Renewable Energy Certificate
/ˌriː.nuː.ə.bəl ˈɛn.ər.dʒi sər.tɪ.fɪ.kət/
Definitions
- (n.) A tradable certificate that certifies the bearer owns one megawatt-hour (MWh) of electricity generated from a renewable energy resource, used to meet regulatory or voluntary renewable energy targets.
The company purchased renewable energy certificates to comply with state-mandated renewable portfolio standards.
Forms
- renewable energy certificate
- renewable energy certificates
Related terms
See also
Commentary
Often traded separately from the physical electricity, RECs serve as legal proof of renewable energy generation and are essential in regulatory compliance and voluntary markets.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.