Results for tag: "Renewable Energy Certificates"

Renewable Energy Certificates (RECs), also known as green certificates, green tags, or tradable renewable certificates, are market-based instruments that certify the bearer owns one megawatt-hour (MWh) of electricity generated from a renewable energy resource. The REC market is integral to the promotion of renewable energy sources as it provides a mechanism for purchasers to support renewable energy production and claim its environmental benefits. The market operates alongside the energy market where electricity is sold separately from its environmental attributes. Once the renewable energy is fed into the grid, the corresponding RECs can be sold and traded independently, offering flexibility in how renewable energy is incentivized and tracked. Businesses and individuals buy RECs to mitigate their own electricity consumption, achieve sustainability goals, and demonstrate environmental stewardship. Regulatory frameworks often influence the structure of the REC market, with variations existing between voluntary and mandatory markets. Within the REC market, several notable companies specialize in trading, consulting, and providing exchange platforms. Examples include TerraPass, 3Degrees, and Renewable Choice Energy which engage in the sale and marketing of RECs. Other players like Green-e provide certification for RECs to ensure they meet certain environmental and consumer protection standards. Additionally, large renewable energy companies such as NextEra Energy, Iberdrola, and Vestas may participate indirectly by producing renewable energy that generates RECs, thus contributing to the market's supply side. Show Less Read more