Solar Panel ROI in Texas (TX)
Texas averages 1,500 kWh per installed kW per year. At $13.8¢/kWh average utility rates, a 7 kW system produces a 25-year NPV of $10,835.
Solar Cost Breakdown in Texas
| 7 kW system (2.60/W) | $18,200 |
| Federal ITC (30%) | -$5,460 |
| Net Cost | $12,740 |
Solar Production in Texas
Texas receives an average of 1,500 kWh of solar energy per installed kW per year, based on NREL PVWatts data for a south-facing system at 20° tilt. A 7 kW system produces approximately 10,500 kWh in year one, declining by 0.5% annually due to panel degradation.
At Texas's average residential rate of $13.8¢/kWh with 4% annual escalation, first-year savings are $1,449. The solar LCOE of $0.126/kWh is 9% below the current utility rate and stays fixed while utility rates continue to climb.
Net Metering in Texas
No statewide NEM — varies by retail provider. CPS Energy, Austin Energy offer buyback.
Solar by Utility in Texas
Solar FAQ for Texas
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Solar ROI in Similar States
Florida
Maine
Colorado
New Hampshire
Maryland
Rhode Island
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