Solar Renewable Energy Certificates (SRECs)
Solar Renewable Energy Certificates (SRECs)
SRECSRECs are tradeable certificates that represent the environmental benefit of 1 megawatt-hour (MWh) of solar electricity generation. In SREC-eligible states, utilities must buy a portion of their electricity from renewable sources and purchase SRECs to prove compliance.
Rate / Amount
Varies by state market ($10–$300/SREC)
Valid Through
Ongoing (while state programs exist)
Example
A 5 kW system in NJ generating ~6 MWh/year earns ~6 SRECs worth $60–$180 annually.
How It Works
For every 1,000 kWh (1 MWh) your solar system generates, you earn one SREC. You can sell these SRECs through brokers or markets to utilities that need them for compliance. SREC prices vary by state and market conditions — typically $10–$300 per SREC.
Eligibility
Available in states with Renewable Portfolio Standards that include SREC requirements: MA, NJ, MD, PA, OH, IL, DC, DE, NH.
Real-World Example
A 5 kW system in NJ generating ~6 MWh/year earns ~6 SRECs worth $60–$180 annually.