BUYERs
High-impact REC FAQs
Understand how High-Impact RECs drive real impact, meet your sustainability goals, and offer a smarter path to Scope 2 decarbonization.
Frequently Asked Questions
Understanding Renewable Energy Certificates (RECs)
What are Renewable Energy Certificates (RECs)?
A Renewable Energy Certificate (REC) is a legal instrument that grants its holder the exclusive right to claim the purchase of 1 megawatt-hour (MWh) of renewable energy. Under federal regulations, once a REC has been purchased, no other party can claim the use of that MWh of renewable energy, even if they host the energy generation facility on-site.
Who can sell RECs?
Any producer of renewable energy registered with a recognized renewable energy tracking system can sell RECs. These tracking systems can be state-run (aligned with Renewable Portfolio Standards) or managed by private or nonprofit entities.
Compliance RECs: RECs generated in states where Renewable Portfolio Standard (RPS) goals for a specific technology have not been met.
Voluntary RECs: RECs generated in states without an RPS or where the standard has been met.
Who can buy RECs?
Anyone can buy RECs, but Ever.green primarily works with companies, nonprofits, and other organizations aiming to meet sustainability goals. Many individuals receive RECs from community solar programs or utilities.
Do RECs expire?
Sustainability programs and reporting frameworks require that RECs be used within a certain timeframe, often within a year of generation, to be counted towards emissions reduction claims.
Ever.green's High-Impact RECs
What makes Ever.green’s High-Impact RECs different?
Ever.green’s RECs are designed to have a meaningful impact by ensuring:
- Additionality: The RECs support new or repowered projects where revenue from REC sales is material to project viability.
- ESG Impact: Projects are scored against Ever.green’s Impact Scorecard, ensuring they meet high standards for climate impact, environmental protections, and community benefits.
High-Impact RECs are a unique type of REC that directly supports new renewable energy projects for which the revenue from REC sales makes a material impact on the financial viability of the project. These RECs go beyond traditional spot-market procurement by providing a long-term, committed revenue stream to yet-built projects that contribute to grid decarbonization and clean energy expansion.
Who can benefit from purchasing High-Impact RECs?
Companies of all sizes looking to advance their renewable energy goals can benefit, including those in sectors where direct procurement through VPPAs is not feasible. Organizations committed to RE100, SBTi, CDP reporting, or ESG initiatives can use these RECs to drive meaningful impact.
What is additionality in renewable energy procurement?
Additionality refers to whether a renewable energy project would have been developed without the financial support from REC purchases. High-Impact RECs help companies directly enable new clean energy capacity rather than simply buying RECs from existing projects. Read more about our Additionality Methodology.
How does Ever.green measure additionality?
Ever.green enters into long-term contracts directly with developers, by doing so we aim to ensure that the High-Impact RECs support projects that truly need it. We look for:
- New or repowered projects.
- Pricing above the spot-market for voluntary RECs.
- Projects that rely on forward REC contracts for financing.
These measures help REC dollars directly drive the development of new renewable energy capacity. Ever.green's methodology for testing REC contracts for additionality involves a rigorous assessment of each project's financials, market dynamics, and the specific role that REC purchases play in making the project feasible. We seek assurance that the project's success materially depends on our High-Impact REC contracts—meaning our forward commitment directly influences the project’s financial feasibility.
Additionality claims are backed by representations from the developer to Ever.green, and then again in representations from Ever.green to buyers. This is designed to ensure transparency and credibility in sustainability claims, giving buyers confidence that their REC purchase is driving new renewable energy development.
How does Ever.green ensure the credibility of its projects?
Ever.green conducts rigorous due diligence on all projects, including financial viability assessments, scorecard diligence, and outside-in analysis of anticipated energy prices.
Are Ever.green RECs Green-e Certified?
Yes, Ever.green RECs are Green-e® Energy certified, and meet the environmental and consumer-protection standards set forth by the nonprofit Center for Resource Solutions. For more information about Green-e Renewable Energy Certificates (RECs), see: www.green-e.org/rec.
Buying High-Impact RECs: Process, Pricing, Contracting
How does the High-Impact REC procurement process work?
Ever.green simplifies the REC procurement process by contracting directly with developers and, when appropriate, fractionalizing RECs from projects to a “cohort” of corporate buyers, enabling companies with different energy load sizes to participate.
Ever.green also offers a marketplace that provides visibility into available projects, pricing and impact scorecards. Our team offers tailored support to corporate sustainability teams—guiding them through decision-making, contracting, due diligence, and alignment with sustainability goals. We take the time to understand your company’s sustainability objectives, budget, and timeline, helping you build a strong business case to secure internal buy-in. From identifying the right projects to facilitating seamless execution, we’re here to help you maximize your impact.
What is the minimum term for a forward purchase agreement?
The minimum commitment term is generally five (5) years, although sometimes projects require a longer REC contract in order to be financially viable. Often contracts can be extended annually after the first 5 years.
What are the payment terms?
Typically, payments are made quarterly, at the time of REC delivery. However, we offer discounted pricing for buyers who choose to prepay for an entire year or the full contract term. In some cases, prepayment may be required, depending on the project.
Is there a minimum number of RECs I must buy?
We require a minimum purchase of 1000 MWh/yr. Companies typically purchase RECs equivalent to their Scope 2 emissions. Some organizations also buy RECs for their supply chains to address Scope 3 emissions.
How does the pricing of High-Impact RECs compare to spot-market RECs?
Ever.green RECs are generally sold at a premium to current spot-market voluntary REC prices.
Several factors contribute to the higher price of a High-Impact REC. A good part of the higher price of a High-Impact is directly tied to the impact the REC revenue can have on the financial viability of a project.
With fixed-price contracts and our Impact Scorecard, buyers get a more credible, transparent, and future-proof solution for meeting sustainability goals. For developers, the higher pricing and long-term commitments help secure financing and ensure projects get built.
How are RECs tracked and verified?
Ever.green collects detailed REC data including production hour, date, location, marginal avoided emissions, and energy prices for each REC based on the hourly production data received from our developers and attaches a record of that data to the REC when it's retired. Learn more about this process.
RECs are tracked using regional or national registries such as WREGIS, ERCOT, M-RETS, and PJM GATS. These registries ensure each REC is uniquely identified and retired after use to prevent double-counting.
When will I start receiving my Ever.green RECs?
Once the project begins commercial operation and starts generating RECs, delivery usually starts 60–90 days after the end of the first full quarter of operation. Buyers receive regular reports summarizing REC retirements.
After entering into a forward purchase agreement, you’ll receive a detailed summary outlining:
- The terms and conditions of your REC purchase
- The schedule for REC delivery and invoicing
- Green-e disclosures
Each year, once you begin receiving RECs, you'll also get a prospective and historical summary detailing the source of the RECs expected to be delivered and those that have been retired on your behalf.
How does Ever.green help mitigate risks REC buyers face?
Ever.green works closely with buyers to mitigate potential risks, including:
- Project delays: Our contracts generally permit buyers to terminate a forward REC commitment if project completion is delayed beyond a certain point past the estimated completion date, and buyers can mitigate this risk by choosing projects nearer to completion, or by choosing repowered projects.
- Overproduction: a buyer may find that its electricity demands are less than forecasted, and find itself with more RECs than it can use to offset its Scope 2 emissions. Ever.green will work with customers to mitigate these risks; for example, RECs can sometimes be used in an adjacent year to the one in which they are produced, or in limited circumstances can be resold.
What happens if a project underperforms?
Ever.green structures contracts to account for production variability. If a project underperforms significantly, Ever.green will work with buyers to find alternative REC sources or adjust contracts accordingly.
Renewable Energy Procurement and Sustainability Reporting
What are spot-market RECs vs. High-Impact RECs?
Spot-market RECs are purchased from existing renewable energy projects, often at a lower price, but do not necessarily contribute to building new renewable energy capacity. High-Impact RECs, on the other hand, support new projects that depend on REC revenue to become viable, which we believe results in tangible carbon reductions and sustainability impact.
How do High-Impact RECs compare to PPAs, VPPAs, and onsite solar?
While Power Purchase Agreements (PPAs) and Virtual Power Purchase Agreements (VPPAs) provide long-term renewable energy procurement solutions, they often require large electricity loads, creditworthiness, and come with contractual complexities. On-site solar requires physical infrastructure and significant up front capital. High-Impact RECs provide an accessible, flexible, and impactful alternative, particularly for companies that cannot commit to PPAs or do not have onsite solar options.
Ever.green RECs offer additionality and forward commitment, making them more impactful than spot-market RECs. They provide an alternative to Power Purchase Agreements (PPAs) and Virtual PPAs (VPPAs) for organizations unable to enter long-term floating-price contracts.
Can I combine RECs with other renewables in my Scope 2 strategy?
REC procurement can be used alongside onsite solar, PPAs, and other clean energy initiatives to create a comprehensive renewable energy portfolio. High-Impact RECs can complement an existing renewable energy strategy by filling gaps, supporting incremental progress, and enabling further decarbonization efforts.
How do High-Impact RECs align with corporate sustainability goals?
High-Impact RECs align with corporate sustainability strategies by demonstrating a direct contribution to the clean energy transition.
Organizations track their greenhouse gas emissions in three categories:
- Scope 1: Direct emissions from owned or controlled sources.
- Scope 2: Indirect emissions from purchased electricity, heat, or steam.
- Scope 3: Indirect emissions from an organization’s supply chain and customers.
RECs directly address Scope 2 emissions. Under the Greenhouse Gas Protocol’s market-based accounting rules, an organization purchasing RECs equivalent to its electricity consumption can reduce Scope 2 emissions for that period.
How do High-impact RECs align with RE100, CDP, and SBTi?
High-Impact RECs are a credible option for companies seeking to meet RE100 commitments, disclose renewable energy use to CDP, and align with SBTi standards. They support sustainability claims by ensuring that REC purchases contribute to real emissions reductions and new clean energy development.
Who is Ever.green?
Ever.green is a High-Impact REC and clean energy tax credit marketplace that empowers businesses of all sizes to participate in the energy transition, meet their sustainability goals, and make a financial return. Through Ever.green, companies can purchase tax credits at a discount and commit to forward contracts for High-Impact Renewable Energy Certificates (RECs) that help stand up new clean energy projects. Ever.green's marketplace includes streamlined transaction support, standard documentation, due diligence, filing, and compliance monitoring services to reduce risks and maximize efficiency for all parties.
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