How Renewable Energy Credits Work
What is a renewable energy credit (REC)?
A renewable energy credit (sometimes referred to as a renewable energy certificate or "greentag") is an environmental commodity that represents the added value, environmental benefits and cost of renewable energy above conventional methods of producing electricity, namely burning coal and natural gas. RECs help wind farms and other renewable energy facilities grow by making them more financially viable, thereby incentivizing development.
How does the REC system work?
Renewable energy facilities generate renewable energy credits (RECs) when they produce electricity. Purchasing these credits is the widely accepted way to reduce the environmental footprint of your electricity consumption and help fund renewable energy development. Purchasing RECs at the same quantity as your electricity consumption guarantees that the energy you use is added to the power grid from a renewable energy facility and supports the further development of these facilities.
Whether purchased from Renewable Choice or a local utility’s “Green Pricing” program, both systems are based on the purchase of RECs. Renewable Choice offers the same product as a local utility company but at a fraction of the price and with numerous value-added services.
How are renewable energy credits (RECs) tracked?
Renewable Choice RECs are tracked and certified by the leading national third-party REC auditing organization, Green-e® Energy (a program of the not-for-profit Center for Resource Solutions) which guarantees they are not double-counted.
We've created a few free and easy tools to help you better understand your environmental impact. Contact an expert sales representative for a one-on-one assessment. You can also check out our Free Sustainability Webinars to learn more about renewable energy, carbon offsets and greenhouse gas inventories to support your corporate responsibility goals.