Solar panels were installed on four buildings on the Microsoft campus in Mountain View, California. | Photo by Tony Avelar/Bloomberg via Getty Images

Even though more companies than ever are proclaiming that they’re powered by renewable energy, those claims are usually exaggerated, new research shows. That disconnect between a company’s claims and reality could jeopardize global efforts to stop climate change.

The problem stems from companies’ reliance on Renewable Energy Certificates (RECs) to back up their green claims. A company receives a REC by paying to support renewable energy projects around the world. When brands say that they’re powering their business with 100 percent renewable energy, they’re typically still using electricity generated by fossil fuels; they’re just buying up renewable energy certificates to try to cancel out the environmental impact of their energy use.

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