Green Certificates

Synonyms

renewable energy credits, tradable renewable energy certificates, RECs, Green Tags, renewable electricity certificates

Definition

Renewable Energy Certificates (RECs), also known as Green tags, are tradable, non-tangible energy commodities in the United States that represent proof that 1 megawatt-hour (MWh) of electricity was generated from an eligible renewable energy resource (renewable electricity) and was fed into the shared system of power lines which transport energy.