Writer: Vivian CHUANG, George K. E. KIONGSON
Social Media Team: Irina LIN
Renewable energy plays a crucial role worldwide; it is an essential solution to climate change, reducing reliance on fossil fuels and lowering CO2 emissions.
Both government and businesses must participate to foster the advancement of renewable energy. Businesses, in particular, should proactively invest in renewable energy sources. Such investments fulfill corporate social responsibility and contribute significantly to diverse national goals. Companies can substantially shape a sustainable and resilient energy future by stabilizing the power grid, diversifying the energy portfolio, and boosting overall national competitiveness.
Normally, companies procure electricity from the power grid and calculate their emissions using default emission factors. However, when considering lower carbon emissions, organizations can purchase renewable energy certificates (RECs) or Energy Attribute Certificates (EACs) to claim the use of renewable energy. Depending on geographic region and regulatory frameworks, these certificates are known by various names, such as Renewable Energy Certificates (RECs) in the U.S. and Canada, Guarantees of Origin (GOs) in Europe, and other National EACs such as Taiwan T-REC, China GEC, Japan GEC, and Australia LGC. These certificates allow companies to claim the utilization of renewable energy and can be traded independently of physical electricity. This flexibility enables purchasers worldwide to assert environmental advantages associated with renewable energy.
Renewable power plants can register their electricity generation through global registries such as Tradeable Instruments for Global Renewables (TIGRs) and International Renewable Energy Certificates (I-RECs)— universally accepted RECs in regions that lack regulated national renewable electricity systems. As of October 5, 2023, I-REC has been issued in 40 countries, with an accumulated issuance quantity of 552.11 million.
The International Tracking Standard Foundation (I-TRACK Foundation), previously named the International REC Standard Foundation (I-REC Standard), is a non-profit international organization dedicated to empowering energy consumption choices globally. Each I-REC represents the unique identification of 1 MWh of renewable energy connected to the grid. Using I-RECs aids in achieving scope 2 emission reduction goals based on the Greenhouse Gas Protocol's scope 2 guidance. Moreover, the I-REC Standard ensures that issued certificates adhere to major international sustainability and carbon accountability standards, including GHGP, CDP, and RE100, aligning with stakeholders' expectations of industry best practices.
Using I-REC enables companies to transparently and evidence-based reduce their scope 2 emissions. If your company wants to understand how purchasing RECs/I-RECs can address electricity emissions and help achieve sustainability goals with additional ecolabels such as EKOenergy and Green-e, please contact Mt. Stonegate. We lead to a better future, providing high-quality one-stop solution services and holding a strong position in the Asian Market.