Illinois Shines Overview: Understanding SRECs

As the world shifts toward renewable energy, states like Illinois are leading the charge with innovative programs that encourage solar energy adoption. One such initiative is the Illinois Shines program, which plays a crucial role in promoting solar energy installations across the state. This blog will provide an overview of the Illinois Shines program and delve into the concept of Solar Renewable Energy Certificates (SRECs) and how they function.

What is Illinois Shines?

The Illinois Shines program, originally known as the Adjustable Block Program (ABP), was launched to facilitate the growth of solar energy in Illinois. It aims to provide financial incentives for both residential and commercial solar installations, making solar energy more accessible and affordable for Illinois residents.

Key features of the Illinois Shines program include:

• Incentives: The program offers upfront rebates and ongoing incentives for energy produced from solar installations.
• Block Structure: It operates on a block system, where specific amounts of incentives are available until the allocated funds for each block are exhausted. This encourages timely installations and market growth.
• Equity Focus: The program includes provisions to support low-income households and communities, ensuring equitable access to solar energy benefits.

What is an SREC?

SREC stands for Solar Renewable Energy Certificate. It is a market-based instrument that represents the environmental benefits of producing solar energy. For every megawatt-hour (MWh), or 1,000kWh, of electricity generated by a solar energy system, one SREC is created. These certificates serve several purposes:

1. Proof of Renewable Energy Generation: SRECs act as proof that a certain amount of solar energy has been produced, helping states meet their renewable energy mandates.
2. Market Trading: SRECs can be bought and sold in a marketplace, creating a financial incentive for solar energy producers. Utilities and energy suppliers are often required to obtain a certain number of SRECs to comply with renewable energy standards, driving demand. In Illinois, this is accomplished at the utility level with ComEd and Ameren, the two major incumbents.
3. Revenue Generation: Homeowners and businesses that generate solar power can sell their SRECs, providing a predictable financial incentive that can help offset installation costs.

How SRECs Work in Illinois

In Illinois, SRECs are integral to the Illinois Shines program. Here’s how they work:

1. Certification: When a solar system is installed, it must be registered with the Illinois Shines program. This often involves registering the system with an Approved Vendor, which is an entity approved by the Illinois program to facilitate SREC management. An Approved Vendor can often times also be the company that installs your system.
2. Generation: For every MWh of electricity produced, the system generates SRECs. These certificates are tracked and managed through a centralized system.
3. Sales: Once generated, SRECs can be sold on the open market. The price of SRECs fluctuates based on supply and demand dynamics and is categorized by the inverter size, which is the maximum rated output in AC. Typically, the more solar energy that is produced and the more participants there are in the market, the lower the price of SRECs may be, and vice versa.
4. Compliance: Utilities in Illinois must meet specific renewable energy targets, which they achieve by purchasing SRECs. This creates a steady demand for SRECs, further incentivizing solar installations. In Illinois, the legislation that kickstarted solar was FEJA, the Future Energy Jobs Act in 2016 and recently revised in 2021 under the Climate and Equitable Jobs Act.

Benefits of SRECs

• Financial Incentive: SRECs provide a significant financial benefit to those that own or manage a solar installation, making it easier to recoup installation costs.
• Support for Renewable Energy Goals: They help states meet renewable energy goals and reduce reliance on fossil fuels.
• Market Dynamics: The buying and selling of SRECs create a dynamic market that can foster competition and innovation in the solar energy sector.

The Illinois Shines program, coupled with the SREC framework, offers a robust mechanism for promoting solar energy in Illinois. By providing financial incentives and creating a marketplace for SRECs, the program supports both the growth of renewable energy and the economic empowerment of individuals and businesses investing in solar technology. As Illinois continues to expand its renewable energy initiatives, understanding these components will be crucial for those looking to tap into the benefits of solar energy.

Need Help?

ilumen Solar is here for support! As an Approved Vendor for the Illinois Shines program, we are here to consult and manage the process so that you can claim the incentives without all the confusion. Are you a customer who would like to participate, or an affiliate who needs guidance on how to get involved - check out our Consulting Services.

As more homeowners and business owners consider the switch to solar energy, understanding the various factors that affect solar panel installation becomes crucial. One of the most significant aspects is the condition of your roof. In this article, we’ll explore how roof conditions influence solar installation, the types of roofs best suited for solar panels, and what to consider before making the investment.

Roof Conditions and Solar:

Roof Age: The age of your roof is a critical factor. Most roofs have a lifespan of 20 to 30 years, depending on the materials used. If your roof is 10+ years old, it’s wise to repair or replace it before adding solar panels. New installations can last 25 years or more and combining the lifespan of both can lead to unnecessary expenses in the future.

Roof Type: Different roof types have varying compatibilities with solar panel systems:

• Asphalt Shingles: The most common roofing material, asphalt shingles are generally suitable for solar installation. They offer good durability and can accommodate most solar mounting systems.
• Tile Roofs: While aesthetically pleasing, tile roofs can be more challenging to install solar panels on. Specialized mounting systems are often required, and care must be taken during installation to avoid damaging the tiles.
• Metal Roofs: Metal roofs are among the best for solar installation. Their durability and longevity make them ideal candidates, and they often require less maintenance. Additionally, metal roofs can handle the weight of solar panels well.
• Flat Roofs: Flat roofs can support solar panels, but installation requires careful planning to maintain roof and structural integrity. Ballasted systems are often used to secure panels without penetrating the roofing material, however, sometimes a few mechanical attachments are required. In the city of Chicago, you can obtain fast permit approvals with fully mechanically attached solar racking.

Orientation and Pitch: The orientation and pitch of your roof significantly affect the efficiency of solar energy production. South-facing roofs typically receive the most sunlight, making them ideal for solar installations. However, east- and west-facing roofs can also be viable options with proper adjustments. The pitch of your roof can impact the angle of the panels; steeper roofs may require special mounting equipment to optimize solar exposure.

Shading Issues: Overhanging trees, nearby buildings, or other structures can create shading problems for solar panels. Even partial shading can reduce the efficiency of your solar system. Before installation, it’s crucial to evaluate potential shading throughout the year, not only during peak summer hours, but winter sun hours as well. If shading is a concern, trimming branches is a possible solution. We’re not a fan of removing trees unless necessary, so please refer to a local arborist for consulting on any potential tree removal.

Confirming Roof Conditions

Roof Inspection: If you or your installer are concerned with the age and condition of the roof, we recommend scheduling a thorough inspection with a trusted roofer . A qualified roofer can assess the condition of your roof and identify any necessary repairs or upgrades. As needed, ilumen Solar can recommend qualified and trusted roofers in the area.

Consult Solar Professionals: It’s best to engage with a reputable solar installer in your area to guide you through the process. With the multitude of project details, an experienced solar representative can help you navigate the specifics of your roof relating to the installation.

Protecting Your Investment

Insurance Coverage: The Illinois Shines solar program requires all solar owners to include the installation under their homeowner or business insurance. Prior to install it’s important to reach out to your insurance agent about the upcoming project and ensure that the solar installation gets added to your insurance plan.

Squirrels: When it comes to residential solar installations, squirrel activity is something to always have a keen eye for. If squirrels have easy access to the roof via tree branches or bushes, it’s likely they will eventually build a nest between the panels and the shingles. Unfortunately, this can cause serious damage to the installation which can require quite a bit of maintenance to get back online. If you are concerned about squirrels damaging your investment then it would be wise to install a squirrel guard, which is a mesh skirting that can be installed at the base perimeter of the entire solar array.

Roof Replacement After Install: If you’ve already installed solar and you need a roof replacement, your roofer and solar installer can coordinate a tear down/reinstall. If the circumstance is due to storm damage, it’s likely most or all of this expense would be covered by insurance. Otherwise, it’s best to conduct thorough due diligence to avoid this situation after your installation has been completed.

Roof conditions play an important role in solar panel installation and overall long-term production of the project. By understanding the importance of roof integrity, age, type, orientation, and shading, homeowners can make informed decisions about their solar energy investment. Taking the time to prepare your roof can lead to a smoother installation process and greater long-term savings on energy costs.

Embrace the solar revolution, but remember: a solid roof and protection plan is the foundation of a successful solar journey!

If you want a trusted partner to help guide you through the process of going solar, contact us and we will help you find out if Solar is the right investment for you!