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Renewable Energy Credits (RECs)

Renewable Energy Certificates (RECs) are non-tangible energy commodities that represent a portion (1 Megawatt-hour) of energy generated from selected renewable energy projects. The issuance of RECs is most prominent in the United States. RECs are also known by different names, most commonly, “Renewable Energy Credits” or “Green Tags”.

For your business, this translates into an oppurtunity to meet your clean energy commitments or establish a voluntary clean energy purchasing program in the absence of viable local green energy options. Buying RECs in an quantity equivalent to your current electricity consumption represents that your business is effectively consuming energy that is 100% renewable, without having to change your existing power companies or setup.

How is this possible? The energy that the Renewable Energy Project generates is sold into the general electricity grid, and your purchase of RECs pays for the price differential between the existing dirty energy that your business consumes and the additional cost of generating the renewable energy. Because of the way the RECs are controlled and regulated, the project may only issue RECs that are unique to each unit of electricity generated, ensuring, that overall, clean energy production has been subsidized. The important thing to understand is that the energy generated corresponding to a REC is sold to a different buyer, the REC purchaser receives only the credit for subsidizing the change in the grid system towards moving to clean energy.

RECs are also issued in special project categories, for instance, Solar Renewable Energy Certificates (SRECs) are RECs that are specifically generated by solar energy.

Carbon Guard sells high quality RECs, and provides consulting services to organizations looking to support Renewable Energy and take credit for their commitment to move away from dirty energy. The Purchase of RECs has many benefits to your organization – from operating in line with your commitments to sustainability, to gaining competitive advantages in your marketing.

Contact us today for more on purchasing RECs and supporting clean, renewable energy.

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