What is a Renewable Energy Certificate?

by Tyler Castle

3.3 min read

house-with-solar-panels

As more and more individuals and businesses are turning to renewable energy sources to power their homes and operations, it is important to understand what RECs (Renewable Energy Certificates) are and how they contribute to creating a more sustainable future!  

What is an REC?

Renewable Energy Certificates are one of the main tools used to track and incentivize renewable energy generation. According to the EPA, RECs are issued when one megawatt-hour (MWh) of renewable electricity is generated and delivered to the electrical grid. RECs help distinguish if the electricity produced from power plants is clean and renewable; electricity cannot be considered renewable without a renewable energy certificate. Keep in mind that RECs are different than carbon offsets while they both lend a hand in mitigating emissions. 

what-is-the-difference-between-RECs-and-carbon-offsets

How Do RECs Work? 

 The way renewable energy certificates work is relatively simple. Since it’s impossible to track exactly where your electricity is being generated from, your energy needs to be tracked; that’s where are RECs come in. RECs act as trackers that transfer the “renewable” aspects of renewable energy to the owner that tells them just how much energy their receiving is being produced from the grid. When a renewable energy facility generates electricity, it produces two products – the actual electricity that is sent to the grid and the renewable energy certificate. The REC represents the environmental benefits of that renewable energy generation. Individuals and businesses can then purchase these RECs to show their support of clean energy even if they don’t use the electricity that comes with it.  

What Are The Benefits of RECs  

 Renewable energy certificates are not only a great way to help out the planet but also offer several other benefits: 

  • RECs put into numbers and track the amount of electricity that is produced by renewable energy. 
  • Using RECs allows individuals and businesses to claim they’re using renewable energy which can encourage others to want to participate in using clean energy as well.  
  • Renewable energy certificates let people sell or buy electricity that is being produced by power plants without even if they can’t produce it themselves. 

Who Should Buy RECs 

 Buying RECs isn’t as complicated as you might think. Anyone who wants to support renewable energy can buy RECs. By purchasing RECs, you are directly supporting the development of renewable energy projects and helping to reduce carbon emissions in your community and beyond. Additionally, as stated above, if you have a company that has certain sustainable goals you’d like to meet, RECs is a great way to help you meet those goals. Don’t be deterred if you’re a homeowner and want to support this clean cause. Even individuals can purchase RECs. Shown below is an informative video from the US EPA explaining more about RECs!

 

 

Renewable Energy Certificates play an important role in promoting renewable energy generation and reducing carbon emissions. So, the next time you turn on your lights or plug in your devices, remember that you have the power to make a positive impact by purchasing RECs and supporting renewable energy. 

 

Santanna Energy Services is a supplier of renewable energy solutions in the United States, providing services to Illinois, Indiana, Pennsylvania, Michigan, and Ohio. We provide a wide range of energy services and products to meet the needs of both residential and small business customers. Our mission is to provide innovative and cost-effective energy solutions that will help our customers achieve their energy goals. With over 35 years of experience, we are committed to creating life-long relationships by providing quality service to customers, communities, and employees.  

Tyler Castle

Tyler is an experienced energy professional, having worked for Santanna Energy Services, for the past four years. He is passionate about renewable energy and believes that diversifying the energy grid is the key to a sustainable future. Tyler is dedicated to supplying consumers with the best possible energy solutions and works diligently to make sure that Santanna can deliver the highest quality service.

Categories: Earth-Friendly
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