Residential solar power in Texas has grown in popularity as costs have been nearly cut in half over the last few years. Texas obviously is a great place to consider going solar.
The Lone Star State gets a whole lot of sun, and temperatures regularly get into the 100s in the summer. Even in other seasons, the Texas sun is still shining high and bright.
If you’re wondering if photovoltaic (PV) solar panels are worth it in Texas, consider these major benefits of going solar.
Removing Yourself from the Rise in Electricity Costs
The first benefit is that you’re capping yourself off from the rise in electricity costs. How much will electricity costs be in the next five, 10, 20 years? No one knows, but historically, costs have risen by roughly 3.5 percent annually.
According to the U.S. Energy Information Association, electricity costs in Texas were around 10 cents per kWh in 2010, and have reached around 13 cents per kWh in 2017. So, generating your own electricity from solar panels removes yourself from the future rise in electricity costs, no matter if you are in a regulated or deregulated area of Texas.
That alone is incredibly valuable.
Solar Panels Put Money Back into Your Home
You are paying for electricity every month anyway. Using solar panels lets you redirect the money you are already paying to your energy provider and put it into your home every month.
It’s always better in the long run to purchase your solar panels (as opposed to leasing them). The vast majority of solar panel systems do not require any money down, and you are essentially paying for them every month with the money you are saving by the electricity the panels are producing. This offsets the electricity that you were having to pay from your electric provider.
Will your solar panels produce 100 percent of the electricity you need? Not every month. And that can depend on the size of your system, the amount of sun it gets, and a few other factors.
Still, from the first day you begin generating your own power from your solar panels, you begin saving money on electricity costs that you can redirect to pay for your solar panels. Once your solar panel system us paid off, your home will be its own renewable source of energy.
Texas Solar Power Incentives
As of late 2017, there were several solar panel incentives and credits that make having a system worth it in Texas. First is the federal tax credit of 30 percent of the cost of your solar panel system.
This tax credit, which can be claimed on your tax filing the year you purchase your solar panel system, can be applied to the cost of the system. Consult your tax professional for more info.
Several electricity delivery territories in Texas also offer incentives. Garland Power & Light in Garland, Texas, was offering people who installed a qualified solar panel system a $2,000 credit to their account. This credit can be applied to the cost of electricity that is not offset by the solar panels. The incentive was on a first come, first served basis until program funds ran out.
Another example is the Oncor territory, which services most of North Texas. People in the Oncor territory were eligible for a cash rebate of $538.83 per kilowatt (approximately $0.54/W) for their solar panel system installation. Since Oncor customers are not eligible for net metering (the ability to roll power back onto the electric grid), they could receive a credit of $0.2519/kWh of solar electricity generated.
Check your local electricity delivery territory in Texas for specific details on incentives and rebates.
Actual Texas solar panel home proposal overview:
Solar Panels Increase the Value of Your Home
Since your solar panel system is essentially part of your home, it increases the value of your home. Your home becomes its own source of power.
On average, home values rise $20 for every $1 saved in annual utility bills. For example, saving an average of $100 per month on your utility bill can raise your home’s value by $24,000.
Typically, a 7 to 8 kilowatt system would fit an average size home in Texas. Here’s another way to look at it: On average, a PV solar panel system adds an extra $3 per watt to the sale of the house. That’s 8,000 watts x $3 = $24,000. A 10,000 watt system (x $3 per watt) would add $30,000 to the value of your home.
So, taking all these factors into consideration, solar panels in Texas are absolutely worth it, especially in the long-term. Some homes see a lifetime savings of up to $30,000-$50,000 and more.
What would you do with an extra $50,000 over the life of your solar panel system?
If you’d like a fast and free solar panel system proposal for your home to see how much you can save, call 469-207-1595.