Texas Energy Incentives
Federal and state programs for solar, battery, EV, and efficiency upgrades.
Key Programs
Some retail providers offer solar buyback; contract terms and caps vary.
Federal Incentives
Deduct 30% of the total cost of your solar energy system from your federal income taxes. Includes panels, inverters, racking, wiring, installation labor, and permitting.
Standalone battery storage systems of 3 kWh or larger qualify for the 30% federal tax credit, even without solar. Added by the Inflation Reduction Act.
Tax credit for purchasing a new qualifying electric vehicle. Amount depends on battery sourcing and manufacturing requirements.
30% credit on qualified heat pump costs, up to $2,000 per year. Can be claimed annually (not a one-time credit).
30% credit on insulation, windows, doors, and energy audits. Annual limit of $1,200 (separate from the $2,000 heat pump limit).
State Programs
Texas exempts the added value of a solar system from property tax assessments. Your system increases home value but not your property tax bill.