Austin Energy solar rebate & Value of Solar

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The $4,000 residential solar rebate

Since July 1, 2026, Austin Energy has offered a $4,000 rebate per eligible residential solar project (up from $2,500). According to Austin Energy, you must:

• Have an Austin Energy residential electric account at the home
• Install a new system (not one already installed before applying)
• Complete Austin Energy's solar education course and Solar Rebate Quiz
• Use an Austin Energy participating solar contractor
• Install a system of at least 3 kW (DC) that is mostly free of shading
• Get a Solar Rebate Confirmation Letter before installation

Full rules: Austin Energy: For Your Home.

Value of Solar bill credit

Austin Energy doesn't use traditional net metering. It meters everything your system produces and credits 100% of production at the Value of Solar rate, currently 12.89¢/kWh for systems under 1 MW (effective October 1, 2026, up 27%). You pay normal residential rates for all the energy your home uses. Extra credit carries over month to month but applies only to electric charges, not water or trash. The rate is recalculated about every three years.

Austin Energy estimates an average 6 kW system earns about $1,300 a year in credits at the new rate.

Quick estimate

Illustration only; actual prices and production vary.

Batteries

Austin Energy also runs a Power Partner battery program for eligible customers. Check its current terms on austinenergy.com.

Also check

• The Texas property tax exemption for solar (Comptroller Form 50-123)
• Your HOA's placement rules (Texas generally limits outright bans)

Find a participating contractor

Austin Energy customers: to get the rebate you must use an Austin Energy participating contractor. Confirm that before signing.