Texas Solar Sales Registration Takes Effect September 1, 2026: What Changes for Homeowners and Sellers

What Changed, and When

Senate Bill 1036, passed by the 89th Texas Legislature and authored by state Senator Judith Zaffirini of Laredo, created Chapter 1806 of the Texas Occupations Code and placed the sale or lease of residential solar energy systems under the Texas Department of Licensing and Regulation (TDLR). TDLR already regulated the electricians who install solar systems; SB 1036 added the sales side. The law rolls out in two stages, which TDLR sets out on its “What’s in Effect When” page.

Already in effect since September 1, 2025. Residential solar sale or lease agreements must include the contract provisions required by Occupations Code §1806.155 and the right-to-cancel provisions of §1806.156. Among them: the agreement must state that a licensed electrical contractor will perform the installation and conspicuously identify that contractor by name and license number; it must provide that the required government permits and the electric utility’s interconnection approval will be obtained; and where an affiliated or referred third-party lender is involved, the agreement must require that lender to cancel the accompanying loan if the agreement is cancelled. A buyer or lessee may cancel without penalty or further obligation by giving written notice on or before the fifth business day after signing, and the agreement must state the last calendar date of that cancellation window and the address for sending the notice.

New on September 1, 2026. Per TDLR, from that date residential solar retailers and solar salespersons must be registered with TDLR to sell or lease residential solar panels and solar energy systems, and certain prohibited acts under §1806.201 and additional requirements in SB 1036 become enforceable and subject to administrative action. Licensing applications are being made available in advance of the date.

The rules behind it. The Texas Commission of Licensing and Regulation adopted the program rules at 16 Texas Administrative Code Chapter 71, published in the adopted-rules section of the Texas Register (the proposed text had been published in the March 13, 2026 issue, 51 TexReg 1486). The adopted rules cover registration and annual renewal for retailers and salespersons, a duty to report changes in contact and ownership information within 30 days, contract requirements, a code of conduct, and prohibited acts. Two provisions are worth noting for homeowners: adopted §71.43 requires a solar salesperson to give the consumer the department’s educational brochure at least 24 hours before the contract is signed, and adopted §71.52 addresses false and misleading statements, restricted marketing and business practices, salespersons operating without a supervising registered retailer, and retailers failing to comply with the terms of their own contracts.

Who in Texas This Reaches

• Homeowners anywhere in Texas who are considering, or have already signed, a purchase or lease of rooftop solar panels or solar shingles for a home. The rules apply statewide — Houston to Lubbock, the Rio Grande Valley to the Panhandle.
• Older Texans and non-English-speaking households. TDLR’s announcement of the program described the legislation as a response to misleading and predatory sales tactics that fell disproportionately on elderly and non-English-speaking Texans.
• Residential solar retailers and solar salespersons. Companies and individuals selling or leasing home solar in Texas must hold a TDLR registration to conduct those sales beginning September 1, 2026, and renew it annually.
• Licensed electrical contractors, who remain the ones who must perform the installation work, and whose license number belongs in the agreement.

What This Changes Legally

The core change is that Texas now has a state registration and enforcement channel aimed specifically at the people who sell home solar, in addition to the general consumer-protection law that already applied.

• A complaint path at TDLR. TDLR states that it can accept consumer complaints against residential solar retailers for contracts entered into on or after September 1, 2025. For incidents involving residential solar retailers that occurred before that date, TDLR directs consumers to the Texas Attorney General’s Office of Consumer Protection. TDLR can accept complaints about electrical contractors for solar installation or repair work performed at any time.
• Registration status becomes checkable. Beginning September 1, 2026, whether the retailer and the individual salesperson hold a current TDLR registration is a fact about the transaction, not a matter of the seller’s say-so.
• Specific statutory prohibitions. Under the law described by TDLR, a residential solar retailer may not state or imply that it is affiliated with a public utility or a government agency, and may not attempt to sell a system at a residence with a posted “no soliciting” sign unless invited by the occupant.
• The old remedies still exist. TDLR notes that solar retailers must continue to comply with other state and federal law, including the federal Truth in Lending Act, the Texas Deceptive Trade Practices–Consumer Protection Act (Business and Commerce Code, Chapter 17), and Chapter 115 of the Business and Commerce Code, which addresses certain solar transactions.

Nothing here decides any particular contract. Whether a given agreement complied with §1806.155 or §1806.156, and what follows if it did not, are questions that turn on the documents in a specific file.

What Kind of Option Might Apply

This page is information, not legal advice, and it is not a prediction about any case. What a lawyer can review includes:

• For a homeowner who recently signed: a consumer protection lawyer can read the agreement to see whether the required cancellation language and cancellation deadline were included, whether the five-business-day window is still open, and how a cancellation would need to be delivered.
• For a homeowner further along: a lawyer can compare what was promised in the sales pitch against what the contract and the financing documents actually say, look at any lien or UCC filing placed against the home, and explain what claims Texas law may provide.
• For a family member of an older Texan: a lawyer can review whether the sale involved conduct the statute and rules address, and what can be done about a contract that has already been signed.
• For a solar retailer or salesperson: a business lawyer can review the registration requirements taking effect September 1, 2026, the adopted Chapter 71 code of conduct and prohibited acts, and what an administrative complaint or enforcement action involves.

Why Acting Quickly Can Matter

The statutory right to cancel runs on a short clock — written notice on or before the fifth business day after the agreement is signed — so a contract signed this week has a window that closes next week. Separately, claims under the Texas Deceptive Trade Practices–Consumer Protection Act and other consumer statutes carry their own filing deadlines, and evidence such as door-hanger flyers, text messages, recorded pitches, and utility bills is easiest to gather while it is recent. It is best to talk with a lawyer early, while the widest range of options is still available, rather than after a deadline has passed.

Sources

1. Texas Department of Licensing and Regulation, Residential Solar Retailers — What’s in Effect When (primary agency guidance).
2. Texas Legislature, Senate Bill 1036, 89th Legislature, Regular Session — enrolled text (PDF).
3. Texas Register, Secretary of State, Adopted Rules, Title 16 Economic Regulation — 16 TAC Chapter 71, Residential Solar Retailers and Salespersons (June 26, 2026 issue).
4. Texas Department of Licensing and Regulation, Residential Solar Retail Sales Now Regulated By TDLR (news release, September 3, 2025, PDF).
5. Texas Legislative Reference Library, 89th Legislature — Effective Dates for Bills.
6. Odessa American, Residential solar retail sales now regulated by TDLR.
7. Office of the Texas Attorney General, Consumer Protection complaint portal.
8. Texas Business and Commerce Code, Chapter 17 (Deceptive Trade Practices–Consumer Protection Act).