REC: WHAT DOES IT MEAN?
Renewable Energy Communities (RECs) represent an innovative model for energy production and consumption that promotes sustainability and self-consumption. But what else does the acronym REC stand for?
What are RECs?
RECs are associations of citizens, small and medium-sized enterprises (SMEs), and local administrations working together to produce, consume, and share renewable energy.
Let’s look at a practical example: establishing an energy community requires a legal entity, so creating a REC is like starting a business with your neighbors.
The members of the community can share the energy they produce from renewable sources, such as solar panels or wind turbines, generating both economic and environmental benefits for all participants.
Benefits of RECs
Renewable Energy Communities offer numerous benefits, including economic savings. Self-production, direct consumption, and energy sharing enable members to significantly reduce costs associated with purchasing energy from the grid. Shared energy within the community not only leads to savings but also generates a dedicated incentive distributed among the community's members. Additionally, RECs not only promote the local production and consumption of renewable energy but also foster independence from fossil fuels, contributing to a more sustainable energy future.
This makes the REC model even more advantageous.
How do RECs work?
Renewable Energy Communities (RECs) operate on a system of collective self-consumption, where members can act as producers, through renewable energy systems, consumers, or both. Renewable energy generated by installations such as solar panels is shared among participants based on their needs, creating both energy benefits and financial incentives.
Italy’s current regulatory framework supports RECs with incentives and tax breaks. Currently, about 100 Renewable Energy Communities in Italy operate under the regulation of Article 42-bis of the "Decreto Milleproroghe," benefiting from rebates on utility bills and funding for plant installation.
These communities, mostly concentrated in the northern part of the country, will see further encouragement under the implementing decree for REC interventions, which provides additional economic benefits for 20 years.
RECs represent more than a virtuous collaboration among citizens, SMEs, and public entities. The acronym embodies a nation’s commitment to moving toward a more sustainable future while offering significant economic benefits to its members.
However, designing, creating, managing, and discovering a REC remains a complex process without the right tools.
At HexErgy, through a single platform, we support citizens and other market players in every phase of the REC lifecycle, including the legal establishment of a Renewable Energy Community. We guide the entire development process and intelligently manage any changes or updates in community participants.
This enables HexErgy to act as a catalyst for the practical and profitable realization of RECs. Thanks to its ability to promote local production and sharing of clean energy, HexErgy supports the energy transition with RECs at the heart of the change.
Want to save money and contribute to a sustainable future?
Contact us for free: at HexErgy, we help and guide you in creating your REC from scratch. More clean energy and fewer costs!
