Can I sell my renewable energy?

It is profitable to sell solar energy

Imagine you have a self-consumption installation on your rooftop that generates more electricity than you need. What do you do with the excess energy? Until now, in the best case scenario, you could benefit in some cases from the so-called net balance, or at least let it enter the grid, even if you don’t receive anything for it.

A company called LO3 Energia has developed a system that allows users to buy and sell locally generated solar power within their communities. The system uses Blockchain technology to facilitate and record transactions.

Distributing energy in this way is more efficient than transmitting power over distances, said LO3 founder Lawrence Orsini, and would make neighborhoods more resilient to power outages, as well as help meet energy demand when needs exceed expectations.

Speaking at a conference organized by MIT Technology Review and the MIT Media Lab, Orsini said 69% of consumers told technology consultancy Accenture they were interested in having an energy trading marketplace, and 47% said they planned to sign up for solar projects in their community.

Price of solar energy in Spain

This RD gives continuity to what was established in Royal Decree-Law 15/2018, contributing to regulate all those aspects not defined in that text. And it differentiates three modalities of self-consumption: without surpluses, with surpluses welcomed to compensation and with surpluses not welcomed to compensation.

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Production surpluses are a concept prior to net balance. In other words, it is a compensation offered to the owner of a photovoltaic installation for the surplus energy that is left over to the electricity grid.

The result on your bill will be the amount of the power that you have consumed on the grid (for example, at night when the panels do not produce energy) and subtract the value of the surplus that you have discharged to the grid. The compensation will be until the bill is equal to zero, but you will not get any more money for it.

To take advantage of the self-consumption with surplus, the modification of the contract will be made by the distributor, with the documentation indicated to the company by the Autonomous Regions, with the deadlines indicated in the following image.

How to sell renewable energy

The sale or compensation of surpluses is possible since the new self-consumption regulations were approved in Royal Decree 244/2019. These mechanisms will allow you to reduce your electricity bill thanks to the energy produced and not consumed from your solar panels installation.

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Surplus compensation is a mechanism that was approved in the new self-consumption regulations and establishes that consumers with photovoltaic installations connected to the electricity grid can receive economic compensation for their energy surplus. The self-consumption systems that can voluntarily benefit from the simplified compensation mechanism are:

Collective self-consumption installations without surpluses that are eligible for compensation do not need to sign a compensation contract. In this case, it will be sufficient to formalize an energy sharing agreement signed by all associated consumers.

The price of the energy surplus will be established by the supplier. At the end of each billing period, the bidirectional electricity meter is read and the surplus energy is deducted from the amount of energy consumed from the grid. There are two possible cases:

Photovoltaic kwh sale price 2020

Surplus energy is the amount of energy produced by your photovoltaic system that you do not use. This surplus can simply be lost without being used, you can store it in batteries for future use or you can dump it into the conventional electricity grid, that is, let it leave your house to be used by others.

In order to understand how we can benefit, we must know that there are different modalities to which we can apply. The RD244/2019 establishes two types of self-consumption: without surplus and with surplus.

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Not covered by compensation: it contemplates those installations larger than 100 Kw, whose surpluses are going to be dumped to the grid but under a sale regime, not compensation. The same rules apply to them as to any other electric energy production plant.

There is a third subsection in the form of self-consumption without surpluses, but subject to compensation, which is exclusive to shared self-consumption. The installation of solar panels will be equipped with an anti-spill system but, even so, consumers can use the simplified surplus compensation mechanism.