Claire WhitakerBy Claire Whitaker

Updated November 2026

The texas net metering program lets homeowners with rooftop solar send unused electricity back to the grid and receive credit on their bill. In practice, Texas does not run one statewide net metering program the way some states do. Instead, credits depend on your electric utility, your retail electricity provider, and the terms of your contract. This guide explains how that system works and what you need to do to get credited.

Understand How Texas Handles Net Metering

Texas is a deregulated electricity market, so your power bill comes from a retail electric provider (REP), while the wires and meter are maintained by a transmission and distribution utility (TDU) such as Oncor, CenterPoint, or AEP Texas. Net metering is usually offered by the REP, not the TDU. That means one neighbor may receive a generous credit for exported power while another receives little or nothing. Before you size a system, confirm whether your REP buys excess generation at all. For a deeper look at the difference, read Texas Net Metering vs Retail Sale: Does Texas Have Net Metering? (2026).

Shopping for one? See our guide: PPL Net Metering Program vs Standard Grid Export: Which Should You Choose?.

Compare Your Retail Plan Options

Most Texas solar customers choose between two credit structures. Each has tradeoffs you should review before signing anything.

Credit type How it works Best fit
Net metering plan Exported kWh offset imported kWh each billing period Homes that use most power at night or during long periods of low solar output
Buyback or retail sale Exported kWh are paid at a stated rate Homes that export far more than they use

Plan details change, so compare the current rate sheets directly. For a closer look at how these plans are structured, see Texas Net Metering Plans: How Texas Solar Net Metering Works (2026).

Steps to Get Credited for Exported Power

Follow these steps in order to avoid delays or lost credits:

  1. Call your REP and ask whether it offers a net metering or solar buyback plan for customers with interconnected systems.
  2. Confirm the rate and whether credits roll over month to month or expire.
  3. Submit your interconnection application to your TDU and wait for written approval before energizing the system.
  4. Request a bidirectional (net) meter if your TDU has not already installed one.
  5. Switch to the solar-compatible plan with your REP and keep copies of all confirmations.
  6. Check your first two bills to verify that exported kWh appear as credits.

If you live in a utility service area with unusual rules, the process may differ. For example, the DIY Home Solar resources cover general interconnection steps, but your local utility’s tariff controls the final answer.

Common Mistakes to Avoid

  • Assuming your current electricity provider offers net metering. Many do not.
  • Energizing the system before the TDU approves the interconnection.
  • Choosing a plan with a high fixed fee that cancels out the savings from exported power.
  • Forgetting that some REPs only credit exports at a lower wholesale-linked rate.
  • Skipping the first bill review, which is where meter or billing errors usually show up.

A basic home energy monitor helps you verify that exports are being recorded, which makes checking your bills faster. View on Amazon

A solar-rated inverter with monitoring lets you track daily production and confirm how much power leaves the house. View on Amazon

FAQ

Does every Texas electricity provider offer net metering?

No. Net metering is offered by individual retail electric providers, and many do not offer it at all. Ask your provider directly and get the terms in writing.

Do I need a special meter for the texas net metering program?

Usually yes. Your TDU typically installs a bidirectional meter that records both imported and exported electricity, which is required to track credits accurately.

Can I switch providers to get better net metering terms?

You can, but compare the full plan, including fixed charges and export rates. A plan with a higher export rate can still cost more overall if its monthly fees are high.

Conclusion

The texas net metering program is really a patchwork of retail provider plans, so your results depend on who supplies your electricity. Confirm the export rate, get your interconnection approved, and check your first bills carefully. Consulting a licensed electrician or your utility’s solar team before making major decisions is a good idea.

Ready to choose one?

Claire Whitaker

About Claire Whitaker

Claire Whitaker is part of our editorial team and reviews and edits our home solar guides, checking product details against manufacturer specifications and owner feedback.