Killeen, TX Solar Panels
Solar Power in Killeen
Killeen homeowners are discovering that solar energy offers a smart path to long-term savings and energy independence. With Texas electricity prices jumping 28% from 2020 to 2024, many residents are exploring home solar panels as a way to take control of their energy costs.
We’ll walk you through everything you need to know about solar installation in Killeen—from understanding local incentives to choosing the right system for your home.
How Much Do Solar Panels Cost in Killeen, TX?
Our calculator uses real installation data from Killeen homes—including neighborhoods like Harker Heights, Nolanville, and Copperas Cove—to show you accurate solar costs. Get personalized estimates based on what your neighbors actually paid, not national averages.
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Savings
You can still access the solar tax credit through Palmetto. Talk to us today to find out how.
Key Takeaways
- Killeen receives abundant sunshine year-round with 5.5 peak sun hours daily, making it an excellent location for solar energy production.
- Texas electricity rates have increased 23% since 2021, while solar panels provide fixed-cost energy that protects against future rate hikes.
- A typical Killeen solar system can save homeowners around $81,000 over 25 years while reducing carbon emissions by 10 tons annually.
Killeen Electricity Prices
Understanding electricity costs in Killeen, Texas helps homeowners make informed decisions about their energy future and household budgets.
Texas electricity rates have climbed from 12.1 cents per kWh in 2021 to 14.9 cents per kWh in 2024—a 23% increase in just three years that impacts every Killeen household’s monthly expenses.
Solar panels generate electricity at a fixed cost, allowing Killeen homeowners to produce their own power rather than purchasing it at rates that continue to rise year after year.
Over a typical 25-year system lifespan, solar installations can provide predictable energy costs while traditional utility rates are projected to keep climbing, offering long-term financial stability for Texas families.
Price of Energy: Texas vs National Average
Killeen Area Utility Providers
Understanding your electricity costs is the first step in evaluating solar for your Killeen home. Bluebonnet Electric serves the area with rates of 11.1¢ per kWh (2023 data), notably below both the Texas average of 14.50¢ and the national average of 16.0¢.
Killeen benefits from lower electricity rates due to Texas’ deregulated energy market and the region’s access to diverse energy sources. However, Central Texas’ hot summers mean higher consumption during peak cooling months, which can significantly impact your annual energy bills.
Even with competitive rates, solar panels help Killeen homeowners lock in predictable energy costs and reduce dependence on the grid. As electricity prices continue their upward trend, generating your own clean energy provides long-term financial stability and protection against future rate increases.
Killeen Utilities Electricity Rates
Texas Solar Incentives
Going solar in Killeen is more affordable than you might think. Texas offers valuable solar incentives in Texas that help reduce your upfront costs and maximize long-term savings.
Killeen homeowners can benefit from a state property tax exemption that prevents your home’s value increase from raising your tax bill. Additionally, most Texas utilities offer net metering programs that credit you for excess energy your panels generate.
These incentives can significantly impact your solar investment. Review the details below to understand how each program works and what you might save.
| Incentive | Type | Description | Source |
|---|---|---|---|
| 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 |
Texas offers a property tax exemption for homeowners who install solar or wind-powered energy devices on their property. This state-level exemption prevents your local appraisal district from adding the value of your solar or wind energy system to your property’s assessed value for tax purposes. Without this exemption, installing solar panels could increase your home’s appraised value and result in higher annual property taxes. With the exemption in place, you’ll enjoy the benefits of clean energy without paying additional property taxes on your system’s added value.
To qualify for this exemption, you must own the solar or wind-powered energy device and it must be installed on property you own in Texas. You’ll need to file Form 50-123 (Exemption Application for Solar or Wind-Powered Energy Devices) with your county appraisal district. The general deadline for filing is before May 1st, though you should contact your local appraisal district to confirm specific requirements and timing. This exemption applies to all local taxing units in Texas, including school districts, cities, and counties, helping you maximize your savings from going solar while supporting your community’s clean energy future.
Net metering and net billing policies in Texas vary significantly by utility provider, as the state’s deregulated energy market means different rules apply depending on your location. Unlike traditional net metering where excess solar energy is credited at full retail rates, most Texas utilities now offer net billing programs that credit exported solar energy at lower wholesale rates, typically ranging from 3 to 8 cents per kilowatt-hour. Some utilities like Grayson Collin Electric Cooperative still offer true 1:1 net metering where credits roll over indefinitely, while others like CPS Energy and Austin Energy have unique compensation structures.
The financial benefit depends on your specific utility company. In deregulated areas served by transmission companies like Oncor, CenterPoint, and AEP Texas, customers typically work with retail energy providers like Shell Energy, which credits exports at 7 cents per kWh (as of April 2024) with credits rolling over monthly until December when they’re forfeited. Municipal utilities and cooperatives have their own policies—for example, Austin Energy uses a “Value of Solar” rate of 9.91 cents per kWh for all production, while Pedernales Electric Cooperative credits exports at approximately 6 cents per kWh with monthly settlement. Most programs settle monthly, meaning excess credits don’t carry forward, though some providers allow rollover until an annual forfeiture date.
Eligibility typically requires installing an approved solar system and enrolling in your utility’s distributed generation program. In deregulated areas, you’ll need to select a retail energy provider that offers solar buyback plans. Important considerations include monthly fees (some utilities charge $10-$30 per month for solar customers), minimum bill requirements, and the settlement timing of your credits. Because policies vary widely across Texas’ 20+ utilities with solar programs, it’s essential to understand your specific utility’s compensation structure before installing solar panels, as the economics can differ substantially between providers.
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 enjoys abundant sunshine year-round, with hot summers maximizing solar production. Even during occasional cloudy periods, modern solar systems efficiently capture available light, making Killeen excellent for solar energy.
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 Panel Systems in Killeen
We’ve mapped every solar installation across the United States to help you explore the clean energy movement in Killeen. Use this interactive map to discover which neighborhoods and communities near you have already made the switch to solar power.
Leasing Solar Panels
Killeen homeowners have flexible options for going solar through Palmetto’s LightReach program. In the Killeen area, served by utilities like Bluebonnet Electric Co-op, residents can access solar lease agreements that provide predictable monthly payments regardless of seasonal production variations.
With a solar lease, you pay a fixed monthly amount determined by your system’s expected annual output—eliminating the unpredictability of utility rate increases while avoiding large upfront costs. Unlike purchasing a system outright, leasing means Palmetto handles all maintenance, monitoring, and repairs throughout your agreement, giving you peace of mind and immediate savings without the responsibilities of ownership.
This approach makes clean energy accessible to more Killeen families by removing financial barriers while still delivering the environmental and economic benefits of solar power. Learn more about whether leasing or buying is right for your situation.
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. With 5.5 peak sun hours daily and abundant year-round sunshine, Killeen’s climate is ideal for solar energy production. Texas electricity rates have increased 23% since 2021, while solar provides fixed-cost energy protection.
A typical Killeen system saves homeowners around $81,000 over 25 years with a payback period of approximately 10.5 years. Plus, Texas’ property tax exemption prevents your solar installation from increasing property taxes, making it a smart long-term investment.
Killeen is primarily served by Bluebonnet Electric Co-op, which offers a net billing program rather than traditional net metering. Under this system, excess solar energy exported to the grid is credited at approximately 6 cents per kWh—the utility’s renewable rate that adjusts annually.
Unlike 1:1 net metering where credits match retail rates, Bluebonnet’s net billing credits are settled monthly with no rollover to future months. This means any unused credits at month’s end don’t carry forward, so system sizing is important to maximize your solar investment.
Yes, solar panels increase home value in Killeen. Research shows that homes with solar systems sell for approximately 4.1% more than comparable homes without solar. For a typical Killeen home valued at $200,000, that translates to an additional $8,200 in resale value.
Beyond the immediate value boost, solar panels make your Killeen home more attractive to buyers seeking lower energy costs and modern, eco-friendly features. Texas’ property tax exemption means you won’t pay higher taxes on your solar installation’s added value, maximizing your financial benefit.
Solar panel costs in Killeen vary by home size and energy needs. A typical medium-sized home (2,000-3,000 sq ft) requires a 9.72 kW system costing approximately $27,296, or about $2.81 per watt based on actual local installations.
System costs range from $20,256 for smaller homes to $35,795 for larger properties. These prices reflect complete installations including equipment, labor, permits, and warranties. Texas’ property tax exemption means your solar investment won’t increase your annual property taxes.
Yes, solar is financially worth it in Killeen. With Texas electricity rates rising 23% since 2021, a typical solar system provides long-term protection against future rate increases while delivering immediate monthly savings of around $185.
The average Killeen system pays for itself in approximately 10.5 years and generates about $81,000 in savings over 25 years. Texas’ property tax exemption ensures your solar investment won’t increase property taxes, maximizing your financial return.
We’re proud to serve Killeen homeowners with quality solar installations backed by our national experience and local focus. Since 2020, we’ve completed 3,810 installations across Texas, bringing clean energy to communities throughout the state.
Our approach combines competitive financing options with a trusted installation network, making solar accessible and straightforward. We handle everything from system design to activation, ensuring your transition to solar is smooth and your investment delivers long-term value.