San Antonio, TX Solar: 2026 Costs, Incentives & Savings

Solar Power in San Antonio

If you’re considering solar installation in San Antonio, you’ve come to the right place. Our abundant Texas sunshine makes this one of the best regions in the state to power your home with solar energy, and Palmetto is here to help San Antonio homeowners understand their options with clear, honest information.

With Texas residential electricity rates rising 28% from 2020 to 2024, many homeowners are exploring solar panel installation to take control of their energy costs. Our guide on home solar panels can help you get started.

TEXAS by the Numbers

7th Most residential solar in the United States
122 Households have installed solar panels
5.4 Avg peak sun hours per day
~$73k San Antonio average savings over 25 years

How Much Do Solar Panels Cost in San Antonio, TX?

See real solar costs for your home, built from actual Palmetto installations across San Antonio and nearby areas like Alamo Heights, Schertz, Boerne, and Helotes. This calculator uses firsthand local data—not guesses—so you get a clear, honest estimate. Enter your details below to explore what solar could look like for you.

Lease Cash Purchase
Small Home Up to 2,000 sq ft
Medium Home 2,000-3,000 sq ft
Large Home Over 3,000 sq ft

This system size is designed to offset approximately 100% of the average electricity usage for a home of this size in Texas.

Recommended System

8.91 kW

Your Monthly Payment
Estimated monthly cost with LightReach
$114/mo
As low as
$114/mo

Why Lease Solar?

Following the 2025 Big Beautiful Bill, the federal 30% solar tax credit is no longer available for cash purchases. With a LightReach lease, Palmetto owns the system and still qualifies for the commercial ITC — passing those savings through to you via lower monthly payments.

Cost Breakdown

Your estimated investment

System Cost $25,222

Price per Watt $2.83

Final Cost $25,222

Savings Your total financial benefit

Monthly Savings Average utility bill reduction $166

Payback Period Break-even point 10.7 years

25-Year Savings $72,799

Get Your Personalized Quote

Palmetto Reviews

Great service, they have always responded quickly when I had questions or system problem. The system works great no complaints, I’m very happy with Palmetto and my solar system.
Jimmy May
San Antonio, Texas

Overall great experience with Palmetto right from 1st contact till the panels are activated. I was informed on each and every step in advance, pricing is great, install crew was amazing. During inspection one small issue was observed and crew came and fix it asap without need of further followups.
Ashish Gupta
Mckinney, Texas

I have had nothing but a positive experience with Palmetto. Any questions I had or concerns were addressed quickly. As a customer it falls on me to research and verify information. My salesman, Josh, has been a major factor in why I proceeded with Palmetto. Installation was done in a day and the inspector assured me the crew had done an excellent job. I highly recommend Palmetto!
Angela W
Dallas, Texas

Key Takeaways

San Antonio Electricity Prices

Curious how much electricity really costs in San Antonio? Understanding your rates is the first step toward smarter energy decisions.

Texas residential electricity rates climbed from 12.1 cents per kWh in 2021 to 14.9 cents in 2024—a 23% increase. While that stays below the national average, San Antonio homeowners still feel the steady rise each year.

With plentiful sunshine year-round, San Antonio is well-suited for solar. A home solar panel system lets you generate your own electricity, reducing how much power you buy at ever-changing utility rates.

Over time, solar can bring more predictable energy costs. As grid prices continue trending upward, producing power from your own roof offers lasting value and greater control over your monthly budget.

Price of Energy: Texas vs National Average

0¢
10¢
20¢
30¢

2021
13.7¢
12.1¢
15.0¢
13.8¢
2022
16.0¢
14.5¢
2023
16.5¢
14.9¢
2024
US Average

San Antonio Area Utility Providers

If you’re exploring solar installation in San Antonio, it helps to understand your local electricity costs. Area utilities include CPS Energy, PEC, and Bluebonnet, each with rates that fall below the state and national averages.

In 2023, CPS Energy charged 12.1¢ per kWh, PEC 11.7¢, and Bluebonnet 11.1¢. All three sit below the 2023 state average of 14.5¢ and the national average of 16.0¢ per kWh.

San Antonio Utilities Electricity Rates

CPS Energy
12.10¢ -24%
PEC
11.70¢ -27%
Bluebonnet
11.10¢ -31%
TX Average
14.50¢ -9%
US Average
16.0¢ —

Texas Solar Incentives

Several state and local programs can help offset the cost of going solar. Explore the available solar incentives in Texas below.

Texas homeowners benefit from a 100% property tax exemption on the added home value and a state sales tax exemption on solar equipment. Some local utilities also offer rebates for solar and battery storage.

While the federal residential tax credit has ended, state and local incentives remain. Solar leasing through LightReach can simplify things, as Palmetto handles the commercial ITC and passes savings along through lower monthly payments.

Incentive Type Description Source
Texas Property Tax Exemption for Solar Energy Systems Property Tax Exemption San Antonio homeowners receive a 100% property tax exemption on the added home value from a solar energy system installation, saving hundreds of dollars per year. Learn More
Texas Sales Tax Exemption for Solar Equipment Sales Tax Exemption Solar energy equipment purchased in Texas is exempt from the state sales tax, reducing the upfront cost of installation. Learn More
Texas Solar Buyback & Net Billing Programs Net Metering Texas does not mandate statewide net metering, but solar homeowners in San Antonio can receive buyback credits for excess energy exported to the grid through their utility. Learn More
Tesla Virtual Power Plant (VPP) Program Rebate Powerwall owners in select Oncor and CenterPoint service territories can earn a $10/month bill credit by enrolling in Tesla Electric’s Virtual Power Plant program.

Texas Property Tax Exemption for Solar Energy Systems

Under Texas Tax Code Section 11.27, the added value that a solar energy system contributes to your home is 100% exempt from property taxes. For example, if your solar installation increases your home’s appraised value by $20,000, you pay zero additional property taxes on that amount. With Texas property tax rates averaging 1.8–2.2%, a typical residential solar system can save homeowners in San Antonio $400–$640 per year in property taxes.

To claim the exemption, you must file Form 50-123 (Exemption Application for Solar or Wind-Powered Energy Devices) with your county appraisal district by April 30 of the year following installation. You do not need to re-file annually — the exemption remains in effect as long as the solar system is operational.

Ready to start saving with solar?

Speak with a Palmetto solar expert to find out exactly how much you can save with Texas incentives.

San Antonio Solar Irradiance

Solar panel production varies throughout the year based on daylight hours, weather patterns, and sun intensity. Understanding how seasons affect your solar system helps set realistic expectations for your investment.

San Antonio enjoys abundant sunshine and long summer days, making it excellent for solar. While hot summers and occasional clouds affect production, the right system captures plenty of energy year-round.

Solar Production in San Antonio by Month

System Size: 5 kW 7 kW 10 kW
Daylight Hours
Energy Production (kWh/day)

What Can Your Solar System Power?

Summer Production (July)

49 kWh/day In July, your 10 kW system could power:

Winter Production (December)

31.1 kWh/day In December, your 10 kW system could power:

Annual Production

15,000 kWh/year Over a year, your 10 kW system could:

Solar Panel Systems in San Antonio

We’ve mapped solar installations across the country, right down to the neighborhood level. Explore this interactive map to see how many homes in San Antonio have made the switch to solar. Click any hexagon to discover how your community is embracing clean energy, one rooftop at a time.