Solar Panels in Austin, TX

Austin, Texas residents are served by Austin Energy, which charges $0.12 per kWh for residential electricity. This is 32% below the national average of $0.168/kWh. At this rate, a typical household using 900 kWh per month spends approximately $1,242 per year on electricity—money that could be going toward building equity in a solar system instead.

An 8 kW solar system in Austin can offset most or all of a typical home’s electricity usage, saving approximately $1,104 per year. Over the 25-year lifespan of the system, that adds up to $40,251 in total savings. The estimated payback period is 20.2 years.

As a municipal utility, Austin Energy sets its own rates and rebate programs independently. Net metering is available, meaning excess solar energy you produce earns bill credits from Austin Energy. Heat pump rebates of up to $1,200 are also available for Austin homeowners.

The federal residential solar tax credit (Section 25D) expired at the end of 2025, making state and utility incentives more important than ever. NuWatt Energy installs solar panels, heat pumps, EV chargers, and battery storage directly in Austin—no subcontractors or lead-selling middlemen. We handle every step from system design through Austin Energy interconnection.