Posted on
On July 30th 2024, Flett Exchange became the first broker to launch the Maryland Certified SREC market. Currently, homeowners with systems installed after 07/01/24 will begin generating Certified SRECs on 01/01/2025, which are expected to be worth around 1.5x the current Legacy MD SRECs. Homeowners in Maryland who are interested in the possibility of installing solar will benefit massively from these higher priced SRECs, and can enjoy the benefit of incentives like the Federal Investment Tax Credit and the MD FY2025 Solar Access Program, which is designed to provide grant money for low to moderate income residents.
Flett Exchange has also released a free to use solar installation financial model. We suggest using this model to fully realize the advantages and long term cash flows of a solar investment before having a conversation with a solar installer. Flett Exchange is a neutral third party that does not profit off of the installation of a solar array; we simply broker SRECs produced by homeowners. This affords us the unique position to offer unbiased, informative, and realistic forecasts and consulting on solar investments. If you are interested in potentially going solar, contact Flett Exchange for a zero cost consultation service and we can help match you with a solar installation company. The goal of Flett Exchange, ultimately, is to broker more SREC deals; we are not involved in any capacity with the process of installing solar arrays. It is our hope that this complementary service will steer you in our direction to sell your SRECs post installation.
MD Solar PV Installation Cash Flow Model
Listed below are some key assumptions of the model:
The Maryland Energy Administration will provide grants of $750/kW with a $7,500 cap to low to middle income homeowners for installation of a residential solar system
The Maryland utility bill inflation rate is 2.83% annually. This number is derived from the average utility bill from 2014-2023 for five major state power companies: Delmarva Power, PEPCO, SMECO, BGE, and Potomac Edison.
A residential solar installation will yield positive cash flow from SREC income, as well as an implied positive cash flow from avoided utility costs
The SACP set by the Maryland RPS will decrease incrementally as expected, and this benchmark will serve as a proxy for yearly SREC prices throughout the life of the system
TAGS:
Federal GrantsPress ReleasesSRECResearchMaryland Certified