopping $4,800!
After 2032, this percentage will decrease. You need to act fast if you want in! The discount residents will qualify for is estimated at 26% in 2033 and 22% in 2034.
Texas Renewable Energy Systems Property Tax Exemption
Installing solar panels is expensive. Luckily they increase property value. But this comes with higher property taxes. To ensure higher property taxes don’t hinder residents from switching to solar, Texas offers a property tax exemption. You won’t have to worry about paying any extra property taxes.
Texas Solar Rebate Programs
Texas doesn’t offer special incentives that apply to the entire state. However, there are some cities and utilities that provide solar incentives.
Austin: The city provides a $2,500 reward for installing solar systems. You qualify for this rebate if you have the panels installed at your residence and complete a short course on solar education.
CPS Energy: If you’re a CPS Energy customer, you can get paid $2,500 to install solar panels on your roof. They will even add an extra $500 if the panels are from a local supplier.
Austin Energy’s Value of Solar Tariff
This incentive is exclusively applicable to Austin Energy customers. They pay a small amount for every kWh your solar system can generate. You can make up to $0.097 for every kWh of solar capacity.
How Much Does Solar Power Cost In Texas?
Texas is one of the states with the most reasonable solar prices. It has the 7th lowest prices in the US, making only six other states cheaper than the Lone Star state. You can expect to pay an average of around $2.76 per wattage of solar capacity. This is very little compared to the high prices in some other states that can go up to $4 per watt.
Many factors influence the price of your solar system. These include the location, capacity, quality, and supplier profits. You can use a solar calculator to establish how much solar power you’ll need to power your entire household.There are small 3kWh systems available, starting at $8,200. 5kWh solar systems cost an average of $13,800, and 6kWh just a little more, at an average price of $16,560. Solar systems with a capacity of 10kWh are the most expensive. You can expect to pay more than $27,000 for one of these.
Are Texas Solar Incentives Worth It?
The government and the Department of Energy in Texas have developed some beneficial solar incentives. These aim to motivate you to go solar. You might think it’s crazy that the government will reward you for using less of their energy. But in the end, you’re doing them a favor. While they lose money when your energy bill decreases, they gain much more. Providing power to your home will no longer be as much of a burden on them. The state will also be greener.
Texas solar incentives are worth it. State residents agree. Currently, Texas is 2nd on the list of the best solar states in the US. The small savings you get from each incentive you qualify for adds up. This can make the large investment seems lighter. Incentives help you buy solar power without having to save up for years.
Texas Solar Rights Law
The Lone Star government recently implemented a beneficial new law that acts as a solar incentive. Previously, your local Homeowners Association could easily prohibit you from installing solar panels on your roof.
They could use a lot of complicated jargon to stop you. Luckily, that’s changed. The new law states that they can’t prevent you from installing solar panels on your roof. There are only a few exceptions. These include putting animals or citizens in danger. They can also stop you if your panels are illegally sourced.
Get Started on Your Solar Journey!
The gap in solar ownership is closing thanks to solar incentives. If you’ve been considering making the switch, now is the time. Call your local department of energy to find out for which incentives you qualify. You could decrease your initial investment while setting yourself up for a lifetime of energy savings. I hope this article was helpful. If you have more questions, ask them in the comments below and if you want to learn more about solar incentives in the US check out our articles on Federal solar incentive, and Oregon solar incentives.