Solar Guide
Solar in Killeen
Killeen homeowners are exploring solar installation as Texas electricity prices have increased 28% from 2020 to 2024. With Texas ranking 7th for residential solar installations nationwide, local residents are discovering energy independence benefits.
Understanding your options helps you make informed decisions about solar panels for your home. This guide covers solar installation in Killeen essentials.
Key Takeaways
- Killeen’s excellent solar conditions produce 15,304 kWh annually from a 10kW system, generating significant energy savings year-round.
- Texas solar incentives save homeowners $8,189 on average through federal tax credits and property tax exemptions.
- Solar systems pay for themselves in 7.7 years while providing $81,027 in total savings over 25 years.
Solar Cost Calculator
Our solar cost calculator uses real installation data from Killeen neighborhoods including Harker Heights, Copperas Cove, and Fort Hood area. Get accurate, local pricing based on actual projects we’ve completed in your community.
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Cost
Savings
Killeen Electricity Prices
Understanding Killeen’s electricity costs helps homeowners make informed energy decisions as rates continue climbing year after year.
Texas electricity rates have risen from 12.1 cents per kWh in 2021 to 14.9 cents in 2024, representing a 23% increase over three years.
Solar panels generate electricity from sunlight, helping Killeen homeowners reduce their dependence on the traditional power grid and rising utility rates.
Over 25 years, solar systems can provide predictable energy costs while traditional electricity rates continue their upward trend, offering long-term financial stability.
Price of Energy: Texas vs National Average
Killeen Area Utility Providers
Killeen TX residents primarily receive electricity from Bluebonnet Electric Cooperative at 11.1¢ per kWh in 2023, significantly below Texas and national averages.
Bluebonnet’s rates remain 23% below the state average (14.50¢) and 31% below the national average (16.0¢) due to cooperative structure and regional energy resources.
Even with competitive rates, Killeen homeowners choose solar installation for predictable energy costs and protection against future utility rate increases over time.
Killeen Utilities Electricity Rates
Texas Solar Incentives
Killeen, TX residents can reduce solar installation costs through federal and state solar incentives in Texas.
Property tax exemptions protect homeowners from increased assessments on solar installations. Net metering policies allow you to earn credits for excess energy production.
These incentives make solar more accessible for Killeen families seeking energy independence and long-term savings.
$8,189
Average savings in Texas solar rebates
| Incentive | Type | Description | Source |
|---|---|---|---|
| Residential Clean Energy Credit | Federal tax credit | A federal tax credit worth 30% the cost of a solar panel system in the year it’s installed | Learn More |
| Property Tax Exemption | State tax exemption | No property tax increase from solar installations. Example: $20k system saves ~$400/year at 2% tax rate. | Learn More |
The Residential Clean Energy Credit lets people claim a tax credit worth 30% the cost of a solar panel system in the year it’s installed. The credit can only be used against taxes you owe or have already paid that year, but any excess credit can be rolled over to future years.
The credit is broadly available, though there are a few restrictions — you must own the panels and they must be on a house you live in — so be sure to consult a tax professional about your situation.
Texas offers a property tax exemption for solar and wind-powered energy devices, which means homeowners can exclude the added value of their solar installation from their property tax assessment. When you install solar panels on your home, they typically increase your property’s appraised value, but this exemption ensures you won’t pay additional property taxes on that increased value.
To qualify for this exemption, your solar system must be designed primarily to produce energy for on-site use at your residence. You’ll need to apply for the exemption with your local county appraisal district using Form 50-123, and the general deadline for filing is before May 1st each year. The exemption continues as long as you own the solar system and use it primarily for your home’s energy needs, making it a valuable long-term benefit that helps offset the cost of going solar.
Net metering in Texas varies significantly by utility company, with most areas offering net billing (export credit) rather than traditional 1:1 net metering. Under these programs, your solar panels can send excess electricity back to the grid, and you’ll receive credits on your electric bill. The credit rates typically range from 1.4 cents to 9.9 cents per kilowatt-hour (kWh), depending on your specific utility and chosen plan.
The financial benefits depend on your location and utility provider. For example, Shell Energy offers 7 cents per kWh for excess solar production in areas served by major transmission companies like CenterPoint Energy and Oncor Energy, while electric cooperatives often provide credits around 5-8 cents per kWh. Some utilities like Austin Energy use a “Value of Solar” rate of 9.91 cents per kWh for all production. Most programs settle monthly, meaning excess credits from one month can carry over to reduce future bills, though many utilities forfeit unused credits each December without payment.
Eligibility requirements vary by utility, but generally include having an approved solar installation and completing interconnection agreements. Some utilities charge additional monthly fees for solar customers, ranging from $4.95 to $30 per month. Important considerations include understanding that Texas operates in a deregulated market in many areas, meaning you may need to choose a specific retail energy provider (REP) to access solar buyback programs. It’s essential to check with your local utility or transmission company to understand the specific net metering or net billing options available in your area.
Ready to start saving with solar?
Speak with a Palmetto solar expert to find out exactly how much you can save with Texas incentives.
Get a Free QuoteKilleen Solar Irradiance
Solar panel production varies throughout the year based on daylight hours, weather patterns, and sun intensity. Understanding how seasons affect your solar system helps set realistic expectations for your investment.
Killeen’s hot summers and mild winters create excellent solar conditions year-round. Despite occasional cloud cover, proper system design maximizes energy production effectively.
Solar Production in Killeen by Month
What Can Your Solar System Power?
Summer Production (July)
In July, your 10 kW system could power:
- 3.6 average homes (15 kWh/day per home)
- or Run central AC for 18 hours AND power all other appliances
- or Fully charge 5.4 Tesla Model 3 electric vehicles
Winter Production (December)
In December, your 10 kW system could power:
- 2 average homes (15 kWh/day per home)
- or Keep your home heating system running for 15 hours
- or Fully charge 3 Tesla Model 3 electric vehicles
Annual Production
Over a year, your 10 kW system could:
- Offset 10 tons of carbon dioxide emissions
- or Equal the environmental benefit of planting 175 trees
- or Save approximately $4,234 in electricity costs
Want to know exactly how much solar can power your home?
Get a personalized solar analysis based on your actual home, energy usage, and roof characteristics.
Get My Custom EstimateSolar Installations in Killeen
We’ve mapped every solar installation across America to show you how your Killeen neighbors are embracing clean energy. Explore this interactive heatmap to discover which communities have made the switch to solar power!
Leasing Solar Panels
Killeen homeowners have flexible solar financing options through Palmetto’s LightReach program. Based on your utility provider, Bluebonnet Electric Cooperative, lease options are available in your area.
With a solar lease, you pay a fixed monthly amount (like $150/month) based on your system’s expected annual production. This eliminates upfront costs, maintenance responsibilities, and performance risks that come with cash purchases. Your leasing company handles all system monitoring and repairs.
The key benefit versus paying cash is predictable monthly costs without the large initial investment or ongoing maintenance concerns. Learn more about leasing versus buying to determine which option fits your financial goals and preferences best.
Go solar without the investment
With LightReach, there are no investment costs to recoup, loan payments to manage, or maintenance needs to take on. As soon as your panels are active, your solar savings are too!
Learn MoreFrequently Asked Questions
Yes, solar makes excellent sense in Killeen, TX due to abundant sunshine, rising electricity costs, and significant financial incentives. Killeen receives excellent solar irradiance, with a 10kW system producing approximately 15,304 kWh annually.
With Texas electricity rates increasing 23% since 2021 and federal tax credits covering 30% of installation costs, Killeen homeowners typically see 7.7-year payback periods and $81,027 in 25-year savings. The combination of strong solar production and available incentives creates compelling economics for residential solar investment.
Killeen residents primarily receive electricity from Bluebonnet Electric Cooperative, which offers net billing (export credit) rather than traditional net metering. Under this program, excess solar energy sent to the grid receives credits at approximately 6 cents per kWh.
These credits apply to reduce your current month’s bill, with monthly settlement and no rollover between billing periods. While not full 1:1 net metering, this export credit program still provides value for solar installations in Killeen.
Yes, solar panels increase home value in Killeen, TX. According to a Zillow study, homes with solar panels sell for 4.1% more than comparable homes without solar systems.
In Killeen’s housing market, this translates to meaningful value increases for homeowners who install solar. Additionally, Texas property tax exemptions ensure you won’t pay higher property taxes on the increased home value from your solar installation.
Solar installation costs in Killeen, TX range from $14,179 to $25,057 after federal tax credits, depending on your home size and energy needs. A typical medium-sized home requires a 9.72 kW system costing $19,107 after the 30% federal tax credit.
System costs include panels, inverters, installation, and permits. Texas property tax exemptions prevent additional property taxes on your solar investment, making Killeen solar installations more affordable than many other states.
Yes, solar is financially worth it in Killeen, TX. With excellent solar conditions producing 15,304 kWh annually from a 10kW system, homeowners typically save $185 monthly on electricity bills and see 7.7-year payback periods.
Federal tax credits reduce installation costs by 30%, while Texas property tax exemptions prevent additional taxes on your solar investment. Over 25 years, Killeen residents can expect $81,027 in total savings, making solar a sound financial investment.
We are the leading solar company serving Killeen, TX, with over 3,810 installations completed across Texas since 2020. Our national reach provides resources and expertise, while our local focus ensures personalized service for Killeen residents.
We offer competitive financing options and work with trusted local installation partners to deliver quality solar systems. Our comprehensive approach includes design, permitting, installation, and ongoing support to make your solar experience seamless from start to finish.