What You Ought To Know About Renewable Energy Certificate




Solar energy is conversion of sunlight into electricity using photo voltaic (PV) cells. Solar power systems have become very popular because they are not only cheaper source and renewable form of energy but also pollution-free unlike conventional energy generated utilizing petroleum products.

That is why many people are installing solar power systems in their homes to save money on electricity bills. Governments of many countries offer attractive incentives to those installing solar power systems in their homes. Certain states in the US offer financial benefits to those who have installed a solar power system in their homes provided the energy facilities one has are registered to generate solar energy credit units.

The certificate issued is known as Renewable Energy Certificate (SREC). This certificate is issued for every 1000 kilowatts of solar power generated and it can be sold like a stock certificate to receive additional income. An accretion of credits can fetch handsome income when sold like common stocks.

However, for this one has to locate a market trading in energy credits. As many people may not have knowledge about it, it is better to seek the assistance of a qualified solar energy consultant who will be able to guide properly in this matter.

For instance, a dependable consultant can suggest an aggregator who pools up many individual certificates in order to evenly distribute the costs involved in selling SRECs directly. The demand for credits is decided by the Renewable Portfolio Standard (RPS), which is legislation meant for power generation companies to generate ‘green’ or pollution-free energy.

In addition, one can trade renewable energy credits through open markets, auctions and long-term contracts. More number of providers of solar energy from systems installed at their residences means more competition. Just like any consumable items, the forces of demand and supply play a major role in influencing every solar energy project.

A scarcity in credit supply will raise the cost of financing projects, resulting in shortfall in installations of solar systems. On the other hand, an easing of credit supply will lead to reduction in financing costs and consequently, there will be substantial increase in solar installations.

Spot market is another source from where one can generate good income from the investment in solar projects. This alternative yields high returns compared to long-term contracts because in this option the purchaser takes considerable risk.

Long-term contracts are much better than spot selling in a period of high prices. There are some states such as New Jersey where one can gain from SREC sales. This state takes pride in the largest solar credit sales. This New Jersey energy scheme contributes to the financial growth of people using pollution-free solar energy.

With ‘solar energy for all’ campaign, many people are gradually shifting to this form of energy. The new energy commodity markets are meant to find a price that will establish a balance between installations of solar systems and meeting the demand as fixed by the RPS.



An aggregator is also useful because they can locate a market on behalf of the client in other states where prices are not that lower. Electricity suppliers depend on home owners for not only the largest solar credits but also smaller systems to complement their generation. If someone’s solar system generates more number of kilo- watts of energy, the credits of that person will be in great demand because these electricity suppliers need to deal with only a few people.

This arrangement yields more revenues because one can deal directly with power producers. With income generated from solar energy, one can invest in remodeling or install new systems on vacant land to step up generation of solar energy generation.

From the above, I can be seen that there is no fixed pricing in solar for a solar energy plan. The pricing is affected by a state’ solar Alternative Compliance payment (SACP), the period over which the credits are sold, which naturally affects supply and demand curve in that particular state where trading takes place.

The solar energy is therefore very advantageous for both individuals and small firms. To sum up, it is better to look for feasible markets to trade credits depending upon the market conditions in each state.

Bringing Solar Power System To California Homes




Solar power is generated by the conversion of sunlight into electricity. This is done in two ways, either directly with the help of photovoltaic (PV) cells, or indirectly utilizing concentrated solar power (CSP). Concentrated solar power systems make use of lenses or mirrors and other tracking methods to focus a large portion of sunlight into a small concentrated beam.

Photovoltaic cells convert light into electric power using the photoelectric effect. As solar power is derived from sunlight, it is free of cost, provided a solar power system is installed.

Very limited people install solar power systems at residences these days and those that install are from affluent segment of the society as the cost of a solar power system is very high. It can vary from $ 35,000 to $250,000.

Nevertheless, there are affordable solar power systems that one has to construct or assemble on his own from the kits available in the local markets for $200 to $350. With a lot of technological developments in this area, a number of homeowners are now in a position to install solar power systems at their homes at affordable costs.

In a few places, the government observes the usage of electric power consumption in homes from time to time. Many programs were introduced by these governments to encourage homeowners to use solar power, as for instance, if solar power consumption has reached a certain level rebates are given.

While the costly systems can store solar energy efficiently in the batteries, the less expensive models are not so effective. Nevertheless, those interested in installing solar power systems at their homes at reasonable prices can search on the internet and locate homes that make use of solar power systems efficiently.

A number of homes in Los Angeles, California derive maximum benefits from solar power nowadays. There is always sunshine in Los Angeles with hardly any rains. Although earlier solar panels were not so appealing to look at, however with current technology solar panels are of elegant designs and can combine perfectly with the present design of the home.

Many homes in California go in for solar power in view of regular power shut downs. A few experts believe that California expects to attain a 10% overall consumption of solar power by 2020. A few prominent personalities in Los Angeles, such as Edward Norton, Julia Roberts, Larry Hagman and Jackson Browne also have solar power panels installed at their homes. These famous persons can certainly afford very costly solar power systems.



However, those looking for cheaper systems can buy solar kits and get them installed at their residences. It is a first-rate project, if someone wants to assemble the parts and build solar panels on their own, though the services of an experienced electrician will still be needed when dealing with electrical issues.

A lot of emphasis is being given to conserve ecological systems and thus ‘going green’ concept has emerged. Global warming has already affected the ecology and the disastrous effects of it are felt by people from all over the world. The best way to pre serve the environment is to utilize solar power thereby; the reliance on traditional electricity can be reduced.

Traditional electricity is generated by burning fossil- fuel to power turbines. The emissions from the burnt fuels contribute to global warming. When one uses solar power, he can reduce consumption of the conventional electricity and in the process can also save considerable amount of money on electricity bills as solar power is very much cheaper and is a renewable form of energy.

Solar power systems are for every one irrespective of their financial and social standing. Those who cannot afford ready-made power systems can assemble solar power panels by purchasing the kits and following detailed instructions provided by well-known manufacturers of these systems.

Not Get Cheated When Setting Up A Home Solar System




Solar power is generated by the conversion of sunlight into electricity, either directly by making use of photovoltaic cells (PV) or indirectly using concentrated solar power (CSP) concentrated solar power systems use lenses or mirrors to focus a huge section of sunlight into a small beam.

Sunlight is converted into electric current due to ‘photovoltaic effect’. Solar power system is gaining in popularity these days due to increasing awareness among people that it is the cheaper, renewable source of electricity and is pollution-free than the conventional energy generated by fossil-fuels.

Apart from this, people are keen to contribute their bit to minimize greenhouse gas emissions by installing solar system at their homes. Although purchasing a solar power system is a thrilling event for many people, one should be careful in choosing the dealer for buying this type of equipment as huge investments are involved.

The following set of guidelines is meant to help people to avoid getting trapped by unscrupulous elements and buy the best home solar power system. As is common in any industry, the solar power sector has a fair measure of ruthless dealers, who have little concern for technology, environmental advantages and the buyer’s requirements. They are more interested in extracting money from those who are not familiar with solar systems.

Be careful of over enthusiastic sales personnel and particularly of video presentations. While some sales people are genuine, others, instead of explaining the features of the equipment, simply go on talking irrelevant details creating a lot of hype forcing the customer to buy the product without allowing him to understand the system.

The prospective buyer of solar power system should, therefore, insist upon getting all the answers to his queries before making a decision to buy from that salesman. Some sales personnel are fond of making a video presentation.

You should not get tempted by such sales gimmicks as most of it will be hype. On the other hand, an experienced sales person can properly explain the features of the system including about all its components by means of a single diagram.

Ignoring simple energy efficiency methods to decrease costs. Although a company dedicated to solar power business will also be interested in making decent profits, they will always come forward with several recommendations to reduce the cost of a solar power system. For instance, if a sales representative visits a customer’s house for a site inspection to assess the requirements, they may observe certain aspects such as the use of incandescent lights rather than compact fluorescent lamps.

A first-rate, principled company will highlight that incurring expenditure of a hundred dollars on changing over to compact fluorescent bulbs can result in savings of thousands of dollars on additional solar panels, which would be required to light the incandescent lights. In contrast, a sales person from an unscrupulous company will go all out to sell a bigger solar system.

High Pressure Tactics

As part of high pressure strategy, several companies give an impression to those looking for a new solar system that the offer would end soon or the same day, pressuring them to hurry up and buy their system. However, reputed companies will not pressure the customers into buying a solar system in a hurry as it is costly equipment and requires some time to study and do some research on various models of solar systems available in the market.



If you comes across a sales person rushing the customer to buy the equipment, it is an indication that the person is not from a good company and therefore, it is better to avoid dealing with such people.

Collusion With Related Industries

Some companies dealing in solar systems have close links with other industries, such repair to roof or roof renovation businesses. Although there is no irregularity in this, it may so happen that a householder calls a repairer for repairing the roof, who, after repairing the roof, applies pressure tactics to offer a deal on a solar power system.

It is not desirable to yield to such tactics as the buyer may not get the best bargain. Solar power system is very expensive and one should make a decision in buying the system after a comprehensive research and comparing packages of different companies Package deals are ideal for saving money. However, all packages are not alike.

For instance, a company might use superior quality solar panels, but compromise on the inverter, cable and quality of frame so that the brand name of the panel will lure the customers into buying that system ignoring the other parts. From this, it follows that when comparing two solar power systems, it should be like to like comparison.