The short answer
Central Texas has four very different deals within a short drive. Austin Energy pays a set Value of Solar rate for everything your panels make and adds a $4,000 rebate. Pedernales (PEC) and Bluebonnet, the big co-ops around the city, credit exported power at a fixed rate. In the Oncor parts of Travis, Williamson, Bastrop and Burnet counties, your retail plan decides. For a $150 average bill our calculator puts payback at 14 to 24 years, shortest with Austin Energy.
What a kWh of solar earns here
Austin Energy credits every kWh your panels produce, used at home or not, and bills all your use at its normal rates. The others only credit what goes to the grid; what your home uses as it's made saves your full rate. Oncor-area figures come from our Oncor guide.
Federal EIA records put Austin Energy in Travis and Williamson counties, PEC in six of our seven Central Texas counties and Bluebonnet in five. The table shows what each does with solar power and what a system covering 85% of a home with a $150 average bill would save:
| Utility | What it does with solar power you send out | Yearly savings, $150 bill | Payback | Estimate |
|---|---|---|---|---|
| Austin Energy | Pays 12.89¢ for every kWh the panels make (Value of Solar), used at home or not | $1,251 to $1,585 | 14 to 16 years | Estimate → |
| Pedernales (PEC) | Credits 7.19¢ per kWh sent to the grid, against its base power charge | $877 to $1,074 | 19 to 22 years | Estimate → |
| Bluebonnet | Credits every exported kWh at its 2026 production credit, 6.6962¢ | $910 to $1,105 | 21 to 24 years | Estimate → |
| Oncor area | Your retail plan sets the buyback: from nothing up to about its energy charge | $740 to $1,314 | 16 to 18 years | Estimate → |
PEC and Austin Energy use Austin sun, Bluebonnet the sun from its guide, and the Oncor area the Austin region's. Austin Energy's payback leaves out its rebate.
With Austin Energy's $4,000 rebate, the same system pays back in about 12 to 14 years. The rebate needs Austin Energy's Solar Rebate Quiz, a participating contractor, a new system of at least 3 kW that's mostly unshaded, and a confirmation letter before installation. Utilities whose solar terms we couldn't confirm also serve parts of the region: Georgetown Utility Systems, San Marcos Electric, Bartlett Electric, Central Texas Electric, Fayette Electric and the city utilities of Bastrop, Lockhart, Luling, Smithville and Burnet.
Hail and outages
NOAA lists 641 hail reports in our seven Central Texas counties from 2016 to 2025, 184 of them 1.75 inches or larger. Williamson County had the most:
| Utility | Hours without power a year, 2020 to 2024 average | Leaving out major storms | Worst year |
|---|---|---|---|
| Austin Energy | 18.1 h | 1.2 h | 54.4 h in 2023 |
| Pedernales (PEC) | 2.1 h | 1.2 h | 4.6 h in 2023 |
| Bluebonnet | 6.1 h | 1.7 h | 16.5 h in 2021 |
| Oncor area | 7.1 h | 1.7 h | 9.3 h in 2021 |
Average hours without power per customer, from each utility's reports to the federal EIA. "Leaving out major storms" drops the major event days utilities are allowed to exclude.
Grid-tied solar shuts down in an outage unless it has a battery set up for backup; our battery guide covers the options, and our hail guide covers panel ratings and insurance.
Permits in Austin Energy territory
Austin Energy's Solar Permitting Manual (May 2026) requires an Auxiliary Power Electrical Permit for every solar system in its territory, and an interconnection agreement reviewed and approved by Austin Energy before the permit is activated. Ground-mount and solar-shingle systems inside city limits also need City of Austin plan review, engineer-stamped plans and a building permit. The contractor applying has to be registered with the city. Outside Austin Energy, the 2025 state laws on home solar and battery permits apply; our permits guide explains them.
Your estimate in three steps
- Enter your billYour ZIP code, your utility and last month's bill.
- See your estimateA yearly savings range based on your utility's rates and the sun where you live.
- Choose what's nextAsk for a quote call if you want real pricing, or just keep the number.
See what solar could save you
It takes about a minute. You don't need a site visit, a commitment or a sales call to see your number.
Common questions
Is solar worth it in Austin?
Austin Energy homes have the shortest payback in our Texas estimates: about 14 to 16 years for a $150 average bill, or 12 to 14 with the $4,000 rebate, because Austin Energy credits every kWh the panels make at 12.89 cents. Across PEC, Bluebonnet and the Oncor area it's 14 to 24 years.
What does Austin Energy pay for solar?
12.89 cents for every kWh your panels produce, its Value of Solar rate, whether your home uses it or not. Your use is billed at normal rates, and unused credit carries over.
What do PEC and Bluebonnet pay for solar power?
PEC credits 7.19 cents per kWh sent to the grid, against its base power charge. Bluebonnet credits every exported kWh at its 2026 member production credit, 6.6962 cents.
Does Austin Energy have a solar rebate?
Yes, $4,000 for an eligible system: new, at least 3 kW, mostly unshaded, installed by a participating contractor after the Solar Rebate Quiz and a confirmation letter.
Do I need a permit for solar in Austin?
In Austin Energy territory, yes: an Auxiliary Power Electrical Permit, with Austin Energy's approved interconnection agreement before the permit is activated. Ground-mount and solar-shingle systems inside city limits also need a building permit.
Related guides
- Solar for Austin Energy customers
- Solar for Pedernales (PEC) members
- Solar for Bluebonnet members
- Solar for Oncor customers
- Solar panel permits in Texas
- Texas solar incentives in 2026
Savings and payback are our calculator's estimates, not a utility's or an installer's. Rates and buyback terms change; check your utility's current terms before you sign. Sources: Austin Energy: Value of Solar rate · Austin Energy: solar for your home · Austin Energy: Solar Permitting Manual, May 2026 (PDF) · PEC: DG interconnection rates · Bluebonnet: renewable rate information · U.S. Department of Energy: the road to resilience with rooftop solar · U.S. EIA Form 861: service territories, reliability and sales data, 2020 to 2024 · NOAA NCEI Storm Events database, 2016 to 2025 · NREL PVWatts v8. Reviewed October 2026.
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