What Else to Know About Green Energy Certificates?

Green Energy Certificates (RECs) have drastically increased the volume of renewable energy in Australia; however, RECs are a part of a volatile electricity market; therefore, the government is responsible to provide stable policies and targets to give the market confidence that renewable energy remains valuable.

Green Energy Certificates (RECs) are tradable, non-tangible energy commodities. They represent proof that 1 megawatt-hour (MWh) of electricity was produced from an eligible renewable energy resource (renewable electricity) and then entered into a shared system of power lines that transport energy. RECs provide organizations and individuals with proof that they have bought clean energy. 

KEY TAKEAWAYS

Renewable Energy Certificates (RECs) offer proof to the owner of an energy market instrument. This owns one MWh of renewable energy; they account for the amount of renewable energy flowing through the power grid.

RECs can even be sold for profit to those wanting to offset their carbon emissions or speculators betting on the value of energy credits.

REC swaps consist of trading RECs to gain profit from the disparity between the buy and sell price; because many states have varying RPS standards. This grows opportunities to swap.

O’Brien Energy Services provides you with Green Energy Certificate. Its success depends on a number of factors and one of the main factors impacting on success is clear and consistent Renewable Energy Targets (RETs). Without clear and consistent RETs, no confidence will be there in the continued increase of renewables in the electricity market. The electricity market, like any market, depends on supply and demand. This is crucial to understand the investment process that will go on for renewable energy projects.