Solar Renewable Energy Credit (SREC)

Solar Renewable Energy Credit (SREC) Definition:

For every unit of electricity that a solar system generates, an associated SREC is created. In some states, you can sell your SRECs for additional revenue. SREC are available only in a few states.

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Breaking Down Solar Renewable Energy Credit (SREC):

A Solar Renewable Energy Credit (SREC) is created for every megawatt hour of electricity produced by a solar generator. A customer that owns a solar system on their roof can use the electricity produced by the solar panels for personal use and are given ‘Energy Credits’ that can be sold on an open market for cash after enrolling in the SREC program. Think of it as a renewable energy punch-card/rewards card.