What Are Solar Renewable Energy Certificates (S-RECs)?
A Solar Renewable Energy Certificate is a “certificate” that shows that a certain amount of electricity was generated by renewable sources.
One S-REC is created every time a qualifying renewable energy facility generates 1 megawatt-hour of electricity. Grid-tied home solar systems are classified as qualifying renewable energy facilities, which means solar owners earn S-RECs simply by producing their own electricity. S-RECs generated by solar photovoltaic systems are referred to as Solar RECs (SRECs).
S-RECs have monetary value and can be bought and sold on an open marketplace.
How Much Do You Earn Selling SRECs?
S-RECs in Virginia are currently worth about $56 each (though the market value fluctuates) and are sold on a quarterly basis. To determine how much you will earn per quarter with SRECs, multiply the number of SRECs your system produced in the quarter by the current market value.
Let’s look at an example. Suppose your system produced 4 megawatt-hours (4,000 kWh) of electricity this quarter. Four megawatts multiplied by the current SREC market value ($56) equals $224. Your aggregator will take a fee (Knollwood Energy takes a fee of $5 per REC) and write you a check for the remaining amount, in this case, $224.
By selling your S-RECs, you’ll receive four checks a year.
Install Solar and Start Earning Solar Renewable Energy Credits!
Selling S-RECs is just one of the many financial benefits of solar panels. With a home solar system, you’ll also be able to reduce your electricity bills, participate in additional solar incentive programs like net metering, and qualify for the 30% federal solar tax credit. Plus, you’ll be using clean, renewable energy that’s good for the environment and reduces your reliance on fossil fuels.
Wil the Roofer has partnered with Powur to help fulfill the growing demand for Solar Energy Independence, in Virginia and Maryland. Powur is one of the the leading solar installation companies in Virginia and Maryland. We’ve been in business for years and have installed thousands of solar energy systems across the nation. Our expert team can tell you more about solar incentives like SRECs and help you decide whether solar panels make sense for your home.
Want to earn money for the solar energy you produce? Install home solar! Call Wil the Roofer at 703-586-2724 or contact us to schedule a free consultation.