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Insight | 6 minute read

What you need to know before choosing a renewable energy producer

Investing in renewable energy has become more critical than ever as the world aims for a sustainable future. With the rising popularity and practicality of renewable energy, businesses now have a range of options available. But, choosing the right producer requires careful consideration of several essential factors. 

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In this article, we will explore the crucial elements to keep in mind when selecting a renewable energy producer and how businesses can meet their sustainability goals with the assistance of instruments such as guarantee of origin (GO or GoO) certificates.

New to the Guarantees of Origin market? Contact one of our experts and learn how CerQlar can help streamline your GoO operation.

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Factors to consider when choosing a renewable energy producer

When it comes to choosing a renewable energy producer, several factors come into play. In this section, we will delve into each of these factors and how they can impact your decision-making process.

  • Technology: 

The type of technology used by the producer can affect the efficiency and cost of the energy produced. The choice of technology also determines the type of renewable energy produced, for instance, solar, wind, hydro, or biomass. Even within the different categories of renewable energy, the technology used can affect the final product. For example, solar energy can be generated through different technologies such as photovoltaic (PV) or concentrated solar power (CSP), and each has different costs and efficiencies. Similarly, wind turbines come in different sizes and designs, and some are better suited for certain wind conditions. 

  • Environmental impact: 

The environmental impact of the renewable energy producer is an essential consideration for businesses committed to sustainability. A producer that uses technology with a low carbon footprint and minimal environmental impact is preferable. For instance, wind and solar power generate electricity with no emissions and have little to no impact on air and water quality. On the other hand, hydropower has some environmental impact on aquatic ecosystems, and biomass may emit some pollutants.

  • Price: 

The price of the renewable energy produced is a crucial factor for businesses looking to maximize their ROI while also being environmentally friendly. The cost of adopting renewable energy varies depending on a number of factors such as the type of technology used, location, and government incentives. For instance, solar energy tends to be more expensive in areas with less sunlight, and wind energy is cheaper in areas with strong winds. Additionally, government incentives, which can also vary locally, can include benefits such as tax credits, grants, or renewable energy certificates (RECs) that lower the cost of renewable energy. 

  • Location: 

The location of the renewable energy producer can affect the cost of transportation and transmission, as well as the reliability of the energy supply. For instance, a producer located far from the business may result in high transportation costs and affect the reliability of the energy supply due to long transmission lines.

Navigating the RED legislation and guarantees of origin in the renewable energy market

Recent developments in the RED (Renewable Energy Directive) legislation underscore the importance of selecting a renewable energy producer that meets sustainability criteria. The Renewable Energy Directive is a legislative framework that sets targets for renewable energy use in the European Union. The RED II was recently updated to increase the target for renewable energy to 32% by 2030, up from the previous target of 20% by 2020.

Another key development in the RED legislation is the introduction of a certification scheme for renewable electricity called the Guarantee of Origin (GoO) scheme. The GoO scheme allows consumers to verify the origin of their electricity and ensure that it comes from a renewable source. This provides transparency and accountability in the renewable energy market and enables businesses to make informed decisions when choosing a renewable energy producer.

The RED II also includes new sustainability criteria for biofuels and bioliquids, which must be met to be eligible for subsidies. These developments highlight the importance of selecting renewable energy producers that meet these sustainability criteria. They also highlight the need for careful consideration when choosing a renewable energy producer, as businesses strive to meet their sustainability goals while remaining competitive in the market.

The importance of GoOs in renewable energy production and trade

In the renewable energy market, GoOs play a crucial role in ensuring transparency and accountability in the sourcing of renewable energy. A GoO is a digital certificate that provides proof of the origin of renewable energy produced, such as solar, wind, and hydro. It includes information such as the type of energy source, the location, the date of production, and the environmental impact.

Learn more about guarantees of origin in our Guide to Guarantees of Origin.

For businesses committed to sustainability, GoOs are necessary for meeting their renewable energy targets and demonstrating their environmental responsibility. By using GoOs, businesses can certify that their energy consumption comes from renewable sources, which can help them achieve various certifications (such as LEED Certification, ISO 14001, and Carbon Trust Standard’s Carbon Neutral Certification) and recognition for their sustainable practices.

Moreover, GoOs also allow businesses to trade renewable energy on the open market. For example, if a business produces more renewable energy than it needs, it can sell its excess production to other businesses or individuals who want to purchase renewable energy. In this way, GoOs can help businesses generate additional revenue while supporting the growth of the renewable energy market.

But managing GoOs can be a complex and time-consuming process, especially for businesses that source renewable energy from multiple plants or energy producers. That is where the CerQlar platform comes in by providing a streamlined solution for managing GoOs from different registries, ensuring compliance with relevant regulations.

CerQlar offers various features, such as an overview of your GoO portfolio and combining your forward trades and inventories into one convenient platform, saving you valuable time and effort. Additionally, the platform normalizes registry data, making it possible to compare, filter, and aggregate data from various sources. With CerQlar, businesses can manage their GoOs and ensure compliance with the relevant regulations.

Streamlining GoO management with CerQlar

Selecting a renewable energy producer is a crucial step for businesses looking to meet their sustainability goals and reduce their carbon footprint. In addition to considering factors such as location, technology, environmental impact, and price, recent updates to the RED legislation highlight the importance of choosing a producer that complies with sustainability criteria. GoOs are essential for proving the origin of renewable energy and trading it on the open market.


With CerQlar, managing GoOs from various plants and energy producers has never been easier. CerQlar provides a streamlined solution for businesses to ensure compliance with relevant regulations and maximize revenue potential. If you’re interested in seeing how CerQlar can benefit your business, visit our features page and feel free to schedule a meeting with one of our experts today.

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