How Value of Solar differs from everything nearby
Three different deals within a couple hundred miles of each other:
Austin: VoS
All generation is metered separately and credited at 9.91 cents, whether you used it or not. All consumption bills at tiered retail. Self-consumption timing is irrelevant to the bill.
San Antonio: net billing
CPS nets solar against your usage at retail up to your consumption, then pays about 2 cents for surplus. Self-consumption is everything.
Deregulated Texas: REP plans
In Oncor or CenterPoint territory, the export deal is whatever buyback plan you shopped for this contract term.
Austin's tiered city rates
Austin Energy's average residential electricity price has risen from 10.75 cents per kWh in 2015 to 12.58 cents in 2024, an increase of about 17 percent, or roughly 1.8 percent per year. The chart shows Austin Energy's average residential price by year. Hover any point for the exact figure.
Current residential rates
Austin Energy residential rates are shown below, from the utility's published tariffs and the public Utility Rate Database. Rates vary by plan, season, and usage and change over time.
| Plan | Energy charge | Fixed / basic |
|---|---|---|
| Residential Service (inside city) - Tier 1, 0-300 kWh | 4.640c/kWh energy + 6.525c/kWh riders (PSA 4.118c net of -0.206c admin, Regulatory 1.338c, Community Benefit 1.275c) = ~11.17c/kWh all-in | $16.50/month customer charge |
| Residential Service (inside city) - Tier 2, 301-900 kWh | 5.138c/kWh energy + 6.525c/kWh riders = ~11.66c/kWh all-in | $16.50/month customer charge |
| Residential Service (inside city) - Tier 3, 901-2,000 kWh | 7.525c/kWh energy + 6.525c/kWh riders = ~14.05c/kWh all-in (Tier 4 over 2,000 kWh: 10.884c energy) | $16.50/month customer charge |
Inside-City-of-Austin residential tariff, effective December 1, 2025 (Fiscal Year 2026). Inclining four-tier energy charge: 4.640c (0-300 kWh), 5.138c (301-900), 7.525c (901-2,000), 10.884c (over 2,000), plus a flat $16.50/month customer charge. Stacked per-kWh riders apply to all usage: Power Supply Adjustment 4.118c with a -0.206c PSA administrative adjustment, Regulatory Charge 1.338c, and Community Benefit Charges 1.275c (Customer Assistance 0.564c + Service Area Lighting 0.254c + Energy Efficiency 0.457c), totaling 6.525c/kWh. A typical ~1,000 kWh/month household pays roughly 12 cents/kWh all-in, consistent with the EIA 2024 average of 12.58c. Outside-city customers have lower upper-tier energy charges. Sales tax and any city/county fees are additional.
The Value of Solar tariff, explained
Austin Energy does not use traditional net metering. Instead it applies a Value of Solar (VoS) tariff: a separate meter measures 100% of your system's gross solar production and credits it at the VoS rate (currently 9.91 cents/kWh for systems under 1 MW-AC), while you are billed for 100% of the electricity you consume at standard residential rates. The solar credit is applied to your bill each month, and any unused credit rolls forward to future months (it is non-transferable and non-refundable, so it does not pay out as cash). Because the VoS rate is set administratively to reflect solar's value to the grid (avoided energy, capacity, transmission/distribution, line losses and environmental benefits) rather than the retail price, it can be higher or lower than retail depending on the year. The VoS rate is recalculated annually using a rolling average of prior-year assessments; the current 9.91c value has been in effect since the rate was last set, posted as effective March 1, 2023 and carried in the FY2026 tariff, subject to change.
What a production priced system is worth
The Value of Solar design has a strange and useful property: because generation is credited in full at 9.91 cents regardless of when you use power, there is no battery arbitrage against your own bill and no reason to shift laundry to noon. The system's value is simply production times the VoS rate, minus nothing.
The flip side is that the VoS rate is set administratively, recalculated annually from a rolling average of assessed grid value, so it can drift either direction over a system's life, and credits roll forward without ever paying out as cash. With Austin's all in retail around 12 cents, VoS at 9.91 lands close to parity. Get site-specific numbers and treat long term VoS drift as the real uncertainty.
Austin Energy service area
Austin Energy serves Austin, Texas (City of Austin, most of Travis County and parts of Williamson County); about 437 square miles serving a population near 1 million, including Pflugerville, Manor, Del Valle, Sunset Valley, Rollingwood, Westlake Hills and other enclaves..
To confirm whether a specific address is served by Austin Energy, check your electricity bill. A ZIP lookup tool is coming to this site.
What rising Austin Energy rates could cost you
Austin Energy rates have risen about 1.8% per year. Enter your bill to see what that pace of increase could compound to over time, and what you have likely already absorbed. This is an estimate, not a guarantee.
Estimate only. Projects your current bill forward at Austin Energy's historical average rate increase (1.8% per year, from EIA data); it assumes your usage stays the same except for any add-ons you select. Actual rates depend on your usage, rate plan, and the utility's future filings, and are not guaranteed. This is general information, not financial advice.
Full data and sources
Per-utility prices are computed from EIA Form 861 (bundled residential revenue divided by sales), which reconciles to the EIA's published figures. These are public-domain U.S. government data.
| Year | Austin Energy (c/kWh) |
|---|---|
| 2015 | 10.75 |
| 2016 | 10.66 |
| 2017 | 10.7 |
| 2018 | 10.71 |
| 2019 | 10.84 |
| 2020 | 10.56 |
| 2021 | 10.11 |
| 2022 | 11.85 |
| 2023 | 13.0 |
| 2024 | 12.58 |
Sources: EIA Form EIA-861 detailed data files (Sales to Ultimate Customers, 2015-2024; Austin Energy utility no. 1015, Bundled residential) · EIA Electric Sales, Revenue, and Average Price - Table 6 (2024 Utility Bundled Retail Sales - Residential; Austin Energy 12.577563 cents/kWh, sanity check) · Austin Energy Residential Rates (customer charge, tiered energy charges, PSA, Regulatory and Community Benefit riders; effective 12/01/2025) · Austin Energy FY2026 Electric Tariff (PDF) · Austin Energy Value of Solar Rate (residential; 9.91 cents/kWh, value-of-solar tariff explanation) · Austin Energy Service Area Map and Electric System (region / coverage)
FAQ
Does Austin Energy have net metering?
No. It uses a Value of Solar tariff: a separate meter measures 100 percent of your system's production, credited at 9.91 cents per kWh for systems under 1 MW, while you are billed for 100 percent of consumption at standard residential rates.
Does using my solar power directly save me more in Austin?
Uniquely, no. Because generation is credited in full regardless of timing and consumption is billed in full, when you use power does not change the solar credit. The system's value is production times the VoS rate.
Can my Value of Solar credits be paid out in cash?
No. Unused credits roll forward to future bills, but they are non transferable and non refundable.
How stable is the 9.91 cent rate?
It is recalculated annually using a rolling average of prior year assessments of solar's value to the grid, so it can move either direction. The current 9.91 cent figure has been in effect since it was last set, posted effective March 1, 2023 and carried in the FY2026 tariff.