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NuWatt designs, installs, and manages solar, battery, heat pump, and EV charger systems across 9 states. One company, one warranty, one point of contact.
Get a Free QuoteSolar complaints to the Texas Attorney General rose 818% from 2018 to 2023. SB 1036, effective September 1, 2025, gives Texas homeowners new rights — and scammers new legal exposure. Here's what you need to know.
Texas has the conditions that attract bad actors: a large, deregulated energy market, hot summers that make solar attractive, and a fast-growing housing stock. The results:
The Texas Solar Energy Consumer Protection Act established the first Texas-specific legal protections for residential solar buyers. Here's what the law requires.
Installers must provide a written disclosure document before you sign any contract. This must include the system size (kW), estimated annual production (kWh), total cost, itemized pricing, and all applicable incentives accurately stated.
You have 3 business days after signing to cancel a residential solar contract without penalty. This right must be disclosed in writing at the time of signing. To exercise: send written notice to the installer within 3 business days — certified mail creates a paper trail.
It is now illegal under Texas law for solar companies to misrepresent financial benefits — including overstating production estimates, falsely claiming tax credits exist, or mischaracterizing net metering savings. This provision is directly enforceable by the Texas AG.
Installers must disclose in writing that installing solar panels may affect your existing roof warranty. If the installer does not disclose this and your roof warranty is voided, you may have grounds for a claim against the installer.
The contract must include contact information for the installer and information about how to file a complaint if there's a dispute. This makes it harder for fly-by-night companies to disappear after collecting payment.
Before July 4, 2025, the most common Texas solar scam was inflating the 30% federal Investment Tax Credit — overstating savings, misrepresenting eligibility, or just outright lying about the credit amount. The OBBBA signed that day eliminated Section 25D entirely for homeowners.
The Legal Fact Every Texas Homeowner Needs to Know
The residential solar tax credit (Section 25D of the Internal Revenue Code) is $0 as of January 1, 2026. Any solar company advertising a "30% tax credit," "$7,500 credit," or "26% federal incentive" for a cash or loan purchase is making a false claim. The only remaining federal solar credit (Section 48/48E) applies to commercial projects and third-party system owners — not to homeowners purchasing their own systems.
Some companies are still advertising "30% federal tax credit" in 2026. This is false. Section 25D is gone.
Without the ITC, more customers consider leases. Bad actors inflate savings projections, hide escalation clauses, or misrepresent buyout terms.
Texas has no statewide solar rebate program. Claims of "Texas solar rebates" or "state credits" are false — only property tax exemption exists.
Solar loan "dealer fees" ($5K-$15K) are paid by the lender to the installer and added to your principal — often without clear disclosure.
These are the tactics that generated thousands of Texas AG complaints. Know them before you meet with any solar salesperson.
A door-to-door salesperson tells you solar is "free" — you just pay for it through your reduced electric bill. This conflates the solar lease/PPA with a no-cost product. The solar is not free: you're signing a 20-25 year contract obligating monthly payments or service fees. In many cases, the long-term total cost exceeds what you'd have paid for electricity without solar.
SB 1036 now requires these salespeople to provide written disclosures before signing — but this only helps if you insist on reading them.
In Texas's deregulated market, homeowners are used to receiving utility company solicitations. Some bad actors impersonate Oncor, CenterPoint, Reliant, or Austin Energy representatives. Your utility company will never send someone to sell you solar — they are distribution companies, not solar retailers. If someone claims to represent your utility, call your utility's official customer service number to verify.
A legitimate Texas solar production estimate is 1,400-1,600 kWh per kW per year. Some installers claim 1,800-2,000+ kWh/kW to make the payback period look shorter and the savings look bigger. This inflated number then drives an oversized (overpriced) system recommendation.
Under SB 1036, written production estimates are now required before signing. If your actual production falls significantly short of the estimate, you may have grounds for a complaint — especially if the installer can't show a legitimate calculation methodology.
The solar industry frequently uses urgency ("prices go up next month," "incentives expire") to pressure quick decisions. In 2026, the genuine urgency is the FEOC deadline (July 4, 2026) for certain commercial projects — not a residential urgency. The 3-day rescission under SB 1036 is specifically designed to counter these tactics. Never let a salesperson pressure you into waiving your cancellation right.
Solar leases often include 2-3% annual payment escalators. On a 25-year lease starting at $100/month: at 2.5% annual escalation, you're paying $185/month by year 25 — and your electricity cost savings may not keep pace if utility rates don't rise as projected. Always ask: "Does this lease have an escalator clause, and what is the rate?" Any refusal to answer clearly is a red flag.
This is now the single most common solar fraud in Texas following the OBBBA. Any company claiming a residential federal solar tax credit in 2026 is making a materially false statement. Under SB 1036, this prohibition on misrepresenting financial benefits applies directly. You can file a complaint with the Texas AG if a company made this false claim to you to induce you to sign a contract.
A legitimate installer welcomes due diligence. Here's the checklist:
NABCEP (North American Board of Certified Energy Practitioners) is the gold standard certification for solar installers. Verify at nabcep.org. A NABCEP PV Installation Professional has passed rigorous exams and has field experience.
Solar installation in Texas requires an electrical contractor license from TDLR (Texas Department of Licensing and Regulation). Verify at tdlr.texas.gov/license/. Installing solar with an unlicensed contractor may affect your homeowner's insurance coverage.
Check the installer's BBB profile for accreditation, complaint history, and how complaints were resolved. An A+ rating with zero complaints is ideal. Watch for companies with many resolved complaints — the pattern matters more than individual incidents.
Look for: consistent reviews across 2+ years (not a recent surge), specific project details mentioned, owner responses to negative reviews, and reviews that discuss the post-installation experience (not just the sales process). Beware of all-5-star reviews that appeared within the same month.
Request contact information for 3-5 recent customers in your area. Call them. Ask specifically: Did the system produce what was estimated? Were there any installation issues? Would you hire this company again? Legitimate installers can provide references; evasion is a red flag.
Three quotes minimum. Compare: price per watt, panel brand and model, inverter type, warranty terms, installation timeline, and production estimates. If one quote is 30%+ cheaper than others, investigate why — it may indicate inferior equipment, unlicensed labor, or a bait-and-switch.
If a Texas solar company misled you, you have multiple avenues for recourse. Act quickly — document everything and don't let deadlines pass.
The TX AG Consumer Protection Division enforces SB 1036 and the DTPA (Deceptive Trade Practices Act). File online at texasattorneygeneral.gov/consumer-protection or call 800-252-8011.
File at texasattorneygeneral.gov
If the installer holds a TDLR electrical contractor license, file a complaint at tdlr.texas.gov. License violations can result in suspension or revocation.
File at tdlr.texas.gov
File at bbb.org. While the BBB has no enforcement power, complaints create a public record and often prompt companies to offer settlements.
File at bbb.org
If you signed a contract based on misrepresentation (including false ITC claims), consult a consumer protection attorney. Texas DTPA allows you to recover actual damages plus up to 3x damages for knowing violations.
Texas State Bar Referral: texasbar.com
Before filing any complaint, gather:
NuWatt was built in response to the practices described on this page. We are licensed in Texas and operate under these principles:
Real pricing — no hidden fees
We disclose all loan dealer fees, equipment costs, and labor costs before you sign. No surprises.
Honest production estimates
We use NREL PVWatts with site-specific shading and orientation data. Our estimates are conservative — usually 1,400-1,550 kWh/kW for Texas.
No ITC lies
We will never tell you the 30% tax credit exists for your cash or loan purchase. It doesn't, and we won't pretend it does.
No pressure sales
No door-to-door. No "limited time offers." Your quote is valid for 30 days. We welcome the 3 days to think about it.
NuWatt's Propel financing is built on full transparency — no hidden dealer fees, no inflated "tax credit" pricing, no bait-and-switch. A third-party owner installs FEOC-compliant Silfab 440W panels and claims the 40% Section 48E ITC, then passes the exact savings to you as a documented fixed monthly payment. An 8 kW system at $2.90/W ($23,200) becomes ~$13,920 effective cost at ~$117/month. 8.99% APR, 25-year term, 660 FICO minimum. Must begin construction before July 4, 2026.
See Propel Financing Details