Renewable Energy Certificates may overstate corporate environmental efforts, and some emissions researchers consider them 'ineffective.'
, which helps companies abide by emissions targets and follow the current Greenhouse Gas Protocol. Through the SBTi, over 1,000 companies have made commitments to achieve net-zero emissions.
Although RECs are meant to create investments that would drive the creation of new wind and solar farms, little if any renewable energy actually seems to be created, because, as Gillenwater explains, “REC certificates just aren’t worth enough.” “The widespread use of RECs raises doubt on companies’ apparent historic Paris-aligned emission reductions, as it allows companies to report emission reductions that are not real,” the researchers said in the study.
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