Harnessing Energy Attribute Certificates (EACs) to Achieve Net Zero Goals

As organizations worldwide strive to reach their net zero targets, various tools and strategies have emerged to facilitate this transition. Energy Attribute Certificates (EACs), Renewable Energy Credits (RECs), and carbon offsets are some of the key instruments available for businesses to reduce their carbon footprint and contribute to a more sustainable future. This article explores how EACs, alongside other available tools, can help organizations achieve their net zero goals and make a lasting impact on the environment.

1. Understanding Energy Attribute Certificates (EACs)

EACs, also known as RECs or Guarantees of Origin (GOs), serve as proof that renewable energy has been generated and delivered to the power grid. They are the standard method for tracking and trading renewable electricity globally, enabling organizations to achieve their renewable energy goals and reduce Scope 2 emissions [1]. For some organizations, EACs may be the best option for purchasing renewable energy when onsite generation or long-term Power Purchase Agreements (PPAs) are not feasible.

2. Renewable Energy Certificates in India

In India, Renewable Energy Certificates (RECs) are available to help organizations achieve their renewable energy and net zero targets. These certificates allow businesses to support the growth of renewable energy in the country and contribute to a more sustainable power grid.

3. Carbon Offsets: Certified Emission Reductions (CERs) and Verified Emission Reductions (VERs)

CERs and VERs from the VERRA are essential tools for organizations to address their Scope 1 and 3 emissions that cannot otherwise be reduced or avoided. By purchasing carbon offsets, companies can provide financial support to projects that remove greenhouse gas emissions from the environment (sequestration) or prevent them from being emitted initially (avoidance). Examples of such projects include forest management, conservation (afforestation), fuel-switching projects, or capturing methane gas from landfills or agriculture.

4. Balancing Costs and Decarbonization Efforts

While EACs and carbon offsets come at an added expense without direct financial payback, these costs should be incorporated into the financial analysis for other decarbonization solutions, such as incremental efficiency improvements. This additional “price of carbon” can often tip the financial balance in favor of efficiency. Over time, organizations should minimize their reliance on EACs and carbon offsets by prioritizing onsite decarbonization efforts.

5. Partnering with Schneider Electric for Renewable Energy Solutions

Schneider Electric’s renewable energy experts offer extensive experience, global reach, and transparent processes to help organizations find the best cleantech products to reach their goals at the best price. By working with experts, businesses can successfully navigate the complex landscape of renewable energy solutions and achieve their net zero objectives.

Conclusion

Energy Attribute Certificates (EACs), Renewable Energy Credits (RECs), and carbon offsets are powerful tools that organizations can leverage to achieve their net zero targets. By understanding the role of these instruments and balancing their costs with other decarbonization strategies, businesses can make a meaningful contribution to a more sustainable future. Partnering with renewable energy experts, such as Schneider Electric, can further streamline the process and ensure a successful transition towards net zero.