Federal solar credit ended Dec 31, 2025
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Solar costs · Dallas, TX

Solar Panel Cost in Dallas, Texas

Updated Data verified Nov 5, 2026

Dallas gets about 1,505 kWh per kW per year[1] from a rooftop solar array, according to NREL's PVWatts model at the city's coordinates. Oncor's residential customers paid an average of [data unavailable] and used [data unavailable]. A system sized to that use, about 8.7 kW est.[1,2], costs roughly $29,500 to $40,000 est.[1,2,3] before incentives, and pays back in more than 25 years est.[1,2,3,4,5] for a cash buyer.

On this page [ 8 ]

Dallas solar at a glance

Output per kW of panels1,505 kWh/yr[1]PVWatts, this city
Sunlight on panels5.45 kWh/m²/day[1]Annual average
Oncor avg. price16.03¢/kWh
Oncor avg. home use1,096 kWh/mo
Typical system8.7 kWCovers 100% of use
Typical price$34,800Estimate, before incentives
Year-1 savings$1,050Estimate
Payback>25 yrsEstimate, cash purchase
Estimated monthly output of a 8.7 kW system in Dallas (PVWatts, typical weather year)kWh / month

Oncor credits exports at Set by your retail plan; we model 0¢ unless you enter your plan’s buyback rate (No net metering mandate; export credit only via a retail electric provider (REP) buyback plan). Assumptions: methodology.

How Oncor Electric Delivery Company LLC treats solar

UtilityExport policyExport creditAvg. residential priceMonthly basic charge
OncorNo net metering mandate; export credit only via a retail electric provider (REP) buyback planSet by your retail plan; we model 0¢ unless you enter your plan’s buyback rate[5]n/a$4.06[6]

Oncor Electric Delivery Company LLC: No net metering mandate; export credit only via a retail electric provider (REP) buyback plan

Oncor is the wires utility. It handles interconnection, programs the smart meter to record surplus kWh, and sends that data to the customer's REP. Whether exports earn anything, and how much, depends entirely on the buyback terms of the REP plan the customer picks. Texas law requires the surplus to be sold to the customer's REP at a mutually agreed value.

  • TDU fixed delivery charges (residential): Customer Charge $1.48 + Metering Charge $2.58 = $4.06/month, effective June 1, 2026; passed through on the REP bill, plus per-kWh distribution charges and riders[6]
  • Retail choice: Oncor-area customers choose a REP; Oncor does not sell electricity or buy back surplus[7]
  • Surplus data to REP: Surplus generation data goes to the customer's REP 30-60 days after PTO[7]
  • Interconnection fees: No pre-interconnection study fees in general for small inverter-based systems[7]
  • Battery interconnection: A battery that operates in parallel with the grid needs an interconnection agreement[5]

Permits and local programs in Dallas

  • Permitting: Residential Solar/PV permits are filed in DallasNow; PV without storage is typically issued about 24 hours after the plan review fee is paid. Dallas is not on the SolarAPP+ jurisdiction list.[8]
  • Utility incentive: Oncor's 2026 residential solar standard offer program (with or without storage) runs through Nov 30, 2026; the incentive is capped at 50% of project cost[9]
  • Retail choice: Dallas is in the competitive ERCOT market: Oncor delivers power, and residents pick a REP whose buyback plan (if any) sets export credit[7]

Dallas solar cost by system size

Estimated cost, output and payback by system size in Dallas, TX
SystemPrice before incentives[3]After incentiveskWh in year 1[1]Year-1 savings[4][5]Payback (years)
4 kW$16,000$16,0006,020$480>25
6 kW$24,000$24,0009,030$720>25
8 kW$32,000$32,00012,040$970>25
10 kW$40,000$40,00015,050$1,210>25
12 kW$48,000$48,00018,060$1,450>25

Incentives for Dallas homeowners

Federal · tax creditEnding soon

Business credit for leased and PPA systems (48E)

Claimed by the system owner, not the homeowner; solar must begin construction by July 4, 2026 or be in service by December 31, 2027[10]

If a company owns the panels on your roof (a lease or power purchase agreement), that company may claim the business clean electricity investment credit and can reflect it in your price. You cannot claim it yourself.

Who
Third-party-owned systems (leases and PPAs). Ask the provider whether the price assumes this credit.
Deadline
December 31, 2027
Checked
November 5, 2026
State · tax exemptionAvailable

Texas property tax exemption for solar energy devices (Tax Code 11.27)

100% of the added appraised value from an on-site solar energy device is exempt from property tax[11]

Statute text was read from the Legislature's statute file server (tcss.legis.texas.gov/resources/TX/htm/TX.11.htm), which backs statutes.capitol.texas.gov. Last amended by Acts 2021, 87th Leg., Ch. 533 (S.B. 63). The homeowner claims it with Comptroller Form 50-123, filed with the county appraisal district (https://comptroller.texas.gov/forms/50-123.pdf).

Who
Solar (or wind) devices primarily for production and distribution of energy for on-site use. Subsection (a-1) also exempts a device owned by someone who does not own the real property it sits on.
Deadline
No sunset in statute
Checked
November 5, 2026
Utility · rebateEnding soon

Oncor Solar Photovoltaic Standard Offer Program - Residential (2026)

Incentive paid to the installer, based on modeled kWh and peak-demand savings (PUCT TRM / PVWatts); capped at 50% of total project cost. Options with or without battery storage.[9]

2026 residential budget: $1,774,000, first-come first-served; no installer may get more than 15% of it. Batteries must be charged by the paired PV, installed outside the home, and not lead-acid. A per-watt rate is not published in the manual (installers get a calculator). Oncor's takealoadofftexas pages returned 403, so current funding/waitlist status is unverified.

Who
Existing Oncor residential-rate customers without existing PV or storage, using an approved participating service provider. System at most 20 kW DC and at most 75% of the site's 12-month maximum demand. Sites in designated solar/renewable communities are excluded.
Deadline
November 30, 2026
Checked
November 5, 2026

Every Texas incentive →

FAQ

Frequently asked questions

How much do solar panels cost in Dallas?

About $34,800 est.[1,2,3] before incentives for a 8.7 kW est.[1,2] system, using Texas's median installed price of $4.00 per watt est.[3]. Get at least three written quotes; prices for the same system often differ by thousands of dollars.

How does Oncor pay for solar I send to the grid?

Under No net metering mandate; export credit only via a retail electric provider (REP) buyback plan, Oncor credits exports at Set by your retail plan; we model 0¢ unless you enter your plan’s buyback rate[5], well below the retail price, so using your solar power at home is worth more than exporting it.

How long is the payback for solar in Dallas?

Our model estimates more than 25 years est.[1,2,3,4,5] for a cash purchase, with year-one savings of about $1,050 est.[1,2,4,5]. Financing, a battery or a different rate plan changes this; the calculator lets you test each.

sources

[ 11 ]

Every number on this page links to one of these sources. Dates show when we last checked each one.

  1. NREL/NLR PVWatts v8 (1 kW-DC, fixed roof mount, 20° tilt, south-facing, 14% losses, TMY weather)pvwatts.nlr.gov · checked Nov 5, 2026
  2. EIA Electric Sales, Revenue, and Average Price 2024, Table 5A: Residential average monthly bill by stateeia.gov · checked Nov 5, 2026
  3. U.S. Distributed Solar and Storage 2026 Data Update (Barbose, Darghouth, O'Shaughnessy, Forrester), Berkeley Labeta-publications.lbl.gov · checked Nov 5, 2026
  4. EIA Electric Power Monthly, Table 5.6.B: Average price of electricity by state, year-to-date (August 2026, preliminary)eia.gov · checked Nov 5, 2026
  5. Oncor: No net metering mandate; export credit only via a retail electric provider (REP) buyback planoncor.com · checked Nov 5, 2026
  6. Oncor residential tariffoncor.com · checked Nov 5, 2026
  7. Oncor: Retail choiceoncor.com · checked Nov 5, 2026
  8. Dallas: Permittingdallascityhall.com · checked Nov 5, 2026
  9. Dallas: Utility incentiveoncor.com · checked Nov 5, 2026
  10. Public Law 119-21 - Sec. 70513(a) and (g)(5) (48E); Sec. 70512(a) and (l)(4) (45Y)govinfo.gov · checked Nov 5, 2026
  11. Texas Tax Code Sec. 11.27, Solar and Wind-Powered Energy Devicesstatutes.capitol.texas.gov · checked Nov 5, 2026

City data last re-checked November 5, 2026.