Energy Attribute Certificates (EACs)
Energy attribute certificates (EACs) are key to the substantiation and verification of energy generated, delivered, and consumed on a shared energy grid. Explore the sections below to learn more about EACs. For more detailed information, see the Energy Attribute Certificate (pdf) document.
What is an EAC?
Energy generated from all sources gets comingled and distributed through a shared network, making it necessary to have verification method to substantiate claims to specific energy sources, including renewables.
An energy attribute certificate (EAC) is a contractual instrument that conveys information (attributes) about a unit of energy, including the resource used to create the energy and the emissions associated with its production and use. EACs may also include information about the location of the facility that generated the unit of energy, when that facility began operations, and when the unit of energy was produced. EACs are an established tool for maintaining transparency and clarity in energy sector transactions, as well as a mechanism for facilitating credible innovations that can increase the pace and scale of clean energy growth.
“EAC” is a generic term that includes all types of contractual instruments that convey rights to attributes from various types of energy (e.g., gas, electrical, thermal). Different countries may have different names for EACs.
Examples of EACs
A common type of EAC in North America is the renewable energy certificate (REC), used for electricity suppliers and consumers. One REC conveys one megawatt-hour of electricity generated from renewable sources.
Zero-emissions credits (ZECs), also called emission-free energy certificates, are another example. This type of EAC is often associated with nuclear generation with zero emissions.
Common EAC Uses
EACs are essential to substantiate claims about electricity sold by suppliers or used by consumers. EACs are held, traded, and retired within tracking systems to ensure each account holder has a unique claim to the specific energy attributes, whether that is used for compliance with a policy mandate or to substantiate voluntary green power use. Without EACs, two parties might claim the attributes of the same unit of electricity, leading to “double counting” which could skew the renewable energy marketplace. EACs are commonly used to validate claims about compliance with renewable energy standards, voluntary renewable energy purchases, greenhouse gas accounting, and power source and emissions disclosure policies.
New Roles for EACs
The use of EACs is expanding globally, and their applications can be expanded to meet new consumer and policy objectives, including to build credibility in areas of growing interest, such as 24/7 hourly matching and renewable natural gas. In a world of proliferating climate solutions, EACs play a necessary and important role in tracking, allocating, and substantiating claims of energy decarbonization.
The full Energy Attribute Certificate (pdf) document provides more examples, common uses, and potential new roles for EACs.