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PDF file

• Calculating Renewable Energy Certificates (RECs) for small hydroelectric systems (PDF 143 KB)

About the document

The Renewable Energy (Electricity) Act 2000 (the Act) and the Renewable Energy (Electricity) Regulations 2001 (the Regulations) allow owners of small generation units (SGUs) to create and sell renewable energy certificates (RECs). RECs are purchased by liable parties, such as electricity retailers, seeking to offset their liability under the Act so that they meet their renewable energy percentage targets. One REC represents one Mega Watt hour (MWh) of renewable energy generation.

Owners of SGUs can either create RECs themselves, or assign their RECs to a registered agent in return for a financial benefit. A list of registered agents can be found from the Publications page of the Office of the Renewable Energy Regulator (ORER) web site.

In order to use the REC calculation method provided below, a SGU must be installed on or after 1 April 2001. If the SGU was installed before 1 April 2001 it may still be eligible for RECs as an accredited power station but the owner must apply to the ORER for it to become an accredited power station. Application forms to become an accredited power station are available from the Power Stations page of the ORER web site.

The REC calculation method provided below applies to systems with a rated output of not more than 6.4 kilowatts or a total annual output less than 25 MWh. If a system has an output greater than 6.4 kilowatts, or annual output of 25 MWh or more, the owner must apply to ORER for the system to become an accredited power station.

¹ Note: The information provided in this document may be subject to change with amendments to the Renewable Energy (Electricity) Act 2000, the Renewable Energy (Electricity) Regulations 2001, and the administrative processes adopted by the Office of the Renewable Energy Regulator.