Renewable Energy Credits Explained

Learn how renewable electricity is tracked and rewarded in Texas.

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What are renewable energy credits?

Renewable energy credits (RECs) are a way to verify that renewable energy, such as wind and solar, has been purchased and added to the power grid. When you choose a renewable electricity plan, your provider purchases RECs on your behalf to match your electricity consumption. Since all Texans in deregulated areas use the same power grid, RECs confirm that your clean energy choice is tracked and represented in the energy mix.

Texas REC program

The Electric Reliability Council of Texas (ERCOT) oversees the state’s official REC tracking and retirement system. If you enroll in a renewable energy plan, your provider will buy RECs to account for your usage, which are then counted and retired by ERCOT to ensure accuracy. Thanks to this system, you can have assurance that the clean energy you purchase with a renewable energy plan is accounted for in the power grid mix.

Why renewable energy is a cleaner electricity choice

Renewable energy is a cleaner choice than traditional energy from fossil fuels because it naturally replenishes and does not emit greenhouse gases. Popular renewable options include wind energy and solar power, as these are easy to harness and convert into electricity. Wind and solar power plants are also readily available across Texas, as the state is a nationwide leader in renewable production. Choosing a renewable electricity plan is an easy way to do your part in lowering the state’s carbon footprint and reducing the environmental impact of traditional electricity generation.

How to find a renewable energy plan

Texas energy customers can easily find renewable electricity options on our free marketplace. Shop for 100% renewable plans from top providers like Gexa Energy, Rhythm Energy, and more. Here’s how to sign up for a renewable electricity plan with Choose Texas Power.

  1. Enter your ZIP code. Shop according to your location to find accurate rates and plans from local providers.
  2. Filter for green energy. Our marketplace has multiple filters based on various plan or provider features, including one for renewable energy. Select “green energy” to browse fully renewable plans in your area.
  3. Sign up in minutes. Once you find the best plan, you can sign up online or over the phone with one of our agents.

Renewable energy credits FAQs

Are renewable energy plans more expensive than traditional ones?

Renewable energy plans are not necessarily more expensive than traditional ones. Some of our cheapest energy plans are backed by fully renewable energy, like options from Gexa Energy.

Is renewable energy delivered directly to my home?

No, renewable energy is not delivered directly to your home. Everyone shares the same power grid, so when renewable energy is added to the grid, RECs verify that it has been accounted for.

What’s the benefit of renewable energy credits?

Renewable energy credits are beneficial because they verify that your renewable energy choice was added to the grid.

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