Green Electricity Claims & Scope 2 Reporting for Ohio Firms
The short answer
A business can only claim it uses renewable electricity if it owns and retires the renewable energy certificates (RECs) for that electricity — whether they come bundled in a green supply product, a community aggregation program, a power purchase agreement, or on-site solar whose RECs you keep. Under the Greenhouse Gas Protocol's market-based Scope 2 method, those certificates are what let you report lower emissions. Without documentation of retired certificates, "green" is only marketing.
This page is about claims and reporting. For choosing a product, see renewable options for small businesses or the full renewable options guide.
Location-based vs market-based Scope 2
| Method | What it uses | What it tells you |
|---|---|---|
| Location-based | Average emissions of the grid where you use power (PJM/regional averages) | Your physical footprint; can't be changed by buying RECs |
| Market-based | Emissions of the electricity you contractually bought, evidenced by RECs or supplier-specific data | Your procurement choices |
Most corporate reporting frameworks ask for both. Buying renewable supply changes your market-based number, not your location-based one.
What makes a claim defensible
- Certificates. One REC equals one MWh of renewable generation. Your supplier or program must retire RECs equal to the renewable share of your usage, on your behalf.
- Vintage and geography. Buyers increasingly prefer certificates from the same year and the same grid (PJM) as their usage.
- Certification. Third-party certification (for example Green-e) verifies the certificates weren't double-counted.
- Contract language. The contract should name the renewable percentage, the certificate type, and who retires them.
- Annual proof. Ask for a retirement attestation each year — that's the document auditors and customers want.
Ohio-specific context
- The state RPS is ending. Ohio's renewable portfolio standard is 8.5% for 2026 with no requirement after 2026, so the small renewable share that was embedded in all Ohio electricity goes away. Voluntary purchasing is how businesses will make renewable claims going forward.
- Aggregation programs. Clean Energy Columbus (AEP Energy, 100% renewable, 10.01¢/kWh fixed for June 2026–May 2027) and Cincinnati's program (Dynegy, 100% green product, 10.44¢ for May–November 2026) include renewable certificates for enrolled small businesses — ask the program for the retirement documentation if you plan to report it.
- On-site solar. If you sell or give away the RECs from your panels, you can't also claim the solar power as renewable.
Greenwashing traps
- "Carbon-neutral electricity" backed only by offsets, not RECs.
- Renewable percentages that apply to the supplier's total sales, not your account.
- Certificates from a different year or a distant grid without disclosure.
- Claiming both the RECs and the "brown" residual mix.
FAQ
Can my business claim 100% renewable electricity in Ohio?
Yes, if certificates equal to 100% of your usage are retired on your behalf and documented — through a renewable supply product, an aggregation program that includes certificates, or a PPA.
What is a REC?
A renewable energy certificate represents the environmental attributes of one megawatt-hour of renewable generation; retiring it is what backs a renewable claim.
Does buying renewable supply change who delivers my power?
No. Your utility still delivers electricity; only the generation contract and certificates change.