Renewable Energy Credits (RECs) give commercial businesses a mechanism to account for renewable electricity use regardless of what's flowing through the local grid. One REC = one MWh of renewable generation. Buying RECs equal to your annual consumption is the foundational step in most commercial renewable energy strategies.
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How Businesses Buy RECs
Three paths: (1) Through your retail electricity supplier — many include RECs in green supply products; (2) Directly from a REC broker or registry — buy certificates matching your volume; (3) As part of a Power Purchase Agreement — the PPA includes both electricity and RECs. We source all three for commercial clients.
REC Registry and Tracking
RECs are tracked in regional registries: ERCOT (Texas), PJM-GATS (Mid-Atlantic/Midwest), NEPOOL-GIS (New England), NYSERDA (New York), M-RETS (Midwest), and others. Each REC has a serial number, generation date, fuel source, and location. Registries prevent double-counting and allow transfer of ownership.
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Choosing the Right REC
Not all RECs are equivalent for all purposes. State Renewable Portfolio Standard (RPS) compliance often requires in-state or in-region RECs. Corporate renewable claims are typically satisfied by any REC. Near-term vintage RECs (current year) are generally preferred over banked RECs for annual renewable accounting.
Cost Impact on Energy Bills
Typical commodity REC costs add $1–$5/MWh to your electricity cost depending on source and vintage — less than 1% of most commercial bills. Higher-quality RECs (new solar, bundled with supply) cost more. The cost is generally modest relative to total energy spend.
REC Procurement as Part of Overall Strategy
We incorporate REC procurement into our standard broker process for clients with renewable goals — sourcing REC costs alongside supply quotes so you see the full cost of green vs. conventional electricity in a single comparison. No separate process required.
Frequently Asked Questions
How does a commercial energy broker get paid?
Brokers are compensated by the supplier you choose — a small per-kWh fee built into the contract rate. This fee exists in every supplier's pricing regardless of whether a broker is involved. You pay nothing out of pocket.
How many suppliers will you get quotes from?
We submit to 30+ licensed retail energy suppliers active in your state. Not all will quote every account — load size, credit profile, and industry classification affect who bids. We pull from the full available market.
How long does the process take?
From data collection to competing offers typically takes 3–5 business days. Contract execution takes another 1–2 business days. Service transition happens on your next billing cycle — no interruption.
Is there a contract with the broker?
No. You authorize us to collect your usage data and solicit quotes on your behalf. There's no fee arrangement, no retainer, and no commitment until you choose a supplier offer to execute.
What if I'm currently under contract?
We'll review your existing contract terms, note the expiration window, and initiate a quote process 6–9 months before expiration. If there's an early termination option that makes economic sense, we'll flag it.