One of the biggest misconceptions about solar in Texas is that every utility company automatically pays you for your extra energy. In reality, Texas has a deregulated energy market, which means you have options — but you also have to choose carefully.
What is Net Metering?
Net metering, or "solar buyback," is a billing mechanism that credits solar energy system owners for the electricity they add to the grid. Use more power than you produce? You pay the utility. Produce more than you use? Potentially, the utility pays you.
The Deregulated Market Difference
In many states, net metering is mandated by law. In most of Texas (Oncor, CenterPoint service areas), Retail Electric Providers (REPs) are not required to offer buyback plans. This has led to a variety of plan structures:
- 1-to-1 Buyback: Credits you at the same rate you pay for electricity. (Rare but valuable.)
- Real-Time Wholesale Rate: Credits you based on the fluctuating wholesale cost of power.
- Capped Credits: Credits roll over month-to-month but cannot be cashed out.
Expert Tip
Never sign a solar contract without understanding the buyback agreement. N-Tech Energy helps you analyze available plans in your specific zip code to ensure your system ROI is calculated correctly.
Choosing the Right Plan
If you have a battery, you might prioritize a plan with free nights to charge your battery from the grid. If you have a large system, you want uncapped credits. We help you navigate these choices so your solar investment works as hard as possible.
Key Questions to Ask Your REP
- Do you offer a solar buyback or net metering plan?
- What rate do you pay for excess energy sent to the grid?
- Are credits capped or can they roll over indefinitely?
- Is there a monthly fee for having a bi-directional meter?
Not Sure Which Plan Is Right for You?
We help North Texas homeowners navigate buyback plans and choose the right REP before going solar.
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