Gas South, one of the largest retail natural gas marketers in the Southeast, announced an agreement with Element Markets to offer a new sustainable energy product, FlexRNG. FlexRNG is a blend of renewable natural gas (RNG), natural gas derived from organic waste material, and certified carbon offsets generated by a range of projects that reduce carbon emissions.
The initial product is composed of 5% RNG and 95% carbon offsets, offering industrial users a cost-effective method to harness RNG and demonstrate their environmental, social and governance (ESG) standards, the company says. While the base FlexRNG will have a 5:95 ratio, the product is customizable. Customers can increase the RNG percentage in their blend to accelerate their net zero emission goals.
By offering FlexRNG to its customers, Gas South is providing a tool for companies aiming to achieve net zero emissions. FlexRNG customers will be able to track their emissions reduction progress every month according to the blend they select. Additionally, customers will have the opportunity to purchase FlexRNG on a three-year contract, which means they’ll have access to pricing and supply options not accessible outside of wholesale RNG markets.
Recently, more oil and gas producers in the United States are disclosing their ESG efforts as pressure from investors grows, and as a result of pending SEC regulations. Additionally, a new IBM Institute for Business Value (IBV) study revealed that sustainability is rising higher on corporate agendas, and CEOs recognize sustainability as a business imperative and growth driver.
“Renewable natural gas is a powerful tool for reducing greenhouse gas emissions, but it has traditionally been cost prohibitive for most commercial natural gas consumers,” said Angela Schwarz, CEO of Element Markets. “We’re excited to partner with Gas South in supplying a blended product that delivers the climate benefits of RNG along with an ease of transaction that will be appealing to voluntary buyers.”