In short: Austin Energy, the city-owned utility, has paid a $4,000 rebate for home solar since July 2026 and credits every kWh your panels make at 12.89¢. Its homes paid about 12.6¢ per kWh in 2024 and lost about 92 minutes of power all year (EIA). Outside the city, Pedernales and other co-ops or Oncor set different rules.
Austin’s city-owned utility runs its own solar, battery and EV charger incentives. This page covers those, and how they differ from the suburbs. For statewide rules (the Texas solar sales law, TDLR licensing and the property tax exemption), see our Texas energy guide.
Austin at a glance
- Austin Energy (City of Austin): about 12.6¢ per kWh for homes in 2024; 92 minutes without power per customer with major events, 76 without; under one interruption a year (EIA-861, 2024).
- Pedernales Electric Cooperative (PEC): about 12.2¢ per kWh; 57 minutes without power in 2024, with or without major events.
- Georgetown’s city utility: about 13.9¢ per kWh; 40 minutes without power in 2024.
- Bluebonnet Electric Cooperative: about 11.4¢ per kWh; 227 minutes with major events, 117 without.
- Oncor areas: 532 minutes with major events, 67 without, systemwide; you choose a retail provider (competitive-area average about 16.7¢ in 2024).
- Sun: about 4.8 kWh per square meter per day (NASA POWER, 2001–2020). Our rough estimate: about 1,405 kWh a year per kW of panels.
- Top hazards: FEMA’s National Risk Index (December 2025) rates Travis County “very high” for hail and tornadoes and “relatively high” for ice storms, winter weather, cold and heat waves, flooding and strong wind; Williamson County “very high” for cold waves and winter weather.
- Public charging: Austin had 1,862 public charging ports, Round Rock 91, Cedar Park 73 and Georgetown 41 (AFDC Station Locator, October 3, 2026; public charging ports).
Your utility and what it means
In Travis and Williamson counties, EIA lists Austin Energy, Oncor, Pedernales, Bluebonnet and Bartlett co-ops, and the City of Georgetown’s utility. Your bill shows which one serves your address, and the rules below differ a lot.
- Austin Energy: credits all the solar your system produces at its Value of Solar rate, currently 12.89¢ per kWh, with unused credits rolling over month to month; you pay for all the power you use at normal rates. Its home solar rebate rose from $2,500 to $4,000 per project on July 1, 2026, for systems of at least 3 kW (DC), mostly unshaded, installed by a participating contractor, with a rebate confirmation letter before installation and a short online solar quiz before you hire. Since April 2026 Austin Energy also allows solar leases (not power purchase agreements) through participating contractors, with a standard disclosure form.
- Pedernales (PEC): you use your own solar first; extra power sent to the grid earns a “Sustainable Power Credit” of about 7.2¢ per kWh, applied to the energy part of your bill, and unused credits expire at the end of each calendar year. Interconnecting a system under 50 kW costs a $500 application fee. Batteries can be interconnected.
- Oncor areas: your retail provider decides any solar buyback; Oncor’s solar incentive goes through participating contractors and requires a battery (see our Dallas–Fort Worth page).
- Georgetown, Bluebonnet, Bartlett: each sets its own solar terms; check the utility’s page before signing.
Backup power in Austin
Austin Energy’s 2024 record was steady: 92 minutes with major events and 76 without, so the typical year brings short outages. The risk is the rare big one. Ice storms, hard freezes and severe hail and tornado days are all rated high here by FEMA, and those can cut power for days in the cold. For short outages a power station or a home battery covers it; if keeping the heat or a well pump running for days matters, a generator is still the dependable choice.
Compare options in our backup power guide and size them with the battery backup calculator or the generator sizing tool. Run generators outdoors, at least 20 feet from the house (CPSC), and have a licensed electrician install the transfer switch; see generator installation.
Solar in Austin
Austin’s Value of Solar makes the math simple. A kW of panels might produce about 1,405 kWh a year (our estimate), and at 12.89¢ per kWh that is roughly $180 a year in bill credits per kW, whether you use the power or send it to the grid. A 6 kW system would earn about $1,090 a year in credits by that estimate, and the $4,000 rebate comes off the price up front. South-facing, unshaded panels can do better than our flat-panel estimate.
In PEC territory, solar pays most when you use it at home (saving about 11¢ per kWh in energy and delivery charges), while exports earn about 7.2¢. That makes daytime use, or a battery, more valuable there than in Austin. Estimate your own roof with the solar potential tool and the solar savings calculator, and read how solar installation works.
Batteries
Austin Energy’s Power Partner Battery pilot pays a $500 rebate for each battery system approved to operate on or after February 18, 2025, plus $75 per kW each year for letting Austin Energy draw on it during peak demand (events are limited to 40 a year, excluding grid emergencies). Solar is not required, but batteries owned by a third party are not eligible, and only listed models qualify; check the program page. PEC allows batteries under its interconnection rules. See home battery installation and battery costs.
EV charging
Austin Energy offers a rebate on a qualifying Level 2 home charger when you enroll it in its Power Partner EV program: up to $500 or 50% of the purchase price, per the program page. At Austin Energy’s 2024 average of about 12.6¢ per kWh, a typical EV using 30 kWh per 100 miles costs about $3.80 per 100 miles to charge at home (our estimate, before losses). A 240-volt charger needs a licensed electrician and the right permit; see EV charger installation and the EV charging cost calculator.
Drive on another fuel? See every alternative fuel station in Austin: hydrogen, propane, natural gas, E85 ethanol, biodiesel and renewable diesel.
Permits and inspections
- City of Austin: Development Services issues permits through the Austin Build + Connect portal. Under a state law in effect since September 1, 2025 (SB 1202), licensed third-party professionals can review and inspect home backup power installations (generators and battery storage up to 600 volts, one- and two-family homes), and the city then issues the permit within three business days; see its standalone permit page. Austin Energy’s own solar inspections are unchanged.
- Round Rock, Cedar Park, Georgetown and unincorporated areas: ask your city or county building department, and your utility, which permits apply.
- Utility approval: Austin Energy, PEC, Oncor or your co-op must approve solar and grid-tied batteries before you switch them on; Austin Energy issues Permission to Operate after its inspection.
- HOAs: Texas Property Code section 202.010 generally stops HOAs from banning solar, though they can set placement rules.
Cities we cover
- Austin
- Round Rock
- Cedar Park
- Georgetown
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Austin energy questions
How much is the Austin Energy solar rebate?
$4,000 per home project since July 1, 2026 (it was $2,500). The system must be at least 3 kW (DC), mostly unshaded and installed by a participating Austin Energy contractor, and you need the rebate confirmation letter before installation. Amounts and rules change, so check Austin Energy’s solar page before you sign.
What is Austin Energy’s Value of Solar rate?
It is the credit Austin Energy gives for every kWh your panels produce, currently 12.89¢. Credits appear on your monthly bill and roll over if you earn more than you owe. Because all production is credited at the same rate, timing your use matters less in Austin than under most Texas buyback plans.
Does Pedernales Electric pay for extra solar?
Yes. PEC members with an approved interconnection agreement earn a Sustainable Power Credit of about 7.2¢ per kWh for power sent to the grid, applied to the energy portion of the bill. Unused credits expire at the end of each calendar year, so sizing the system to your own use matters.
Is there a battery incentive in Austin?
Austin Energy customers can join the Power Partner Battery pilot: a $500 rebate per approved battery system plus $75 per kW each year for letting the utility use it during peak demand. Solar is not required, but third-party-owned batteries do not qualify and only listed models are eligible.
Sources
Utility prices, service areas and outage minutes: U.S. Energy Information Administration, EIA-861 2024 data (prices are 2024 averages). Austin Energy solar, leasing (April 22, 2026), rebate increase (July 1, 2026), Power Partner Battery and home EV charger pages. Pedernales Electric Cooperative DG interconnection rates and FAQ. City of Austin Development Services. Sun: NASA POWER, 2001–2020. Hazards: FEMA National Risk Index, December 2025. Texas Property Code section 202.010; CPSC generator safety. Checked October 3, 2026. Estimates are ours and labelled as such.