What does “simplified compensation” in self-consumption mean?

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**Simplified compensation in self-consumption** is a simplified procedure to give value to the solar surplus from a self-consumption system. This surplus is **compensated through your energy retailer in the electricity bill** at an agreed price.

The **simplified** process refers to not having to undertake extra formalities on top of the standard procedure of any self-consumption system to be able to apply for this compensation. Moreover, as you will **not be considered by the law as carrying out an economic activity**, VAT tax does not apply to this compensation. The final value to be compensate can never will be higher than the energy part of the electricity bill, before taxes. It is a monthly compensation, not-cumulative from one month to the next.

At Holaluz we compensate your solar surplus with Holauz Cloud: we buy your solar energy surplus, we store it in the cloud so that it can be used when you need it, receiving it as saving in your electricity monthly bill. [Discover here how it works](https://sol.holaluz.com/holaluzcloud/). And if you need further information, visit [our self-consumption section](https://www.holaluz.com/en/solar-panels/).

And if you want to discover all the **options for equipping, expanding or starting your solar installation**, consult our [**catalogue of solar panels, batteries and inverters**](https://www.holaluz.com/en/solar-panels/catalog/). This way you can make the most of every kWh you produce.

What does “simplified compensation” in self-consumption mean?

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