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Incentives/Policies for Renewables & Efficiency

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Interconnection Standards   

Last DSIRE Review: 04/17/2013
Program Overview:
State: Texas
Incentive Type: Interconnection
Eligible Renewable/Other Technologies: Solar Thermal Electric, Photovoltaics, Landfill Gas, Wind, Biomass, Hydroelectric, Geothermal Electric, Fuel Cells, CHP/Cogeneration, Reciprocating Engines, Turbines, Storage , Tidal Energy, Wave Energy, Ocean Thermal, Fuel Cells using Renewable Fuels, Microturbines, Other Distributed Generation Technologies
Applicable Sectors: Commercial, Industrial, Residential
Applicable Utilities:Investor-owned utilities
System Capacity Limit:10 MW
Standard Agreement:Yes
Insurance Requirements:"Additional" liability insurance not required for systems of 2 MW or less that meet certain technical standards
External Disconnect Switch:Required
Net Metering Required:No
Web Site:
Authority 1:
Date Enacted:
Date Effective:
16 TAC § 25.211 et seq.
11/18/1999 (subsequently amended)
06/11/2012 (current rules)
Authority 2:
Date Enacted:
Date Effective:
16 TAC § 25.217 et seq.
12/18/2008 (subsequently amended)
06/11/2012 (current rules)
Authority 3:
Date Effective:
Texas Statute § 39.554(e)(1)

The Texas Public Utility Regulatory Act (PURA) of 1999 included a provision that "a customer is entitled to have access to on-site distributed generation". As a result, the Public Utility Commission of Texas (PUCT) adopted interconnection standards in 1999. The rules apply to electrical generating facilities (consisting of one or more on-site distributed-generation units) located at a customer's point of delivery, with a maximum capacity of 10 megawatts (MW) and connected at a voltage less than 60 kilovolts (kV). The total capacity of a facility's individual on-site distributed generation units may exceed 10 MW. However, no more than 10 MW of capacity will be interconnected at any point in time at the point of common coupling.

The following conditions apply to Texas's interconnection rules for distributed generation:

  • Installations must meet all applicable national, state and local construction and safety codes;
  • No pre-interconnection study fees are required for units up to 500 kW (under most circumstances), and study fees for larger systems are limited;
  • Time limits apply to pre-interconnection studies and application approval or rejection (4-6 weeks);
  • Pre-certification provisions allow for fast-track interconnection;
  • Equipment and operational requirements are differentiated based on connection type (single-phase or three-phase), paralleling mode and system size;
  • Cut-off points exist at 10 kW, 50 kW*, 2 MW** and 10 MW***;
  • The rules include technical provisions for interconnection to radial as well as network distribution systems;
  • An external disconnect device is required for all systems;
  • Standardized interconnection applications and interconnection agreements are used;
  • Liability is limited; and
  • Owners of distributed renewable generation and independent school district solar generation of 2 MW or less may not be required to purchase additional liability insurance

The PUCT's Distributed Generation Interconnection Manual includes a review of safety and technical requirements of DG installations; a copy of applicable rules, application procedures and forms; Texas utility contacts; and equipment pre-certification requirements.

*Texas Statute 39.554(e)(1) permits owners of a Distributed Renewable Generation system to interconnect through a single meter if they have a qualifying facility with a design capacity of 50 kW or less. This portion of Texas law only applies to areas outside of the Electric Reliability Council of Texas (ERCOT) where electric competition has not been introduced.

**The Public Utility Commission of Texas (PUCT) Substantive Rule § 25.217(b)(1) defines Distributed Renewable Generation (DRG) as generation equipment with a capacity of 2MW or less provided by renewable energy technology. Owners of DRG systems are required to provide proof that equipment carries a warranty against breakdown and undue degradation for a minimum of 5 years. Further information on DRG Interconnection Guidelines can be found on the PUCT Distributed Generation web site listed at the top of this page.

***The Public Utility Commission of Texas Substantive Rule § 25.217(b)(3) permits interconnection of unlimited generation capacity for Independent School District Solar Generation (ISD-SG). Systems must meet applicable compliance requirements detailed in § 25.211 and § 25.212. Further information on ISD-SG Interconnection Guidelines can be found on the PUCT Distributed Generation web site listed at the top of this page. 

  Kevin Mathis
Public Utility Commission of Texas
1701 N. Congress Avenue
Austin, TX 78711-3326
Phone: (512) 936-7380
Web Site:
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Disclaimer: The information presented on the DSIRE web site provides an unofficial overview of financial incentives and other policies. It does not constitute professional tax advice or other professional financial guidance, and it should not be used as the only source of information when making purchasing decisions, investment decisions or tax decisions, or when executing other binding agreements. Please refer to the individual contact provided below each summary to verify that a specific financial incentive or other policy applies to your project.

While the DSIRE staff strives to provide the best information possible, the DSIRE staff, the N.C. Solar Center, N.C. State University and the Interstate Renewable Energy Council, Inc. make no representations or warranties, either express or implied, concerning the accuracy, completeness, reliability or suitability of the information. The DSIRE staff, the N.C. Solar Center, N.C. State University and the Interstate Renewable Energy Council, Inc. disclaim all liability of any kind arising out of your use or misuse of the information contained or referenced on DSIRE Web pages.

Copyright 2013 - 2014 North Carolina State University, under NREL Subcontract No. XEU-0-99515-01. Permission granted only for personal or educational use, or for use by or on behalf of the U.S. government. North Carolina State University prohibits the unauthorized display, reproduction, sale, and/or distribution of all or portions of the content of the Database of State Incentives for Renewables and Efficiency (DSIRE) without prior, written consent.