Illinois SREC Calculator
Estimate the value of Solar Renewable Energy Credits (SRECs) your solar system could generate in Illinois under the Adjustable Block Program (ABP).
Understanding Illinois SRECs and the Adjustable Block Program (ABP)
The Illinois Adjustable Block Program (ABP) is a key component of the state's commitment to renewable energy. It incentivizes the development of solar energy by providing financial compensation to solar system owners through Solar Renewable Energy Credits (SRECs). For every megawatt-hour (MWh) of electricity your solar system generates, you earn one SREC.
How SRECs Work in Illinois
When you install a solar energy system in Illinois, you can apply to participate in the ABP. Once approved, your system's electricity generation is monitored. For every 1,000 kilowatt-hours (kWh) (which equals 1 MWh) your system produces, you are issued one SREC. These SRECs have a monetary value and can be sold to utilities that need to meet their renewable energy obligations.
Key Factors Influencing SREC Value
- System Size (kW): Larger systems naturally generate more electricity and thus more SRECs.
- System Performance Ratio (%): This factor accounts for real-world losses due to temperature, shading, inverter efficiency, and wiring. A higher performance ratio means more electricity generated from the same system size.
- Average Daily Sun Hours (hours): The amount of effective sunlight your system receives directly impacts its generation. This varies by geographic location within Illinois.
- Annual Degradation Rate (%): Solar panels gradually lose a small percentage of their efficiency each year. This calculator accounts for this slight decrease in generation over time.
- SREC Contract Term (years): The ABP typically offers long-term contracts (e.g., 15 years for residential and small commercial systems), providing a stable income stream.
- Estimated SREC Price ($/SREC): The market value of an SREC can fluctuate, though the ABP aims to provide stable pricing through its block structure. The price you receive is typically locked in for the duration of your contract.
Calculating Your Potential SREC Income
Our Illinois SREC Calculator helps you estimate the potential SREC income from your solar system. It takes into account your system's specifications, local solar conditions, and the SREC market price to project annual and total SREC generation and their monetary value over the contract term.
Example Calculation:
Let's consider a 10 kW solar system in Illinois with:
- System Size: 10 kW
- Annual Degradation Rate: 0.5%
- System Performance Ratio: 80%
- Average Daily Sun Hours: 4.5 hours
- SREC Contract Term: 15 years
- Estimated SREC Price: $70/SREC
Year 1 Annual kWh Production:
10 kW * 4.5 hours/day * 365 days/year * 0.80 (performance ratio) = 13,140 kWh
Year 1 Annual SREC Production:
13,140 kWh / 1,000 kWh/SREC = 13.14 SRECs
Year 1 Estimated SREC Value:
13.14 SRECs * $70/SREC = $919.80
Over 15 years, accounting for degradation, the total SRECs and their value would be calculated cumulatively, as shown by the calculator's output.
This calculator provides an estimate. Actual SREC generation and value may vary based on real-world system performance, weather conditions, and program specifics.