What is REC?
A renewable energy certificate (REC) is a market-based instrument representing the green attributes of renewable electricity generation. RECs are issued when one megawatt-hour (MWh) of electricity is generated and delivered to the electricity grid from a renewable energy (RE) source.
How It Works?
RECs are used to track and validate the production of 1 MWh of RE by any renewable source, which are used to offset Scope 2 emissions of your carbon footprint. RECs provide you with the option to choose energy generated by renewable energy sources and enable your company to claim that it is being powered by renewable energy.
REC Mechanism
Electrical Grid
RE Source
Registry
RECs with unique serial numbers are issued by the Registry
Consumer
Consumer claims ownership of the green attributes of generated RE
Renewable Energy Certificates
RECs are retired upon the claim for sustainability purposesUnable to identify source of electricity
RE Source
Electric Grid
Consumer
Non-RE Source
Consumer
Renewable energy generated is mixed into the grid alongside the energy generated from non-renewable sources. The consumers are unable to identify whether their electricity is generated from renewable sources. Opt for green energy by purchasing RECs.
Option to choose green energy by purchasing RECs
RE Source
Electric Grid
Consumer
Non-RE Source
Consumer
Applying RECs
Purchasing RECs
By purchasing RECs, consumers can verify and claim that they are powered by renewable energy. RECs allow the consumers to choose their electricity generation source to support their sustainability goals and commitments.
REC Mechanism
Unable to identify source of electricity
Electrical Grid
RE Source
Registry
RECs with unique serial numbers are issued by the RegistryConsumer
Consumer claims ownership of the green attributes of generated RERenewable Energy Certificates
RECs are retired upon claim for sustainability purposesRE generated is mixed into the grid alongside the energy generated from non-renewable sources. The consumers are unable to identify whether their source of electricity is generated from renewable sources.
Unable to identify source of electricity
Electrical Grid
RE Source
Registry
RECs with unique serial numbers are issued by the RegistryConsumer
Consumer claims ownership of the green attributes of generated RERenewable Energy Certificates
RECs are retired upon claim for sustainability purposesRE generated is mixed into the grid alongside the energy generated from non-renewable sources. The consumers are unable to identify whether their source of electricity is generated from renewable sources.
Join an expanding corporate community that pledges to be powered by 100% Renewable Energy.
Our green solutions can be used by corporates to provide detailed proofs in support of environmental, social, and governance claims.
What We Offer?
We Buy
RE asset owner who wants to monetise green attributes
- Zero upfront cost & hassle-free
- Support RE market and improve RE accessibility
- Passive recurring income on top of the income or savings generated from existing solar plant
We Sell
Company who wants to comply with ESG reporting and build a sustainable image
- Pathway to reduce scope 2 emissions
- Promote your company’s commitment to RE Cycle
- Reduce carbon footprint while avoiding CAPEX on RE facilities
FAQ
What is the objective of the REC mechanism?
The REC mechanism is a market-based instrument for promoting renewable energy and facilitating the integrity of renewable energy purchases.
How much does a REC represent?
One REC represents 1MWh of renewable energy generated.
Are there various kinds of RECs?
Typically, RECs are segregated into bundled and unbundled categories. Bundled RECs are sold with their associated energy produced, whereas unbundled RECs are sold separately from the underlying energy. Both kinds of RECs can be generated from various renewable sources such as solar, wind and hydro.
Why should I sell my RECs?
RECs are part and parcel of your renewable power plant. Selling RECs will encourage and promote investment in your plant, while you will generate passive recurring income for your business. At Solarvest, we offer you a hassle-free experience when selling your RECs.
Why should I purchase RECs?
By purchasing RECs, you are one step closer in achieving your company’s sustainability goals while promoting the green agenda and also boost your company’s sustainability image on a global scale.
Are there any requirements to fulfil in order to sell RECs?
If I purchase RECs, how can I ensure that the energy I use comes from renewable sources?
You will receive an internationally recognised certificate that proves the credentials of your renewable energy source.
How can I ensure that my REC is unique?
Our REC transactions use blockchain technology as they are tangible assets. Blockchain technology is a distributed database or ledger that is shared among many computer networks so that the transactions cannot be altered. Each REC is generated with a unique serial number that is specific to the REC itself. Through this, you will be able to verify your ownership of each REC that you purchase
What does a Renewable Energy Certificate look like?
Is there a limit to the amount of RECs I can purchase?
This depends on your sustainability targets. Most companies typically purchase RECs equal to or greater than their energy consumption for a particular reporting year.
