CenterPoint Energy Houston Electric solar: buyback and interconnection rules

The rules

What happens to the solar power you send to the grid

CenterPoint Energy Houston Electric maintains the electric transmission and distribution system across the Greater Houston area and delivers electricity to more than two million customers on behalf of retail electric providers.

Application for Interconnection and Parallel Operation of Distributed Generation

How CenterPoint Energy Houston Electric credits exports

CenterPoint Energy Houston Electric is a transmission and distribution utility: in the Greater Houston area it does not generate or sell electricity, it delivers power to homes and businesses and maintains the meter, and customers choose their own retail electric provider.
Credit for exported solar comes from the retail electric provider, not CenterPoint; CenterPoint's solar page says the provider shown on the customer's bill supplies all billing information, including any buyback program that gives bill credits for excess generation sent to the grid, and that buyback options and availability vary by provider.
Texas law requires a solar owner in an area with customer choice to sell surplus electricity to the retail electric provider that serves the home, at a value the two agree on, which may be based on the clearing price of energy at the time of day the power reaches the grid or may be a bill credit that carries over to later billing periods.
The provider is not required to buy that power, and some providers that do buy it require the customer to sign up for a specific retail plan.
CenterPoint maintains the meter at the home, which is remotely reprogrammed to capture readings of excess generation sent to the grid.
The PUCT says customers in areas with retail choice can shop for a plan with a buyback rate, and its Power to Choose website is its tool for comparing retail electric plans.

The rule behind it

Texas Utilities Code on interconnection of distributed renewable generation, with the PUCT distributed generation interconnection rules, Tex. Util. Code §39.916; PUCT Subst. R. §25.211 and §25.212

The program

Application for Interconnection and Parallel Operation of Distributed Generation, Tariff for Retail Delivery Service, Section 6.3.2, Sheet No. 6.26

Recent changes

Under Senate Bill 1036 (2025), the Texas Department of Licensing and Regulation has regulated residential solar sale and lease contracts since September 1, 2025, including a right to cancel without penalty on or before the fifth business day after signing, and since September 1, 2026 residential solar retailers and salespersons must be registered with the agency.

Before you connect

Limits, and the steps to get connected

Limits and eligibility

Texas law defines distributed renewable generation as a system of not more than 2,000 kilowatts on the customer's side of the meter, and a wires utility must allow interconnection if the system has a five year warranty against breakdown or undue degradation and its rated capacity does not exceed the utility's service capacity.
A homeowner using such a system is not treated as an electric utility, power generation company or retail electric provider, and does not have to register with the PUCT, if at installation the system's estimated annual output is less than or equal to the home's estimated annual electricity use.
A retail electric provider is not required to buy exported power, and CenterPoint says buyback options and availability vary by provider.
On request, the utility must provide metering for a system under 50 kW that separately measures electricity drawn from the grid and electricity sent back to it.

How a home gets connected

The customer's installer applies online through CenterPoint's Distribution Interconnection Portal.
CenterPoint reviews and accepts the design plans before the installer begins construction; state rules call for interconnection within four weeks of a completed application for precertified equipment and within six weeks for other facilities, unless substantial upgrades are needed.
The installer secures the applications and permits needed to install and operate the system and builds it in conjunction with the authority having jurisdiction, CenterPoint, and federal, state and local requirements.
After construction, CenterPoint completes a final review once the installer confirms the as built design plans, and CenterPoint approves and issues the interconnection agreement and Permission to Operate; state rules require a signed interconnection agreement before a system is interconnected.
CenterPoint's meter is remotely reprogrammed to capture excess generation readings, and the customer contacts their retail electric provider to set up billing details, including any buyback credit.

Federal tax credit

The residential solar credit (section 25D) ended for systems completed after 2025. What that means in 2026.

Where we work

Cities we cover in CenterPoint Energy Houston Electric's area

Each city page adds who issues permits there, with links to the official sources.

Houston, TXCenterPoint Energy

State rules

Texas solar rulesThe state law, the main utilities, and the cities we cover

Questions

Common questions about CenterPoint Energy Houston Electric and solar

Does CenterPoint Energy pay me for the solar power I send to the grid?

No. Texas law says a solar owner in an area with retail choice sells surplus power to the retail electric provider that serves the home, and CenterPoint, a regulated poles and wires utility, delivers electricity on behalf of those providers. CenterPoint says your retail electric provider supplies billing details, including any buyback program that credits excess generation, and that buyback options and availability vary by provider.

How do I find a solar buyback plan in the Houston area?

The PUCT says that where you can shop for a retail electric plan, you can shop for one with a buyback rate, and its Power to Choose website is its tool for comparing Texas retail electric plans. Power to Choose explains that you must sell excess power to the company you buy electricity from, that the company is not required to buy it, and that some companies require you to subscribe to a specific retail offer.

I bought a home that already has solar panels. How do I turn the system on?

CenterPoint says to contact its residential distributed generation team and go through the application process before turning on the system. It then emails a revised interconnection agreement for signature, and after all parties sign, it sends Permission to Operate and reprograms the meter.

Is there still a federal tax credit for home solar?

The federal residential clean energy credit, section 25D, ended for home solar expenditures made after December 31, 2025, under the law signed July 4, 2025. The IRS treats the expenditure as made when installation is completed, so a system completed in 2026 does not qualify even if it was paid for earlier.

Does the consultation cost anything?

No. The consultation is free for homeowners, and there is no obligation to buy anything.

Who will contact me?

Our team confirms a few details with you, then one local solar company for your area contacts you to set up the visit. Your request never goes to a list.

Sources (checked September 26, 2026)

Tariffs and programs change, so confirm current terms with CenterPoint Energy Houston Electric before you decide.

Answers homeowners look for

Is the federal solar tax credit still available in 2026?No, not for a home solar system completed in 2026.Can an HOA stop you from installing solar panels?Texas: State law limits HOA bans Do solar panels raise your property taxes?Texas: Exemption in state law

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How CenterPoint Energy Houston Electric credits home solar

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