Key Differences between Renewable Energy Certificate and Carbon Reduction Certificate

Carbon Certification

Companies that want to offset their carbon emissions or use green energy can choose either carbon reduction or renewable energy certificates. These certificates should not be confused with each other. Both are tools that can be used to reduce greenhouse gas emissions and increase sustainability.

The difference between the two certificates is that a carbon reduction certificate can be obtained as a result of any activity that reduces, removes or prevents emissions, whereas a green energy certificate is used to certify that the purchaser's 1 MWH of energy consumption is provided from a low or zero emission source.

Differences Carbon Reduction Certificate Renewable Energy Certificate (REC)
Unit 1 ton CO2 or equivalent Megawatt hour (MWh)
Source Projects that reduce or prevent greenhouse gas emissions Renewable energy producers
Purpose Certifying and promoting emission reductions Certifying and promoting the use of renewable energy
Corporate greenhouse gas inventory and  reporting Reducing or equalizing Scope-1,2 or 3 emissions Reducing the organization's Scope-2 emissions from purchased electricity

 

Fields of Activity