San Antonio, TX Solar Panels
Solar Power in San Antonio
San Antonio’s year-round sunshine is perfect for homeowners exploring solar panels for home energy. With Texas electricity prices jumping 28% from 2020 to 2024, more residents are turning to solar to take control of their energy costs.
This guide walks you through what you need to know about solar installation in San Antonio—from local incentives to finding the right system for your home.
How Much Do Solar Panels Cost in San Antonio, TX?
Our San Antonio solar cost calculator uses real installation data from neighborhoods across the area—from Alamo Heights to Stone Oak to Helotes. Get accurate pricing based on actual local projects, not national averages or estimates.
System
Cost
Savings
You can still access the solar tax credit through Palmetto. Talk to us today to find out how.
Key Takeaways
- San Antonio receives 5.4 peak sun hours daily, making it an excellent location for solar energy production year-round.
- Texas offers a property tax exemption that prevents solar installations from increasing your home’s taxable value, saving you money annually.
- A typical San Antonio solar system saves around $79,000 over 25 years while protecting you from rising electricity rates.
San Antonio Electricity Prices
Understanding electricity costs in San Antonio, TX helps homeowners make informed decisions about their energy future and long-term household budgets.
Texas electricity rates have climbed steadily 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 San Antonio household.
Solar panels generate electricity at a fixed cost, protecting homeowners from these rate increases. Once your system is installed, the sun’s energy remains free, while traditional electricity prices continue their upward trend.
Over a 25-year period, solar systems can shield San Antonio families from decades of utility rate hikes, providing predictable energy costs and greater control over household expenses in an uncertain market.
Price of Energy: Texas vs National Average
San Antonio Area Utility Providers
San Antonio residents benefit from electricity rates well below state and national averages. Based on 2023 data, CPS Energy charges 12.1¢ per kWh, while Bluebonnet Electric and Pedernales Electric offer rates of 11.1¢ and 11.7¢ respectively.
These rates sit comfortably below Texas’ 14.5¢ average and the national average of 16.0¢ per kWh. San Antonio’s lower costs reflect the region’s diverse energy mix and municipal utility structure, which often passes savings directly to customers.
While current rates remain competitive, electricity costs typically rise over time. Solar panels allow San Antonio homeowners to lock in predictable energy costs while taking advantage of the area’s abundant sunshine year-round.
San Antonio Utilities Electricity Rates
Texas Solar Incentives
San Antonio homeowners can access valuable solar incentives in Texas that help offset installation costs and boost long-term savings.
Texas offers a property tax exemption that prevents solar installations from increasing your home’s taxable value. Additionally, most San Antonio utilities provide net metering programs, crediting you for excess energy your system generates at retail rates.
These incentives can change, so research current programs carefully. Acting sooner rather than later ensures you maximize available benefits for your solar investment.
| 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 exemption prevents your local appraisal district from adding the value of your solar 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 property taxes. With the exemption in place, you won’t pay additional property taxes on the added value that your solar installation brings to your home.
To qualify for this exemption, you must own the solar energy system 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 timing and requirements. This exemption applies to all local taxing entities in Texas, including school districts, counties, and cities. The Texas Comptroller provides specific guidelines to help local officials administer this exemption consistently across the state.
Net metering and net billing policies in Texas vary significantly depending on your utility provider or electric cooperative. Unlike traditional net metering where excess solar energy is credited at full retail rates, most Texas utilities now use net billing programs that credit exported solar energy at lower wholesale rates, typically ranging from 3 to 8 cents per kilowatt-hour. In deregulated areas served by transmission and distribution utilities (TDUs) like Oncor, CenterPoint, and AEP Texas, you’ll need to enroll with a Retail Energy Provider (REP) like Shell Energy or Green Mountain Energy to participate in solar buyback programs.
The financial benefit depends on your location and utility. For example, Shell Energy’s Buyback Plan (available through major TDUs) credits exported energy at 7 cents per kWh as of April 2024, with excess credits rolling over monthly but forfeiting each December. Some electric cooperatives like Grayson Collin offer true 1:1 net metering where credits carry over year to year, while others like CPS Energy in San Antonio provide monthly net metering with seasonal credit rates. Most programs settle monthly, meaning any excess generation beyond what you consume is valued at the lower wholesale rate rather than your full retail electricity rate. Solar energy you use immediately in your home always avoids the full retail rate, making self-consumption the most valuable use of your solar production.
Eligibility typically requires installing an approved solar system and enrolling in your utility’s distributed generation program. Some utilities charge additional monthly fees for solar customers, ranging from $4.95 to $30 per month, which can impact your overall savings. It’s important to understand your specific utility’s policy before installing solar, as the compensation structure significantly affects your system’s financial performance. Contact your local utility or electric cooperative to confirm current rates and program details, as policies and credit rates can change annually.
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 QuoteSan Antonio 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.
San Antonio’s abundant sunshine and mild winters create excellent solar conditions year-round. While summer heat slightly reduces panel efficiency, the city’s 300+ sunny days make it ideal for solar energy production.
Solar Production in San Antonio 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 San Antonio
We’ve mapped every solar installation across San Antonio to help you explore how your neighbors are embracing clean energy. Click any area on this interactive map to see how many homes in that community have made the switch to solar.
Leasing Solar Panels
San Antonio homeowners served by CPS Energy face a unique situation—third-party solar ownership arrangements like leases and PPAs are currently prohibited in their service territory. This means if you’re a CPS Energy customer, you’ll need to purchase your solar system outright or through a loan rather than lease it.
However, if you’re served by nearby cooperatives like Pedernales Electric, Bluebonnet Electric, or Guadalupe Valley Electric, you can access Palmetto’s LightReach lease program. With a solar lease, you pay a fixed monthly amount for your system—typically lower than your current electric bill—without the upfront investment or maintenance responsibilities that come with ownership.
The benefit of leasing versus buying comes down to your priorities. When you lease solar panels, there’s no large initial investment, no loan payments to manage, and Palmetto handles all system maintenance and monitoring. You start saving on electricity from day one without tying up capital or taking on the responsibilities of ownership—making solar accessible even if upfront costs are a barrier.
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 San Antonio. With 5.4 peak sun hours daily and over 300 sunny days annually, the city offers ideal conditions for solar energy production year-round.
A typical San Antonio system saves around $79,000 over 25 years while protecting you from rising electricity rates. Texas’ property tax exemption prevents solar installations from increasing your home’s taxable value, adding to the financial benefits.
San Antonio residents served by CPS Energy have access to monthly net metering. The utility credits excess solar energy exported to the grid at approximately 2 cents per kWh during summer months (June-September) and 1.65 cents per kWh the rest of the year (October-May).
These credits roll over month to month as dollar amounts but are forfeited each December without payout. Nearby areas served by cooperatives like Pedernales Electric and Bluebonnet Electric offer similar net billing programs with credits around 6-8 cents per kWh, settled monthly.
Yes, solar panels increase home value in San Antonio. Research shows that solar installations boost property values by an average of 4.1% according to Zillow, which translates to approximately $10,000-$15,000 for typical San Antonio homes.
Additionally, Texas’ property tax exemption ensures your solar system won’t increase your annual property taxes, allowing you to enjoy the added home value without higher tax bills—a unique benefit that makes solar even more attractive for San Antonio homeowners.
Solar panel costs in San Antonio typically range from $20,256 to $35,795 depending on your home size and energy needs. A medium-sized home (2,000-3,000 sq ft) averages around $27,296 for a 9.72 kW system at $2.81 per watt.
These prices reflect the full system cost without incentives. Over 25 years, this investment can save San Antonio homeowners approximately $79,000 in electricity costs while protecting against future rate increases.
Yes, solar is financially worth it in San Antonio. With 5.4 peak sun hours daily and Texas electricity rates rising 23% since 2021, a typical system saves around $79,000 over 25 years while protecting against future rate increases.
The payback period averages 10-11 years, and Texas’ property tax exemption prevents solar from increasing your annual taxes. San Antonio’s abundant sunshine and competitive installation costs make solar a smart long-term investment for homeowners.
At Palmetto, we’re committed to making solar accessible and straightforward for San Antonio homeowners. We’ve completed 3,810 installations across Texas since 2020, bringing national expertise with local focus to every project.
We offer flexible financing options to fit different budgets, along with a trusted network of professional installers. Our goal is to guide you through every step—from your initial quote to system activation—making the transition to clean energy as smooth as possible.