Net Metering Vs Feed In
Yes, you can sell excess electricity back to the grid, depending on your location and utility company. There are different ways that utilities pay you for the electricity that you generate with your solar panels, such as net metering, solar renewable energy credits (SRECs), or smart export guarantee (SEG).
Net metering is a system where you are only charged for the difference between the power you use from the grid and the power you sell to the grid. Any excess power that you generate is sold back to the utility grid at a retail rate. This can reduce your monthly utility bills significantly.
SRECs are incentive-based programs that allow you to earn money for each megawatt-hour or kilowatt-hour of solar power that you generate. You receive an SREC for every unit of electricity that your solar panel system produces, and you can sell them to utilities or other buyers who need to meet renewable energy standards. The price of SRECs varies depending on the market.
SEG is a scheme that pays you for every unit of electricity that you export to the grid. You don’t need a special meter for this, but you need to have a smart meter that can measure your exports. You can choose from different tariffs offered by different suppliers and compare them to find the best deal for you.
If you are interested in selling electricity back to the grid, you should check with your local utility company and see what options are available for you.
You may also need to register your solar panel system and comply with certain local and legal regulations and standards. Selling electricity back to the grid can be a great way to earn some income and support renewable energy.
Net metering and feed-in tariff are two different ways of compensating solar panel owners for the electricity they export to the grid. The main difference is the rate and method of payment.
Net metering is a system where you are only charged for the net amount of electricity you use from the grid, after deducting the amount of electricity you sell to the grid. The excess electricity you generate is sold back to the utility grid at the same rate that you pay for electricity, also known as the retail rate. This can lower your monthly utility bills significantly, as you are essentially using the grid as a battery to store your excess solar power in Essex.
Feed-in tariff is a system where you are paid a fixed amount of money for every unit of electricity you export to the grid, regardless of how much electricity you use from the grid. The amount of money you receive is determined by a tariff rate that may be higher or lower than the retail rate, depending on the market. This can provide you with a stable and predictable income stream, as you are guaranteed a certain price for your solar power.
Net metering and feed-in tariff have different advantages and disadvantages for solar panel owners.
Net metering is simpler as it does not require a separate meter or contract. However, net metering may not fully capture the value of solar power, especially when there is a lot of solar generation on the grid.
Feed-in tariff is more lucrative and more popular in the UK and Europe, as it incentivises solar power production and reflects its social and environmental benefits. However, feed-in tariff may require a higher upfront investment and may not be available in all areas or with all companies.
NOTE: For information only. Systems and tariffs shown may not be available in all counties and areas. You are strongly advised to check with your solar panel installers and local council before making any financial decisions.