CEP Sustainability & Energy Efficiency 3

Question 1

Which of the following best describes a Virtual Power Purchase Agreement (VPPA)?

Accepted Answer

A financial contract where a buyer pays a fixed price for RECs and the generator sells power to the market

Answer

A VPPA is a financial hedge where the corporate buyer receives RECs and the net settlement between strike price and market price, without physical power delivery.

Question 2

What does the term 'carbon neutrality' require beyond simply purchasing carbon offsets?

Accepted Answer

Measuring, reducing, and then offsetting remaining emissions through verified projects

Answer

Carbon neutrality requires first measuring all relevant emissions, implementing reductions, and only then using offsets to neutralize unavoidable remainder.

Question 3

A building's Energy Use Intensity (EUI) is best described as:

Accepted Answer

Energy consumption per square foot of floor area over a year

Answer

EUI measures kBtu (or kWh) consumed per square foot per year, enabling comparison of energy performance across buildings regardless of size.

Question 4

Which protocol provides the most widely used framework for categorizing corporate greenhouse gas emissions into Scope 1, 2, and 3?

Accepted Answer

GHG Protocol Corporate Standard

Answer

The GHG Protocol Corporate Accounting and Reporting Standard defines Scope 1, 2, and 3 emission categories used globally for corporate carbon accounting.

Question 5

What is the key difference between a 'bundled' and 'unbundled' REC transaction?

Accepted Answer

Bundled RECs are sold with the physical electricity; unbundled RECs are sold separately from the power

Answer

In a bundled transaction, the REC travels with the electricity commodity; in unbundled, the environmental attributes are sold separately from the power.

(CEP) Certified Energy Procurement Professional Practice Test

(CEP) Certified Energy Procurement Professional Practice Test

CEP Sustainability & Energy Efficiency 3