Volts

The debate over renewable energy certificates (RECs)

20 snips
Sep 10, 2025
Michael Leggett, from Evergreen, and Peggy Kellen, a seasoned expert in greenhouse gas policies at the Center for Resource Solutions, dive into the complex world of renewable energy certificates (RECs). They debate the proposed '24/7' model for matching energy consumption with renewable production. Michael and Peggy explore the implications of such reforms—how they could impact market participation, transparency in sustainability claims, and the pace of decarbonization. Tune in to discover the nuances of RECs and their critical role in the renewable energy landscape!
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INSIGHT

What RECs Actually Represent

  • RECs let companies claim '100% renewable' by purchasing certificates, not by physically consuming renewable electrons.
  • The current system allows cross-time-and-place offsets, which many see as intuitively misleading.
INSIGHT

Protocol Revision Raises Granularity Question

  • The Greenhouse Gas Protocol is revising its rules and wrestling with how granular RECs should be in time and place.
  • The 24/7 idea would match RECs to the exact hour and grid of consumption, a major shift from today's system.
ADVICE

Know Which REC Market You Mean

  • Distinguish voluntary REC markets from compliance markets before acting.
  • Use RECs for voluntary claims and compliance programs for regulatory obligations.
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