Net metering & solar buyback in Texas
Does Texas have net metering? Not as a statewide rule. Unlike many states, Texas doesn’t require utilities to credit rooftop solar at the full retail rate. How — and how much — you get paid for the energy you send back to the grid depends entirely on who your utility is.
That’s not a catch; it just means it pays to understand the three models below before you sign anything.
Last updated · how we source this
The three ways it works in Texas
1. Deregulated areas — your REP buys it back
In most of Texas (Oncor, CenterPoint, AEP Texas, TNMP, Lubbock P&L), your wires company doesn’t buy your solar — it just delivers power. You shop for a retail electric provider (REP), and to get paid for exported energy you choose a REP with a solar buyback plan. Plans vary a lot — some credit near the retail rate, others at a low wholesale rate, some cap how much they’ll buy — so the plan you pick matters as much as the panels. Compare REP buyback plan types →
2. Municipal utilities — the city credits you
If you’re served by a city utility — Austin Energy or CPS Energy — there’s no REP to choose. The utility both delivers your power and credits your solar directly, on its own terms (Austin Energy uses a “Value of Solar” credit; CPS credits against your usage). Many munis also offer rebates.
3. Electric co-ops — the co-op sets the rate
Co-ops like PEC, CoServ, Bluebonnet, and GVEC are vertically integrated like munis — the co-op buys your exported solar at its own published rate (often a wholesale/avoided-cost figure, well below retail). Terms vary co-op to co-op and change periodically.
What makes a good buyback deal
- Buyback rate vs. your import rate. The closer the credit is to what you pay to import, the better. A “1:1” or near-retail credit beats a low wholesale/avoided-cost rate.
- Export caps. Some plans only buy back up to your monthly usage, then pay much less (or nothing) for the surplus — which penalizes oversized systems.
- Monthly fees & base charges. A higher base/“solar” fee can quietly eat your credits. Compare the all-in bill, not just the headline rate.
- Equipment or plan requirements. A few buyback plans require specific hardware or come bundled with a pricier energy rate. Read the EFL (Electricity Facts Label).
- Rate stability. Buyback rates change. Note whether the rate is fixed for a term or can be cut mid-contract.
Find your utility’s specific rates and buyback in the Texas solar guide, then run a free estimate — the simulator models your buyback credit on your actual usage. See how we source rates on our methodology page.
