The increasing use of renewable energy is key to limiting climate change to under 2°C, the threshold set by the Paris agreement. If this limit is exceeded, climate change is expected to have devastating and irreversible impacts. Electricity generation is a vital part of meeting the goals as it reduces the amount of fossil fuels burnt for energy. The IEA predict that by 2040 renewables will make up 40% of total power generation. Denmark current leads the field in renewable energy generation with 59% of its power coming from renewables.
Businesses are increasingly looking at how to make their electricity supply 100% renewable, and therefore climate neutral. Companies typically adopt complimentary approaches to reach their 100% renewable energy target, combining procurement methods such as green tariff contracts with suppliers, unbundled renewable energy attribute certificates (RECs), power purchase agreements (PPAs) and on-site generation projects. But among these options, what is best practice and which factors determine the methods companies choose?
Topics: Renewable energy