Renewable Energy Certificates
What is the Renewable Energy Certificate (REC)?
REC is a tradeable non-tangible energy credit. The owner of a REC can claim to have purchased renewable energy and bears the right to request any benefits associated with renewable energy production.
When you purchase RECs, it is guaranteed that renewable energy has been generated and sent to the electrical grid on your behalf. Therefore companies with greenhouse gas emissions over a set threshold may purchase credits from companies whose emissions levels are below the limit. A renewable energy provider is credited with one REC for every 1 MWh of electricity produced. The renewable energy is then pushed into the grid, and the associated REC can subsequently be then sold.
Who Buys Renewable Energy
Certificates (RECs)
Voluntary Buyers
Compliance Buyers
Benefits of RECs
Carbon-Neutral Energy
RECs incentivize businesses to reduce their carbon footprint by providing production subsidy to energy generated through available renewable sources. RECs are therefore considered as a way to stimulate the production and usage of green energy.
Funding for Renewable Energy
RECs help in generating funds for new renewable energy technologies. Profit from RECs helps power companies to spur further innovation in new renewable energy technologies.
Less Dependence on Fossil Fuels
RECs can significantly reduce a company’s dependence on fossil fuels by offering a sustainable green and clean alternative. A company can buy renewable electricity in the form of RECs without investing in power generation, which could be costly.
Reduction in Greenhouse Gas Emissions
Companies can buy and sell RECs, thus allowing them absolute relaxation in the level of Greenhouse Gas Emissions. Therefore, the companies have an incentive to cut down on these emissions to save money.
No Change in Existing Power Contracts
RECs do not have any geographical or technical constraints, allowing companies to obtain more green energy in their portfolio without any change in their existing power contracts.
Why Choose METCO?
METCO’s team of experts will ensure an adequate supply of energy for the smooth operation of your business by guiding you to invest in energy products best suited for your demands.
The team at METCO will guide you on how to invest in RECs to make your energy portfolio green at a reduced cost by determining the amount of energy your business can offset.