Austin Energy distributed generation and Value of Solar: tiers, fees and insurance

How the size is measured

the inverter AC output. The Value of Solar Rider covers a system with a capacity less than 10,000 kilowatts alternating current as measured at the inverter output, and the interconnection guide routes on kW AC throughout. There is no DC figure anywhere in the routing or the tariff, which makes Austin the cleanest single test in this group.

Size bands and what each one obliges

Under 25 kW AC, off the downtown network Size 0 to 24.999 kW	No professional engineer seal is required below 25 kW. Solar inspection is $67.67 for 1 to 50 kW of inverter nameplate, plus a $33.84 pre wire inspection. Residential plan review re review is $154.77. No insurance is required below 500 kW. Auxiliary power electrical permit base fee $101.51 plus a 10 percent technology fee Solar inspection fee by inverter nameplate capacity Homeowner permit exemptions are not allowed for solar
25 kW to under 500 kW AC, off the downtown network Size 25 to 499.999 kW	A full set of drawings and specifications sealed by a Texas licensed professional engineer is required from 25 kW up, which is low enough to catch large residential and small commercial. An interconnection study is typically not required for equipment pre certified to UL 1741. Texas professional engineer seal on drawings and specifications Commercial plan review $309.54 to $773.84 by size, plus an energy storage adder
500 kW AC and above, or any size on the downtown network Size 500 to 10000 kW	Proof of insurance of at least $500,000 is required over 500 kW and at least $1,000,000 over 1 MW. All work must be under the direct supervision of a master electrician. The job begins with a feasibility study before an application is even accepted, and an interconnection study is typically required at customer expense above 1 MW. $500,000 insurance over 500 kW, $1,000,000 over 1 MW Feasibility study before application Direct supervision by a master electrician Distributed resource interconnect study fee $6,000 per site where a study is required

Under 25 kW AC, off the downtown network Size 0 to 24.999 kW

No professional engineer seal is required below 25 kW. Solar inspection is $67.67 for 1 to 50 kW of inverter nameplate, plus a $33.84 pre wire inspection. Residential plan review re review is $154.77. No insurance is required below 500 kW.

Auxiliary power electrical permit base fee $101.51 plus a 10 percent technology fee
Solar inspection fee by inverter nameplate capacity
Homeowner permit exemptions are not allowed for solar

25 kW to under 500 kW AC, off the downtown network Size 25 to 499.999 kW

A full set of drawings and specifications sealed by a Texas licensed professional engineer is required from 25 kW up, which is low enough to catch large residential and small commercial. An interconnection study is typically not required for equipment pre certified to UL 1741.

Texas professional engineer seal on drawings and specifications
Commercial plan review $309.54 to $773.84 by size, plus an energy storage adder

500 kW AC and above, or any size on the downtown network Size 500 to 10000 kW

Proof of insurance of at least $500,000 is required over 500 kW and at least $1,000,000 over 1 MW. All work must be under the direct supervision of a master electrician. The job begins with a feasibility study before an application is even accepted, and an interconnection study is typically required at customer expense above 1 MW.

$500,000 insurance over 500 kW, $1,000,000 over 1 MW
Feasibility study before application
Direct supervision by a master electrician
Distributed resource interconnect study fee $6,000 per site where a study is required

The screens that decide it

Within the Value of Solar 10,000 kW AC ceiling Limit 9999.999 kW.
The Value of Solar Rider covers a system of less than 10,000 kW AC measured at the inverter output. Above 10 MW the job needs transmission planning review and is outside the interconnection guide.
Within 90 percent of the service transformer rating 90 percent of service transformer rating, a figure only the utility holds.
This is a denial, not a study trigger. If the total size in kW AC of all distributed generation tied to a transformer exceeds 90 percent of the transformer rating, the application is denied. The customer must downsize or pay Austin Energy to upgrade the transformer. The transformer rating is utility data, so the answer must be asked.
Within 25 percent of existing feeder load
A proposed facility may not represent more than 25 percent of the existing feeder load or 15 percent of the maximum available fault current on the circuit without written approval. Note that Austin’s fifteen percent figure is a fault current test, not the load screen installers know from other jurisdictions.

Ask the utility this, before you sell it

What is the service transformer rating at this address? Exceeding 90 percent of it is an outright denial rather than a study.
Is this address on the downtown network? Any size there is routed to the 500 kW and above process.
How long will review and permission to operate take? Austin Energy publishes no approval or permission to operate interval at any stage.

Worth knowing before you quote

There is no net metering. Value of Solar is a production credit on 100 percent of metered output, currently $0.0991 per kWh for non demand and for demand customers under 1,000 kW AC of solar, and $0.0717 for demand customers at or above 1,000 kW AC. Credits cannot exceed the month’s charges, excess carries forward, and the customer forfeits any remaining unused credits when service terminates. Austin Energy aggregates all renewable energy credits. Value of Solar cannot be combined with the Load Shifting Voltage Discount Rider. Energy storage carries its own inspection fee tiers from $67.67 under 15 kW to $406.04 at 241 kW and above. Inspections must be scheduled at least seven business days in advance.

Source

Austin Energy Distribution System Interconnection Guide for Customer Owned Power Production Facilities less than 10 MW, Revision 14.0 dated 31 March 2025, with the Value of Solar Rider effective 1 November 2025 and the 2025 to 2026 Fee Schedule

Read and recorded 2026-09-12. Publicly owned utility, outside its state's interconnection rule. Its own published documents govern. Austin Energy is a city department outside Public Utility Commission of Texas jurisdiction for interconnection.

All Texas interconnection rules

Size bands and what each one obliges

The screens that decide it

Ask the utility this, before you sell it

Worth knowing before you quote

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