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Can You Sell Back Solar Power in Texas?

Yes, you can sell back solar power in Texas, and many utility providers offer programs that allow you to earn credits on your energy bill. These credits help offset future energy costs, making it easier to reduce your overall electricity expenses.

How Solar Buyback Programs Work in Texas

Selling back solar power in Texas involves using a system called net metering, where your solar panels’ excess energy is sent back to the grid, and you receive credits on your electricity bill. Although the state doesn’t have a mandatory net metering policy, many utility providers offer their own solar buyback plans. Good Faith Energy, a trusted name in solar installation, works with homeowners to ensure that their systems are compatible with these plans and helps them navigate the various options.

solar on a lake house

What You Need to Know About Solar Buyback Plans

Selling back solar power in Texas is an attractive option for many homeowners, but the specifics can be complex. While several utility companies offer solar buyback plans, the rules and restrictions vary widely. Understanding how these plans work can help you make the most of your solar energy system.

Oncor Solar Buyback Plans with Restrictions

If you’re in the Oncor service area, several Retail Electric Providers (REPs) offer solar buyback programs. Here’s a breakdown of some of the solar buyback programs in Texas and the restrictions they have in place. Good Faith Energy can help you choose the right provider and plan to maximize your solar energy investment.

Reliant Solar Buyback Plan

Reliant offers solar credits for excess energy, but the credit can only be applied to energy charges. You cannot use the credits to offset TDSP delivery charges, base charges, taxes, or fees (such as late fees and disconnection fees). This plan is suitable if you’re focused on lowering your energy costs but not other parts of your bill.

Rhythm Solar Buyback Plan

Similar to Reliant, Rhythm’s solar credits can only offset monthly energy charges. TDU charges, taxes, and other non-energy charges remain your responsibility. Additionally, the export rate for the credits is different from your energy rate, making it essential to understand how much credit you’ll actually get for the excess energy.

Chariot Energy (Rise Plan)

Chariot Energy’s solar buyback plan is one of the least restrictive. If you consistently generate more energy than you consume, you can apply credits to your entire bill. Unlike other providers, these credits can roll over but cannot be cashed out. It’s a “use it or lose it” system that only allows credits to carry over within the contract term unless you renew.

Gexa Energy Solar Buyback Plan

Gexa Energy allows customers to apply solar buyback credits to their energy bills, but like many other providers, the credits cannot be transferred and have no cash value. If you cancel your account, you lose any remaining credits. Despite these restrictions, the plan is less limiting compared to some others because it applies credits across your energy charges.

roof with solar

Champion Energy Services

Champion offers a flexible plan where credits can roll over to future bills, allowing you to bank your excess energy credits for future use. However, unused credits are forfeited when you close your account, with no cash payout available.

Think Energy Solar Buyback Plan

Think Energy also limits credits to energy charges, excluding TDSP charges and taxes. The remaining credit will roll over until fully used or until you switch providers. This plan doesn’t allow any refunds or cash value for unused credits, but credits stay with your account as long as you remain with Think.

TXU Energy Solar Buyback Plan

TXU’s plan allows you to offset up to 100% of your energy charges, but like most, it excludes base charges, TDU charges, and taxes. Unused credits can be banked and applied to future bills, allowing you to accumulate up to $1,000 in credits. However, these credits have no cash value and are non-transferable. It may take several billing cycles for new solar installations to start receiving credits, so be prepared for potential delays.

Ambit Energy Solar Buyback Plan

Ambit offers a more flexible plan, allowing you to accumulate an unlimited amount of credits that can roll over to future bills. As with other plans, you cannot transfer the credits or redeem them for cash. This plan is advantageous for long-term solar users who wish to bank credits for future energy consumption.

Green Mountain Energy Solar Buyback Plan

Green Mountain Energy has a unique structure where credits are capped at your usage from the grid. This means you can only receive credits equal to the energy you use from the grid, not exceeding your consumption. The plan offers Renewable Rewards Credits for excess energy.

Is Selling Solar Power Back to the Grid Worth It?

Yes, selling solar power back to the grid can provide significant financial rewards, especially when paired with the right plan. Most solar buyback programs help you reduce your energy costs, allowing you to make the most of your solar investment. Even though non-energy charges like taxes and delivery fees typically aren’t covered, you can still enjoy substantial savings on your overall electricity bill.

bird's eye view of house with solar

For homeowners with larger solar systems, rolling over excess energy credits ensures you can apply them to future bills, keeping your energy costs low month after month. While cash payouts aren’t typically offered, the ability to bank credits makes it easier to manage your long-term energy expenses. This ensures that every bit of energy your system produces is valuable.

Good Faith Energy: Your Solar Partner

From installation to optimizing your solar system for Texas’ solar buyback programs, Good Faith Energy is a reliable partner that offers top-tier service. They make sure your solar panels are not only efficient but that you get the most financial benefit possible from your investment. They will walk you through the complex buyback programs, ensuring you fully understand how to maximize savings on your electricity bills.

person installing solar panels

Key Takeaways for Texas Solar Buyback Programs

  • Energy Savings: Most solar buyback programs allow you to reduce your energy charges, helping to lower your overall electricity costs.
  • Maximized Credits: Although you can’t typically cash out excess credits, you can accumulate them to offset future energy usage, which helps keep your bills low month after month.
  • Flexible Plans Available: Some providers, like Chariot and Gexa, offer more flexible options, allowing you to roll over credits and apply them to various charges, giving you more control over your energy savings.
  • Understandable Rates: By working with the right provider, you can take advantage of clear export rates that ensure you’ll get compensation for excess energy, helping you maximize your solar investment.

By understanding the details of each provider’s solar buyback program, you can maximize the benefits of your solar power system while managing your expectations for cost savings.

Conclusion

Selling back solar power in Texas is possible, but the true value depends on your utility provider’s plan. By partnering with Good Faith Energy, a premier solar company, you can maximize your energy savings while navigating the restrictions that come with solar buyback programs. With their help, you can tailor your solar system to your energy needs, maximize available credits, and reduce your overall electricity costs.