Now the time have changed and people are much more concerned about nature. People are looking for the things that are nature friendly and of course also affordable. Solar Energy is one of the innovations in this time that has taken the world by storm. Countries such as the UK and America are looking forward to get benefits from it. The solar energy has become a famous and affordable means to produce electricity at home. Here is the most common query can you sell excess energy from solar panels? Indeed, you can.
This article will cover all thing need to know about selling solar energy in the UK. We will focus on Selling electricity back to the grid at a price per kWh and how the procedure works in various places. Besides this there are some tips to get the most out of your solar panel investment.
All About Net Metering
Before moving towards how you can sell excess energy from solar panels you need to known about net metering. It is the billing system that permits you to offset their electricity usage with the extra energy they make. At peak solar production hour when your solar panels make more energy than you consume the excess energy is fed back into the grid. So, in return you get credits from your utility firm which you can use to offset future electricity bills.
What happens to excess electricity from solar panels off grid?
Solar panels turn sunlight into electricity it makes more power than your home needs on sunny days. It is mainly if your energy use is less. This extra energy does not go to waste. You can store it sent back to the power grid or even help power other homes nearby. It depends on your setup and local rules.
Here are the main ways to use extra electricity from solar panels.
Store in Solar Batteries
Adding a solar battery lets you save extra energy to use later. This is useful if you’re in an area without grid access or when it is cloudy and sunlight is limited.
Send Back to the Grid (Net Metering)
In most places with grid connected systems you can send extra electricity back to the grid. You might earn credits or payments for this. So this setup is called net metering. It is is common in many areas.
Use as Backup
Some people choose to store extra energy in batteries to use during power outages. So it gives them a reliable backup power source.
How to Sell Electricity From Solar Panels and How Does It Works?
In many places you can earn money by selling extra energy from their solar panels back to the power grid. For instance, in the UK there is a scheme known as the Smart Export Guarantee in this SEG pays households for sending excess electricity to the grid. Also in US you can sell excess electricity from solar panels to the power firm via net metering. Many other countries have similar plans to promote renewable energy. Hence it rewards people who generate solar power.
Here is how to get started:
Setting Up
To sell your solar power you need to connect to the grid. It needs a special meter like an export or smart meter. It tracks tracks how much electricity you send back. Your electricity company gives this meter.
Checking Rates
Different electricity providers pay various rates for the energy they buy from you. So it is a good idea to compare these offers as rates can vary a lot.
Getting Paid
Programs like SEG pay you based on the amount of electricity. It is in kilowatt hours or kWh that you export. Payments are made regularly and the total depends on how much energy you produce, local rates and the time of year.
How Much Can You Earn by Selling Electricity Back to the Grid?
So here is the most common query Selling Electricity Back to the Grid Price per kWh. The amount you can make from selling extra solar power depends on a few factors.
How much money can you make selling solar energy back to the grid in Uk
In the UK you may earn between £80 and £165 a year. The program like SEG pays you depending on the amount. It based on the size and power of the solar system. Besides this it also depends on the rates offered by energy firms. This income would not fully cover the cost of installing the solar panels but it does help you get more value from your investment.
Smart Export Guarantee Made Simple
Since January 2020 the SEG scheme by the UK permits small renewable energy producers such as those with solar panels to sell extra electricity back to the grid.
So, under this program, energy suppliers offer a rate or tariff for each unit of renewable energy you send back to them. You can sell solar power, wind power, hydro power and more.
To join this scheme your solar system must meet some conditions
• Your solar panels cannot be larger than 5 MW in capacity.
• They need to be installed by a certified engineer proven by an MCS certification.
• You must have an export meter or smart meter to track and send your energy readings to your SEG supplier.
Selling solar power back to the grid in USA
In the USA many states use net metering. So, it gives you credits on your electricity bill instead of direct payments. So, it means you can use these credits to cover your power costs at night or on cloudy days. Some states are moving to payment systems that pay fixed rates or vary rates by time. It is similar to the SEG program by the UK.
The amount one can earn per kilowatt hour for selling extra electricity back to the grid in the US rely on where you live the size of your solar system and other factors.
On average homeowners can make between 0.04 and 0.08 dollar per kWh. However, some places pay more.
California
It is about $0.15 per kWh for extra solar power.
Florida
As of June 2017, homes using less than 1,000 kWh per month were credited at 10.8 cents per kWh.
Wisconsin
Regular homeowners were paid around $0.038 per kWh for extra electricity at one point.
The scheme in the USA that permits customers to sell excess electricity back to the grid is known as net metering.
What Can I Do with Excess Electricity from Solar Panels?
Store It in Batteries
A solar battery lets you save extra power for later use like at night or on cloudy days. It is mainly helpful for homes not connected to the grid as it reduces the need for other power sources.
Charge an Electric Vehicle
So if you have an electric car you can use the extra solar energy to charge it. Hence it saved money on fuel and reduce emissions.
Use as Backup Power
Solar batteries can power during outages. Hence it helps you stay independent and prepared for emergencies.
Share with the Community
In some areas you can share or donate your extra energy with neighbors through community solar programs. It can help stabilize the grid and lower electricity costs for others nearby.
What Happens to Extra Power from Off Grid Solar Panels?
Off grid is the system that is not linked to the primary electricity grid. So in this system the options for extra power are less. If your solar panels produce more electricity than you use and your batteries are full the extra energy normally goes unused.
That is why battery storage is a must for off grid homes. Solar batteries store energy when there is not enough sunlight such on cloudy days and night. Batteries come in many sizes so if you choose a larger battery you can store more power and stay off grid longer.
Benefits of Storing vs Selling Extra Solar Power
Deciding to store or sell the extra solar energy depends on the goals.
Perks of Storing Electricity
Save Money
Stored energy lets you use your electricity when rates are high. So it can cut down on your bills.
Energy Independence
With battery storage you have backup power during outages.
Eco–Friendly
Using stored energy reduces the need for fossil fuel power. Hence it lowers the carbon footprint.
Benefits of Selling Electricity
Earn Extra Money
Selling extra energy to the grid brings in extra income to help cover solar installation costs.
Support the Grid
Adding your energy to the grid helps keep electricity stable. It is mainly high during high demand times.
Environmentally Friendly
Selling clean energy to the grid helps reduce the use of non renewable power sources.
Tips to Get the Most from Solar Panels
Position Your Panels Well
Place your solar panels where they can get the most sunlight during the day.
Choose Efficient Panels
Using quality solar panels means they can make more electricity in a smaller space.
Add Battery Storage
Installing a solar battery lets you save any extra electricity.
Keep an Eye on Your System
Regularly checking and keeping your solar panels can help spot any problems early.
Pick the Best Energy Tariff
Some energy suppliers pay more for the solar energy you sell back to them.
Frequently Asked Questions
Can you sell excess energy from solar panels in California?
Yes, you can. California Assembly Bill 920 permits PG&E to offer payment for extra energy sent back to the electric grid by the home renewable energy systems.
What can I do with excess electricity from solar panels?
There are many things you can do with extra electricity such as store in batteries, use it for net metering and more.
How much is selling electricity back to the grid program in the USA tax?
Homeowners can take around 30 percent off the cost of installing solar panels when they file their federal taxes. So, if they cannot use the entire credit in one year they can carry it over to the following year. the tax credit will end in 2034.
Conclusion
Selling the extra energy from your solar panels is the best mean to get the most out of the solar investment. By learning about net metering, battery storage and local programs that buy back energy you can decide the best way to use your extra solar power. So, this clean energy method not only lowers your electricity bills but also helps create a more sustainable energy future.
