Plano, TX Solar Panels
In This Guide
Solar Power in Plano
Plano gets over 230 sunny days a year — making it one of the better places in Texas to explore solar panel installation. With Texas electricity prices up 28% from 2020 to 2024, many homeowners are looking at solar panels for their home as a long-term way to manage energy costs. At Palmetto, we’ve guided homeowners across the country through this process and know the Texas market well.
Whether you’re just starting to research or ready to take the next step, this guide walks you through what solar installation in Plano looks like — and what it could mean for your home and monthly energy bill.
How Much Do Solar Panels Cost in Plano, TX?
Based on real solar installations across Plano, Allen, Frisco, and McKinney, this calculator uses Palmetto’s firsthand local data to give you an accurate estimate of what solar installation would cost for your home.
System
- No upfront investment
- Palmetto handles all maintenance
- 90% Production Guarantee
- Comprehensive protection program included
Key Takeaways
- Plano gets over 230 sunny days a year, making it one of the stronger locations in Texas for solar panel installation and long-term energy savings.
- Texas electricity rates rose 23% from 2021 to 2024 — solar panels can help Plano homeowners reduce grid dependence and manage rising energy costs.
- Plano homeowners can save an average of ~$80,000 over 25 years with solar, with lease options starting as low as $125/month and no upfront cost.
Plano Electricity Prices
Electricity costs in Plano have been rising steadily — and understanding that trend can help homeowners make smarter long-term energy decisions.
Texas electricity rates climbed from 12.1 cents per kWh in 2021 to 14.9 cents per kWh in 2024 — a roughly 23% increase in just three years. Plano homeowners have felt that impact in their monthly utility bills.
Solar panels can offset a portion of the electricity a home draws from the grid. For Plano homeowners, that means less exposure to rate increases that are largely outside their control.
Over time, that reduced grid dependence adds up. Plano’s 230-plus sunny days a year give solar systems strong, consistent output — making solar a practical long-term option for managing energy costs.
Price of Energy: Texas vs National Average
Plano Area Utility Providers
In Plano, the primary electricity provider is Denton County Electric Cooperative (DCEC). Based on 2023 data — the most recent available — DCEC’s rate was 12.8¢ per kWh, below both state and national averages.
In 2023, the Texas state average was 14.50¢ per kWh and the national average was 16.0¢ per kWh. DCEC’s rate came in notably lower than both — a reflection of the cooperative’s local pricing structure in the North Texas region.
Even with rates currently below national averages, electricity prices have trended upward over time. Solar can help Plano homeowners lock in more predictable energy costs and reduce exposure to future rate increases — regardless of where rates start today.
Plano Utilities Electricity Rates
Texas Solar Incentives
Plano homeowners may be eligible for several solar incentives in Texas that can help reduce the upfront and long-term cost of going solar.
The Texas Solar Property Tax Exemption means your solar installation won’t raise your property tax bill. Oncor customers in the DFW area — which includes Plano — may also qualify for a rebate of up to $9,000 when pairing solar with battery storage.
Note: The federal residential solar tax credit has been eliminated. If you explore a solar lease through LightReach, Palmetto applies the commercial tax credit and passes those savings through lower monthly payments.
| Incentive | Type | Description | Source |
|---|---|---|---|
| Texas Solar Property Tax Exemption | Property Tax Exemption | Texas homeowners receive a 100% property tax exemption on the added home value from a solar installation under TX Tax Code Section 11.27. | Learn More |
| Texas Solar Energy Devices Franchise Tax Exemption | Tax Credit | Texas businesses can deduct the cost of a solar energy device from their state franchise tax liability. | Learn More |
| Oncor Residential Solar + Storage Program | Rebate | Oncor offers residential solar incentives of up to $9,000 for customers in the Dallas-Fort Worth area who install a solar PV system (3–15 kW) paired with a battery storage system. | Learn More |
| Tesla Electric Virtual Power Plant (VPP) Program | Rebate | Powerwall owners in Oncor and CenterPoint service territories can earn a $10/month electric bill credit by enrolling their battery in Tesla Electric’s Virtual Power Plant program. | |
| Texas Solar Rights Protection (HOA Solar Access Law) | Net Metering | Texas law prohibits HOAs, municipalities, and other entities from preventing homeowners from installing rooftop solar panels. | Learn More |
Under Texas Tax Code Section 11.27, the added value that a solar energy system brings to your home is 100% exempt from property tax assessments. Since solar panels can increase a home’s market value by $15,000–$25,000, this exemption can save homeowners an estimated $400–$600 per year in property taxes — potentially more than $10,000 over the lifetime of the system.
To qualify, the solar system must be owned (not leased) and primarily used to produce and distribute energy consumed on-site. Eligible systems include solar photovoltaic panels for electricity generation as well as solar thermal devices such as solar water heaters. The exemption has been available to Texas homeowners since 1978 and applies statewide.
To receive the exemption on your tax bill, residents of Plano must file Form 50-123 with your county appraisal district by April 30 of the tax year. This is a permanent, ongoing benefit — one of the most valuable solar incentives available to Texas homeowners in 2026.
Texas law allows businesses to deduct the full cost of a qualifying solar energy device from their state franchise tax. This incentive is designed for commercial and business entities — not individual residential homeowners — and can meaningfully reduce the upfront cost of a commercial solar installation.
Qualifying solar energy devices include systems that convert solar energy into thermal, mechanical, or electrical energy, as well as systems that store or distribute that converted energy. This makes both solar PV systems and solar thermal installations eligible for the deduction.
Businesses considering a solar installation should consult a tax professional to determine how this deduction interacts with other business tax strategies. For more details, visit the Texas Comptroller’s franchise tax page or contact the Comptroller’s office directly.
Oncor Electric Delivery’s Residential Solar Program provides incentives for homeowners in the Dallas-Fort Worth area and other parts of Oncor’s service territory. As of 2026, the program requires that solar installations be paired with a battery energy storage system to qualify. The solar system must be between 3 kW and 15 kW (DC) in size, and the estimated incentive can reach up to $9,000 for larger systems with significant storage capacity.
The exact rebate amount is not publicly disclosed and depends on multiple factors including system size, battery capacity, and installation details. The $9,000 figure represents the upper end of the incentive range for qualifying solar-plus-storage systems. Both residential and commercial customers in Oncor’s territory may be eligible.
To apply or get a precise incentive estimate, homeowners in Plano can visit the official program website at takealoadofftexas.com or contact Oncor directly. Because this program requires battery pairing, homeowners should factor battery costs into their overall system budget when evaluating the net financial benefit.
Tesla Electric offers a Virtual Power Plant (VPP) program for Powerwall owners in select areas of Oncor’s and CenterPoint’s service territories in Texas. Participants receive a $10 per month electric bill credit in exchange for allowing Tesla to discharge their Powerwall’s stored energy back to the grid during periods of high demand or grid stress.
To participate, homeowners must use Tesla Electric as their Retail Electricity Provider (REP) and own a Tesla Powerwall battery system. The program is designed to support grid reliability on the ERCOT grid while providing Powerwall owners with a modest ongoing financial benefit that helps offset the cost of their battery investment.
This program is particularly relevant given Texas’ history of grid reliability challenges. Homeowners in Plano interested in enrolling should visit Tesla’s website or contact Tesla Energy directly to confirm current eligibility, service territory coverage, and enrollment steps.
Texas has strong solar access protections enshrined in state law that prevent homeowners associations (HOAs), municipalities, villages, and other private entities from prohibiting or unreasonably restricting the installation of rooftop solar panels. This means that even if your HOA has aesthetic guidelines, it cannot outright ban solar installations on your home.
While HOAs may still impose reasonable restrictions related to placement or appearance — such as requiring panels not to be visible from the street — they cannot use these rules as a de facto ban on solar. This protection gives Texas homeowners the legal right to go solar regardless of their HOA’s preferences, removing a common barrier to adoption.
If you believe your HOA is unlawfully restricting your ability to install solar panels, you may wish to consult the relevant sections of the Texas Property Code or seek legal advice. This protection applies statewide and is an important foundational right for all Plano solar homeowners.
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 QuotePlano 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.
Plano enjoys over 230 sunny days annually, warm summers, and mild winters — making it a strong candidate for solar. Even cloudy days still generate meaningful energy production.
Solar Production in Plano 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 Plano
We’ve mapped every solar installation across the U.S. to show you just how many Plano neighbors have made the switch. Explore the heatmap below to see which neighborhoods and communities in Plano are leading the way in solar adoption!
Leasing Solar Panels
Plano is served by Oncor Energy (Dallas), which means homeowners here have access to Palmetto’s LightReach Power Purchase Agreement (PPA). With a PPA, you don’t pay a fixed monthly amount — instead, you pay for the solar energy your system actually produces, at a set rate per kilowatt-hour (kWh). Because Texas summers are long and sunny, your system produces more energy in summer months, which means higher solar bills then — but also greater savings on your utility bill when you need it most.
Compared to buying a system outright, a PPA removes the need for a large upfront investment. You also don’t have to worry about maintenance, repairs, or monitoring — Palmetto handles all of that. When you own a system, those responsibilities fall to you, and unexpected costs can add up over time. With LightReach, you get predictable solar energy costs and a 90% production guarantee, so you always know what to expect.
If you’d like to understand the full difference between a PPA and a lease — and which might be a better fit for your situation — Palmetto’s buy vs. lease guide is a helpful starting point. Both options make solar more accessible, but the right choice depends on your energy usage, utility, and financial goals.
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. Plano receives over 230 sunny days per year, and Texas electricity rates have risen roughly 23% since 2021 — two factors that make solar a practical option for many homeowners. A typical Plano home can save an estimated ~$80,000 over 25 years with solar.
If upfront cost is a concern, Palmetto’s LightReach lease removes that barrier entirely — homeowners can go solar with no money down and start saving from day one, with plans starting as low as $125/month.
Plano is served by Oncor Energy (Dallas), which does not offer traditional net metering. Instead, Oncor uses a Net Billing Export Credit program through Shell Energy’s Buyback Plan. Excess solar energy exported to the grid is credited at 7 cents per kWh (as of April 2024), applied to reduce your current month’s bill.
Any remaining credits roll over monthly into a “buyback bank” but are forfeited each December without a cash payout. Shell Energy also charges a $4.95/month fixed fee in addition to Oncor’s standard delivery charges. Designing your system to match your actual usage helps maximize savings under this structure.
Yes, solar panels can increase home value in Plano. A Zillow study found that homes with solar panels sell for about 4.1% more than comparable homes without them. For a $400,000 home in Plano, that could mean roughly $16,400 in added value.
Texas also offers a 100% property tax exemption on the added value from a solar installation, so Plano homeowners won’t see a higher property tax bill — making solar a strong long-term investment for both energy savings and resale value.
With Palmetto’s LightReach lease, Plano homeowners can go solar for a low fixed monthly payment starting at $89/month — with no upfront cost. Palmetto owns and maintains the system, and passes through savings from the commercial solar tax credit via lower monthly payments.
For homeowners who prefer to purchase outright, cash system costs range from roughly $20,256 to $35,795 depending on home size. Note that the federal 30% residential solar tax credit is no longer available following the Big Beautiful Bill. Use the solar cost calculator above for a personalized estimate.
For many Plano homeowners, solar can make strong financial sense — especially with a lease option. With Palmetto’s LightReach lease, there’s no upfront investment. Your monthly lease payment is typically less than your current electricity bill, meaning most homeowners start saving from day one.
With Texas electricity rates up roughly 23% since 2021, solar helps reduce your exposure to future rate increases. A typical Plano home can save an estimated ~$80,000 over 25 years — and with a lease, you don’t need to spend anything to get started.
Palmetto Solar is a strong choice for Plano homeowners. We’re a national company with deep Texas roots — having completed 3,810 installations across Texas since 2020. Our local install network knows the Plano market well, and we offer some of the most flexible financing options available, including our LightReach lease with no upfront cost.
We handle everything from permitting to activation, and our 90% production guarantee means you can count on your system to perform. With an approval rating above 85% and 20,000+ customers served, we’re committed to making solar simple and accessible for Plano residents.
With Palmetto’s LightReach lease, Plano homeowners pay one simple monthly payment that covers everything — the solar panel system, installation, monitoring, maintenance, and a 90% Production Guarantee. There is no upfront cost. For a typical 9.72 kW system in Plano, the estimated monthly payment is approximately $125/month.
Because Palmetto owns the system, it claims the commercial Investment Tax Credit (ITC) and passes those savings to you through lower monthly payments — an advantage not available with cash purchases. Most Plano homeowners find the lease payment is less than their current electricity bill, meaning savings start from day one.