Do I Need to Keep Accounts for Sold Electricity?

When you produce electricity with solar panels and sell the surplus to the grid, the question of accounting may arise. Fortunately, in Denmark, it's quite straightforward for private households. At EcoRay, we make it easy to understand the process and ensure you get maximum value from your solar energy without the headache. Here, we explain what you need to know about accounting for sold electricity and how it works in practice.

Do You Need to Keep Accounts?

For most private solar panel owners in Denmark, the answer is no, you don't need to keep detailed accounts for sold electricity. Here's why:

  • Automatic registration: When you sell surplus electricity, the amount is automatically registered by your electricity meter and reported to your electricity provider or grid balancing supplier. They keep track of how much electricity you send to the grid and pay you based on the agreed price (typically DKK 1.00–1.50/kWh with grid balancing).
  • Tax rules for private individuals: Income from the sale of surplus electricity from solar panels is normally tax-free for private individuals, as long as the system is used for personal consumption and the sale does not exceed certain limits (e.g., DKK 7,000/year or 20,000 kWh for 2025, according to SKAT - the Danish Tax Authority). This means you don't need to book the income as a business would.
  • Simple administration: Your electricity provider typically sends you an annual statement of sold electricity, which you can use to check your income. This statement is often sufficient to maintain an overview.

When Might Accounting Be Necessary?

If you produce and sell very large quantities of electricity (exceeding SKAT's limits), or if the solar panels are part of a business activity, it may become necessary to keep accounts and report income as part of a business. This is rare for ordinary households, but we at EcoRay can guide you if your situation is special.

How Does It Work in Practice?

Here's how the process typically looks for a private solar panel owner:

  1. Production and sale: Your solar panel system produces electricity, e.g., 5,687–7,508 kWh/year for a 7 kWp system. With a battery, you use 60–75% yourself (3,412–5,631 kWh), and the surplus (1,806–2,345 kWh) is sold to the grid.
  2. Automatic measurement: Your electricity meter registers how much electricity you send to the grid. Your electricity provider or grid balancing supplier handles the settlement.
  3. Payment: You receive payment for sold electricity, typically monthly or annually, depending on your agreement. For a 7 kWp system, this can amount to DKK 1,806–3,518/year at DKK 1.00–1.50/kWh.
  4. No accounting obligation: As long as your income stays below SKAT's limits, you don't need to do anything more. If you're in doubt, EcoRay can help clarify your situation.

Benefits of Letting EcoRay Help

EcoRay makes it easy to get started with solar panels and manage the sale of surplus electricity:

  • Clear calculations: We use AI and global data to estimate how much electricity you produce, use, and sell, giving you an accurate picture of your income.
  • Customized systems: We design your system to fit your consumption and optimize it with a battery and grid balancing to maximize your profit.
  • Easy process: We collaborate with trusted installers who handle the installation, and we manage the process so you don't have to worry about the details.
  • Your partner: EcoRay is with you all the way, ensuring everything runs smoothly, from design to settlement of sold electricity.

Get Started with EcoRay

In most cases, you don't need to keep accounts for sold electricity – it all runs automatically, so you can focus on saving money and enjoying the benefits of solar energy. Try our calculator on our website to get a customized quote that shows what you can save and earn. Contact us for a no-obligation chat and get started with solar panels.