The short answer
West Texas has the strongest sun in the state, but the deal depends on where you live. El Paso Electric still nets solar against your use each month, but puts solar homes on a rate with a demand charge. Around Midland and Odessa it's Oncor's wires and a retail plan; around Abilene and San Angelo, AEP Texas North's; around Fort Stockton and Pecos, TNMP's. Where our calculator can price it, payback for a $150 average bill runs 14 to 25 years.
The strongest sun in Texas
NREL PVWatts v8: kWh a year from 1 kW of south-facing panels on a 6/12 roof.
The same panels make about 30% more power in El Paso than in Houston, so a West Texas home needs fewer panels to cover the same use. That's why paybacks in the Oncor and TNMP parts of West Texas come out a year or two shorter than in those companies' areas around Dallas and Houston.
Who buys your solar power
| Utility | What it does with solar power you send out | Yearly savings, $150 bill | Payback | Estimate |
|---|---|---|---|---|
| El Paso Electric | Nets each month; leftover earns about 1.6¢. Solar homes pay a demand charge set by their peak use | Not estimated | No figure | Estimate → |
| Oncor area | Your retail plan sets the buyback: from nothing up to about its energy charge | $740 to $1,314 | 14 to 16 years | Estimate → |
| AEP Texas North area | Your retail plan sets the buyback: from nothing up to about its energy charge | $744 to $1,347 | 15 to 17 years | Estimate → |
| TNMP area | Your retail plan sets the buyback; TNMP's delivery charge is the highest of the Texas wires companies | $722 to $1,185 | 15 to 17 years | Estimate → |
| Xcel Energy | Standard meter: exports aren't bought. A second meter earns its monthly fuel cost, about 1.7¢, for $20 a month | $619 to $659 | 22 to 25 years | Estimate → |
Oncor and TNMP use Midland-area sun, AEP Texas North Abilene's and Xcel Energy Amarillo's (federal EIA records list Xcel in parts of Ector and Midland counties). El Paso Electric has no payback figure: see below.
El Paso Electric's demand charge. Solar homes go on its Distributed Generation Rate: per-kWh prices 3.33¢ below the standard rate, plus $5.65 a month for each kW of the home's highest one-hour use. That charge depends on each home's habits, so we don't give one payback figure; our El Paso Electric guide does the break-even math. Rio Grande Electric, Concho Valley Electric, Taylor Electric, Southwest Texas Electric, Coleman County Electric and Lyntegar Electric also serve parts of the region; we couldn't confirm their solar terms.
Hail and outages
The sun comes with hail. NOAA lists 938 hail reports in our eight West Texas counties from 2016 to 2025, and 367 of them, 39%, were 1.75 inches or larger:
| Utility | Hours without power a year, 2020 to 2024 average | Leaving out major storms | Worst year |
|---|---|---|---|
| El Paso Electric | 1.4 h | 1.3 h | 2.6 h in 2021 |
| Oncor area | 7.1 h | 1.7 h | 9.3 h in 2021 |
| AEP Texas North area | 6.0 h | 1.9 h | 18.9 h in 2021 |
| TNMP area | 8.3 h | 1.7 h | 32.4 h in 2024 |
| Xcel Energy | 4.4 h | 1.8 h | 9.2 h in 2020 |
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.
Oncor's 2026 solar program pays installers for home systems up to 20 kW from a $1,774,000 budget. AEP Texas's SMART Source and TNMP's Solar+ program also pay installers; TNMP's ends November 30, 2026.
Our incentives guide lists them all, and our hail guide covers panel ratings and insurance.
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 West Texas?
Where our calculator can price it, payback for a $150 average bill runs 14 to 25 years: shorter in the Oncor, AEP Texas North and TNMP areas, longer with Xcel Energy, which doesn't buy exports on its standard meter. El Paso Electric's demand charge depends on each home's peak use, so we don't give one figure there.
How much sun does West Texas get?
In NREL's PVWatts model, 1 kW of south-facing panels makes about 1,857 kWh a year in El Paso, 1,771 in Midland and 1,671 in Abilene, against 1,430 in Houston.
Does El Paso Electric charge solar customers more?
Solar homes go on its Distributed Generation Rate: per-kWh prices 3.33 cents below standard, plus $5.65 a month for each kW of the home's highest one-hour use. It still nets solar against use each month.
Who buys solar power in Midland and Odessa?
Most homes there are on Oncor's wires, so their retail electricity plan sets the buyback, from nothing up to about the plan's energy charge. Federal EIA records also list Xcel Energy in parts of Ector and Midland counties.
How much hail does West Texas get?
NOAA lists 938 hail reports in our eight West Texas counties from 2016 to 2025, 367 of them 1.75 inches or larger.
Related guides
- Solar for El Paso Electric customers
- Solar for Oncor customers
- Solar for AEP Texas customers
- Solar for TNMP customers
- How many solar panels you need in Texas
- Solar panels and hail in Texas
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: El Paso Electric: Texas rate tariffs · Oncor 2026 Solar PV program manual (PDF) · AEP Texas 2026 Energy Efficiency Plan and Report (PDF) · TNMP 2026 residential program manual (PDF) · 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.
Next guideSolar for El Paso Electric customers →