REGOs: proving your renewable supply

As we begin the new decade, the focus on decarbonisation and achieving net zero has never been stronger. In this blog, Channel Development Team Manager, Jess Butlin and Head of Renewables Trading, Vishnu Aggarwal assess the importance of REGOs in proving the credentials of renewable power.

What are REGOs?

Renewable Energy Guarantee of Origin (REGO) certificates are essentially a tracking instrument which prove that power supplied to an end consumer comes from a renewable source. Generators are given one REGO for each megawatt hour of electricity they produce.

But how can they be used to prove renewable supply?

Suppliers purchase these REGO certificates form generators in order to evidence their fuel mix. By submitting these certificates to Ofgem, the regulator approves a supplier’s claim to have purchased the corresponding amount of renewable electricity.

Are all REGOs created equal?

Not necessarily. Whilst they all evidence generation, some consumers prefer certain sources over others. For example, the renewable credentials of biomass have come under scrutiny in the past, so some customers choose not to have biomass as a source of generation in their supply. That’s also why SmartestEnergy offer three types of renewable product:

Standard renewable: Power backed by REGOs from all types of renewable generation.

Natural renewable: Power backed by REGOs from wind, solar and water-based generation (hydro/tidal).

Specific renewable: Power backed by REGOs from specified parameters, such as generation type or geographical location.

Using our unique Emissions Factor Model, we allocate one origin certificate to every megawatt hour supplied to our renewable customers. This robust process ensures there is no double-counting or under-allocation of certificates.

This process is then independently certified by the Carbon Trust to provide added assurance.

We then produce an annual energy label detailing the fuel mix and scope 2 greenhouse gas emissions associated with your energy supply, so you can be confident in reporting zero scope 2 emissions, as well as advertising your renewable credentials to your stakeholders.

Sounds great, but is there an added cost?

Honestly, yes. As a business founded on purchasing power from independent renewable generators, SmartestEnergy ensures that these projects receive value for their REGO certificates. So, whilst there is an added cost, purchasing the REGOs can help to enable new renewable projects.

To find out more about REGOs, listen to our latest podcast.