Getting Electricity to Rural Land in Texas: Co-ops, Line Extension Costs and Solar (2026)

Raw land rarely comes with a meter. Who supplies power in rural Texas, how to request service, what co-ops actually charge to extend a line, how long it takes, and when solar or off-grid makes sense after the 2026 tax credit changes.

Rodrigo Blanco, Founder & CEO of TerraFunded

Published: 2026-11-09

TL;DR

Most rural Texas land is served by an electric cooperative, a member-owned utility. Texas Electric Cooperatives represents 76 co-ops with more than 3 million members.
In co-op territory you usually cannot shop for a provider: ERCOT reports that only Nueces Electric Cooperative and Lubbock Power and Light have opted into retail competition.
To get service you typically join the co-op, sign an easement, provide a 911 address and pay any line extension cost above the co-op's allowance before construction starts.
Allowances vary a lot: one Texas co-op builds the first 660 feet free, another contributes up to $2,000, another up to $5,000. Beyond that, you pay.
One co-op tariff promises service within 90 days for a permanent home that needs a line extension. Request power early.
Solar can work on rural land, but the federal 25D tax credit ended for systems completed after December 31, 2025. Texas still exempts solar devices from property tax.

Who supplies electricity in rural Texas

Texas has two worlds of electric service. In most cities inside the ERCOT grid, you pick a retail provider; ERCOT says about 85 percent of Texas consumers can choose. Rural land is usually the other world. Electric cooperatives and city-owned utilities can decide whether to join retail competition, and most have not; ERCOT names only Nueces Electric Cooperative and Lubbock Power and Light as having opted in.

So on most rural tracts the question is not "which plan" but "which co-op." Co-ops are big: Texas Electric Cooperatives represents 76 co-ops with more than 3 million members, and Texas Co-op Power reported in 2020 that co-ops serve 241 of Texas' 254 counties over about 325,000 miles of line. According to the Public Utility Commission of Texas, each co-op's board sets its own retail rates, and billing, deposit and service questions go to the co-op itself.

How to find out who serves a tract, and how far the line is

Before you buy, you want two answers in writing: which utility serves the tract, and where its nearest line of the right type is.

Ask the seller which co-op serves the area and whether there are poles along the road frontage.
Check the co-op map. Texas Electric Cooperatives publishes a map of member co-ops and a member directory.
Look at the road. Poles along the frontage are a good sign, but a line on the far side of the road or a line of the wrong phase can still mean construction.
Call the co-op's new service or engineering desk with the parcel location and ask: is there a line at this frontage, what would a standard residential service involve, and what is the current line extension policy?

That last call is the one that turns a guess into a budget line. Ask for the policy section of the tariff, not a verbal summary.

How to request service, step by step

Co-op procedures differ, but the published documents we reviewed follow the same pattern:

Membership application. Membership fees are small: $10 at Hamilton County Electric Cooperative and $15 at Fort Belknap Electric Cooperative, which also lists a $75 connect fee for new permanent service.
Easement. Expect to grant the co-op an easement for its line and equipment. Bluebonnet Electric Cooperative requires a written easement signed before a notary; Hamilton County EC will not begin service until its easement form is received and reviewed.
911 address. Heart of Texas Electric Cooperative lists "911 Addressing is Required" as a prerequisite for new service. Get your address from the county early (see our guide to building on rural land).
Design and estimate. The co-op stakes the route and estimates the cost. Fort Belknap's tariff also says the co-op may require a copy of any approval required by law before service begins.
Payment of the contribution in aid of construction (CIAC). If the job exceeds the co-op's allowance, you pay the difference up front. These payments are generally non-refundable.
Your side of the meter. You or your electrician install the meter base or pedestal to the co-op's specifications and the National Electrical Code. Fort Belknap's tariff is explicit that the co-op "does not undertake to determine" whether your installation complies, so hire competent help.
Construction and connection. The co-op builds, sets the meter and energizes.

Deposits may apply. Fort Belknap's initial deposit approximates one-sixth of estimated annual billings, though qualifying residential applicants can establish credit instead.

What it costs: allowances and line extensions

The biggest number is almost always the line extension. Here is how four Texas co-ops describe their residential policies in their own published documents:

Co-op	Permanent residential policy	Non-permanent or temporary
Coleman County EC	No charge for the first 660 feet of single-phase overhead service; member pays beyond that	First 80 feet free; member pays beyond
Fort Belknap EC (Young County area)	Co-op contributes up to $2,000; member pays the excess before construction	Member pays actual cost
Bluebonnet EC	Member pays costs above $1,950 per service	Member pays all extension and removal costs
Southwest Texas EC	Co-op contributes up to $5,000 ($7,500 for all-electric homes)	Member pays 100% of cost plus removal, less salvage

Underground service is usually on you. Heart of Texas EC states that underground residential service is member-installed and that line extensions are charged at 100 percent of the current per-foot cost; Coleman County EC says it does not install underground service at all.

What does a long extension cost in dollars? Co-ops price it from their own unit costs, so the only reliable number is the written estimate. For orientation: the U.S. Department of Energy cites line extension costs of $15,000 to $50,000 per mile, and Angi's 2025 cost guide puts a normal run of service from an existing pole at $4,000 to $20,000, with 200-amp service work at $750 to $2,000. What drives it: distance, single-phase vs three-phase, overhead vs underground, clearing and terrain, transformer needs and the co-op's allowance.

How long it takes

Fort Belknap's tariff gives a useful benchmark: service within seven working days when no line extension is needed, and within 90 days for permanent residential service that requires a line extension, barring material shortages. Heart of Texas EC warns that pricing and availability are subject to supply chain issues. Treat 90 days as a planning number and request service as soon as you know where the house will sit.

Temporary power for an RV or a build site

Many buyers want power before the house: for an RV, a well pump or construction tools. Co-ops treat that differently from a permanent home. Fort Belknap charges a $150 connect fee for temporary, seasonal, hunting camp and intermittent-use services, and makes non-permanent service pay the actual construction cost. Coleman County EC gives non-permanent service only 80 free feet instead of 660. Bluebonnet and Southwest Texas EC make temporary service pay all construction and removal costs. If a permanent home is the plan, ask whether it is cheaper to wait and request permanent residential service once.

Solar and off-grid in 2026: the honest math

The tax credit changed. The federal Residential Clean Energy Credit (Section 25D) is not allowed for expenditures made after December 31, 2025, and the IRS treats an expenditure as made when installation is completed. Systems finished in 2026 do not get it.

Texas still helps on property tax. Tax Code §11.27 provides an exemption for solar and wind-powered energy devices; the Comptroller publishes the guidelines and application Form 50-123.

Typical system size and price. Lawrence Berkeley National Laboratory's 2026 data update reports a median U.S. residential system of 7.7 kW in 2025, battery attachment rising to 37 percent of installs, and median prices among the top 100 installers ranging from $2.4 to $6.3 per watt. Simple arithmetic on those figures puts a 7.7 kW system somewhere around $18,500 to $48,500 before batteries. Get local quotes.

Grid-tied vs off-grid. The DOE notes that a grid-connected system avoids the cost of batteries because the grid covers you when the sun does not, but it usually requires an interconnection agreement with your utility, which may involve insurance and fees. Off-grid systems need batteries, a charge controller, power conditioning and safety equipment, and often a generator as backup. DOE's conclusion is practical: in remote locations, a stand-alone system "can be more cost-effective than extending a power line." Run both numbers: the co-op's written extension estimate against an off-grid quote sized to your real loads.

What on your land needs power

Two systems most rural homes depend on run on electricity: the well pump (see our water guide) and, if your soil requires it, an aerobic septic system with its aerator and spray pump (see our septic guide). Size any solar or generator plan around them. And note a legal detail: under Health and Safety Code §366.005, electric utilities send the county a weekly list of new connections in unincorporated areas, which is forwarded to the septic authority, the appraisal district and the 911 district.

How this works on TerraFunded land

On every TerraFunded farm you can build a house, place a mobile home, use an RV, camp, hunt and keep animals, on lots of 10+ acres with no HOA. Power availability is specific to each farm and each lot's frontage, so make the co-op call part of your diligence before closing; closing takes about three weeks, which leaves time. The co-op easement has to be signed by the landowner, and at TerraFunded you receive a Warranty Deed recorded in your name at closing, so the land is legally yours from that day even while you pay the note. If you are budgeting a full homesite, read this alongside our barndominium cost guide and the rural land checklist.

Frequently asked questions

How much does it cost to get electricity to rural land in Texas?

It depends on distance and your co-op's policy. Some Texas co-ops build a first stretch free (660 feet at Coleman County EC) or contribute a fixed amount ($2,000 at Fort Belknap EC, up to $5,000 at Southwest Texas EC); you pay the rest up front. DOE cites $15,000 to $50,000 per mile for line extensions. Only the co-op's written estimate is reliable.

Can I choose my electricity provider on rural land?

Usually not. ERCOT says about 85 percent of Texas consumers can choose a retail provider, but most co-ops and city utilities have not opted in. Only Nueces Electric Cooperative and Lubbock Power and Light have. On co-op land, the co-op is your provider.

How long does it take to get power to a new rural home site?

One Texas co-op tariff commits to service within seven working days when no line extension is needed and within 90 days for permanent residential service that needs one, barring material shortages. Request service early.

What do I need to apply for electric service with a co-op?

Typically a membership application and fee, an easement signed by the landowner, a 911 address, payment of any line extension cost above the allowance and a meter base installed to the co-op's specifications. Some co-ops also ask for copies of permits required by law.

Is the federal solar tax credit still available in 2026?

No, for home systems. The IRS says the Section 25D credit is not allowed for expenditures made after December 31, 2025, and an expenditure counts as made when installation is completed. Texas still offers a property tax exemption for solar energy devices under Tax Code §11.27.

Is off-grid solar cheaper than running a power line?

Sometimes. DOE says stand-alone systems can be more cost-effective than extending a line in remote locations, but off-grid requires batteries and backup. Compare the co-op's written extension estimate with an off-grid quote sized to your real loads, including the well pump and any aerobic septic system.

Sources

ERCOT, Grid Insights: Retail Market (November 2025): https://www.ercot.com/files/docs/2025/11/17/ERCOT-Grid-Insights-Retail-Market.pdf
Public Utility Commission of Texas, FAQ on municipal utilities and cooperatives: https://puc.texas.gov/consumer/facts/faq/muni
Texas Electric Cooperatives: https://texas-ec.org/
Texas Electric Cooperatives, co-ops map: https://texas-ec.org/wp-content/uploads/2022/10/TEC-Co-ops-Map.pdf
Texas Co-op Power, By the Numbers (October 2020): https://texascooppower.com/by-the-numbers/
Fort Belknap Electric Cooperative, Tariff (May 1, 2026): https://fortbelknapec.com/sites/default/files/Fort Belknap Electric Cooperative%2C Inc Tariff-May 1%2C 2026.pdf
Coleman County Electric Cooperative, Line Extension: https://www.colemanelectric.org/sites/default/files/documents/line_extension.pdf
Bluebonnet Electric Cooperative, Line Extensions: https://bluebonnet.coop/line-extensions
Southwest Texas Electric Cooperative, Line Extension: https://swtec.com/line-extension
Heart of Texas Electric Cooperative, Getting Started with New Service: https://hotec.coop/getting-started-new-service
Hamilton County Electric Cooperative, Membership Application and Service Agreement: https://www.hamiltonelectric.coop/assets/1/6/HCEC_Membership_App-Service_Agreement_rvsd_1-20-2019.pdf
U.S. Department of Energy, Grid or Stand-Alone Renewable Energy Systems: https://www.energy.gov/energysaver/grid-or-stand-alone-renewable-energy-systems
U.S. Department of Energy, Grid-Connected Renewable Energy Systems: https://www.energy.gov/energysaver/grid-connected-renewable-energy-systems
IRS, FAQs on the modification of Sections 25C and 25D (Public Law 119-21): https://www.irs.gov/newsroom/faqs-for-modification-of-sections-25c-25d-25e-30c-30d-45l-45w-and-179d-under-public-law-119-21-139-stat-72-july-4-2025-commonly-known-as-the-one-big-beautiful-bill-act-obbb
Texas Comptroller, Property Tax Exemptions: https://comptroller.texas.gov/taxes/property-tax/exemptions/
Lawrence Berkeley National Laboratory, U.S. Distributed Solar and Storage: 2026 Data Update: https://eta-publications.lbl.gov/sites/default/files/2026-08/distributed_solar_storage-2026_data_update_final.pdf
Texas Health and Safety Code §366.005: https://statutes.capitol.texas.gov/Docs/HS/htm/HS.366.htm
Angi, Cost to run electric from the road (2025 data): https://angi.com/articles/how-much-would-it-cost-run-new-electric-service-existing-power-pole-approximately-1000-ft.htm

This article is informational only and is not legal, tax or financial advice; confirm current policies with your utility and consult a licensed Texas real estate attorney or tax professional for your situation.

For the interactive version with related properties and contact info, please visit the original article.