Connect with our team to request a demo of our software

"*" indicates required fields

This field is for validation purposes and should be left unchanged.

Get in Touch

"*" indicates required fields

This field is for validation purposes and should be left unchanged.

Make Smarter Clean Energy Investments with Verse’s Data Hub

by: Verse

Anthesis uses Verse to help clients accurately plan decarbonization investments

“Projected grid emissions” are the anticipated levels of emissions from electricity generation based on factors such as planned changes in the energy resource mix and policy initiatives.

These grid emissions factors vary widely across the U.S., and not all electric grids are “greening” at the same rate. For instance, California’s grid, which benefits from ambitious decarbonization policies as well as significant existing and planned deployments of clean energy resources, is projected to reduce its emissions much faster than the grid in Pennsylvania, New Jersey, and Maryland.

Accurate emissions forecasting and analysis should account for these local variations. This data helps companies understand how the emissions from their facilities will evolve, and where to invest for the greatest emissions-reduction impact.

Your Decisions Are Only as Good as Your Data

U.S. Environmental Protection Agency-designated eGrid regions account for unique emissions factors applicable to regional grid electricity consumption. They are more granular than U.S. wholesale power markets, allowing for higher-fidelity data. And because they are used as the basis for reporting requirements from standard-setting organizations such as the Greenhouse Gas Protocol and Carbon Disclosure Project, eGrid regions help organizations align their emissions projections with regulatory and voluntary frameworks.

Verse’s data scientists and clean energy experts have compiled the most comprehensive set of data sources in a single platform, synchronized disparate datasets, and made them easy to use.

Anthesis Group uses the advanced modeling and datasets in Verse’s Data Hub to capture critical grid emissions factors so its clients can develop accurate regional emissions forecasts that drive informed decarbonization planning and investment decisions.

Click the image below to access the one-pager.

Anthesis and Verse regional forecasting one-pager

Heirloom Portfolio Planning Case Study

by: Verse

Recent and pending regulatory and voluntary framework changes are driving companies to procure clean power in more granular ways (e.g., with time- and location-based matching requirements). And the increasing complexity of electricity markets and technologies like energy storage surpass the analytical capabilities of legacy tools (humans and spreadsheets). Clean energy buyers will require the power of artificial intelligence (AI) to analyze potential scenarios and future-proof their clean power procurement.

The following case study illustrates how Verse’s Aria software platform helped Heirloom identify the right clean energy goal for its business and, based on this goal, design its optimal clean power portfolio.

“Defining Optimal Clean Power Goals”

Enter your information to download the case study.

Name
This field is for validation purposes and should be left unchanged.

Review our Privacy Policy

45V Green Hydrogen Tax Credit: What to Know

by: Verse

The U.S. Treasury Department has issued its long-anticipated guidanceon IRA 45V – the section of the Inflation Reduction act that deals with the green hydrogen tax credit. 

In the quest for a cleaner and sustainable energy future, green hydrogen has emerged as a promising solution. Hydrogen, when produced using emissions-free energy, becomes “green hydrogen” — a versatile, carbon-neutral source of energy. Governments worldwide are establishing regulations to promote the production of green hydrogen. But to qualify as green hydrogen, the production process must meet specific requirements.

Here’s what U.S. green hydrogen companies need to know about how the proposed rules will impact companies’ clean energy procurement strategies and monetization of the tax credit. 

What Qualifies for a Green Hydrogen Tax Credit in the U.S.?

For hydrogen to be considered “green” (and qualify for the up to $3 per kilogram of tax credits under the IRA), it must be produced using emissions-free energy sources such as wind or solar. Companies are allowed to use on-site renewable generation (e.g., they could install solar panels at their hydrogen production facility) AND/OR use virtual power purchase agreements (vPPA) to purchase emissions-free electricity from renewable generation in a different location (e.g., from a solar farm that is not adjacent to their facility). 

According to the Treasury, the tax credit will be available for “10 years starting on the date that a hydrogen production facility is placed into service for projects that begin construction before 2033.” If you are a green hydrogen producer using on-site or vPPAs to source renewable energy to power your production and you want to monetize the tax credit, your clean energy needs to meet several critical parameters (what climate advocates are referring to as the “three pillars” of clean electricity supply).

1. Green Hydrogen Production Requires Hourly Time Matching

The Treasury’s proposed rules require hourly time matching, or temporal correlation, of renewable energy to green hydrogen production. That means green hydrogen companies will have to match their energy consumption every hour (their hourly load) with clean power supply (e.g., if they use 1MWh from 10-11am on October 1, 2028, they will procure 1MWh of clean power in that same hour).

This requirement will not be immediate. Until the end of 2027, hydrogen companies can match their energy consumption on an annual basis (e.g., if they use 100,000 MWh of energy between January 1, 2027 and December 31, 2027, they match that by procuring 100,000 MWh of emissions-free energy in that same time frame.) Hourly time matching will begin in 2028 and will be required for everyone (e.g., no grandfathered annual matching allowed).

KEY TAKEAWAYPLAN AHEAD! Although the time-matching condition will be phased in over several years, companies procuring clean power today must plan NOW for hourly time-matching or risk being ineligible in the future (vPPA contract terms are typically 10-20 years) and the lead time from contract execution to delivery is typically 2-3 years. 

2. Green Hydrogen Production Requires “Additionality,” or “Incrementality”

The new proposed production tax credit rules require renewable energy used in green hydrogen production to be “additional,” or “incremental.” That means the energy must come from new renewable projects, not existing ones, explicitly built to serve hydrogen production facilities. The Treasury defines new projects as those that began commercial operation no earlier than 3 years prior to the commercial operation date of the green hydrogen facility. So, if you want to purchase power from a wind farm that commenced commercial operations in 2020 for a green hydrogen facility that begins operating in 2024, that wouldn’t qualify. 

That said, the Treasury is requesting comments on alternative approaches that would allow energy from existing clean power generators to meet the requirements for new clean power under certain circumstances.

KEY TAKEAWAYSTART NOW on your clean power procurement. There is a large backlog of renewable energy projects in the U.S. waiting for permits or interconnection. If you want to begin operations in 2025, you need to contract for clean power as soon as possible. 

3. Green Hydrogen Production Requires Geographic Correlation (“Deliverability”)

The IRS requires that green hydrogen producers’ clean energy be generated and consumed in the same region as the production. If you are producing hydrogen in Louisiana, for instance, you will need to procure your clean energy in the MISO (Midcontinent Independent System Operator) power grid. If you are producing in Texas, you’ll need to procure your energy in the ERCOT grid (Electric Reliability Council of Texas). The Treasury is also requesting comments on possible options for transmission of clean power between regions, which might alter this requirement. 

KEY TAKEAWAY: The regionality principle of the proposed rules will almost certainly affect your clean energy supply options. If you’ve already sited your production facility, you will need to procure clean power from plants located in the same electric grid, which narrows your options. If you haven’t sited your production facility, THINK CAREFULLY about where you could site it to take maximum advantage of the production tax credit.

How to Maximize the Green Hydrogen Tax Credit

With the EU and the US providing clear regulations and financial incentives, green hydrogen companies are poised for both growth and positive environmental impact. The new U.S. rule will help deliver on the promise of green hydrogen – that it can replace polluting fossil fuels without significant additional production-related carbon emissions. But it adds complexity for hydrogen producers, particularly those unfamiliar with clean power procurement. It will be crucial to work with experts and tools that can provide a holistic, data-driven assessment of possible scenarios to deliver the optimal, future-proofed clean power strategy.

By planning ahead, acting now, and thinking carefully about their clean energy procurement strategies, green hydrogen producers can maximize the 45V production tax credit, secure a reliable supply of renewable energy, and manage long-term costs and risk. 

Clean Power for Data Centers with Seyed Madaeni

by: Verse

In November 2023, Verse CEO Seyed Madaeni joined Gabriella Gillet-Perez at DatacenterDynamics’ DCD Connect Virginia conference. They discussed data centers’ use of clean power, why clean energy is a smart financial decision (not just a sustainability decision), and some of the challenges data center leaders face when trying to procure it.

You can view the video on DatacenterDynamics’ website.

Common Corporate Clean Energy Goals

by: Verse
Dec 20

If you’re unfamiliar with corporate clean energy goals or need a quick refresher, check out this explainer video! It provides an overview (with examples) of three common goals — 100% Renewable Energy (RE), Carbon-Matching (aka Emissionality), and 24/7 Carbon Free Energy (CFE).

Clean Energy Goal #1: 100% RE

In this scenario, a company aims to match its annual power consumption with clean energy. 

For instance, if company A uses 100,000 MWh of electricity between January 1 and December 31, it will purchase 100,000 MWh of clean energy in that same period. 

100% RE involves matching annual energy consumption with an equal amount of renewable energy. Clean energy purchases are not restricted to the grid in which the consumption occurs.

That means a company can purchase renewable energy wherever it’s least-cost, without considering where it operates. For example, Company A, whose operations are in Louisiana, could buy renewable energy from projects in any grid.

Clean Energy Goal #2: Carbon-Matching

The goal is to match a company’s annual emissions associated with its energy consumption with an equal amount of avoided emissions from its purchases of clean energy.

So, if Company A emits 40,000 tons of carbon in a year, it will procure clean energy that avoids 40,000 tons of carbon emissions over the same period.

Like 100% RE, carbon matching involves annual matching but focuses on carbon emissions rather than megawatt hours of energy. There is no location requirement, BUT location matters as each grid has a different carbon intensity. This approach prioritizes clean energy purchases that are least-cost from an emissions impact perspective. 

For instance, a company pursuing carbon-matching would rather buy solar power in Kentucky than in California because Kentucky’s mostly fossil-fuel grid has a higher carbon emissions intensity than California’s, which has lots of clean energy and thus relatively lower emissions intensity levels. 

Clean Energy Goal #3: 24/7 CFE

The third goal is 24/7 carbon-free energy (CFE). Unlike the two previous goals, this one involves hourly matching and includes a location requirement. 24/7 CFE aims to match every MWh of a company’s electricity consumption, every hour of every day, with carbon-free electricity sources in the same grid. It is the end state of a fully decarbonized electricity system.

If a company matches 100% of its hourly consumption with CFE, the company would have a CFE score of 100%. 

Corporate Clean Energy Goals: Which Is Right for Me?

It can be very difficult to choose from among the various corporate clean energy goals if you don’t understand the tradeoffs. 

Verse’s Aria platform helps companies understand the benefits and drawbacks of different goals. Using generative AI and predictive modeling, Aria analyzes and illustrates the cost, risk, emissions, and carbon-free energy profile of the various options. 

This holistic view empowers customers to determine their optimal, data-driven, future-proofed clean power strategy. 

Clean Energy & Climate: 2023 Review and 2024 Predictions

by: Verse

2023 witnessed significant strides in the clean energy and climate space. Corporates and institutions continue to drive clean energy adoption. First-of-a-kind deployments came online. And governments took meaningful steps to codify and encourage carbon disclosure and reduction efforts.[1]

Given Verse’s current focus on the U.S. and EU, we’re restricting this blog to a handful of achievements. Those include legislative developments in California, the Carbon Border Adjustment Mechanism (CBAM) in the EU, and the first round of funding for carbon capture demo projects and clean hydrogen hubs in the U.S. We’ll also explore a few anticipated events, including SEC rule changes for climate disclosures, U.S. Treasury Department rules about green hydrogen, and revisions to the Science-Based Targets initiative (SBTi) and Greenhouse Gas Protocol (GHGP) standards for Scope 1, 2, and 3 reporting.


[1] The public can access a version of CEBA’s clean energy deal tracker, which “identifies the total annual volume of clean energy procured by energy customers, as well as companies that have led clean energy procurement announcements” here: https://cebuyers.org/deal-tracker/

2023 Clean Energy & Climate Milestones

1. California SB 253 & SB 261

California continued its climate leadership with Senate Bills 253 (the Climate Corporate Data Accountability Act) and 261 (the Climate-Related Financial Risk Act). 

Beginning in 2026, SB 253 requires businesses with more than $1B in revenue operating in California to provide annual Scope 1, 2, and 3 emissions reports. Notably, the law includes an accountability mechanism by requiring companies to provide third-party confirmation of their reports. 

SB 261 requires companies with more than $500M in revenue operating in California to provide public annual climate-related financial risk disclosures (and how they plan to address those risks). 

These laws are important because of their trans-border impact. Companies that meet the legal parameters and wish to do business in California (one of the world’s biggest economies) must comply, regardless of where they are based. The rules also serve as a model for other jurisdictions seeking robust policy frameworks.

2. EU Carbon Border Adjustment Mechanism

The European Union’s implementation of the Carbon Border Adjustment Mechanism (CBAM) in 2023 marked a paradigm shift in global trade dynamics. 

CBAM is the EU’s effort to “put a fair price on the carbon emitted during the production of carbon intensive goods.” The rule imposes carbon costs on certain imports — cement, iron and steel, aluminum, fertilizers, electricity, and hydrogen — to incentivize cleaner production methods and prevent carbon leakage (the transfer of carbon emissions from EU-based facilities to other locations around the world). 

As with the California legislation, CBAM has implications for businesses far beyond the EU’s borders. By internalizing the external cost of carbon, the EU is encouraging businesses worldwide to adopt more sustainable practices, helping foster a race to the top in environmental standards.

3. U.S. Funding for Carbon Capture Demonstrations & Clean Hydrogen Hubs

In 2023, the Biden Administration began awarding $2.5B in funding through the Bipartisan Infrastructure Law for carbon capture demonstration projects. Verse customers Climeworks  and Heirloom were among the 2023 awardees. The Biden Administration also announced a whopping $7B for regional clean hydrogen hubs (H2Hubs) around the country. And it’s not just funding: we’re also seeing deployments. Heirloom announced the first commercial plant in the U.S. to use direct air capture (Climeworks’ project in Iceland began operations in 2021).

Both technologies are still pre-widespread commercial scale, so the government’s financial support will help establish track records, lower costs, and support a cleaner and more resilient energy infrastructure. The International Energy Agency (IEA)’s 2023 Net Zero Roadmap update suggests we can still avoid the worst effects of climate change, in large part due to record growth of clean energy technologies. We should use all tools available, from reducing emissions through clean power procurement to removing carbon dioxide already present in the atmosphere with direct air capture. 

2024 Predictions

1. SEC Rules on Climate Disclosure

The Securities and Exchange Commission (SEC) is expected to change its rules regarding climate disclosure, which will help reshape corporate reporting. The move towards more standardized and comprehensive climate-related disclosures will empower investors to make informed decisions based on companies’ environmental performance. This shift aligns financial markets with the imperative of addressing climate risks and opportunities — a key catalyst for continued clean energy & climate investments.

2. Treasury Ruling on 45V for Green Hydrogen

The U.S. Treasury was expected this past fall to issue a ruling on Section 45V of the Inflation Reduction Act that addresses financial support for the green hydrogen sector. A large portion of the energy sector is waiting with bated breath for the Treasury to provide guidance on key issues related to tax credits for green hydrogen production.

One of these issues is the concept of additionality, and whether the Treasury will require “green” hydrogen to be produced with clean power that would not otherwise have been built. If the recent leak about the rules is accurate, green hydrogen producers will have to be smart about how they configure their plants to meet clean power goals. That includes not only how they source clean energy, but also how they invest in flexible electrolyzers that can act as grid resources.

3. SBTi Rule Changes & GHG Protocol Guidance Updates

The Science-Based Targets initiative (SBTi) is expected to undergo rule changes in 2024, refining the criteria for setting and validating science-based emission reduction targets. Companies that have committed or are considering committing to science-based targets should keep an eye out for updated rules.

In 2023, the GHG Protocol began the process of updating its corporate standards and guidance for Scope 1, 2, and 3 emissions (direct emissions, indirect emissions from purchased energy, and indirect emissions from the value chain, respectively). So many businesses are seeking to measure, report, and reduce their carbon footprint (for voluntary reasons and to stay ahead of emerging regulations) that the secretariat decided its rules needed a refresh. These updated guidelines, drafts of which are expected in 2024 (with final standards/guidance in 2025), will help foster a more transparent and accountable approach to sustainability.

Clean Energy & Climate Collaboration

As we reflect on the achievements of 2023 and peer into 2024, it is evident that the global community – including corporates and policymakers — is making strides toward a more sustainable and resilient future. The convergence of legislative actions, international collaborations, and financial incentives is paving the way for clean energy & climate progress. Onward and upward as we move into the new year!

Plan for Carbon Emission Regulations

by: Verse

Local Policies Have Global Impacts

Remember the saying “Think global, act local?” Syntax errors aside, this mantra appears to be influencing policymakers around the world who are implementing carbon emission regulations to encourage companies to reduce their carbon footprints.

Although these new decarbonization and disclosure policies are local, they have global impacts. The EU’s Carbon Border Adjustment Mechanism (CBAM) and California’s recent Climate Corporate Data Accountability Act are just two recent examples of localized policies that will affect companies far beyond their respective legislative jurisdictions.

The EU’s Carbon Border Adjustment Mechanism

The European Commission is working on reducing the carbon footprint of industrial materials such as cement, aluminum, and steel.  But regulating the carbon footprint of materials manufactured in the EU runs the risk that manufacturers will move production outside the EU, geographically relocating the carbon emissions but not reducing them (what is known as “carbon leakage”).

So, the European Commission created the Carbon Border Adjustment Mechanism (CBAM), a regulation that pressures companies at a global level to shift to more sustainable production. 

CBAM Doesn’t Just Affect EU Companies

CBAM’s goal is to “put a fair price on the carbon emitted during the production of carbon-intensive goods that are entering the EU, and to encourage cleaner industrial production in non-EU countries.” CBAM will initially focus on carbon-intensive goods such as cement, iron and steel, aluminum, fertilizers, electricity, and hydrogen. The regulation will require both EU-based companies as well as any company importing these goods into the EU to report the GHG emissions (direct and indirect) embedded in the products. EU importers of relevant goods must register with national authorities where they can buy CBAM certificates (priced based on weekly ETS allowances[1]). The importer then reports the emissions embedded in its imported goods and submits a corresponding amount of CBAM certificates annually. The image below from the European Commission provides a succinct explanation of the program.

ETS allowances tend to be pricey, so if you can mitigate your emissions for less than 80 euros/t (see this site for recent auction prices), it’s economical to do so. Spoiler – most PPAs have an implied carbon reduction cost less than 80 euros/t!

The key point here is that CBAM will affect any manufacturer of these products currently selling or hoping to sell to European markets – regardless of where the manufacturer is located. CBAM becomes fully enforceable on January 1, 2026, which gives manufacturers a relatively short runway to mitigate their carbon intensity or face financial penalties for noncompliance. For companies wishing to do business in the EU, evaluating clean power options for their energy-intensive operations will become a necessity.

California’s Climate Corporate Data Accountability Act

California’s landmark SB253 (the Climate Corporate Data Accountability Act, or CCDAA) is another example of a local regulation that will affect companies globally. The state law requires public and private companies with over $1B in revenue doing business in California to disclose their scope 1, 2, and 3 emissions (starting in 2026). 

As with CBAM, the key point here is that any company with more than $1B in annual revenue that operates in California (even if headquartered elsewhere) will have to report both direct and indirect emissions. (Estimates project that the new law will impact approximately 5,300 companies.) If you are a large company doing business in California, you need to get smart about reporting mechanisms – and you probably also want to evaluate ways to reduce your emissions. 

Plan Ahead for More Carbon Emission Regulations 

Although local carbon emission regulations may use different enforcement mechanisms – such as financial penalties or disclosure requirements – the broad goal is the same: to require companies to track their GHG emissions (Scope 1, 2, and 3) and evaluate ways to reduce them. Both CBAM and the CCDAA demonstrate the far-reaching impact locally enacted policies will have on companies with global operations.

Organizations that want to continue to do business globally need to plan for increasing carbon disclosure and tariff policies by acting now to reduce their emissions. Clean power procurement will play a big role in decarbonization, particularly for electricity-intensive industries like aluminum and cement production. Contact us at hello@verse.inc to learn more about how to build the optimal future-proofed clean power portfolio for your business.


[1] From Eurostat: “An emissions trading system, also known as emissions trading scheme and abbreviated as ETS, is a market mechanism that allows those bodies (such as countries, companies or manufacturing plants) which emit (release) greenhouse gases into the atmosphere, to buy and sell these emissions (as permits or allowances) amongst themselves.”

CEBA Member Highlight: Verse

by: Verse

**This interview was originally posted on CEBA’s website.

What prompted your organization to join the CEBA community? 

Verse’s mission is to unlock the benefits of clean energy for organizations everywhere. We’re doing that by developing software that uses generative AI to make buying and managing clean energy faster, easier, and less expensive than it is today. CEBA’s work convening and supporting organizations interested in procuring clean power is a perfect fit for us. We’re excited to collaborate with CEBA to showcase the power of technology in accelerating and scaling corporate clean energy adoption.

What does the future of clean energy look like for your organization? 

Verse’s vision of the future of clean energy is AI- and software-driven. The world is at an inflection point of AI-enabled solutions; we want to apply the capabilities of generative AI to clean power procurement.

Verse’s Aria software platform leverages this technology to help companies define their clean power goals, design the best portfolio to meet those goals, manage their clean energy assets, and verifiably report on their emissions and financial metrics.

Recent policy changes, the evolution of various regulatory and voluntary frameworks, and the increasing complexity of energy markets and clean energy assets are quickly exceeding the analytical capabilities of humans and spreadsheets. Clean energy customers will increasingly require the computing power of AI to synthesize concepts and analyze potential scenarios to develop future-proofed clean power strategies.

What has been the most interesting clean energy project during your time with your organization?  

One exciting case study involved helping a company figure out what clean power procurement philosophy would best meet its needs.

This customer wanted to power their operations with clean energy, but needed to answer several detailed questions before acting.

  • Location matching: Can we buy clean energy from anywhere in the country? Or from the same grid?​
  • Time matching: Should we match clean power on an annual basis? Monthly? Hourly?​
  • Emissions matching: How much greenhouse gas emissions will my clean energy purchase help avoid?

Using the Aria Goal Setting app the customer received nine possible procurement philosophies to analyze considering different permutations (e.g., 100% clean energy, carbon-matching, location-matching, and/or time-matching).

Aria uses mathematical optimization, combined with pre-loaded, 20-year hourly market forecasts to evaluate the cost, emissions, and time-matching implications of the nine scenarios.

The customer presented the outputs from Aria to their senior leadership team, which was then able to make a data-driven decision, selecting the procurement philosophy that best met their objectives while staying within budget for clean energy purchases.

By defining their clean power goals, the customer was able to move forward with confidence in their clean energy journey and is now going to market to source clean energy.

Envision a 90% carbon-free U.S. electricity system by 2030 – what is the next step toward a carbon-free energy future? 

It’s hard to pick just one! There are several critical steps that need to coalesce, including streamlining interconnection processes and expanding transmission and grid infrastructure. The step we’re focused on is making clean energy procurement faster, easier, and less expensive than it is today so more organizations can access the benefits of clean energy. We are confident we can leverage powerful emerging technologies — like generative AI — to demystify this complex field and make a real difference in how organizations source and manage their power.

Get involved as a CEBA member!

You Made a Sustainability Commitment — Now What?

by: Verse
Sep 20

Start Your Corporate Clean Energy Journey

Many corporations are making a sustainability commitment, driven by evolving regulatory standards, stakeholder pressure, energy market volatility, and increasingly severe and evident climate change.

Corporate clean energy procurement is a critical component of achieving our collective global sustainability goals. But how do you get from setting a goal to verifiable, future-proofed renewable energy purchases? If you’ve made a sustainability commitment, check out these considerations to help you navigate the process of buying clean energy.

Audit Your Energy Use and Needs

Before you buy clean energy, you need to conduct a thorough energy audit to understand your current energy consumption patterns and identify areas for improvement.

First, assess your energy needs. Key points to consider include:

  • Quantity
    • You can’t develop an accurate clean energy procurement strategy without knowing how much energy you use now and projecting how much you’ll need in the future. How much energy do your facilities require? (This is known as your “load”.) Do you expect your hourly load to grow over the next 10+ years?
  • Location
    • Where is your load located? Geography matters when thinking about emissions reduction. Utilities each have their own green tariffs, and each electric grid and wholesale market has unique pricing, congestion, and renewable penetration. These are all factors that affect the cost and carbon-reduction metrics of clean power resources. Emerging voluntary standards and regulatory requirements may also include locational elements that encourage or require you to procure clean energy generation on the grid where you use it.
  • Timing
    • Consider your demand periods. Time is also a key component of effective emissions reduction. For instance, if you purchase clean energy from a solar project during the day when renewable resources are abundant but use most of your energy in the evening (drawing from a fossil-fueled grid), you may not see the emissions impact you hoped for.

Set Clean Energy Goals

Establish clear and achievable clean energy goals aligned with your sustainability commitment. Determine the renewable energy strategy that best suits your needs and set a timeline for achieving your renewable targets. Long interconnection queues and construction timelines in the U.S. mean that the commercial operations date of projects may be several years in the future.

“Establish clean energy goals” is very easy to say but very hard to do. This step is often extremely difficult for companies that don’t have deep energy market expertise. How do you know if you should pursue renewable energy credits (RECs), or corporate power purchase agreements (PPAs)? What are the benefits and drawbacks of hourly matching vs. annual matching? Are there utility green tariffs available to you? Does your procurement need to be additional or is it sufficient to support existing projects? Should you try to optimize for 100% RE, carbon matching or 24/7 carbon-free energy (24/7 CFE), or some combination of the three? Maybe you need 100% renewable energy on an annual basis, with 80% CFE? (Check out these helpful resources for explanations of 24/7 CFE (including David Roberts’ Volts podcast) and the Emissions First principles). Tools like Aria can help ensure you – and your leadership team – understand these concepts and their trade-offs so you can set the optimal clean energy goals for your business and de-risk your clean energy procurement strategy.

Explore Renewable Energy Options

Familiarize yourself with the many renewable energy resources available for procurement. These can include solar, wind, lithium-ion energy storage, hydroelectric, geothermal, biomass, nuclear, clean hydrogen, power generation with carbon capture and storage, and long-duration energy storage technologies. Each source has unique benefits and considerations based on the emissions reduction strategy you choose. (Side note: Google has an interesting new paper that explores some of these technologies and the role corporate clean energy buyers can play in “helping to address financing, commercial, and other barriers that many of these technologies face today.”)

Assess which options align best with your energy needs, emissions goals (e.g., companies aiming for net zero emissions with 24/7 carbon-free energy will need to incorporate energy storage), geographical location, and budget constraints (for instance, 24/7 CFE requires hourly matching and is more expensive than less complex goals like 100% RE on an annual basis).

Verse can help you determine the right mix of clean power resources. If you can say how much carbon you want to mitigate, what your budget is, and how much exposure you’re willing to have in your clean energy contracts, our software and solution engineers can optimize your clean power procurement.

Your Sustainability Commitment Is Achievable — Don’t Be Discouraged!

Clean energy procurement is a crucial step towards reducing carbon emissions and mitigating the impact of climate change. But it’s easy to get overwhelmed by the variety of options and contractual complexity. Sometimes, educational resources geared toward sophisticated power buyers can be more confusing than helpful. But tools exist specifically to make the process faster, easier, and more cost-effective – from determining your clean power procurement philosophy to analyzing clean energy asset options and managing requests for offers (RFOs).

Verse works with you to accomplish the above steps and determine the optimal resources to accelerate your clean energy journey. Drop us a note to learn more! Together, we can create a more sustainable future for generations to come.