Oncor Electric Delivery solar: buyback and interconnection rules

The rules

What happens to the solar power you send to the grid

Oncor, a regulated transmission and distribution utility and the largest energy delivery company in Texas, serves more than 400 communities across the state.

Interconnection and Parallel Operation of Distributed Generation

How Oncor Electric Delivery credits exports

Oncor is a regulated transmission and distribution utility: it delivers electricity over its poles and wires, and its advanced meters measure the energy a home uses and the surplus it sends to the grid, but it does not sell power, set customers' plans or send monthly electric bills; customers choose a retail electric provider, the company they pay for electricity.
Oncor does not buy or credit exported solar power; it says net metering does not apply in its deregulated market, and some retail electric providers offer buyback programs that credit surplus generation while others do not.
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.
After permission to operate, Oncor reprograms the home's advanced meter to measure surplus generation and sends that data to the retail electric provider, and homeowners are not required to join any buyback program.
Oncor directs customers to powertochoose.org, the Public Utility Commission of Texas site for comparing retail electric plans, to review buyback 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

Interconnection and Parallel Operation of Distributed Generation, Tariff for Retail Delivery Service, Section 6.3.3

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, so whether surplus generation is credited, and on what terms, depends on the provider's plan.
Oncor treats inverter systems certified to UL 1741 as certified systems; systems that are not certified may take longer to process and may need a study of their impact on the grid.

How a home gets connected

The installer sends the homeowner a tariff application to sign and submits the project through Oncor's online distributed generation interconnection portal; homeowners installing a system themselves contact Oncor's distributed generation team to get portal access.
Oncor reviews the application and documents, performs a study and prepares an interconnection agreement; PUCT Subst. R. §25.211 calls for interconnection within four weeks of a completed application for precertified equipment and within six weeks for other facilities, unless substantial upgrades are needed.
Once the interconnection agreement is signed by all parties, Oncor sends a Permission To Operate letter to the homeowner and the installer, and operating the system before then violates Oncor's tariff and PUCT rules.
Oncor then orders the meter reprogrammed to measure surplus generation sent to the grid, which generally takes about three weeks, and sends measured surplus generation to the homeowner's retail electric provider.
The homeowner contacts a retail electric provider about buyback plans or credits for surplus energy, and can compare plans at powertochoose.org.

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 Oncor Electric Delivery's area

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

Dallas, TXOncor Fort Worth, TXOncor

State rules

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

Questions

Common questions about Oncor Electric Delivery and solar

Does Oncor pay me for the solar power my home sends to the grid?

No. Oncor says it does not offer solar credits and that net metering does not apply in its deregulated market. Some retail electric providers credit surplus generation through buyback programs, but not all do, and you are not required to join one.

How do I find a solar buyback plan in Oncor's service area?

Oncor says retail electric provider buyback programs can be found at powertochoose.org, the Public Utility Commission of Texas site for comparing electricity plans, or through the Power to Choose helpline. The PUCT notes that the buyback rate is part of your contract with your electric provider and is usually lower than the retail price you pay.

How long after permission to operate do buyback credits start?

After permission to operate, Oncor orders your meter reprogrammed to measure surplus generation, which generally takes about three weeks. Oncor says the update that lets it send measured surplus generation to your retail electric provider takes one full billing cycle, 30 to 60 days, from the meter reprogramming date.

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 Oncor Electric Delivery 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

See if solar fits your home

Free, no obligation, and your request goes to one local company.

Get my free consultation

How Oncor Electric Delivery credits home solar

Check your home