New to SRECS?
To put it simply, a Solar Renewable Energy Certificate (SREC) is your reward for producing solar energy. Solar homeowners are issued 1 SREC for every 1,000 kilowatt-hours (kWh), or 1 megawatt-hour (MWh) of solar generation they produce. The value of an SREC, like a stock, is tradeable, fluctuates based on the market, and changes over time.
SRECs are sold separately from the electricity itself, providing another incentive in addition to net metering.
How do I sell my SRECs?
How much are SRECs worth?
The price of an SREC can change due to multiple factors. Predominantly, prices are determined by the amount of solar generation in the state (the supply) and the amount of solar energy that utilities are required to use (the demand). Price ceilings are set by the Alternative Compliance Payment (ACP), which varies across states as well. Supply and demand for solar varies state-to-state, which leads to different SREC prices in different state markets.
Find out how much SRECs are worth in your state on our Current State Pricing page.
How many SRECs will my system generate?
A good rule of thumb is that a given system produces 1.2 times as many SRECs as its size in kilowatts (kW). In other words, a 10 kW system usually produces around 12 SRECs per year; a 5 kW system will produce around 6 SRECs per year. However, this is a rough estimate that doesn’t account for shading on panels nor weather or hours of sunlight, all of which affect a system’s SREC production.