If you recently heard mention of the renewable energy credit market and are curious about what it is and how it operates, then the following questions and their answers will give you a basic overview.
What Are Renewable Energy Credits?
Renewable energy credits, also referred to as renewable energy certificates, or simply RECs, are an electronic energy certificate traded as a commodity in some states. The certificates were created to allow electric generation and supply companies to trade their government-mandated renewable energy amongst themselves to ensure they continually remain in compliance with their state's renewable portfolio standard programs.
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Most homeowners who are considering adding solar panels to their home have one specific question: how many panels do I need? While this is an important question, it's actually not the ideal starting point. The number of panels needed for any given home is easy to determine only after two other important questions have been answered: how much power generation is required, and how much output can be expected from each panel?
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