ThinkSolar Grade: C 79%
When you think of the state of Texas, you may not think about alternative types of energy, since the area is known to be a favorite of proponents of oil and natural gas. However, Texas is one of the top 10 states when it comes to solar power, regarding how much is being used, legislation that keeps it easy to get, and other factors. Texas is also a top producer of other types of energy as well, so if you are thinking about your solar options and live in the Lone Star State, there are plenty of things for you to consider. Here is a look at some aspects that can help you stay more informed of the situation, and show you how to invest in this type of energy.
Solar Panels in Texas
It is very easy to get solar panels in Texas. This is because there are numerous ways to purchase them, and they don't cost so much that they will put the average person into a bind. Here is a look at the 3 main ways to purchase and utilize solar energy in this area.
Lease your panels from a power company. This method involves essentially obtaining solar panels from a company that pays for them and upkeeps them for you. For your part, you operate the panels and pay a lower premium for energy, meaning you won't be spending as much on electricity as you were before. Even if there are increases in your bill amounts each year, your totals will still be lower than if you were buying traditional energy from a provider. The best part about this method is that you don't have to pay anything in advance, since you will be paying a premium on the panels each month. This is great for someone that is looking to help the environment, but doesn't have a lot of capital or collateral to put up in order to get a loan.
Get a loan for your panels. If you really want to purchase panels, they don't cost too much, especially if you think about how long you can use them and how much they will be saving you in the long run. If you have equity in your home or are able to get a loan to purchase them for your home, Texas is a great state to do this in. This is largely based on the idea that you will be getting a special tax credit and making a profit every year on them. The longer you have the panels, the more of a profit you will make. The savings of using this energy will help cover the costs for much of the loan, so it is a rather safe investment, unlike other investments you may be able to make at a similar price point. Pair that with the fact that this investment is for a product that you can actively use and it is something you may get excited about.
Purchase the panels outright. If you have enough money to pay for a complete set of panels, you can always do that too. You will get the same tax credit and you will be saving money each time you use them. While experts recommend buying them through a loan as the best way to acquire them, there are really no downsides to purchasing them outright. You will still be helping the earth and operating responsibly when it comes to keeping your house hot and cold. In Texas, you will need to spend approximately 16 thousand dollars on panels and installation, so make sure that you have more than enough, since you don't want to put yourself in a bind. They will not start saving you money right away, so that's also something you will need to think about before you buy.
Texas Solar Power Incentives
There aren't any incentives that are statewide, but there may be certain perks in different areas. For example, some major cities, such as Austin and San Antonio are keen on getting a lot of their energy through renewable sources, so you may be able to get great deals on panels or loans. However, there is still the Federal 30% tax credit available to any homeowner.
At the same time, there are some really great advantages for installing solar energy in Texas. For one, you will get a 30 percent federal tax credit on your panels when you do your taxes. This is a large amount that makes them an attractive investment for some. This is due to the fact that investments in solar are likely to increase each year, meaning someone is likely to earn more money through their solar panels each year. This has been the case for a few years now and it is expected to continue in this trend in the coming years.
Texas Local Rebates & Credits:
|Tax Credits||No state income tax|
|Performance Payouts||None :(|
|Property Tax Exemptions||100%|
|Sales Tax Exemptions||None :(|
Another advantage is that the market isn't overly saturated with solar panels, so there are reasonable prices and plenty of companies to purchase with. Many corporations use panels in the state and there are a few large panel farms, so it also isn't something that is scarce and unheard of.
Texas Solar Power Legislation
There isn't a lot of legislation to help solar panel owners in Texas. However, that doesn't mean that this type of power isn't a good investment. The state doesn't penalize anyone and there is a great amount of renewable energy being used, mostly in the form of wind energy in different areas. Since one of the major industries in Texas is energy, you can rest assured that solar energy will likely be explored more and more in the next few years, especially since it is still very accessible and affordable statewide.
The more people that become interested in solar, the more likely there will be new laws and rules passed to be sure that it is just as assessable and affordable as it has been, especially if the people that own panels do their part with local governments.
Other Considerations Solar in Texas
While Texas doesn't have a lot in the way of laws to make you think that they are serious about solar energy, there are a few unique things about the state that may make you change your mind.
The state has its own grid. Texas is on its own electrical grid, which is separate from the rest of the country. This means there are fair and competitive rates on all types of energy, which is great for customers.
It has a large amount of room for growth. It is also one of the largest states in America, so there is plenty of room for more solar farms, and solar panels. There is a great chance that solar will become more popular since there is such a need for it in this region, especially in the places that stay sunny for many days each year.
Potentially able to produce more than any other state. Since the landmass is so big already, there are already so many customers as well as areas to take advantage of. There's so much room to grow and expand solar markets, as the practices get more advanced and easier to use, and as the need for solar panels increase.
There are many companies that are producing energy and panels already in place. There are numerous solar farms and companies that make solar panels in the state, so it isn't hard to get your hands on what you need when you want to make a purchase. They won't have to be flown in from somewhere else, and again, there's so much room for this market to expand as well, as the technologies get better and more efficient.
Texas is Primed for a Solar Power Expansion
If you live in Texas or are planning a move there, it is definitely worthwhile to consider investing in solar energy. Even though there isn't legislation to protect it yet, it is something that is really bound to grow in the near future in this region, mainly because it is likely that solar power will become cheaper and easier to use, ensuring that people will continue to purchase it and use it. Once it becomes more popular and cost effective, this will also keep future laws on track to help everything stay that way.
In other words, the market for solar is expected to grow substantially in the next few years, especially in places like Texas, which is predicted to become one of the top producers of solar energy rather soon. This means any investment you make would be well protected and keep working from you as the years go by.
A major thing to consider is how long you'll be able to use the panels with little upkeep and additional cost, at the same time saving money or even making money on them each year. Besides that, it is rather affordable and there are numerous options you can take advantage of, as well as a substantial tax credit. This may make your decision even easier, if you are really having trouble deciding.