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Approach to Quantify Net Material Emissions Impact of Renewable Energy Purchases
RMI proposes the RE Emissions Score to move beyond qualitative assessments of renewable energy procurement. The score calculates the percentage of Weighted Avoided Emissions relative to Total Induced Emissions, using marginal emissions factors and a procurement factor based on the ratio of Energy Attribute Certificate (EAC) costs to the levelized cost of electricity (LCOE). This approach aims to incentivize companies to locate operations in low-emissions grids and fund new renewable capacity in high-emissions grids.
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Document type: Report
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