What are Renewable Energy Certificates (RECs)?
RECs are a type of intangible tradeable energy attribute certificate. Each REC represents the environmental attributes of generating one megawatt-hour (MWh) of electricity from a Renewable Energy (RE) source. RECs are used to verify companies’ claims of energy usage and sources.
Big corporations with large carbon emission profiles often procure renewable energy (RE) through power purchase agreements (PPAs), a direct contract with clean energy providers. In contrast, companies with smaller carbon footprints are turning to alternatives, such as renewable energy certificates (RECs) to achieve their sustainability goals.
That said, adopting RECs can entail challenging administrative processes. Sourcing, managing, and retiring the certificates often require complex backend operations, taking up significant manpower and time.
In 2022, Singapore-headquartered energy and urban solutions provider Sembcorp Industries (Sembcorp) took part in EDB’s Corporate Venture Launchpad programme which resulted in the launch of GoNetZeroTM. A new business offering an end-to-end carbon management solution launched within six months from its concept validation sprint.
About the Corporate Venture Launchpad (CVL) Programme
The CVL programme is designed to support companies in incubating innovative business ideas that have the potential to grow into globally competitive businesses from Singapore. Participating corporates will partner with venture studios appointed by EDB New Ventures which provide expertise, venture-building experience, methodologies and multi-disciplinary talent.
Interested to find out more? Click here to learn more about building new ventures with EDB.
GoNetZeroTM develops bespoke decarbonisation strategies for their customers, anchored around a proprietary digital platform that allows corporates to manage, optimise and scale their renewable energy assets. For example, corporates can use the platform to monitor and benchmark the performance of energy sites in real-time. This simplifies the process of matching renewable energy generation and consumption, while improving operations and maintenance.
Through the platform, companies can purchase RECs and carbon credits to meet climate commitments, as well as track and measure their net-zero efforts.
GoNetZeroTM was able to leverage Sembcorp’s expertise to create innovative solutions tailored to the needs of different corporates. Integrating blockchain technology and data analytics into RE transactions has allowed customers to trace, match, and verify with ease the authenticity of a unit of carbon-free RE being consumed. This ensures accurate reporting, fostering transparency, and trust among businesses and RE generators.
After its launch, GoNetZeroTM formed strategic partnerships with industry players to boost the accessibility and adoption of global RE supply among companies.
Here are three examples:
To accelerate its growth, GoNetZeroTM is diversifying and rapidly expanding its offerings, which now includes NetZeroOS, a smart energy asset management platform.
GoNetZeroTMs CEO Soon Sze Meng explains: “We help corporates globally acquire RECs and carbon credits, offering them a seamless platform for acquiring and managing them. Through NetZeroOS, our proprietary smart energy asset management system, asset owners and operators are also able to optimise their assets for optimal generation yields.”
Soon adds: “As the global energy transition continues to gain momentum, we see strong growth potential for GoNetZeroTM in providing businesses with turnkey solutions that contribute towards their net zero journey.”
