What Is Net Metering? How NJ Homeowners Get Paid for Solar
May 9, 20268 Essential Tips Before Going Solar — What Every Homeowner Needs to Know
May 9, 2026New Jersey’s SREC program is one of the best solar incentives in the country — and one of the least understood. Here’s a plain-English explanation of what SRECs are and what they’re worth to you as an NJ homeowner.
What SREC Stands For
Solar Renewable Energy Credit. For every megawatt-hour (1,000 kWh) of solar electricity your system produces, you earn one SREC. A typical 9 kW NJ system produces about 10–11 MWh per year — so about 10–11 SRECs per year.
How You Get Paid
SRECs are registered in New Jersey’s GATS (Generation Attribute Tracking System) and sold to utilities and electricity suppliers who need them to meet NJ’s renewable energy requirements. You can sell through a broker, an aggregator, or the spot market. Payment is typically quarterly.
What Are SRECs Worth?
SREC prices fluctuate based on supply and demand. Historically NJ SRECs have traded at $150–$250 per SREC. At $150/SREC with 10 SRECs/year that’s $1,500/year in income. At $100/SREC it’s $1,000/year. SREC prices have been volatile — the income is real but variable.
Who Gets the SRECs?
The owner of the solar system. If you own your system (cash or loan), you get the SRECs. If you have a lease or PPA, the leasing company gets them. This is one of the most important financial reasons to own your system in NJ.
How to Register
Your installer should handle SREC registration in GATS as part of the installation process. If they don’t mention it, ask explicitly. Unregistered systems don’t earn SRECs — and you can’t retroactively claim them easily.
The 7–8 Year Payback Calculation
A $28,000 NJ solar system earning $2,000/year in bill savings + $1,000/year in SRECs has an effective annual return of $3,000. That’s a 9.3-year payback without rate increases — and as utility rates rise, payback shortens.
Find Out What Solar Saves You in Your Home
Every home is different — roof angle, usage, utility rate, and local incentives all affect your numbers. Enter your monthly electric bill below for a free savings estimate. Jon reviews every submission personally and follows up within 2 hours.
Find Out What Your NJ Home Would Earn in SRECs
SREC income depends on your system size and NJ SREC market prices, which fluctuate. Jon includes a realistic SREC income projection in every estimate — a number most installers conveniently leave out. Book a free call to get the full picture for your home.
