Illinois Solar Renewable Energy Credits (SRECs)
Illinois SRECs provide an outstanding solar incentive that helps owners recoup a solar system’s investment. These energy credits, which are available in Illinois and other select states, have been created to help states meet Renewable Portfolio Standards (RPS). These RPS set goals for generating a percentage of that state’s overall electricity from renewable energy. In Illinois, for example, an SREC can potentially cover 20% to 40% of the total solar investment.
Typically, one SREC equals 1,000 kilowatt-hours (kWh) of solar energy generated. SRECs accrue as solar electricity is generated, and are typically paid out quarterly or other interval defined by each state.
If your state does not have an SREC program, your residential or farm solar project may still be eligible to sell the SRECs it generates into another state’s market. For example, homeowners and farmers in states surrounding Illinois—such as Missouri, Indiana, Kentucky, Wisconsin, and Iowa—can potentially sell their solar system’s SRECs into the Illinois market.