When talking about the cost of solar panels in Texas, the average is around $3 per watt, which means that a 6 kW solar panel system would cost approximately $18,000 to install before any rebates or incentives.
However, keep in mind that the amount can vary depending on a number of factors. We’ll discuss all of them in this blog, including the incentives and rebates you can get that would significantly lower the costs involved.
Factors that affect the cost
Size of the solar panel system
If your home has high energy usage, it will require a larger solar panel system to meet its energy needs. On the other hand, a home with lower energy usage will also need a smaller system.
But remember that the larger the solar panel system, the more expensive it will be. This is obviously because it will require more panels, which means more materials and labor are needed.
Type of panels used
The type of panels used can also affect the cost of solar panels in Texas. There are two main types of solar panels: crystalline silicon panels and thin-film panels.
Crystalline silicon panels are more expensive than thin-film panels, however, they are also more efficient and durable. Work with a reputable contractor so you can work out which of these two will best fit both your needs and budget.
The location where solar panels are installed can also affect the cost. Solar panels work best in areas with plenty of sunlight, so homes and properties in sunny parts of Texas may be able to get more value from their solar panel systems.
On the other hand, homes and properties in cloudy or shaded areas may not see as much of a return on their investment. Make sure you fully understand this before making any decision.
Incentives for installing solar panels
Despite the high upfront cost, solar panels can be a good investment for property owners in Texas. The state offers a number of incentives and rebates to encourage the adoption of solar energy and help offset the initial cost of installation to make it more affordable. Here are some of them:
Federal Investment Tax Credit (ITC)
This is one of the main incentives for installing solar panels in Texas. The ITC allows homeowners and businesses to claim a credit on their federal income tax for a portion of the installation cost.
For solar panel systems installed in 2021, property owners can claim a credit of up to 30% of the cost of installation. This credit will gradually decrease over the next few years, so if you want to take advantage of this incentive, then act quickly!
Texas Renewable Energy Credit (REC)
Texas offers a number of other incentives and rebates for solar panel installations, including the Texas REC program. This allows homeowners and businesses to sell excess energy generated by their solar panel systems back to the grid.
Hence, this program can actually help offset the cost of solar panels and provide additional income for homeowners and businesses alike.
Various financing options
In Texas, there are a number of financing options available for property owners interested in solar panel installations. These options include loans, leases, and even power purchase agreements (PPAs).
A loan will help homeowners and businesses to finance their solar panel system and pay it off over time, while a lease or PPA will allow them to pay for the energy generated by their solar panel systems on a monthly basis.
Want to know the exact cost of solar panels for your home in Texas?
Call Galvan Roofing! We are a roofing contractor that also specializes in solar panel installation. We can walk you through all the available options that would meet your needs and budget, and help ensure you can take advantage of the incentives and rebates at hand. Call us today and we’ll give you a free estimate!