Are RECs like carbon offsets?

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  • Are RECs like carbon offsets?

No, RECs and offsets are inherently different market instruments and should not be confused. Whilst offsets can be used for any aspect of a company’s carbon footprint (one offset / credit represents one tonne of CO2e), RECs relate to electricity consumption only (one REC represents 1 MWh of electricity).  This makes RECs an ideal tool to use for digital assets, where the most material part of the carbon footprint relates to electricity consumption. Furthermore, RECs are recognised by the Greenhouse Gas Protocol.