Texas does not have mandatory net metering. The state's deregulated electricity market separated the delivery side (your TDU — Oncor, CenterPoint, etc.) from the retail side (your REP). REPs are not required to buy your solar energy, and the ones that do set their own terms — or don't offer buyback at all.
VERIFIED 2026-06 · puc.texas.govThe three plan shapes
Solar buyback in Texas comes in three structurally different forms. Which one you have changes the math completely.
1. Retail-match (1:1 credit)
Examples: TXU Solar Buyback Match (Oncor/DFW only), Green Mountain.
Your exports are credited at your full retail rate, dollar-for-dollar against your imports. The best per-kWh export value available in Texas.
2. Fixed rate
Example: Chariot Energy, around 7¢/kWh, available across all TDU territories, 12-month contract.
Your exports earn a flat rate. Predictable and easy to budget.
3. Real-time wholesale (RTW)
The export credit follows the wholesale ERCOT price, which changes every 5 minutes. Off-peak it's often under 3¢/kWh; during peak summer events it can spike to hundreds of cents per kWh. Best suited to west-facing panels that produce into the late-afternoon peak.
VERIFIED 2026-06 · REP tariffsThe delivery-charge trap
Solar credits in Texas cover only the supply portion of your bill. The delivery portion — Oncor at about 5.58¢/kWh, CenterPoint at about 6.00¢/kWh — is paid for every kWh you import from the grid, regardless of how much solar you export.
This means even a retail-match plan does not zero out your bill. The "solar = $0 electric bill" promise you'll see in marketing is wrong in Texas — TDU delivery charges always remain.
When you compare plans, look carefully at what each plan credits against. A retail-match credit applied only to the supply side leaves delivery untouched.
Surplus and rollover — read the fine print
Solar credits in Texas are almost never paid out as cash. They roll over against future consumption. The rollover rules vary by plan:
- Chariot Energy: infinite month-to-month rollover (your credit balance carries forward indefinitely).
- Other plans: credits often expire after 12 months.
Don't oversize your system on the assumption you'll "sell" the surplus. You won't see cash for it — you'll either use it later as a credit, or watch it expire.
Your savings depend on your hourly profile
Texas payback is highly sensitive to when you produce versus when you import. Two homes with identical 5 kW systems but different daily-use patterns can have very different payback — sometimes years apart.
Be skeptical of any "Texans save $X/year on solar" averaged claim that hasn't actually modeled your usage profile, your TDU territory, and your specific plan.
And the federal credit?
The federal Residential Clean Energy Credit (§25D) — the 30% homeowner credit — was repealed for systems installed after December 31, 2025. Texas 2026 buyers don't get it. See The federal 30% solar tax credit is gone in 2026 for the full picture.
Compare buyback plans for your home →Rates and plan terms change — always check the Electricity Facts Label (EFL) before signing. This is not financial advice.