---
title: What's an SREC?
description: An SREC is a tradable credit earned for every 1,000 kWh of solar energy produced, sold separately from electricity to provide extra solar income.
---
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1. [Sol Systems Knowledge Base](https://help.srecs.solsystems.com/?hsLang=en-us)
2. [SREC Basics](https://help.srecs.solsystems.com/srec-basics?hsLang=en-us)
# What's an SREC?
## A Solar Renewable Energy Certificate (SREC) represents the environmental benefit—or “green attribute”—of electricity generated by a solar energy system. SRECs are a type of Renewable Energy Certificate (REC). While RECs can come from many renewable sources, SRECs are issued specifically for solar energy generation.
#### How are SRECs created?
SRECs are awarded when a solar energy system produces a specific amount of electricity.
**One SREC is created for every 1,000 kilowatt-hours (kWh), or 1 megawatt-hour (MWh), of solar energy generated.**
#### How are SRECs different from electricity?
SRECs are **sold separately from the electricity** your system produces.
This means:
- You still receive the benefits of **net metering or electricity savings**
- SRECs provide an **additional financial incentive** for owning a solar system
SREC generation is based on **total energy produced**, not how much electricity you use in your home or business.
#### How is the value of an SREC determined?
The value of an SREC is **market-based**.
- Prices fluctuate over time based on supply, demand, and state policy
- Like stocks or other commodities, SREC prices can rise or fall
- [FAQs](https://help.srecs.solsystems.com/faqs?hsLang=en-us)
- [Signing Up: Everything You Need to Know](https://help.srecs.solsystems.com/signing-up-everything-you-need-to-know?hsLang=en-us)
- [Contract Offerings](https://help.srecs.solsystems.com/contract-offerings?hsLang=en-us)
- [State Markets](https://help.srecs.solsystems.com/state-markets?hsLang=en-us#main-content)
- [Washington, DC](https://help.srecs.solsystems.com/state-markets?hsLang=en-us#washington-dc)
- [Maryland](https://help.srecs.solsystems.com/state-markets?hsLang=en-us#maryland)
- [Pennsylvania](https://help.srecs.solsystems.com/state-markets?hsLang=en-us#pennsylvania)
- [Virginia](https://help.srecs.solsystems.com/state-markets?hsLang=en-us#virginia)
- [New Jersey](https://help.srecs.solsystems.com/state-markets?hsLang=en-us#new-jersey)
- [Massachusetts](https://help.srecs.solsystems.com/state-markets?hsLang=en-us#massachusetts)
- [Ohio](https://help.srecs.solsystems.com/state-markets?hsLang=en-us#ohio)
- [Delaware](https://help.srecs.solsystems.com/state-markets?hsLang=en-us#delaware)
- [Payments](https://help.srecs.solsystems.com/payments?hsLang=en-us)
- [SREC Basics](https://help.srecs.solsystems.com/srec-basics?hsLang=en-us)
- [Meter Readings](https://help.srecs.solsystems.com/meter-readings?hsLang=en-us)
- [Remote Monitoring](https://help.srecs.solsystems.com/remote-monitoring?hsLang=en-us)
- [Change of Ownership & System Expansions](https://help.srecs.solsystems.com/change-of-ownership-system-expansions?hsLang=en-us)
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