Tyler, TX Solar: 2026 Costs, Incentives & Savings
Solar Power in Tyler
If you live in Tyler, TX, you’ve probably noticed your electricity bills climbing. In fact, Texas electricity prices have increased 28% from 2020 to 2024, leaving many homeowners searching for a way to gain more predictability over their energy costs. Solar energy offers a path to do just that while making a positive impact on your community.
Here in East Texas, abundant sunshine makes solar installation a practical choice for many homes, and Texas now ranks 7th in the nation for residential solar installations. This guide walks you through everything you need to know about going solar in Tyler. To dig deeper, explore our helpful guide on home solar panels.
TEXAS by the Numbers
- 7th Most residential solar in the United States
- 122 Households have installed solar panels
- 5.3 Avg peak sun hours per day
- ~$71k Tyler average savings over 25 years
How Much Do Solar Panels Cost in Tyler, TX?
See real solar costs for Tyler, TX using our calculator built from actual Palmetto installations across the area, including Whitehouse, Bullard, Flint, Chapel Hill, and Lindale. Explore local, firsthand data to understand what solar could cost for your home—clear, honest numbers with no guesswork.
| System Size | Monthly Payment | Estimated investment | System Cost | Price per Watt | Final Cost | Monthly Savings | Payback Period | 25-Year Savings |
|---|---|---|---|---|---|---|---|---|
| Small Home | $114/mo | $25,222 | $25,222 | $2.83 | $25,222 | $163 | 10.9 years | $71,470 |
Key Takeaways
- Tyler enjoys 5.3 peak sun hours a day, and with Texas electricity rates up 28% since 2020, solar offers real predictability for your energy costs.
- A typical Tyler home can save around $71,000 over 25 years with solar, and Texas property and sales tax exemptions help lower your upfront cost.
- Leasing through Palmetto’s LightReach program lets you go solar with no upfront cost, and we handle all maintenance, monitoring, and repairs for you.
Tyler Electricity Prices
Texas electricity rates rose from 12.1 cents per kWh in 2021 to 14.9 cents in 2024. While Texas stays below the national average, costs keep climbing steadily.
Price of Energy: Texas vs National Average
Tyler Area Utility Providers
In Tyler, TX, most homes are served by SWEPCO. In 2023, SWEPCO’s residential rate averaged about 11.9¢ per kWh—notably below the 2023 Texas average of 14.5¢ and the national average of 16.0¢.
Tyler Utilities Electricity Rates
| Provider | Rate |
|---|---|
| SWEPCO | 11.90¢ |
| TX Avg | 14.50¢ |
| US Avg | 16.0¢ |
Texas Solar Incentives
Several solar incentives in Texas can help Tyler homeowners lower the cost of going solar.
| Incentive | Type | Description |
|---|---|---|
| Texas Property Tax Exemption for Solar Energy Systems | Property Tax Exemption | 100% property tax exemption on the added home value from solar installation. |
| Texas Sales Tax Exemption for Solar Equipment | Sales Tax Exemption | Solar energy equipment purchased in Texas is exempt from state sales tax. |
| Oncor Residential Solar + Battery Storage Rebate Program | Rebate | Up to $9,000 for residential customers in Tyler who install a qualifying solar PV system. |
| Tesla Virtual Power Plant (VPP) Program | Rebate | Earn a $10/month bill credit by enrolling in Tesla Electric’s VPP program. |
Tyler Solar Irradiance
Solar Production in Tyler by Month
| Month | 5 kW Production (kWh/day) | 7 kW Production (kWh/day) | 10 kW Production (kWh/day) |
|---|---|---|---|
| July | 47.9 | 67.4 | 95.9 |
| December | 30.4 | 42.6 | 60.8 |
Annual Production
- Offset 10 tons of carbon dioxide emissions
- Equal the environmental benefit of planting 177 trees
Leasing Solar Panels
Tyler homes are served by Oncor, which means a Power Purchase Agreement (PPA) is available here through Palmetto’s LightReach program.
Frequently Asked Questions
Does Tyler, TX have net metering?
Texas does not have a statewide net metering mandate.Do solar panels increase your home value in Tyler, TX?
Yes, owned solar panels can increase home value by about 4.1% according to a Zillow study.How much does it cost to go solar in Tyler, TX?
Palmetto’s LightReach lease starts around $114/mo for a typical home.Do solar panels require maintenance in Tyler, TX?
Solar panels are low maintenance, typically needing little attention beyond routine monitoring.What’s the best solar company in Tyler, TX?
At Palmetto, we’ve completed over 8,405 solar installations across Texas since 2020.