What is an SREC?
SREC, (or Solar REC), stands for Solar Renewable Energy Certificate. An SREC is a certificate which can be traded that represents all the clean energy benefits of electricity generated from your solar electric system. SREC’s will be issued to you regularly as your solar panels generate each 1000 kiloWatt hours (see our solar term g¬lossary). In rough numbers, a 5 kW system will usually earn you almost 6 SREC Credits each year.
How Do I Sell an SREC?
An SREC is sold separately from the electric power the system generates. One way to sell is on an on-line broker, such as Flett Exchange or directly posted on the NJ Clean Energy Web site.
How Much Money is a New Jersey SREC Worth?
The market price of an SREC is determined by supply and demand for SRECs. A number of factors including the cost of a Solar Alternative Compliance Payment (SACP) that utility companies (PSEG, JCPL etc.) are required to pay if they do not buy enough SRECs. The SACP price effectively establishes a price ceiling for an SREC. In early energy year 2009, SRECs are selling for as high as $650 each.