Solar Savings in Texas

Solar savings in Texas have become a hot topic at watercolors across the state. In recent years, there has been a significant increase in the adoption of solar energy in Texas. This trend has been driven by the long-term savings benefit of going solar, as well as the state’s favorable solar policies and the falling costs of solar technology. In this blog post, we will explore the long-term savings benefit of going solar in Texas and examine the historical electricity rate increases in the state.

Texas Electricity Rate Increases

Over the past few decades, electricity rates in Texas have been on a steady rise. Between 2005 and 2020, the average retail electricity rate in Texas increased by 25%, from 8.5 cents per kWh to 10.6 cents per kWh. This increase in electricity rates has been driven by various factors, including the rising cost of fuel, the increasing demand for electricity, and the need to invest in new power plants and transmission infrastructure.

Then from 2020-2022 we saw an astounding 42% increase.

The trend of rising electricity rates is expected to continue in the future. According to the U.S. Energy Information Administration (EIA), the average retail electricity rate in Texas is projected to increase by 26% between 2023 and 2030. This projection is based on the assumption that electricity demand will continue to increase, and new power plants and transmission infrastructure will need to be built to meet this demand.

The Long-Term Savings Benefit of Going Solar in Texas

Given the trend of rising electricity rates in Texas, going solar can offer significant long-term savings benefits. Solar energy systems generate electricity from sunlight, which is a free and renewable resource. Once a solar energy system is installed, it can produce electricity for 25 years or more, with little to no maintenance costs.

The cost of installing a solar energy system has also been falling in recent years, making solar energy more accessible to homeowners and businesses in Texas. According to the Solar Energy Industries Association (SEIA), the cost of installing a residential solar energy system in Texas has decreased by 33% 2015 and 2020.

The savings from going solar in Texas can be significant. According to a report by the National Renewable Energy Laboratory (NREL), homeowners who install a solar energy system in Texas can save an average of $18,000 over 25 years, with many seeing savings north of $25,000. The report also found that homeowners who install a solar energy system in Texas can recover their initial investment in a couple short years, depending on the size of the system and the electricity rates in their area.

In addition to the long-term financial benefits of going solar, there are also environmental benefits. Solar energy systems generate electricity without emitting greenhouse gases or other harmful pollutants. By going solar, homeowners and businesses in Texas can reduce their carbon footprint and contribute to the fight against climate change.

Solar Policies in Texas

Texas has several favorable solar policies that make it easier for homeowners and businesses to go solar. One of the most significant policies is the state’s net metering program, which allows solar energy system owners to receive credit for the excess electricity they generate and send back to the grid. This credit can offset the cost of the electricity they consume from the grid when their solar energy system is not producing enough electricity.

Texas also has a property tax exemption for solar energy systems, which exempts the added value of a solar energy system from property taxes. This policy makes it more affordable for homeowners and businesses to install solar energy systems by reducing the upfront cost of the system.

Another favorable solar policy in Texas is the state’s solar easement law, which protects the right to access sunlight for solar energy systems. This law ensures that homeowners and businesses can install solar energy systems without being blocked by shade from trees or buildings.

Conclusion

Going solar in Texas can offer significant long-term savings benefits, especially given the trend of rising electricity rates in the state. The cost of installing a solar energy system has been falling, and there are several favorable solar policies in Texas that make it easier and more affordable for homeowners and businesses to adopt solar energy. By going solar, Texans can not only save money on their electricity bills but also contribute to a more sustainable and cleaner energy future.

In summary, the long-term savings benefit of going solar in Texas is a compelling reason for homeowners to consider calling Sunfuse Solar to get started with solar today. With the right solar policies in place and the falling costs of solar technology, going solar in Texas has become more accessible and affordable than ever before. By taking advantage of these benefits, Texans can not only save money but also contribute to a cleaner, more sustainable energy future.