Solar Energy

Texas Net Metering: How to Get Started with Solar Buyback

Gexa Energy
April 26, 2023
minutes read
Gexa Energy
Publication Date:
August 22, 2023
Last updated:
September 8, 2023

While buying solar panels and installing a solar power system is a significant upfront investment, there are ways to enjoy energy savings almost immediately after your solar panels are installed and functioning. One option is Texas net metering, which can provide you with credits on your monthly electric bills. Another is solar buyback plans, which can help put more money in your pocket.  

Both solar buyback plans and net metering plans can have a huge impact on your electricity bills, reducing the amount you pay for energy each month. But how does net metering work? And are these plans available near you?

We’ll dive into net metering, solar buybacks, and where in Texas you can find the right solar energy plan for your household.  


What is Net Metering?

Your solar panels may generate more electricity than you need for your home at times. To make the most of this extra energy production, many utility companies have implemented net metering plans, which allow customers to send their excess energy back to the grid. In return, the customer receives a credit on their electric bill, which can be used to purchase power from the grid when their solar system doesn’t provide enough energy for their home.

In short, net metering subtracts the power your solar system generates from the electricity your household consumes, only billing you for the difference. With net metering plans, you can shorten your solar panel payback period.

In Texas, net metering plans vary among energy providers. Some companies offer full credit, paying the customer the retail price for extra energy production, while others only offer credit at their own lower power generation cost. The state has no laws that mandate net metering in Texas, so electricity providers can choose how to set up their solar buyback programs. Learn more about net metering.

Most of Texas is deregulated, meaning customers can choose their energy providers. However, some areas of Texas are regulated where you don’t have a choice in what provider you use. Amarillo, Austin, El Paso, and Lubbock are the largest regulated cities. Review a Texas power guide or map, like the one below, to determine if you live in a regulated or deregulated energy area.

In this map, you can see all the deregulated electricity areas in Texas:

Texas deregulation map

If you live in a deregulated area of Texas, shop around and compare different net metering Texas plans to find the best deal.  

In this map, you’ll find the areas in Texas with regulated electricity areas:

Texas deregulation map

What is Solar Buyback?

Because solar power systems can sometimes produce more energy than the household needs, the question is often what to do with that extra energy. While net metering is often an option, another option is to choose a Texas solar buyback plan from a local retail electric provider.  

Unlike net metering plans, which provide a credit on your bill for any excess energy, solar buyback plans give utilities the opportunity to purchase the excess electricity your solar system generates. Sometimes electricity companies offer credits in solar buyback plans, just like net metering, while other times, they may offer actual cash payments each month for extra energy the consumer’s solar system produces.  

Just like net metering, solar buyback plans add value to the power generated from solar panels, encouraging homeowners to invest in clean energy and consider switching to solar power. Explore Texas solar incentives that you can use to enjoy more savings from your solar power system.

How to Choose Your Solar Buyback or Net Metering Plan

Before signing up for a net metering or solar buyback plan, research the different energy providers available in your area and their plans. Determining the right company for you will depend on a variety of factors, including:

  • What services and plans are available in your area
  • The size of your solar panel system
  • What term length you would like
  • The amount of electricity that your household consumes

Review the cost of electricity and read the fine print on solar buyback plans in Texas. It also doesn’t hurt to talk to customer service at the company to get answers to any questions you may have before you sign up for a net metering or solar buyback plan. Review the solar energy buyback rates Texas the provider offers as well.

Types of Solar Buyback Plans

There are several types of solar buyback or net metering plans, and each company in Texas chooses how they will credit customers for excess solar energy production.  

Uncapped credit solar buyback plans allow consumers to save the most money because they don’t limit how much excess solar energy you can receive bill credits for, allowing you to enjoy more solar energy benefits.  

Utilities that offer credit cap solar buyback plans place a limit on how much credit they will give you for excess solar production. Generally, you won’t receive bill credits for solar energy that exceeds the electricity your home used during that month.  

Real-time net metering plans credit solar buyback customers instantly whenever their system produces excess energy, instead of totaling up their electricity generation at the end of the month.  

Gexa Energy Solar Buyback Plan

When you choose Gexa, you can take advantage of Gexa Energy solar energy plans with net metering. These plans help you maximize your solar investment by selling your excess solar energy production back to the grid and receiving a credit on your bill in return.  

Sometimes your solar panels will generate more electricity than your home needs. When you enroll in a net metering program, you can send that excess energy back to the grid, exchanging it for a bill credit. The credit can then be used to purchase power when your solar system doesn’t provide all the energy you need, such as at night or during rainy or cloudy days.  

Get credited for any excess electricity you put back on the grid with a Gexa solar plan with net metering. Learn more about Gexa Energy and their 100% renewable plans from environmentally friendly renewable sources.


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Gexa Energy purchases renewable energy credits (RECs) from renewable generation resources throughout North America to match 100% of the energy sold under your electric plan. The RECs Gexa purchases represent the renewable attributes of power generated from a variety of renewable energy sources, including, but not limited to, the sun, wind, geothermal, hydroelectric, wave or tidal energy, and biomass or biomass-based waste products, including landfill gas.