Renewable energy sources are the future of the energy industry, which is why more and more local governments, enterprises and private individuals are investing in them. Renewable energy installations first meet the investor's demand for electricity, but it often happens that too much energy is produced. In this way, energy surpluses are created during energy production. What to do with this? Check what it looks like energy sales from renewable energy.
Sales of energy from renewable energy sources and the type and size of the installation
Green energy is most often produced using wind farms, hydropower plants, biogas plants and photovoltaic farms. The last of the mentioned solutions is particularly popular and is used on various scales. The sale of renewable electricity depends, among others, on: depending on the size of your installation. In accordance with the Renewable Energy Sources Act, we distinguish the following types:
- large installations and solar farms - systems with a capacity of more than 1 MW,
- small installations - with a capacity of 50 kW-1 MW,
- micro-installations - with a power of less than 50 kW.
Why is it worth deciding to sell energy from renewable energy sources? It is difficult to control solar energy to a greater extent, so we must be prepared for its surpluses to arise. Thanks to the possibility of selling, you will use it to your financial advantage.
Who can sell energy from renewable energy sources?
The sale of energy from photovoltaics and other renewable sources is subject to legal regulations. The condition that must be met is, among others: having an on-grid installation (connected to the power grid). The minimum system power is to be 0,8 kW.
It is also worth remembering that in the case of companies with installations above 999 kW (0,99 MW), a license for the production of renewable electricity issued by the Energy Regulatory Office is required for sale. Producers of energy from micro-installations, small installations (the activity can be carried out after entering the company in the register of energy producers in a small MIOZE installation), agricultural biogas (in installations other than a micro-installation or only from agricultural biogas in cogeneration) and biofluids.
What to do with excess energy?
When planning to start selling electricity from photovoltaics, you need to know all possible options. There are four basic ways of selling energy. Importantly, which ones will be available in your case depends on the type of installation. Details below.
Net-billing
Net-billing is a model for selling surplus electricity based on prices set on the stock exchange. This means that you receive the appropriate amount for each kWh, and the energy is settled in value, not quantity. How is the price determined? Until recently, sales were possible at the average monthly electricity price from the previous month. According to the new regulations (from July 1, 2024), net-billing settlements will be based on the hourly price. Energy sales in this form are available only to micro-installations.
Purchase by the obligated seller
Owners of renewable energy installations with a capacity of up to 500 kW may benefit from the sale of the surplus through purchase by the obligated seller. What is it about? The entity is appointed by the President of the Energy Regulatory Office. Its duties include purchasing energy offered by the renewable energy producer at prices published by the President of the Energy Regulatory Office, thus ensuring security and a permanent sales market.
Bilateral agreement / PPA
All renewable energy producers, regardless of the installation capacity, can benefit from free market principles. This means selling energy on your own by concluding a contract for the purchase and sale of electricity. A specific type of such contracts are the so-called long-term contracts. PPA (Power Purchase Agreement), and when the buyer is an enterprise: cPPA (Corporate Purchase Agreement). The rules for selling electricity from renewable energy sources are quite flexible and provide an opportunity to negotiate the best conditions for both parties.
Auction system
Owners of micro, small and large photovoltaic installations may decide to sell energy from a photovoltaic farm in the auction system. How does it look in practice? Investors submit their offers along with the amounts they would like to receive for the sale. After winning the auction, you can receive a fixed rate for excess electricity for 15 years.
We will buy your green energy!
Sale of electricity from renewable energy sources can bring many benefits and ensure the energy security of the company. Are you looking for a proven partner? Check out our offer: w Veolia we guarantee cooperation on mutually agreed terms, and a wide range of services and many years of experience ensure that we will find the most beneficial solution for your company. Our offer is addressed to energy producers with a capacity above 500 kW - check the details and sell us your green energy.
