What does it mean to buy renewable electricity / what are RECs?
Unless you have a renewable energy system, such as solar panels, directly feeding into your home or office, you cannot purchase the specific electricity that is generated by a renewable energy project. The electricity flowing through the grid is a commingled mix of electricity generated by renewable energy projects as well as electricity generated by burning fossil fuels.
As a result, a separate accounting system has been created to keep track of renewable energy and allow it to be bought and sold. That system uses renewable energy certificates, or RECs. Every time a renewable energy project generates 1 megawatt-hour* of electricity, 1 REC is minted. That REC can then be sold. Purchasing a REC means your electricity is from that renewable energy project.
Anyone who wishes to purchase renewable electricity must purchase both commingled “electrons” and the minted renewable energy certificates (these two costs are often bundled together, which is why renewable energy costs a bit more):
- The commingled electricity (electrons) from the grid
- Renewable energy certificates that equal the amount of electricity they wish to be renewable
You can buy as many RECs as you wish
- You can buy sufficient RECs to cover part or all of the amount of electricity you use.
- Or you can buy RECs that equal more than the amount of electricity you use if you want to build extra demand for renewable energy.
Buying RECs provides an important source of revenue for renewable energy developers. Voluntarily buying more RECs than are required by state law signals to developers that there’s a market for more renewable energy locally and provides a motivation to build more.
Participants in all Lincoln Green Energy Choice options buy more MA Class I RECs (see below) than are required by state law.
What are MA Class I RECs?
MA Class I renewable energy certificates (RECs) are from renewable energy projects located in the New England region that began commercial operation after 1997, generate electricity using any of the following technologies, and meet all other program eligibility criteria:
- Solar photovoltaic
- Solar thermal electric
- Wind energy
- Small hydropower
- Landfill methane and anaerobic digester gas
- Marine or hydrokinetic energy
- Geothermal energy
- Eligible biomass fuel**
Purchasing MA Class I RECs specifically helps to create demand for new renewable energy projects here on our New England grid. By purchasing more MA Class I RECs than is required by state law, you can help to drive the development of new renewable energy projects in our region.
All of the additional electricity from renewable sources that is purchased through Lincoln Green Energy Choice is from MA Class I-eligible renewable energy projects. Participants in the Basic option receive 29% of their electricity from MA Class I-eligible renewable energy projects. Participants in the Standard Green option receive 71% of their electricity from MA Class I-eligible renewable energy projects. Participants in the 100% Green option receive all of their electricity from MA Class I-eligible projects.
* 1 megawatt-hour (MWh) is equivalent to 1000 kilowatt-hours (kWh).
** To ensure the renewable energy is as clean as possible, Lincoln’s supply contract excludes biomass from the voluntary renewable energy purchased through the program.
