Renewable Energy Credits
A Renewable Energy Credit (REC) is a tradable commodity that represents the environmental attributes associated with 1 megawatt-hour (MWh), or 1,000 kilowatt-hours (kWh), of electricity generated by a renewable energy resource, such as wind or solar energy.
RECs provide corporations and institutions a convenient and effective way to support renewable energy, offset carbon and greenhouse gas emissions and encourage the development of new renewable energy resources.
The Ohio Renewable Portfolio Standard (RPS) is a rule established by Ohio’s legislature that requires all Certified Retail Electric Service Providers to obtain a certain percentage of their electric generation supply each year from qualified renewable energy resources. The RPS sets annual benchmarks, or incremental percentage requirements, for renewable energy through 2027.
In addition to complying with Ohio’s Renewable Portfolio Standard, the electricity supplied by NESO to the NOPEC electric aggregation for the Option 1 and Option 2 products includes EarthEra® Renewable Energy Credits (REC) for 50% of the customer’s energy usage at no additional cost to NOPEC customers. Additional product options including REC content for 100% of the customer’s energy usage are also available.
EarthEra® RECs are national voluntary RECs created by wind or solar energy projects located in North America. The EarthEra® program was established by NextEra’s affiliate, , to provide an innovative way for businesses and consumers to support the development of renewable energy resources with confidence that the proceeds from the purchase of EarthEra® RECs are going to the development and construction of new wind and solar energy projects in the United States.
The proceeds from the purchase of EarthEra® RECs are deposited in the EarthEra® Renewable Energy Trust, a fund overseen by an independent third-party trustee, which invests 100% of the proceeds it receives in the development and construction of new renewable energy projects in North America. One goal of the EarthEra program is to accelerate the growth of clean renewable resources and make these resources a major part of America’s energy future. Proceeds from the sale of EarthEra* RECs are already being directed to renewable energy projects under development in the Northeast, and may be directed to similar projects in Ohio in the future.