Solar Guide
In This Guide
Solar in Plano
Plano homeowners are exploring solar panel installation as Texas electricity prices have increased 28% from 2020 to 2024. With abundant sunshine and rising energy costs, solar offers a smart path to energy independence.
Understanding your options is key to making the right choice. Our comprehensive guide to home solar panels will help you navigate the process with confidence.
Key Takeaways
- Plano homeowners can save $80,000+ over 25 years with solar panels while protecting against rising electricity costs.
- Texas offers excellent solar incentives including 30% federal tax credits and property tax exemptions for installations.
- Solar systems typically pay for themselves in 7-8 years through energy savings and available rebates.
Solar Cost Calculator
Our calculator uses real installation data from Plano neighborhoods like West Plano, Willow Bend, and Legacy West. Get accurate solar costs based on actual local projects, not estimates.
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Plano Electricity Prices
Understanding Plano’s electricity costs helps homeowners make informed decisions about their energy future and potential savings opportunities.
Texas electricity rates have climbed from 12.1 cents per kWh in 2021 to 14.9 cents in 2024, representing a 23% increase for Plano residents.
Solar panels allow Plano homeowners to generate their own electricity, reducing dependence on the grid and providing protection against future rate increases.
Over 25 years, solar systems can provide predictable energy costs while Texas electricity rates continue their upward trend, offering long-term financial stability.
Price of Energy: Texas vs National Average
Plano Area Utility Providers
Plano residents receive electricity from several utility providers, with 2023 rates significantly below national averages. Austin Energy charged 13.0¢ per kWh, CPS Energy 12.1¢, and Denton County Electric Cooperative 12.8¢.
These rates remained lower than the 2023 national average of 16.0¢ and state average of 14.5¢ due to Texas’ diverse energy mix and competitive market structure.
Even with competitive rates, solar panels can provide long-term savings and energy independence as utility costs gradually increase over time in Texas markets.
Plano Utilities Electricity Rates
Texas Solar Incentives
Plano homeowners can reduce solar installation costs through valuable solar incentives in Texas and federal programs designed to support clean energy adoption.
Texas offers property tax exemptions that prevent increases from solar installations, while net metering policies allow homeowners to earn credits for excess energy production.
Research these incentives thoroughly as programs can change. Acting promptly helps maximize available savings for your Plano solar project.
$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 energy system must be installed on property you own and use as your residence. You’ll need to apply for the exemption with your local county appraisal district using Form 50-123 before the May 1st deadline. The exemption continues as long as you own the property and the solar system remains installed, providing ongoing tax savings throughout the life of your solar investment.
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 7.9 cents per kilowatt-hour (kWh), depending on your specific utility company and chosen retail energy provider.
The financial benefits depend on your location and utility. For example, customers in areas served by Shell Energy’s Buyback Plan (including CenterPoint, Oncor, and AEP territories) receive 7 cents per kWh for exported electricity, with credits rolling over month to month until December when unused credits are forfeited. Some cooperatives like CPS Energy in San Antonio offer true monthly net metering with 1:1 credit, while others like Austin Energy use a “Value of Solar” rate of about 9.9 cents per kWh for all production.
Important considerations include monthly fees that some utilities charge (ranging from $4.95 to $30), minimum monthly bills, and the fact that most programs settle monthly rather than annually. Since Texas has a deregulated electricity market in many areas, your net metering options may depend on which retail energy provider you choose. Credits typically don’t carry over past December, so it’s important to size your system appropriately for your annual usage rather than overproducing.
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’s hot summers and mild winters create excellent solar conditions. Despite occasional storms and humidity, proper system design maximizes year-round energy production effectively.
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 Installations in Plano
We’ve mapped every solar installation across America to show how Plano neighborhoods are embracing clean energy. Explore this interactive map to discover which communities near you have already made the switch to solar power!
Leasing Solar Panels
In Plano, Palmetto offers LightReach leasing options through Oncor Energy (Dallas), which provides Power Purchase Agreements (PPA). With a PPA, you pay for the power your solar panels generate at a fixed rate per kilowatt-hour rather than a monthly lease payment.
This financing option eliminates upfront costs and maintenance responsibilities while providing immediate savings. Unlike purchasing solar panels outright, you don’t need to worry about equipment failures, cleaning, or system monitoring – Palmetto handles all maintenance and performance guarantees.
PPAs offer predictable energy costs that are typically lower than utility rates, protecting you from rising electricity prices. Learn more about whether to buy or lease solar panels to determine the best option for your Plano home’s energy needs and budget.
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 Plano, TX. With abundant sunshine and rising electricity costs, Plano homeowners can save over $80,000 over 25 years while protecting against future rate increases.
Texas offers valuable incentives including 30% federal tax credits and property tax exemptions. Solar systems typically pay for themselves in 7-8 years through energy savings, making it a smart long-term investment for Plano residents.
Plano doesn’t have traditional net metering, but offers net billing through Oncor Energy. Under Shell Energy’s Buyback Plan, excess solar energy is credited at 7 cents per kWh, with credits rolling over monthly until December when unused credits are forfeited.
This system allows Plano homeowners to receive bill credits for surplus solar production, though at a lower rate than retail electricity prices. The arrangement still provides meaningful savings when combined with direct solar energy consumption.
Yes, solar panels increase home value in Plano, TX. According to a Zillow study, homes with solar panels sell for approximately 4.1% more than comparable homes without solar systems.
For Plano’s median home price, this translates to thousands of dollars in added value. Additionally, Texas property tax exemptions ensure homeowners won’t pay higher taxes on the increased value from solar installations, maximizing the financial benefit.
Solar costs in Plano range from $14,179 to $25,057 after federal tax credits, depending on your home size and energy needs. A typical medium-sized home (2,000-3,000 sq ft) requires a 9.72 kW system costing $19,107 after the 30% federal tax credit.
System costs include equipment, installation, permits, and warranties. Texas property tax exemptions prevent additional taxes on solar installations, while net billing through Oncor Energy provides credits for excess energy production.
Yes, solar is financially worth it in Plano, TX. With Texas electricity rates rising 23% since 2021, homeowners can save over $80,000 over 25 years while protecting against future rate increases.
Solar systems typically pay for themselves in 7-8 years through energy savings and available incentives. The 30% federal tax credit and Texas property tax exemptions significantly reduce upfront costs, making solar a smart long-term investment for Plano residents.
Palmetto Solar is the leading solar company serving Plano, TX. We’ve completed over 3,810 installations across Texas since 2020, offering some of the best financing options in the industry along with our trusted local installation network.
Our national expertise combined with local focus ensures Plano homeowners receive quality solar solutions backed by excellent customer service and competitive pricing for their clean energy investment.