Solar Panel Savings in Texas

Texas gets 5.5 peak sun hours per day with electricity at 14¢/kWh. See how much you can save with solar panels.

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Avg Sun Hours/Day
5.5
Electricity Rate
14¢/kWh
Solar Cost
$2.55/W
State Incentive
0%

Solar Panel Cost & Savings by System Size in Texas

System SizeGross CostAfter CreditsPayback25-Year SavingsAnnual kWh
6 kW$15,300$10,7105.5 yrs$53,94312,045
8 kW$20,400$14,2807.2 yrs$51,34716,060
10 kW$25,500$17,8508.8 yrs$47,77720,075
12 kW$30,600$21,42010.3 yrs$44,20724,090

Includes 30% federal ITC + 0% Texas state credit. Assumes 3% annual electricity rate increase and 0.5% panel degradation.

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Texas Solar Incentives

Federal ITC (2026)30% of system cost
Texas State Credit0%
Combined savings (8kW)$6,120
Net system cost (8kW)$14,280

Texas Energy Profile

Avg Electricity Rate14¢/kWh
Avg Gas Price$3.05/gal
Avg Annual Electric Bill$1,800
Peak Sun Hours/Day5.5 hrs

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Is Solar Worth It in Texas?

Texas averages 5.5 peak sun hours per day, which means an 8 kW solar system would produce approximately 16,060 kWh per year. At the state's average electricity rate of 14¢/kWh, that translates to significant annual savings on your electric bill.

With the federal 30% Investment Tax Credit and Texas's 0% state incentive, an 8 kW system costing $20,400 drops to just $14,280 after credits — with a payback period of approximately 7.2 years.

Over 25 years, homeowners in Texas can expect to save $51,347 with an 8 kW system, factoring in panel degradation and rising electricity costs. The combination of excellent sun exposure and federal incentives makes solar a very strong investment in Texas.