In Singapore, selling excess solar-generated power is a smart way to optimize your energy production and contribute to the national grid. This detailed guide provides a comprehensive overview of the processes and schemes available for individuals and businesses wishing to sell surplus solar power.

Options for Selling Surplus Solar Power

1. Register with SP Services

• Recommended Method: Registration can be under the Simplified Credit Treatment (SCT) or Enhanced Central Intermediary Scheme (ECIS).
• Process: A Licensed Electrical Worker (LEW) must submit the necessary documentation to SP Services on your behalf.

2. Register with the Energy Market Company

• For Direct Engagement: You can register as a Market Participant with the Energy Market Company.

3. Appoint Another Market Participant

• Alternative Option: This is viable except for residential consumers. Another Market Participant can manage the sale of your surplus power.

Payment Schemes

Simplified Credit Treatment (SCT) Scheme

Target Audience and Eligibility

• Specifically for Residential Solar Panel Installations: The SCT scheme is tailored for homeowners who have installed solar panels on their property.
• Non-contestable Consumers: This scheme is available exclusively to consumers who buy electricity directly from SP Services, excluding those who purchase from other electricity retailers.

Capacity Requirements

• Limitations on Solar Panel System Size: The SCT scheme is applicable for solar panel systems with a capacity of less than 1 MWac. This range typically covers most residential installations.

Financial Aspects

• Compensation Mechanism: Under SCT, homeowners receive payment for surplus solar energy generated by their systems. The payment is calculated based on the prevailing tariff rates, from which grid charges are deducted.
• Grid Charges and Net Compensation: The grid charges, accounting for 20-25% of the electricity tariff, are subtracted from the compensation. For instance, as per the rates in Q3 2022, homeowners would receive approximately 75-80% of the SP Group’s electricity price per kWh for excess solar energy.

Registration Process

• Simplified for Homeowners: Most often, the solar panel installers can manage the registration process for homeowners, making it a hassle-free experience.

Additional Considerations

• Environmental Impact: Participating in the SCT scheme contributes positively to Singapore’s renewable energy goals.
• Financial Incentives: While SCT provides a straightforward way to earn from surplus solar energy, the actual financial return depends on factors like solar panel efficiency and household energy consumption patterns.

Enhanced Central Intermediary Scheme (ECIS)

Broad Applicability

• Residential and Commercial Installations: ECIS is open to both residential and commercial entities, making it versatile.
• Contestable Consumers: This scheme is aimed at consumers who have the freedom to buy electricity from any retailer.

Capacity Considerations

• For Systems Under 10 MWac: ECIS is an option for solar panel systems with a capacity less than 10 MWac, which includes the majority of installed solar systems in Singapore, barring large-scale industrial setups.

Compensation Dynamics

• Based on Wholesale Energy Prices: Under ECIS, compensation for surplus solar energy is linked to half-hourly wholesale energy market prices. This means the amount received can significantly vary based on market dynamics.
• Price Fluctuations: The fluctuating nature of wholesale electricity prices adds a level of unpredictability to the compensation. For example, in the first half of 2022, the rates oscillated dramatically.

Profitability Comparison

• SCT vs ECIS: While ECIS offers flexibility and access to the open market, it might be less profitable than SCT for consistent long-term excess solar energy sales.

Registration Process

• Facilitated by Solar Installers: Similar to SCT, homeowners can have their solar installer handle the ECIS registration process.

Additional Considerations

• Market Risks: The dependence on wholesale prices introduces market risk, which can be a crucial factor for entities considering this scheme.
• Strategic Decision Making: Entities with substantial surplus energy generation might benefit more from SCT due to more stable tariff rates.

Market Participant (MP) Option for Commercial Solar Installations

Applicability

• Target Group: Commercial solar panel installations with a capacity of more than 10 MWac.
• Eligibility: Companies with solar capacity of 1 MWac or higher can register with EMC as a Market Participant.

Compensation

• Rate: Payment is based on nodal energy prices, influenced by demand and supply from various injection nodes in Singapore.

Costs

• Registration Fee: A non-refundable one-time fee of $5,400.
• Annual Fee: $10,800.

Suitability

• Consideration: This option is primarily suitable for large energy companies with multiple assets due to substantial upfront costs.

Procedure for Selling Excess Solar-Generated Electricity

For Non-Contestable Users with Less Than 1MWac Capacity

• Registration: Under the SCT with SP Services.
• Application Process:
  1. Download and complete the Net Export Rebate application form.
  2. Submit the form via SP Services’ e-Business portal or through your LEW. Alternatively, mail it to SP Group at 2 Kallang Sector, Singapore 349277.
• Payment: Via monthly power bill or GIRO (separate form required).

For Contestable Users with Less Than 10MWac Capacity

• Registration: Under ECIS with SP Services.
• Application Process: Similar to non-contestable users.
• Payment: Similar payment options apply.

For Contestable Users with More Than 10MWac Capacity

• Registration: Directly with the Energy Market Company and as a Generation Facility.
• Further Information: Visit the Energy Market Company’s website.

Additional Resources

• SP Services: For detailed instructions, downloadable forms, and contact information, visit SP Services.
• Energy Market Company: To understand more about direct registration for larger capacities, explore Energy Market Company’s website.
• LEW Assistance: For assistance in filling out forms and understanding the process, contact a Licensed Electrical Worker.

Conclusion

Selling excess solar-generated electricity in Singapore is an environmentally friendly and economically beneficial practice. Whether you are a non-contestable or contestable customer, with varying capacities of solar integration, there are clear and streamlined processes in place. Ensure to follow the specific registration and application steps applicable to your category and consult with professionals for a smooth experience.

For any queries, you may reach out to SP Services at install@spgroup.com.sg or visit the respective websites for more information. This guide aims to make your journey in selling excess solar power in Singapore both profitable and fulfilling.

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