The evolution of renewable energy reporting methodologies
Renewable energy procurement has evolved in the last few years, particularly in how companies measure and report their clean energy consumption. Two key methodologies in renewable energy reporting are now widely recognised: emissions-based renewable energy procurement and 24/7 carbon-free energy (CFE) matching. While both aim to drive clean energy usage and reduce carbon footprints, they differ in how energy consumption is matched with renewable generation.
TL;DR:
- New frameworks like the GHG Protocol Scope 2 update and the Climate Group’s 24/7 CFE Coalition are driving stricter, data‑based requirements.
- 24/7 Carbon‑Free Energy (CFE) aligns electricity use with renewable generation in real time, providing transparency and regulatory readiness.
- Emissionality measures the avoided emissions from renewable electricity procurement, even when generation and consumption don’t align hour by hour.
- Renewabl’s platform uses hourly consumption data, contracted CFE, and grid intensity to deliver credible reporting with both hourly CFE scores and emissionality metrics.
Emissions-based renewable energy procurement, or Carbon Matching
The emissions-based renewable energy procurement methodology focuses on offsetting carbon emissions through renewable energy purchases. This method aims to neutralise emissions over a longer period, without the need to match energy consumption with renewable generation on an hourly basis.
At Renewabl, our reports cover both market-based accounting and emissions-based metrics. While emissionality has its place in helping companies reduce their carbon footprints, it doesn’t offer the level of precision as the 24/7 CFE approach.
24/7 Carbon-Free Energy, or granular market-based accounting
24/7 Carbon-Free Energy (CFE), also known as 24/7 hourly matching, is an advanced market-based accounting method that aligns electricity use with clean energy production by time and location. Rather than relying on annual averages, it reflects when and where electricity is actually consumed.
While full 24/7 matching is an ambitious goal, organisations can set progressive CFE targets (e.g. 30%, 50%, or 100%) depending on data availability, procurement strategy, and climate goals.
This approach provides clear insight into energy usage and grid behaviour, enabling system operators to identify where more renewable energy or flexibility solutions, like battery storage, are needed. The benefits include:
“By matching each hour of consumption with renewable generation, companies are not just reducing their carbon footprint — they are actively shaping the energy grid, driving smarter investments where they’re needed.”
– JP Cerda, Co-Founder and CEO at Renewabl
Why 24/7 CFE matters:
- Real-time impact: Aligns consumption with renewable energy production, boosting grid stability and capacity investment. The shift towards 24/7 carbon-free energy procurement can lead to more investments in local renewable energy projects.
- Enhanced transparency: Provides clear data for better decision-making in procurement and energy management. Achieving 24/7 CFE involves utilising a diverse mix of renewable energy sources to ensure balanced supply and demand.
- Regulatory preparedness: Meets stricter compliance requirements like the EU Green Claims Directive, Carbon Border Adjustment Mechanism (CBAM), and RED III/IV.
- Systemic change: Drives proactive participation in the renewable energy transition, directing resources where they have the greatest impact. For example, energy storage technologies – such as batteries – are critical for balancing intermittent renewable energy supply in 24/7 CFE.
Google and Microsoft are leading efforts to adopt 24/7 CFE by committing to operate their facilities solely on carbon-free energy by 2030, with several Google's data centres achieving over 90% hourly matching. Read more here.
“Our AI systems adjust when and where computing tasks are performed, aligning with renewable energy availability. This ensures both Google and our customers benefit from clean energy when it is most abundant and cost‑effective.”
— Adam Elman, Google EMEA
The evolving regulatory frameworks: what they mean for energy buyers
GHG Protocol Scope 2 update
The GHG Protocol is currently updating its corporate standards, including the 2015 Scope 2 Guidance, to be published by the end of 2027.
The Scope 2 Technical Working Group is developing new inventory rules. The preferred approach — supported by most TWG members and the Independent Standards Board — adds spatial and temporal matching requirements to bring reporting closer to the reality. For many energy buyers, this means updating internal systems to produce a verifiable CFE report that aligns procurement with the latest GHG Protocol Scope 2 updates.
To ensure feasibility, buyers using under 5 GWh per market may be exempt from hourly matching. Profile-based estimates are also allowed, with optional criteria for newer facilities or causal procurement, though these had less support.
To capture emissions benefits from clean energy actions outside the inventory rules — such as procurement not matched to the same grid or time — the Scope 2 TWG is introducing a complementary metric: Marginal Emissions Impact (emissionality).
Under the proposed framework, clean energy not used in the same time or region wouldn’t qualify for Scope 2 totals, but if it displaced fossil power in a carbon‑intensive grid, it could still count towards impact via MEI.
Climate Group’s 24/7 Carbon-Free Coalition
In autumn 2024, Climate Group launched a new initiative alongside RE100, the 24/7 Carbon-Free Coalition. It supports the view that hourly matching can accelerate grid decarbonisation while delivering operational and reputational benefits for businesses.
Eligible sources
A generator qualifies as a CFE source only if its operational CO2 intensity (excluding lifecycle assessment) equals 0 kgCO2eq/kWh. Qualifying carbon-free electricity sources include:
- Wind
- Solar
- Zero-emissions geothermal
- Marine (wave and tidal)
- Sustainable hydropower
- Nuclear (fission and fusion)
The 24/7 Carbon-Free Coalition also recognises electricity from energy storage as carbon-free if the storage was charged using qualifying CFE.
Can grid‑supplied energy count?
In most cases, no. Any renewable share of the grid is usually already claimed by a supplier or user. EACs exist to assign ownership of renewable claims, preventing double counting. Only in limited cases can grid supply — also referred as ‘default supply’ — contribute to a CFE target, explained later in this article.
Location based matching to load
Generation must come from the same local or regional grid where the electricity is consumed. For many, this extends beyond the market boundaries typically assumed for renewable energy procurement.
In Europe, this usually refers to the national grid, as most system operators work at the country level. In multi-grid markets, like the US, it refers to the same Independent System Operator (ISO) or Regional Transmission Organisation (RTO).
Time based matching to load
Each hour of consumption is fully matched with carbon-free electricity generated in the same hour.
Since most global Energy Attribute Certificates registries don’t currently issue hourly certificates, 24/7 CFE requires new methods to track, and validate buyer progress.
While it's technically possible to separate and transfer individual EACs to match volumes with consumption for each hour, registry systems aren’t universally designed for this at scale. To address this, Granular Certificates (GCs) are created and linked to underlying registry EACs, making it easier for buyers to trade and make 24/7 CFE claims.
Asset specifications
Procurement of carbon-free energy must adhere to a fifteen-year commissioning or re-powering date limit, with some exceptions for long-term, project-specific agreements.
Renewabl considers both new and existing generation assets, although some companies may prioritise additionality — meaning their procurement helps fund the specific new renewable energy project(s) and capacity.
Click here to read a joint publication by the Climate Group’s Sam Kimmins and Renewabl's CEO JP Cerda.
Other frameworks shaping energy reporting
- Renewable Energy Directives (RED II and RED III)
- RECS’ proposals for RED IV
- EU Green Claims Directive
- The Code of Standards for Advertising and Marketing Communications by ASAI
- The Green Claims Code in the UK, set by the The Competition and Markets Authority
- Corporate Sustainability Reporting Directive (CSRD)
Renewabl's reporting methodologies
Our platforms are aligned with both the GHG Protocol scope 2 accounting guidance (including its upcoming updates) and Climate Group’s 24/7 Carbon-Free Electricity technical criteria — ensuring your renewable energy reporting and CFE reports remain credible and compliant. We recognise that CFE claims are only possible through the use of market-based instruments, like Energy Attribute Certificates (EACs) and their digital derivatives, Granular Certificates (GCs).
How the CFE score of any given hour is calculated on Renewabl
Renewabl calculates a CFE Score as the percentage of a buyer’s load matched by CFE within the regional grid. It can be measured annually, monthly, weekly, or hourly, though we recommend focusing on hourly resolution where data allows.
Longer‑period scores (daily, monthly, annual) are derived as volume‑weighted averages of all hourly matching calculations.
Where
- Load (MWh) – The buyer’s electricity demand for the period, measured in megawatt hours.
- Contracted CFE (MWh) – The amount of carbon-free energy purchased by the buyer (through PPAs or EACs), measured in megawatt hours.
As the maximum achievable CFE score is 100%, the contracted CFE volume cannot exceed the buyer’s demand for that period (Load MWh). Excess contracted CFE in any hour is ignored in the calculation.
- Default Delivered CFE (MWh) – This is the CFE in the electricity utility/supplier mix that has not been voluntarily procured by corporate buyers but is delivered by default. It can only be claimed if the utility or supplier retires an equivalent amount of hourly or sub‑hourly EACs. Buyers must request documentation to justify such claims. This is most relevant in the US (RPS/CES mandates) and Australia (LGCs under the RET), with limited application in Europe. If the supply is non‑compliant, Compliant Consumed Grid CFE is considered zero.
Example calculation
In the UK, during hour 1, the buyer has a load of 10 MW. They have a PPA supply of 5 MW and have purchased 2 MW of EACs generated in that hour. The remaining 3 MW to meet their demand is supplied through their electricity contract using grid energy.
- First, consider the grid energy supply, does it include any Default Delivered CFE?
Default Delivered CFE = 0 MWh
- Next, calculate the CFE score:
CFE Score % (h) = [(5 MWh + 2 MWh) + (0 MWh)] / 10 MWh
CFE Score for hour 1 = 70%
Renewabl’s approach to emissionality
Renewabl uses hourly grid operations data from ESO (UK) and ENTSO-E (Europe), detailing the active generators, their technology, and the volume of electricity produced. This data allows us to calculate the average grid carbonintensity for each hour of every day.
Using this data, combined with an hourly assessment of the buyer's purchased electricity instruments (e.g. PPAs, EACs), Renewabl calculates the total emissions impact, including the emissions avoided through renewable procurement.
For example, by contracting a renewable (zero-carbon) PPA, the buyer avoids purchasing grid electricity, which has measurable carbon intensity. This avoidance can be tracked and measured for internal carbon reporting.
Where
- Load (MWh) – The buyer’s electricity demand for the period, measured in megawatt hours (MWh).
- Contracted CFE (MWh) – The PPAs or EACs the buyer has purchased, measured in megawatt hours (MWh).
- Grid Carbon Intensity (kg CO2e/MWh) – A measure of how many kilograms (kg) of carbon dioxide equivalent (CO2e) emissions are produced per megawatt hour (MWh) of electricity consumed from, or produced in, a power grid.
To calculate the emissionality metric for a specified period, e.g. daily, monthly or annual the platform sums up the emissionality results of all hours in the required period.
Example calculation
In Germany, during hour 1, the buyer has a load of 10 MW. They have a PPA supply of 5 MW and have purchased 2 MW of EACs generated in that hour. The remaining energy to meet their demand (3 MW) is supplied through their electricity supply contract, using grid energy. The Grid Carbon Intensity in hour 1 is 0.142 kg CO2e/MWh.
Total Grid Emissions (h) = 10 x 0.142 = 1.420 kg CO2e per MWh
Avoided Emissions (h) = 7 x 0.142 = 0.994 kg CO2e per MWh
Net Grid Emissions (h) = 1.420 - 0.994 = 0.426 kg CO2e per MWh
Conclusion
Reporting methodologies that meet the moment
Renewable energy data management platforms like Renewable provide tools to enhance carbon-free energy reporting accuracy.
Renewabl’s reporting methodologies align with Climate Group's 24/7 CFE technical criteria and the latest GHG Protocol scope 2 developments. Our platforms combine high-resolution consumption data, hourly grid intensity, and verified procurement instruments, enabling more targeted decarbonisation decisions.
Compared to traditional annual matching, monthly and hourly CFE scores offer clearer insight into when and where fossil power is displaced, allowing buyers to prioritise interventions that deliver real system impact. By producing compliant CFE reports, Renewabl helps energy buyers stay ahead of GHG Protocol updates and strengthen their renewable energy reporting strategies.
Ready to know your CFE score?
To put these methodologies into practice, use the Renewabl platform to assess your CFE scores and emissionality metrics. Get in touch with us now to benefit from a three-months free trial of Renewabl Track.
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